DISCLOSURE OF REMUNERATION OF DIRECTORS AND EXECUTIVE OFFICERS AS REQUIRED BY SECTION 29QB OF THE SUPERANNUATION INDUSTRY (SUPERVISION) ACT

Transcription

1 DISCLOSURE OF REMUNERATION OF DIRECTORS AND EXECUTIVE OFFICERS AS REQUIRED BY SECTION 29QB OF THE SUPERANNUATION INDUSTRY (SUPERVISION) ACT Directors and Executive Officers An Executive Officer is defined as a person who is concerned in the management of the Trustee (whether or not a Director) who may significantly influence the Trustee s financial standing or a substantial part of its business operations. The following is a list of the SMI Board and Management structure at the end of the financial years ended 30 June 2013 and 30 June Name Position Date began holding this Cath Bowtell Chairperson Director from 2 January 2014 Chair from 26 September 2014 Date ceased holding the n/a Graeme (Sandy) Grant Director Chair from 23 September Chair 26 September 2014 Director 26 November 2014 Tony Beck Director SMI 7 October 2010 IFI 7 January May 2013 Jack Diamond Director 27 November December 2013 Paul Faure Director 4 March 2011 n/a Michael Migro Director 3 January 2012 n/a Linda Rubinstein Director 29 May 2013 n/a Gemma Pinnell Director SMI 23 September 2010 IFI 1 October April 2013 Robbie Campo Director 2 January 2014 n/a Executive Manager, Risk and Compliance 1 April October 2014 Andrew Company Secretary 28 January 2011 (appointment date to this role) Ned Meehan Chief Financial Officer - IFS 28 December 2009 n/a n/a David Vernon General Manager, Products - IFS, SMI and IFI 24 July 2006 n/a

2 Remuneration of Executive Officers Executive Officers remuneration comprises salaries, superannuation guarantee contributions and a short-term incentive opportunity. The Chief Executive Officer, in conjunction with the Board Remuneration Committee, is responsible for determining the remuneration of Executive Officers. The Committee makes recommendations to the Board for its approval. Compensation for Executive roles is determined through external market benchmarking which assists in determining that the remuneration for the role is comparable and competitive with the market. Executive Officers are paid in accordance with the IFS Remuneration & Incentive Policy which include annual remuneration reviews. Terms of employment and remuneration are reflected in individual contracts with each Executive Officer and are aligned to the terms of the IFS Enterprise Agreement. Contracts are entered into on commencement in the as an Executive Officer with IFS. There have been no individual contracts for services negotiated between any Executive Officer and IFS for the financial year ended 30 June In the financial year ended 30 June 2013, Executive Officer was employed. Her contract for services was negotiated under the terms of the IFS Enterprise Agreement and the IFS Remuneration & Incentive Policy (as is the case for all Executive Officers employed by IFS). Her compensation was determined in line with the process above.

3 Disclosure of remuneration The details of remuneration for Directors 1 and Executive Officers 2 for SMI, for the financial year ended 30 June 2014 are set out in the table that follows. Where SMI is required to disclose the remuneration arrangements set out below, it is required to do so if the payment is made on its behalf by a related entity. Industry Fund Services Ltd (IFS) is the parent company to SMI and has paid the remuneration set out in the tables shown. The Executive Officers who are senior managers discharging functions for SMI in the operation of IRIS Superannuation Fund are not solely employed for the performance of duties on behalf of SMI. The employment arrangements require that those senior managers are employed for other functions of a separate superannuation fund, in addition to the performance of functions on behalf of IFS. Accordingly, the remuneration disclosed has been calculated according to the percentage of time and functions required to be allocated to the activities of the Trustee by that individual. There are no share based payment transactions, nor any options or rights offered (or resulting equity instruments). Short term employee benefits Post employment benefits Other long term benefits Directors fees & salary, including short-term leave Incentive bonus Nonmonetary bonus reportable fringe benefits Superannuation contributions (incl. salary sacrifice superannuation payments) Directors retiring allowance Long service leave Benefits paid for commencing or ceasing to hold this Year ended 30 June 2014 Graeme (Sandy) Grant 4, Jack Diamond 5,810 Paul Faure 7, Michael Migro 6, Linda Rubinstein 7, Cath Bowtell 5, Robbie Campo 3 4,030 18,080 Nil 3,850 4 Ned Meehan 29,060 4,500 3,670 Andrew 25,850 4,320 3,950

4 David Vernon 41,220 6,750 6, Year ended 30 June 2013 Graeme (Sandy) Grant 4, Tony Beck 5 Jack Diamond 10,340 Paul Faure 7, Michael Migro 7, Gemma 5,950 Pinnell 6 Linda Rubinstein , Ned Meehan 26,300 4,760 3,390 Andrew 25,580 2,260 2,940 25,580 David Vernon 38,690 6,300 5,040 2, Directors remuneration is paid by IFS for multiple directorships across the IFS Group of companies. Remuneration disclosed represents an estimation of the proportional cost associated with the IRIS Superannuation Fund. 2. Executives remuneration is paid by IFS for activities undertaken across the IFS Group of companies. Remuneration disclosed represents an estimation of the proportional cost associated with the IRIS Superannation Fund. 3. Director fees were paid to the employer of the Director, Industry Super Australia Pty Ltd and not to the Director personally. 4. Resigned September Director was not paid fees for this role. 6. Director fees were paid to the employer of the Director, ACTU Member Connect and not to the Director personally.

5 Short term incentive bonuses The short-term incentive bonuses which were paid to each Executive Officer in the financial years ended 30 June 2013 and 30 June 2014 are set out below: Name 2014 Incentive bonus (inclusive of a superannuation payment) Nil Financial year paid Financial year which the payment relates to % of incentive that was paid/ will be payable Ned Meehan 4, % 4,500 Andrew 4, % 4,320 David Vernon 6, % 6, Nil Ned Meehan 4, % 4,760 Andrew 2, % 2,260 David Vernon 6, % 6,300 %o of incentive bonus that was forfeited The objectives of the short term incentive bonus scheme are to: Reinforce a performance culture in SMI Demonstrate a clear relationship between performance and remuneration Support the long term objectives of the operation of the Fund for which SMI is the Trustee, and Support the risk management framework of the Trustee. Key performance measures are set and reviewed annually for each employee and are aligned to the companies strategic plan. To be eligible to participate and receive a short term incentive an Executive Officer must have commenced employment after the 31 March in the year of review, have achieved or exceeded the performance measures set for the year and be employed at the time the incentive is paid. The short term incentive is discretionary and needs to be approved by the Board. Termination or commencement benefits There have been no termination benefits paid to Executive Officers for the financial year ended 30 June 2013 or 30 June There have been no payments made to an Executive Officer for the taking up of their for the financial year ended 30 June 2013 or 30 June 2014.