[46] Remuneration of the Executive Board and Supervisory Board
Executive Board
Responsibilities
The responsibilities of the members of the Executive Board are disclosed in the corporate governance report.
Remuneration
The remuneration paid to the Executive Board comprises a fixed salary and non-cash benefits, pension entitlements and performance-related components. The variable performance-related components comprise an annually recurring component linked to business performance and a multi-year performance-related component in the form of the KION performance share plan (see also note [45]). The pension entitlements consist of retirement, invalidity and surviving dependants’ benefits.
The total remuneration of the members of the Executive Board pursuant to IFRS is shown in > TABLE 123.
in € million |
2019 |
2018 |
|---|---|---|
Non-performance-related components |
4.5 |
4.5 |
Performance-related components |
3.6 |
2.1 |
Termination benefits |
4.8 |
– |
Total short-term remuneration |
12.9 |
6.5 |
Share-based payments |
4.1 |
–1.8 |
Post-employment benefits |
1.3 |
1.0 |
Total long-term remuneration |
5.4 |
–0.8 |
Total remuneration (IFRS) |
18.3 |
5.7 |
Under section 314 of the German Commercial Code (HGB), disclosure of the expense for share-based payments is not required. Rather, the payments must be included in the Executive Board members’ remuneration for the year in which they are paid on the basis of the fair value at the individual grant dates. The fair value of the share-based payments at their individual grant dates, including tax equalisation, amounted to €5.7 million (2018: €5.5 million). Furthermore, disclosure of the current service cost (€1.3 million; 2018: €1.0 million) is not required, nor is disclosure of the termination benefits (€4.8 million). On this basis, the total remuneration of the members of the Executive Board pursuant to section 314 HGB came to €13.8 million (2018: €12.0 million).
As in the previous year, no loans or advances were made to members of the Executive Board in 2019. The present value of the defined benefit obligation in respect of Executive Board members as at 31 December 2019 was €10.9 million (2018: €8.3 million).
The total remuneration paid to former members of the Executive Board in 2019 amounted to €0.3 million (2018: €0.3 million). Pension entitlements of former members of the Executive Board or their surviving dependants amounting to €11.7 million (2018: €10.5 million) were recognised in accordance with IFRS.
Further details of Executive Board remuneration, including the individual amounts for each member, can be found in the remuneration report within the combined management report.
Supervisory Board
The total remuneration paid to the members of the Supervisory Board for the performance of their tasks at the parent company and subsidiaries in 2019 amounted to €1.5 million (2018: €1.5 million). There were no loans or advances to members of the Supervisory Board in 2019. Members of the Supervisory Board also received short-term employee benefits of €0.8 million for employee services (2018: €0.7 million).
Further details of Supervisory Board remuneration, including the individual amounts for each member, can be found in the remuneration report within the combined management report.
The total remuneration of the members of the Executive Board and Supervisory Board came to €19.8 million (2018: €7.2 million).