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Our remuneration practices meet the minimum related compliance requirements.
King III principle
Comply
Remuneration policies and practices are aligned to Company strategy and linked to individual
performance
Yes
Policies address a fair mix of fixed to variable remuneration
Yes
Incentives are based on stretched and verifiable targets related to both financial and non-
financial indicators
Yes
Both long and short-term incentives comprise more than one measure and measures are fairly
balanced
Yes
There is no automatic entitlement of incentive for both long and short-term incentive plans
Yes
There is no automatic entitlement to bonus or share-based payments on early termination of
employment
Yes
The value of incentives is significant relative to base pay. Participation in share schemes is
limited to management staff only
Yes
All strategic reward decisions are prepared and guided by our executive management team for approval by
the remuneration and human resources committee. This committee is delegated approval authority at various
levels with its roles and responsibilities listed below.
The remuneration and human resources committee
MTN’s remuneration and human resources (R&HR) committee is delegated responsibility by the board of
directors to make sound remuneration decisions that are aligned with the Company’s strategy and acceptable
governance principles.
In executing its duties, the committee consults external experts as and when necessary, although the
committee makes the final decision with regard to the interests of stakeholders. The committee ensures the
following:
•
Effective governance structures are implemented within the remuneration framework, supported by a strong
and fully compliant reward system.
•
Adequate and sound risk controls are implemented across the Group to mitigate any potentially negative
remuneration exposure.
•
The pay structures for executive members and that of all other employees are aligned with the market and
internal pay policies, taking into account the availability of skills in the market as well as executive competency
levels.
•
The Company’s pay-for-performance objective is effective and justified in accordance with set performance
criteria.
The committee constantly reviews the remuneration strategy to ensure that its policies and principles remain
applicable to the dynamics of the business and in accordance with legislative stipulations.
Full details of the committee’s terms of reference and key focus for the year under review are outlined in the
corporate governance report on
G R
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MTN Group Limited
Integrated Report 2016
71
GOVERNANCE,
PEOPLE AND
REMUNERATION