APC 2014 Annual Report Download - page 149

CORPORATE GOVERNANCE
INTERESTS AND COMPENSATION OF GROUP SENIOR MANAGEMENT
The closed plan provides for a pension supplement of a maximum case of dismissal or termination, producing the same effects as
amount equal to 60%(1) of the difference between the average employee dismissal, after 55 years of age without restarting work
reference salary (i.e., the average of the basic salary and of the or for 2ndor 3rdcategory disability as defined by Social Security
performance incentives during three calendar years prior to without restarting work. In other cases, the new plan includes the
retirement) plus the total benefit amounts granted under external provisions of the closed plan, notably:
plans (compulsory and other plans, where applicable). The pension limiting the top-hat pension to 25% of the reference salary
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plus the additional pensions from defined-contribution plans may considering the pension paid under article83plans
not exceed 25% of the average reference salary. The closed plan implemented by the Group (unchanged from the closed plan);
includes, subject to conditions, a reversion right of 60% for the the right to a widow/widower’s pension for the surviving spouse;
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surviving spouse. Under the lifeanddisability section, an annuity
a spouse’s pension if a senior executive dies before retirement
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for the spouse is paid if the Senior Manager dies before the age of
age, which is, however, limited to rights acquired by the date of
retirement. In the event of disability occurring during work activities,
death;
the Senior Manager has a right to a pension supplement at the age
of sixty. pension supplement paid to a Senior Manager from the
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retirement date after disability occurring during work activities.
The new plan, implemented in 2012, is open to members of the
Executive Committee. It provides for the progressive acquisition of Group Senior Managers, who are not covered under the French
rights according to seniority of the Executive Committee, to which Social Security system, are covered by pension plans in line with
is then added, if applicable, rights acquired by virtue of seniority in local practices in their respective countries.
the Group. The progressive scale for acquiring rights is on average Executive directors no longer benefit from the defined benefit
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1.66% per year for newcomers to the Group, enabling them to top-hat pension plan (article 39). The board of directors of February
reach the maximum of the rights after 15 years' service. The new 18, 2015 removed this benefit (See pages295 to 297). However, it
plan is contingent upon completing a career in the company with maintained the life and disability coverage.
the same flexibility introduced by Social Security in 2004.
Therefore, conditional assurance of an income is maintained in
Compensation of members of the board of directors
This section is included in the Chairman's report to the Board for non-residents a supplementary share for each meeting of the
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board or committees they physically attend in the amount of:
Members of the board of directors EUR2,000 for residents of North America,
–
On April25, 2013, the Annual Shareholders’ Meeting set total
EUR1,000 for residents of Europe;
–
attendance fees at EUR1.3 million. The board of directors decided for the Chairman of the Audit Committee an additional fixed
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to allocate these fees as follows: share of EUR20,000;
for members of the board:a) for the non-voting members, a fixed share of EUR20,000,b)
unless they are co-opted to become director during the year,
a fixed share of EUR15,000 (prorated, where appropriate, for
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in which case they receive in their function as non-voting
any term that starts or ends during the year),
member the fees paid to board members for attending
a share of:
lmeetings of the board and its committees.
EUR6,000 for attending board meetings,
–
EUR4,000 for attending the meetings of the committees of
–
which they are members;
The maximum amount is defined as follows: 50% if the number of years of service is less than or equal to five years, plus 1% per year starting in (1)
the sixth year of service for Senior Manager status.
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2014 REGISTRATION DOCUMENT SCHNEIDER ELECTRIC