Remuneration policy 2021

International Remuneration and Nomination policy 2021

The International Remuneration and Nomination policy is based on the principle of human dignity and aims to enhance social coherence within the organisation. The policy incorporates De Nederlandsche Bank Regulation on Sound Remuneration Policies, European Banking Authority (EBA) Guidelines on sound remuneration, EBA Guidelines on remuneration of sales staff, the EU Sustainability Financial Disclosure Regulation (SFDR) and GRI standards for sustainability reporting. In our view, remuneration enables co-workers to earn a decent living enabling them to contribute to the organisation and society at large. Triodos Bank believes in the intrinsic motivation of its co-workers to contribute to our mission and to work according to our corporate values. The richness of the contribution of each co-worker cannot be translated into a linear, financial incentive.

EBA guidelines on gender pay have been published in 2021. Triodos Bank will perform an in-depth gender pay gap analysis in 2022.

Triodos Bank operates in the financial sector. Therefore, its remuneration practice needs to be within the scope of what is expected in the financial sector to allow for a healthy inflow and outflow of co-workers. At the same time, Triodos Bank maintains a relatively low ratio between the lower and higher level of salaries paid. Variable components are modest and discretionary and are not an incentive to favour the co-workers’ or the bank’s own interest to the detriment of Triodos Bank’s customers. This all contributes to a strong sense of being jointly responsible for realising the mission of Triodos Bank.

A revised International Remuneration and Nomination policy was approved by the Supervisory Board on 12 November 2021.

The remuneration paid to the members of the Executive Board is set by the Supervisory Board upon advice of the Remuneration Committee. The remuneration policy for the Executive Board is in accordance with the International Remuneration and Nomination policy.

Key elements of Triodos Bank's International Remuneration and Nomination policy are:

  • Triodos Bank does not offer bonus or share option schemes to members of the Executive Board, the Supervisory Board, the Board of SAAT or co-workers. Financial incentives are not considered an appropriate way to motivate and reward co-workers in a values-based bank. In addition, sustainability is by its very nature the result of a combined effort by team members aimed at both the short and long term.

  • Triodos Bank may provide individual tokens of appreciation. These are limited and decided discretionally. They are restricted to a maximum one month's salary with a maximum of EUR 10,000 gross a year. These contributions are for extraordinary achievements and are at the discretion of management after consultation with Human Resources. Tokens of appreciation are not based on preset targets and are always offered post factum. The tokens of appreciation are subject to clawback regulations. Members of the Executive Board are excluded from these awards. More information on the conditions regarding granting of tokens of appreciation can be found in the extract of the International Nomination and Remuneration Policy as available on the website.

  • An annual collective token of appreciation can be paid for the overall achievements and contribution of all co-workers. This amount, with a maximum of EUR 500 gross per person, is the same for all co-workers, whether they work full time or part time, and awarded pro rata for those not in service throughout the whole year. Members of the Executive Board refrain from this award. For 2021, no collective end-of-year token of appreciation was awarded.

  • Triodos Bank provides a pension plan. Each country has a Collective Pension policy for all its co-workers if that is appropriate for the local circumstances. If there’s no local policy, individual arrangements are made in the context of the labour contract. Under no circumstances are pension rights used to award specific achievements.

  • Severance payments are in line with the principles of the International Remuneration and Nomination policy and should never reward failure or misconduct. Severance payments to members of the Executive Board do not exceed one year’s salary, in line with the DNB and EBA guidelines on sound remuneration. Severance payments to other co-workers do not exceed one year’s salary unless local legislation and/or generally accepted norms require otherwise.

More details on the Triodos Bank remuneration policy are available on the website.

Fair remuneration

Triodos Bank believes people should be properly and appropriately rewarded for their work. Pay is an important element of this. Remuneration within Triodos Bank is neutral for all co-workers, irrespective of gender, ethnic background, age, sexual orientation or distance to the labour market.

To provide a clear insight into remuneration at Triodos Bank we report the ratio of the highest full-time salary to the median full-time salary. The ratio of the highest full-time salary to the median full-time salary was 5.2 in 2021 (2020: 5.4). This ratio is also reported in the Key Figures section at the start of this Annual Report in accordance with GRI methodology. It is reviewed and discussed within the Executive Board and with the Supervisory Board in light of developments inside and outside the organisation.

Triodos Bank seeks a healthy balance between external developments (competition and tensions in the labour market, balanced inflow and outflow of co-workers) and internal consistency. Maintaining this balance presents challenges as the business evolves, so the organisation has defined a bandwidth as a guiding principle. For the ratio of highest to median pay this stands at seven.

Remuneration of the members of the Executive Board is focused on long-term value and takes into account the internal pay ratios within the company. For 2022, the Supervisory Board has decided to refrain from any salary increase for members of the Executive Board.

Remuneration of the Executive Board in 2021

The remuneration paid to the members of the Executive Board is as follows:

2021

Fixed salary expenses

Pension expenses

Pension allowance for salary above EUR 112.189

Private use company car1

Social expenses

Severance payment

Total

Jeroen Rijpkema, Chair2

240

22

27

3

12

-

304

Peter Blom, Chair3

160

18

32

-

7

-

217

André Haag

250

14

24

-

12

-

300

Carla van der Weerdt

257

25

25

4

12

-

323

Jacco Minnaar4

58

5

5

1

3

-

72

Nico Kronemeijer5

56

7

4

2

2

-

71

Jellie Banga6

110

8

11

2

5

264

400

Total

1,131

99

128

12

53

264

1,687

1

This concerns a benefit in kind.

2

The Executive Board membership for Jeroen Rijpkema commenced on 21 May 2021 and the amount of 2021 includes his compensation earned from 1 April 2021 until 31 December 2021.

3

The Executive Board membership for Peter Blom ended on 21 May 2021 and the amount of 2021 includes his compensation earned until then.

4

The Executive Board membership for Jacco Minnaar commenced on 1 October 2021 and the amount of 2021 includes his compensation earned in the capacity as a Board Member of Triodos Bank N.V. from 1 October 2021 until 31 December 2021.

5

The Executive Board membership for Nico Kronemeijer commenced on 1 October 2021 and the amount of 2021 includes his compensation earned in the capacity as a Board Member of Triodos Bank N.V. from 1 October 2021 until 31 December 2021.

6

In consultation with the Supervisory Board, Jellie Banga stepped down from her position as a Member of the Executive Board of Triodos Bank N.V. at 1 May 2021. The remuneration paid includes her compensation earned until then. A severance payment was granted in 2021. This is in line with applicable regulations and is paid out in 2021.

2020

Fixed salary expenses

Pension expenses

Pension allowance for salary above EUR 110.111

Private use company car1

Social expenses

Severance payment

Other emoluments2

Total

Peter Blom, Chair3

320

33

59

-

12

320

-

744

Andre Haag

250

14

24

-

12

-

38

338

Jellie Banga

264

19

27

4

12

-

-

326

Carla van der Weerdt

257

24

26

-

12

-

-

319

Total

1,091

90

136

4

48

320

38

1,727

1

This concerns a benefit in kind.

2

The other emoluments relate to costs associated with relocation to The Netherlands. This is a one-off payment.

3

In consultation with the Supervisory Board, Peter Blom stepped down from his position as a Member of the Executive Board of Triodos Bank N.V. at the AGM 2021. A severance payment of 100% of his yearly salary was granted in 2020. This is in line with applicable regulations and is paid out in 2021.

Other emoluments of the Executive Board:

 

2021

2020

Andre Haag

-

38

The other emoluments relate to costs associated with relocation to the Netherlands. This is a one-off payment.

The table below provides the loans that have been granted to the members of the Executive Board:

 

2021

2021

2021

2020

2020

2020

 

Amount

Average

 

Amount

Average

 

 

outstanding

interest rate

Repayments

outstanding

interest rate

Repayments

Jellie Banga

 

 

 

421

1.7%

12

The table presents the loans and advances provided to Executive Board members that were outstanding on 31 December 2021 and 2020. Since Jellie Banga was no longer an Executive Board member on 31 December 2021, there is no 2021 information included for her. No other loans, advances or guarantees have been granted to members of the Executive Board, Supervisory Board members or members of the Board of SAAT. For reasons of principle, no share option scheme is offered to members of the Executive Board, Supervisory Board members or members of the Board of SAAT.

Development of the Executive Board remuneration, company performance and co-worker remuneration

The table below shows the annual change of compensation of members of the Executive Board, of the performance of the company, and of average remuneration on a full-time equivalent basis of co-workers of Triodos Bank other than members of the Executive Board over the five most recent financial years. The remuneration of members of the Executive Board and the remuneration of co-workers is not linked to company performance. This has a limited effect on the correlation with the company performance.

 

2017

2017 vs 2018

2018

2018 vs 2019

2019

2019 vs 2020

2020

2020 vs 2021

2021

 

Amount

 

Amount

 

Amount

 

Amount

 

Amount

Executive Board remuneration1

 

 

 

 

 

 

 

 

 

Jeroen Rijpkema2

 

 

 

 

 

 

 

 

240

Peter Blom3

300

1%

304

3%

312

3%

320

n/a

160

André Haag4

 

 

 

 

 

 

250

0%

250

Carla van der Weerdt5

 

 

 

 

140

n/a

257

0%

257

Jacco Minnaar6

 

 

 

 

 

 

 

 

58

Nico Kronemeijer7

 

 

 

 

 

 

 

 

56

Jellie Banga8

240

2%

244

2%

250

6%

264

n/a

110

Pierre Aeby9

253

2%

257

n/a

101

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Company performance10

 

 

 

 

 

 

 

 

 

Net profit

34,669

1%

35,187

11%

39,005

-30%

27,203

87%

50,759

Return on equity in %

3.9%

-14%

3.3%

1%

3.4%

-32%

2.3%

81%

4.1%

Operating expenses/total income

79%

0%

79%

1%

80%

0%

80%

0%

80%

 

 

 

 

 

 

 

 

 

 

Average co-worker renumeration11

58

3%

60

2%

61

3%

63

2%

64

1

The remuneration consists of the fixed salary expenses.

2

The Executive Board membership for Jeroen Rijpkema commenced on 21 May 2021 and the amount of 2021 includes his compensation earned from 1 April 2021 until 31 December 2021.

3

The Executive Board membership for Peter Blom ended on 21 May 2021 and the amount of 2021 includes his compensation earned until then. Therefore, no percentage is included for 2020 vs 2021 as the high decrease is caused by the fact of leaving the company.

4

The Executive Board membership for André Haag commenced on 1 January 2020.

5

The Executive Board membership for Carla van der Weerdt commenced on 18 May 2019 and the amount of 2019 includes her compensation earned from 18 May 2019 until 31 December 2019. Therefore, no percentage is included for 2019 vs 2020 as the high increase is caused by the fact of joining the company. The increase of 2020 vs 2021 is caused by “private use company car” in 2021, no actual salary increase was granted.

6

The Executive Board membership for Jacco Minnaar commenced on 1 October 2021 and the amount of 2021 includes his compensation earned in the capacity as a Board Member of Triodos Bank N.V. from 1 October 2021 until 31 December 2021.

7

The Executive Board membership for Nico Kronemeijer commenced on 1 October 2021 and the amount of 2021 includes his compensation earned in the capacity as a Board Member of Triodos Bank N.V. from 1 October 2021 until 31 December 2021.

8

The Executive Board membership for Jellie Banga ended on 1 May 2021 and the amount of 2021 includes her compensation earned until then. Therefore, no percentage is included for 2020 vs 2021 as the high decrease is caused by the fact of leaving the company.

9

The Executive Board membership for Pierre Aeby ended on 1 May 2019 and the amount of 2019 includes his compensation earned until then. Therefore, no percentage is included for 2018 vs 2019 as the high decrease is caused by the fact of leaving the company.

10

IFRS-EU was adopted as of 1 January 2018 and therefore the company performance of 2017 is reported under Dutch GAAP.

11

The renumeration consists of the fixed salary expenses.

Remuneration of the Supervisory Board in 2021

Remuneration paid to Supervisory Board is set at the Annual General Meeting and the Annual Meeting of Depository Receipt holders.

Remuneration paid to the Supervisory Board:

Amounts in EUR

2021

2021

2021

2021

2020

 

Remuneration

Renumeration
Committees

Compensation
for travel time

Total

Total

Aart de Geus (Chair)

30,000

3,322

2,000

35,322

34,500

Fieke van der Lecq (Vice-Chair, until 22 May 2021)

7,817

2,806

-

10,624

24,500

Ernst-Jan Boers

20,000

6,000

1,000

27,000

27,000

Sebastien d'Hondt

20,000

5,000

11,000

36,000

37,000

Mike Nawas

20,000

3,308

1,000

24,308

25,000

Dineke Oldenhof

20,000

4,307

2,000

26,307

24,000

Susanne Hannestad (as per 28 September 2021)

5,205

1,301

5,000

11,507

-

Danielle Melis (as per 28 September 2021)

5,205

1,822

1,000

8,027

-

 

128,228

27,867

23,000

179,095

172,000

The following fees apply (per annum):

EUR 20,000 Member of the Supervisory Board

EUR 30,000 Chair of the Supervisory Board

EUR 5,000 Member of the Audit and Risk Committee

EUR 6,000 Chair of the Audit and Risk Committee

EUR 2,500 Chair Remuneration Committee

EUR 2,000 Member Remuneration Committee

EUR 2,500 Chair Nomination Committee

EUR 2,000 Member Nomination Committee

Supervisory Board members who travel to a meeting outside their home country receive EUR 1,000 per return travel (to a maximum of EUR 12,000 per annum) as compensation for travelling time.

Remuneration of the SAAT Board in 2021

The remuneration paid to members of the independent Foundation for the Administration of Triodos Bank Shares (SAAT) Board is set at the Annual General Meeting and the Annual Meeting of Depository Receipt holders.

Amounts in EUR

2021

2021

2021

2020

 

Remuneration

Compensation for travel time

Total

Total

Josephine de Zwaan (Chair)

10,000

-

10,000

10,000

Willem Lageweg (Vice-Chair) (until 28 September 2021)

5,226

-

5,226

7,000

Jolande Sap (Vice-Chair) (as per 29 June 2020)

7,000

-

7,000

-

Koen Schoors

7,000

3,000

10,000

8,000

Nikolai Keller (until 30 September 2020)

-

-

-

5,250

Mercedes Valcarel

7,000

2,000

9,000

7,000

Tarique Arsiwalla (as per 28 September 2021)

1,822

-

1,822

-

Roelien Ritsema van Eck (as per 28 September 2021)

1,822

1,000

2,822

3,500

 

39,870

6,000

45,870

40,750

The following fees apply (per annum):

EUR 7,000 Member of the Board of SAAT

EUR 10,000 Chair of the Board of SAAT

Board of SAAT members who travel to a meeting outside their home country receive EUR 1,000 per return travel (to a maximum of EUR 12,000 per annum) as compensation for travelling time.

Remuneration of Identified Staff and all co-workers

Remuneration of Identified Staff in 2021

As of 15 March 2021, Regulation (EU) 2021/637 has become applicable, implementing technical standards with regard to public disclosures by institutions of the information referred to in Titles II and III of Part Eight of Regulation (EU) No 575/2013 of the European Parliament and of the Council. Based on article 17 of this Regulation, new templates should be used on disclosures of remuneration policies to comply with article 450 of Regulation (EU) No 575/2013. Therefore, the Remuneration of Identified Staff table is no longer included in this remuneration report. For all information on remuneration of Identified Staff we refer to our Pillar 3 report which complies with the Commission Implementing Regulation (EU) 2021/637 article 17 disclosure of remuneration policies.

Ratio highest to median salary

 

Ratio highest to median salary1

 

2021

20202

2019

2018

2017

The Netherlands

4.5

4.6

4.6

4.8

4.7

Belgium

2.9

2.8

2.8

2.9

3

United Kingdom3

5.2

5.3

6

4.9

4.6

Spain

5.3

5.5

5.6

5.9

6

Germany

2.8

2.9

2.6

2.7

2.6

France4

n.a

n.a.

2.7

3.9

3.9

Total

5.2

5.4

5.6

5.6

5.7

1

Ratio of the highest-paid co-worker to the median full-time salary of all co-workers (the median is defined excluding the maximum full-time salary in line with GRI Standards).

2

The figures published in the 2020 annual report have been updated because they included interns for the UK, in error. The ratio highest to median salary for the UK have been adjusted from 6.0 to 5.3 as a result. The overall ratio has been adjusted from 5.5 to 5.4 as a result

3

The ratio of the increase of the highest salary to the increase in the median salary grew substantially in 2019 in the United Kingdom. This is due to an increase in the salary of the Managing Director as a result of the conversion of the United Kingdom branch to a subsidiary. This change has a significant impact on the Managing Director’s responsibilities.

4

Ratio highest to median salary is 0.0 due to the closure of the France agency in 2020.

Ratio increase highest salary to increase median salary

 

Ratio increase highest salary to increase median salary1

 

2021

20202

2019

2018

2017

The Netherlands

0.0

0

0.5

0.5

0.4

Belgium

0.2

0

1.4

0.2

0

United Kingdom3

1.1

0

8.4

0.7

0.5

Spain

0.0

0

1.2

0.4

0.6

Germany

0.7

0

1.5

1.7

1

France4

n.a.

n.a.

0

0.6

0.2

Total

0.05

0

0.9

0.6

0.4

1

Ratio of percentage increase for the highest-paid co-worker to the median percentage increase for all co-workers (the median is defined excluding the increase of the maximum full-time salary in line with GRI Standards).

2

There have been no increases to the highest salaries on January 1, 2021 compared to January 1, 2020 in each country.

3

The ratio of the increase of the highest salary to the increase in the median salary grew substantially in 2019 in the United Kingdom. This is due to an increase in the salary of the Managing Director as a result of the conversion of the United Kingdom branch to a subsidiary. This change has a significant impact on the Managing Director’s responsibilities.

4

Ratio highest to median salary is 0.0 in 2019 since there have been no increase to the highest salary due to the anticipated closure of the France agency in 2020.

5

The total ratio increase highest salary to increase median salary in 2021 is 0,0, as there is no increase to the highest salary within Triodos Bank.