Page 19 - 2021 NZPM Annual Report
P. 19
REMUNERATION COMMITTEE • A Total Fixed Remuneration (TFR) component that is set
annually to reflect the current size and complexity of the
Highlights business and a range of external market factors; and
• An at-risk Short-Term Incentive (STI) component that is set
Reviewed the executives total fixed remuneration and assessed annually at the board’s discretion and is
designed to reward each executive for delivering NZPM’s
Reset the executives short-term and long-term near term business objectives and the successful execution
incentives of key strategic initiatives for the respective financial year;
and
Implemented a new executive Incentive Scheme for
the March 2022 year • An at-risk Long-Term Incentive (LTI) component that is
designed to reward Executives for delivering performance
Reviewed directors fees for consideration at the
Annual Meeting and outcomes consistent with NZPM’s long term strategic
goals. LTI allocations are made annually at the board’s
discretion and measured over a rolling three-year period.
Members
M Whitehead (Committee Chair), J DeBernardo, K Meads Remuneration setting
Executive remuneration is normally set at the 1st of April
Overview each year to align with the strategic and financial objectives
The role of the Remuneration Committee is to assist the that NZPM has developed and set for the forthcoming
board in fulfilling its commitment to set and review the financial year. Due to the outbreak of the pandemic in
remuneration policies and practices of the group, to review March 2020, the review of executive TFR was deferred
the remuneration of all directors and executives annually, and until November, when the committee sought advice from
to make recommendations for the appointment or dismissal Strategic Pay, and reviewed and set the executives’ TFR
of executives. component in accordance with that advice. The Strategic Pay
recommendations included an up-to-date assessment of the
The committee is appointed by the board and comprises a business, and the role changes in the executive team that had
minimum of three directors. occurred in November.
Meetings The committee also reviewed the STI and LTI components
The committee met six times during the financial year by for the executives remuneration to reflect the changes that
audio-visual means, and outside of those meetings the occurred in November. The STI and LTI components were
committee met and communicated with the executive team developed and set in accordance with the existing executive
and a number of external advisors including Strategic Pay incentive scheme structure that was developed for NZPM by
and PwC to receive advice on both director and executive PwC.
remuneration.
The amount of total Executive remuneration paid and the
percentage of each component of total remuneration paid
Executive oversight
At the start of the financial year the NZPM Executive Team are set out in the following diagrams:
comprised the General Managers (GMs) of Metrix and
Plumbing World and the Chief Financial Officer (CFO) of Total executive remuneration paid ($’000)
NZPM. Following a restructure of the executive team in
November 2020, Metrix GM Garry Ivill left the business, and TFR 1,242
Plumbing World GM Rob Kidd was appointed to the role of 1,030
Chief Executive Officer (CEO) for NZPM. The NZPM Executive
Team now comprises Rob Kidd (CEO) and Brett Cruickshank 336
(CFO). STI 361
Executive remuneration 216
The remuneration of each Executive is determined by the LTI 107
board taking into consideration market levels of pay, the
scope and complexity of each position, and the financial, 2021 2020
operational and strategic objectives of the business. The
remuneration of each executive comprises three specific
components:
2021 Annual Report 17