Reward principles
The remuneration of members of the Board is decided by the Annual General Meeting (AGM) on the basis of a proposal made by the Nomination and Compensation Committee. In determining these remunerations, the Committee takes account of the Board members’responsibilities and obligations towards the company. Furthermore, the Committee compares the Board remunerations to those paid by other companies of the same size (sales) that operate in comparable business environment.
Cargotec's employee reward principles are based on corporate strategy and mutually agreed values. The purpose of rewarding is to support the achievement of the company's short and long-term goals. Cargotec implements a total reward approach. The key principles of rewarding and reward area development are recognition and competitiveness as well as fairness and legality. In line with its "Global presence - local service" value, Cargotec's country organisations observe company's global reward strategy. This strategy is developed and its structure maintained at corporate level.
In addition to the base salary and fringe benefits, salary components that can be measured in money may include short-term bonuses. The variable salary component is based on the performance of the individual, team and organisation, guided by the core value "Working together". Cargotec's third value, "Sustainable performance", reflects its responsible, long-term operations. In addition to monetary remunerations, bonuses and benefits, the company invests in human resources and competence development as well as supporting personal career development.