Barclays 2008 Annual Report Download - page 181

Barclays PLC Annual Report 2008 179
Performance Linked Remuneration
Each element of remuneration is important and has a specific role in
achieving the aims of the remuneration policy. The combined potential
remuneration from annual performance bonus and PSP outweighs the
other elements, and is subject to personal and Group performance,
thereby placing the majority of potential remuneration at risk.
Table 8 shows the average proportions of fixed and variable
pay over the last three years.
Table 8: Variable remuneration average over the last three years
(or since joining)
Variable
Fixed Cash Shares
Executive Directors
John Varley 57%19%24%
Robert E Diamond Jr 2%39%59%
Chris Lucas 38%12%49%
Frits Seegers 22%25%53%
Service Contracts
The Group has service contracts with its executive Directors which
do not have a fixed term but provide for a notice period from the Group
of 12 months and normally for retirement at age 65. Executive Directors’
contracts allow for termination with contractual notice from the Group
or, in the alternative, termination by way of payment in lieu of notice (in
phased instalments) which are subject to contractual mitigation. In the
event of gross misconduct, neither notice nor a payment in lieu of notice
will be given.
The Committee’s approach when considering payments in the event
of termination is to take account of the individual circumstances including
the reason for termination, contractual obligations and share and pension
plan rules.
All executive Directors are standing for re-election at the 2009 AGM –
see page 155.
Other Directorships
The executive Directors hold directorships in the organisations and
receive the fees shown in Table 10.
2
Governance
Table 9: Contract terms
Effective date Notice period
of contract from the Company Potential compensation for loss of office
Executive Directors
John Varley 1st September 2004 12 months 12 months base salary, bonus and
continuation of medical and pension
benefits whilst an employee
Robert E Diamond Jr 1st June 2005 12 months 12 months base salary, bonus and
continuation of medical and pension
benefits whilst an employee
Chris Lucas 1st April 2007 12 months 12 months base salary, bonus equivalent
to the average of the previous three
years up to 100%of base salary and
continuation of medical and pension
benefits whilst an employee
Frits Seegers 7th June 2006 12 months 12 months base salary, bonus and
continuation of medical and pension
benefits whilst an employee
Table 10: Other directorships held by the executive Directors and fees retained
2008 2007
Fees Fees
Director Organisation Fees retained Fees retained
John Varley British Grolux Investments Limited £7,788 £7,788 £7,613 £7,613
AstraZeneca plc £83,333 £83,333 £56,486 £56,486
International Advisory Panel of the Monetary Authority of Singapore US$0 US$0 US$10,000 US$10,000
Robert E Diamond Jr Old Vic Productions plc £0 £0 £0 £0
Frits Seegers Absa Group Limited and Absa Bank Limited £26,807 £0 £33,363 £0
Chris Lucas –––––