Barclays 2013 Annual Report Download - page 96

Remuneration structure
Employees receive salary, pension and other benefits and are eligible to be considered for an annual bonus. Employees in some customer-facing
businesses participate in incentive plans including plans based on customer feedback and other measures of the quality of service they provide to
customers. This page provides further details of our employee remuneration structure. Some senior employees also receive Role Based Pay (RBP)
from 2014. The remuneration structure for employees is aligned with the remuneration structure for executive Directors set out in more detail in
the Directors’ remuneration policy section of this report.
Fixed remuneration
Salary  Salaries reflect individuals’ skills and experience and are reviewed annually in the context of annual performance assessment.
They are increased where justified by role change, increased responsibility or where justified by the latest available market
data. Salaries may also be increased in line with local statutory requirements and in line with union and works council
commitments.
Role
Based Pay
 As a response to CRD IV and to ensure Barclays remains appropriately competitive for global talent from 2014, a small number
of senior employees will receive a new class of fixed pay called RBP to recognise the breadth and depth of the role. Further
information on RBP can be found on page 95.
Pension
and
benefits
 The provision of a market competitive package of benefits is important to attracting and retaining the talented staff Barclays
needs to deliver Barclays’ strategy. A defined contribution pension scheme, the Barclays Pension Savings Plan, and a flexible
benefits scheme, ‘My Rewards’, enable employees to choose from a range of benefits including the level of their pension
contributions, life assurance and private health benefits, annual leave (with the ability to ‘buy’ and ‘sell’ subject to certain
parameters), and participation in Barclays ‘all employee’ share plans (HMRC approved for UK participants). The cost of
providing the benefits is defined and controlled. Following its launch in 2012 in the UK, ‘My Rewards’ will be rolled out globally
over the next few years.
Variable remuneration
Annual
bonus
 Annual bonuses reward and incentivise the achievement of Group, business and individual objectives
 The ability to recognise performance through variable remuneration enables the Group to control its cost base flexibly and to
react to events and market circumstances. Bonuses remain a key feature of remuneration practice in the highly competitive
and mobile market for talent in the financial services sector. The Committee is careful to control the proportion of variable to
fixed remuneration paid to individuals
 Bonus deferral levels are significantly in excess of PRA requirements
 For PRA Remuneration Code Staff (Code Staff ) the deferral rate is a minimum of 40% (for bonuses of no more than £500,000)
or 60% (for bonuses of more than £500,000)
 For non-Code Staff, bonuses over £65,000 are subject to a graduated level of deferral
 2013 bonuses awarded to Managing Directors in the Investment Bank are 100% deferred
 Deferred bonuses are generally split equally between deferred cash bonuses under the Cash Value Plan (CVP) and deferred
share bonuses under the Share Value Plan (SVP), each typically vesting in equal annual tranches over three years subject to
the rules of the plans and continued service
 Deferred bonuses are subject to malus provisions which enable the Committee to reduce the vesting level of deferred bonuses
(including to nil) at its discretion. Events which may lead the Committee to do this include, but are not limited to, employee
misconduct or a material failure of risk management.
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94 Barclays PLC Annual Report 2013
Remuneration report
Remuneration policy for all employees continued