Logitech 2015 Annual Report Download - page 87

Compensation Report for Fiscal Year 2015
77 | – Proxy Statement
2015 Annual General Meeting Invitation, Proxy Statement
officers. Under the plan, pre-tax contributions are
allocated to each participant’s individual account and
are then invested in selected investment alternatives
according to the participants’ directions.
In compliance with the Swiss federal pension law, we
maintain a Cash Balance pension plan for our employees
in Switzerland, including Mr. Stolk, with employee and
employer contributions which provides benefits in case
of retirement and death and disability due to sickness.
In addition, we provide other benefits to our executive
officers on the same basis as all of our full-time employees.
These benefits include health, dental and vision benefits,
health and dependent care flexible spending accounts,
short-term and long-term disability insurance, accidental
death and dismemberment insurance, and basic life
insurance coverage. We provide vacation and other
paid holidays to all employees, including our executive
officers. We also offer our employees the opportunity to
participate in the Logitech Employee Share Purchase
Plans.
We design our employee benefits programs to be
affordable and competitive in relation to the market, as
well as compliant with applicable laws and practices. We
adjust our employee benefits programs as needed based
on regular monitoring of applicable laws and practices,
the competitive market and our employees’ needs.
Deferred Compensation Plan
Eligible employees, including our executive officers
based in the United States, are also eligible to participate
in the Logitech Inc. Deferred Compensation Plan and a
predecessor plan, which are unfunded and unsecured
plans that allow employees of Logitech Inc., the Logitech
subsidiary in the United States, who earn more than a
threshold amount the opportunity to defer U.S. taxes on
up to 80% of their base salary and up to 90% of their
bonus or commission compensation.
Under the plan, compensation may be deferred until
termination of employment or other specified dates
chosen by the participants, and deferred amounts are
credited with earnings based on investment benchmarks
chosen by the participants from a number of mutual
funds selected by Logitech Inc.’s Deferred Compensation
Committee. The earnings credited to the participants are
intended to be funded solely by the plan investments.
Logitech does not make contributions to this plan.
Information regarding executive officer participation in
the deferred compensation plans can be found in the
Non-Qualified Deferred Compensation for Fiscal Year
2015 table and the accompanying narrative below.
Because the listed officers do not receive preferential
or above-market rates of return under the deferred
compensation plan, earnings under the plan are not
included in the Summary Compensation table, but are
included in the “Non-Qualified Deferred Compensation
Table” below.
Perquisites and Other Personal Benefits
Currently, we do not view perquisites or other personal
benefits as a significant component of our executive
compensation program. Accordingly, Logitech’s
executive officer benefit programs are substantially
the same as for all other eligible employees. All future
practices with respect to perquisites or other personal
benefits will be approved and subject to periodic review
by the Compensation Committee.