Performance-linked directors’ compensation tied to dividends
First written in FY2020. 1 of 4 entries say "Advanced", first in FY2022. Latest entry: FY2024.
No other company in this theme has enough history to compare yet.
- FY2024RestatedAnnual report
「As a result, the Company decided not to pay executive bonuses to 6 directors, excluding outside directors, in accordance with its director compensation policy.」
The Company continued its system of making dividend payments a condition for performance-based compensation and did not pay executive bonuses because of the net loss and the absence of dividend payments. - FY2023SoftenedAnnual report
「Regarding the activities of the Board of Directors and the Nomination and Compensation Committee in determining the amount of executive compensation and other remuneration for the fiscal year, the Company assessed the current compensation of directors and organised its approach, conducted a comprehensive review of the structure of monthly and performance-based compensation, and discussed the appropriate level of total and individual compensation.」
While reviewing the performance-based compensation system, the Company decided not to pay executive bonuses for the fiscal year because of a net loss and the absence of dividend payments. - FY2022AdvancedAnnual report
「As a result, the Company paid executive bonuses of ¥62 million to 6 directors, excluding outside directors, and ¥8 million to 1 audit & supervisory board member, excluding outside audit & supervisory board members.」
Under the performance-based compensation scheme linked to dividends, the Company paid ¥62 million to directors and ¥8 million to audit & supervisory board members during the fiscal year. - FY2020First statedAnnual report
「The metric for performance-based compensation is dividends from surplus. This metric was selected because the Company targets a consolidated dividend payout ratio of 30% and pays the compensation each year in line with business performance.」
The Company described its approach to performance-based compensation linked to dividends from surplus and stated that it cancelled the payment of performance-based compensation for the fiscal year because of uncertainty about the following fiscal year resulting from the spread of the pandemic.