Executive compensation policy linked to dividends, retained earnings and employee bonuses
First written in FY2021. 1 of 2 entries say "Restated". Latest entry: FY2022.
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- FY2022RestatedAnnual report
「Within that ceiling, we set the upper limit for payments and make them fairly and appropriately, taking into comprehensive consideration the amount of dividends paid to shareholders, avoiding a material disparity from the number of bonus months paid to employees, and strengthening retained earnings. (a) The amount must not exceed a certain percentage of total dividends, namely 80%; (b) it must not exceed 25% of retained earnings for the current fiscal year, calculated as net income for the current fiscal year less total dividends; and (c) it must not exceed the number of bonus months paid to employees.」
The policy of linking executive compensation to the previous fiscal year’s performance, employee bonuses, dividends and retained earnings was reiterated, with conditions that it remain within 80% of total dividends, no more than 25% of retained earnings, and no more than the number of bonus months paid to employees. - FY2021First statedAnnual report
「An addition will be made to base compensation based on the previous fiscal year’s performance. The additional amount will be calculated as the monthly base compensation multiplied by the number of bonus months paid to employees. All of the following conditions and others must be met: (a) the amount must not exceed a certain percentage of total dividends, namely 80%; (b) it must not exceed 25% of retained earnings for the current fiscal year, calculated as net income for the current fiscal year less total dividends; and (c) it must not exceed the number of bonus months paid to employees.」
For executive compensation, a policy using the previous fiscal year’s performance, the number of bonus months for employees, total dividends and retained earnings in the calculation and setting of upper limits was presented independently for the first time.