IRemuneration This chapter describes the Group Remuneration Policy of Rabobank Group. 7 7.7 General principles for remuneration 7 7.2 Group Remuneration Policy Inhoudsopgave Voorwoord Bestuursverslag Corporate governance Consolidated Financial Statements Company Financial Statements Pillar 3 Rabobank Group has a meticulous, well-managed and sustainable remuneration policy which is in keeping with the strategy, the willingness to take risks, the cooperative objectives and the core values of the Rabobank. The remuneration policy is customer-orientated and takes into consideration the long-term interests of the bank, the international context of the markets in which Rabobank Group is active and also the general interest. This Group Remuneration Policy has been drawn up based on the bank's cooperative identity. As a cooperative bank, Rabobank is sailing its own - relatively moderate - course when it comes to defining pay levels. Our aim is to pay no more than the median level within the relevant market for established businesses and jobs, based on total reward. In general, variable pay within Rabobank makes up a relatively small proportion of total reward and is no longer existent for the majority of functions in the organisation. Nevertheless, Rabobank must be able to attract, retain, and motivate the right people with the right capabilities at the right time, leading to a (slightly) different choice of pay mix in some environments and markets. The key principles that are core to our remuneration policy have been included in ourVision on Remuneration.This vision applies across all Rabobank entities, including Rabobank and its member banks within the Netherlands, affiliates and businesses within the Netherlands and abroad. 11.2.1 Scope Building on the Vision on Remuneration, the Group Remuneration Policy applies to all business lines and subsidiary organisations of Rabobank Group, in the Netherlands and abroad.The Group Remuneration Policy underlines our striving fora meticulous, restrained and sustainable remuneration policy, and contains at least the minimum requirements to be satisfied in the area of a risk-mitigated remuneration policy under applicable national and international laws and regulations. Every year the Group Remuneration Policy is evaluated and adjusted. 11.2.2 Governance The remuneration policy describes the monitoring processes with regard to remuneration and the responsibility and competencies of the Supervisory Board of Rabobank, as the main supervisory body within the organisation. The Supervisory Board has the ultimate supervisory function with regard to the design and implementation of the Group Remuneration Policy and is responsible for its approval after adoption by the Executive Board. For any material exception of the Group Remuneration Policy, the approval of the Supervisory Board is mandatory.The Supervisory Board had 17 meetings in 2016, including extra meetings (plus 6 sessions for continuing professional education and several private sessions).The decisions ofthe Supervisory Board concerning remuneration are prepared by the HR Committee, a standing committee ofthe Supervisory Board. In performing its duties, the HR Committee is supported by the Rabobank Group Monitoring Committee (MC RG), which operates at Group level and in which the various monitoring functions (HR, Compliance, Control, Risk Management) are represented. To secure the proper implementation ofthe Group Remuneration Policy, including the involvement ofthe monitoring functions, Monitoring Committees also have been established at the level of group entities and subsidiaries. These Monitoring Committees report to the local Supervisory Boards, and to the MC RG. 11.2.3 Content The Group Remuneration Policy contains specific provisions for (1) all employees, (2) staff in monitoring functions and (3) Identified Staff. 71.2.3.1 Remuneration rules for all employees The remuneration of all employees are subject to a number of rules and prohibitions.Thus, for example, guaranteed bonuses are prohibited and there will be no reward for failure. 365 11. Remuneration

Rabobank Bronnenarchief

Jaarverslagen Rabobank | 2016 | | pagina 366