Remuneration Policies
The remuneration policy of Discovery Metals has been designed to align director objectives with shareholder and business objects by providing a fixed remuneration component and offering specific long-term incentives. The Board of Discovery Metals believes the remuneration policy to be appropriate and effective in its ability to attract and retain the best executives and directors to run and manage the consolidated entity as well as create goal congruence between directors and shareholders.
The Board’s policy for determining the nature and amount of remuneration for Board members is as follows:
The remuneration policy, setting the terms and conditions for the executive director was developed by the Board. All executives receive a base salary (which is based on factors such as length of service and experience), superannuation, options and incentives. The Board reviews executive packages annually by reference to the consolidated entity’s performance, executive performance and comparable information from industry sectors and other listed companies in similar industries.
The Board policy is to remunerate non-executive directors at market rates for comparable companies for time, commitment and responsibilities. The Board determines payments to the non executive directors and reviews their remuneration annually, based on market practice, duties and accountability. Independent external advice is sought when required. The maximum aggregate amount of fees that can be paid to non-executive directors is subject to approval by shareholders at the Annual General Meeting. Fees for non-executive directors are not linked to the performance of the consolidated entity. However, to align directors’ interest with shareholder interests, the directors are encouraged to hold shares in Discovery Metals.
The Company currently has no performance based remuneration component built into director and executive remuneration packages.
