Variable Salary Part (VSP)
VSP may be offered to selected managers and specialists to reward strong performance and to recruit, motivate and retain employees with strong performance within Nordea Group. VSP must be transparent and have predefined success criteria with clear weightings. A VSP must include financial and non-financial success criteria based on Nordea Group KPIs decided annually by CEO. In the event of weak or negative overall Nordea Group results, VSP outcomes can be adjusted downwards at the discretion of the CEO.
A VSP agreement does not exceed a maximum outcome of 25% of annual fixed salary, except for very few managers and key specialists within specific areas, where the amount can be a maximum of 50% of annual fixed salary. Responsible GEM member may in extraordinary cases approve a VSP agreement exceeding 50% of annual fixed salary.
Nordea adheres to the Grandparent principle when enrolling employees to any VSP scheme and approving the outcome. Nordea has introduced deferral programmes for the staff in the risk analysis defined as Identified Staff.
Source: Annual Report 2012