Remuneration components
Remuneration to the members of the GLT consists of:
- Fixed base salary
- Short-term incentive plan (STIP), Nordea Incentive Plan (NIP) for GLT members
- Long-term incentive plan (LTIP)
- Pension costs
- Benefits
The actual paid amounts to GLT members in 2025 are outlined in the table below.
EUR | Fixed | STIP paid but | LTIP paid but | Benefits | Pension | STIP earned | LTIP earned |
|---|---|---|---|---|---|---|---|
Deputy Managing Director | 607,964 | 473,678 | 270,676 | 23,576 | 229,929 | 345,550 | 812,003 |
Other GLT members | 8,299,728 | 4,171,337 | 2,513,501 | 219,934 | 1,975,560 | 4,429,578 | 6,857,212 |
For more information about remuneration paid to the GLT members please refer to note G8 of Nordea’s Annual Report.
Fixed pay
Base salary and allowances (if any) paid in monthly instalments.
Nordea Incentive Plan for members of the GLT
The NIP 2025 for GLT members had predetermined targets at group, business area/group function and individual level, including financial and non-financial goals aligned to meeting Nordea’s 2025 strategic priorities.
The NIP 2025 had a one-year performance period. The outcome from NIP 2025 could not exceed 75% of fixed base salary except for the CRO and CCO with a maximum cap of 100%.
The outcomes from NIP 2025 will be paid out partly in cash and partly in shares over a five year period, and are subject to ex-post risk adjustment clauses (including malus and claw-back). 40% of the NIP 2025 outcome will be delivered in 2026. The remaining 60% will be paid out annually pro-rata over 5 years with 12% vesting each year. 50% of the NIP 2025 outcome is delivered in Nordea shares at each vesting event, which are further subject to 12-months’ retention.
Long-Term Incentive Programme
In 2025, the Board of Directors continued the Long-Term Incentive Programme 2025-2027 (LTIP) which includes most GLT members except for the CRO and the CCO. The main purpose of the LTIP is to further align the GLT’s interests with those of shareholders.
The LTIP has a three-year performance period.
The assessment of performance during the LTIP performance period will be based on the following performance criteria:
- Relative Total Shareholder Return relative to the STOXX Europe 600 Banks index (20%)
- Absolute Total Shareholder Return (20%)
- Absolute cumulative Earnings Per Share (40%)
- ESG scorecard (20%)
A risk adjustment underpin is included.
GLT members must hold a significant number of shares granted until the total value of the shareholding in Nordea corresponds to 100% of the gross annual fixed base salary. Such shares must be held until the end of the GLT membership.
Pension
In addition to fixed and variable remuneration, GLT members are in most cases subject to pension agreements offered in accordance with market practice in the country of which they are permanent residents. Hence, the pension agreements for GLT members vary according to local country practices.
Benefits
The levels of benefits are determined by what is considered fair in relation to general market practice, and primarily include car benefits, housing benefits, tax consultation and liability insurance.
Notice period and severance pay
GLT members have a notice period of 6 months and Nordea a notice period of 12 months. Entitlement to severance pay of up to 12 months’ salary is provided. A non-compete also applies.