Sasol Integrated Report 2024 - Book - Page 143
INTRODUCTION
ABOUT SASOL
STRATEGIC OVERVIEW
BUSINESSES
ESG
REMUNERATION REPORT
DATA AND ASSURANCE / ADMINISTRATION
PART III: SECTION A – EXECUTIVE REMUNERATION POLICY (INCLUDING NEDs) continued
REMUNERATION – SECTION A
continued
EXECUTIVE REMUNERATION
NEDS
LTI
Policy
Equity- or cash-settled awards are granted annually, on appointment
and/or upon promotion, where the underlying value is tied to the
market value of a Sasol ordinary share for Southern African
participants or an American Depository Receipt (ADR) for international
participants, subject to vesting conditions.
Annual awards are made with reference to a percentage of fixed pay,
the employee’s performance over the preceding year, and the
organisation’s requirement for skills retention.
Vesting of awards is subject to the achievement of Corporate
Performance Targets (CPTs) and/or service criteria.
A split vesting period of three and five years applies to performance
shares. The balance of the annual award is granted in the form of
restricted shares with a cliff vesting period of five years.
Application
LTIs form an important part of our reward mix.
Target awards as well as the annual corporate performance targets are
reviewed annually to ensure ongoing market competitiveness as well
as alignment to strategic priorities over the medium to long term.
The maximum pay-out under LTIs is calculated at: No. of LTIs x CPT%
(0%–200%) x share price at the time of vesting.
The Committee considers the potential impact of windfall gains/
windfall losses at the vesting date.
Employees leaving Sasol’s service for reasons of dismissal, resignation
or mutually agreed separation will forfeit outstanding LTI awards.
Good leavers, referring to service termination for reasons of
retirement, retrenchment, ill-health retain outstanding awards but
vesting conditions remain in place.
MSR
Policy
The use of restricted shares supports the achievement of MSRs as well
as improved alignment with shareholders’ interests over the long term.
Targets, metrics and weightings are disclosed in the Implementation
Report and are reviewed annually for new awards.
Application
MSRs are applicable to all Executive Directors and Prescribed Officers
and are stated as a percentage of annual pensionable salary on the
appointment date, or as reviewed thereafter:
• President and CEO: 300%
• Group Chief Financial Officer: 200%
• Other Executive Directors and Prescribed Officers: 100%
Participants may sell or retain the vested shares once vesting
conditions and MSRs have been met.
The MSRs are linked to post-cessation holding requirements for
a period of 18 months post the service termination date.
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NEDs are not eligible to participate in the LTI Plan.
