The basic internal regulation regard of remuneration policy is the Collective Labour Agreement (‘Zakładowy Układ Zbiorowy Pracy’ - ZUZP) concluded with the company trade union organisations on 28 March 1994 (with subsequent amendments), under which employees of the Bank receive the following remuneration components:

• the base remuneration,
• additional remuneration for working overtime, as well as under conditions which are especially onerous and detrimental to health,
• bonuses and awards for special achievements in professional work.

Base salaries and additional benefits granted to employees are formed on the basis of job grading (grading categories assigned to specific organisational positions) and analysis of market remuneration in the banking sector. Depending on the size of employment remuneration policy is defined in the rules of remuneration or in contracts of employment or only in contracts of employment. Additionally, the Collective agreement concluded with Committee of Trade Union functions in KREDOBANK SA. In 2015 the new deal for years 2015-2017 was reached.

Significant changes in remuneration policy over last reporting period

2015 saw introduction of the adaptation of the incentive system MRT (Material Risk Takers- board members and key managers with a high impact on the risk profile of the bank) to the requirements of CRD IV, in particular distinguished list of MRT based on quantitative and qualitative criteria of Regulation No. 604/2014.

In other parts of the employees’ bonus system of the Bank a transformation of the premium PPI (Bonus Program Individual) in PPBiz (Bonus Program Business) was conducted, so that the possibility of granting and accounting team business goals was created.