2.2.2.2 Remuneration committee

The remuneration committee should make recommendations for the composition of executive remuneration, including pension rights (Mallin 2007: 129). Part of this proposal should be the costs and the structure of the payment that includes the fixed part, the contingent part, the part in options and shares, other variable components and pension rights (Financial Reporting Council 2010: 27). The proposal must be accompanied by performance criteria, peer companies to compare performance numbers with and other relative performance indicators (Mallin 2007: 129). The remuneration committee is also referred to as compensation committee.