Group Management Board

Group Management Board's salaries, remuneration and other financial benefits in 2016

Based on the Remuneration Committee's preparatory work, Kesko's Board makes decisions on the personal compensation, other financial benefits, the performance bonus scheme criteria and the performance bonuses paid to the Group Management Board members responsible for lines of business. As for the other Group Management Board members, Kesko's Board makes decisions on their performance bonus principles. The President and CEO makes decisions on the compensation and other financial benefits of the Group Management Board members other than those responsible for lines of business within the limits set by the Chair of the Board's Remuneration Committee.

The salaries, fringe benefits and performance bonuses, as well as other financial benefits paid to the Group Management Board in 2015–2016 are presented in the following tables.




If the Company discharges a member of the Group Management Board, he/she is paid, in addition to the 6–12 months’ salary for the period of notice, a separate non-recurrent termination benefit corresponding to his/her 6–12 months’ fixed monetary salary and fringe benefits (a total of 12–24 x the monetary salary of the month of notice + fringe benefits). If the person resigns, he/she is entitled to the salary for the period of notice.

Retirement benefits in 2016

The statutory pension provision of the members of the Group Management Board is provided through a pension insurance company. In 2016, four Group Management Board members were members of Kesko Pension Fund’s department A, closed in 1998, and their supplementary pensions are determined based on its rules and their personal service contracts. Their supplementary pensions are based on a defined benefit plan. The retirement benefits of the other Group Management Board members were determined based on the general provisions applicable to employees’ pensions in Finland (TyEL, the Employees’ Pensions Act). The retirement benefits of President and CEO Helander are reported in more detail in the section on him. Kesko has not paid pension insurance contributions incurred on executives’ memberships of Kesko Pension Fund for several years, nor in 2016, as the Fund’s investment earnings covered the payable supplementary pensions and changes in the pension liability.

In its meeting in December 2016, Kesko’s Board of Directors made a decision to provide a defined contribution supplementary pension for those Group Management Board members who are not members of Kesko Pension Fund. The defined contribution supplementary pension took effect at the beginning of 2017.   


Further information

As a result of the Market Abuse Regulation ((EU) N:o 596/2014, ”MAR”) that entered into force on 3 July 2016, the information on the Shareholdings of public insiders pages is not updated after 3 July 2016 and will be removed from the link referred to above on 2 July 2017. 

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