EBA欧洲银行-EBA-GL-2012-04-GL-4-on-remuneration-benchmarking-exercise-_24页_624kb

EBA Guidelines on the Remuneration Benchmarking Exercise Summary

Core Content

The EBA Guidelines on the Remuneration Benchmarking Exercise (EBA/GL/2012/4) were issued to support the implementation of CRD III, which mandates national competent authorities to collect and submit remuneration data from credit institutions and investment firms for benchmarking at the European level. The EBA aims to ensure consistency and comparability of this data across the EEA, enabling the identification of trends and differences in remuneration practices.

These guidelines are to be applied as soon as possible, and no later than two months after publication. The first data submission to the EBA was due by the end of December 2012, covering remuneration for the 2010 and 2011 performance years.

The guidelines are to be used in conjunction with the CEBS Guidelines on Remuneration Policies and Practices, which define key terms such as 'institutions', 'identified staff', and 'remuneration' types.

Main Points

1. Purpose and Legal Basis

• Purpose: To collect remuneration data for benchmarking at the Union level.
• Legal Basis: Article 22 of CRD III, as amended by CRD III, and Article 16 of the EBA Regulation (1093/2010).
• Scope: Applies to credit institutions and investment firms, with the goal of ensuring representative coverage across all EEA banking markets.

2. Scope of Application

• Institutions: National competent authorities must select institutions based on:
  • Representing 60% of the total banking and investment services sector in the Member State by total assets at year-end.
  • Being among the 20 largest institutions in the banking and investment services sector by total assets at year-end.
• Additional Inclusion: Authorities may also include other institutions deemed relevant or significant for a representative and diverse sample.

3. Level of Consolidation

• Consolidation Level: The data should be collected and reported at the highest EEA consolidated level.
• Reporting Entity: The EEA consolidation parent undertaking is responsible for collecting and transmitting the data to the competent authority.
• Exclusions: Sub-consolidation and double reporting are not relevant for this exercise.

4. Reporting Requirements

• Templates: Two templates are provided:
  • Annex 1: Covers remuneration of all staff, broken down by business areas.
  • Annex 2: Covers remuneration of identified staff, including those in senior management and control functions.
• Data Types:
  • Total number of staff (in FTEs).
  • Net profit.
  • Total remuneration, including fixed and variable remuneration.
  • Variable remuneration is further divided into:
    • Cash.
    • Shares and share-linked instruments.
    • Other types of instruments.
  • Deferred variable remuneration is also reported.
  • Guaranteed variable remuneration, severance payments, and discretionary pension benefits are included.
• Frequency and Timing:
  • Institutions must submit data to the competent authority by the end of June each year.
  • Competent authorities must then submit the data to the EBA by the end of August.
  • The data relates to the performance year preceding the submission year.

5. Transitional Provisions

• The first data submission was postponed to end of December 2012, covering remuneration for the 2010 and 2011 performance years.
• This adjustment was made in response to feedback that the original timeline was unrealistic.

6. Compliance and Implementation

• Competent authorities must notify the EBA of their compliance or reasons for non-compliance by 30.09.2012.
• The notification must be submitted using the form provided in Section V.
• The EBA will publish these notifications on its website.

Key Information

• Key Terms:

  • Fixed remuneration: Defined in CEBS Guidelines.
  • Variable remuneration: Includes deferred and non-deferred components.
  • Identified staff: As per CEBS Guidelines (categories 1 and 2).
  • All other: Staff not allocated to specific business areas, with footnotes required for explanation.

• Currency Conversion:

  • The EBA will convert data using the public exchange rate used by the European Commission for financial programming and budget.

• Confidentiality and Data Protection:

  • Only aggregated data is collected, and the EBA ensures that data protection is respected.
  • Institutions with low numbers of identified staff are unlikely to be affected significantly.

• Feedback and Consultation:

  • Eleven responses were received during the public consultation.
  • Concerns included:
    • Scope of application.
    • Consolidation level.
    • Timeline for first submission.
    • Definition of 'identified staff'.
  • The EBA addressed these concerns in the final guidelines.

Structure of the Guidelines

Conclusion

These guidelines aim to standardize remuneration data collection across the EEA, ensuring consistency, transparency, and comparability. They are based on CRD III and CEBS Guidelines, and their implementation is crucial for effective Union-level benchmarking. Competent authorities are expected to incorporate these guidelines into their supervisory practices, and the EBA will use the collected data to monitor and analyze remuneration trends.