Annual Report 2019

Objectives and principles of the Remuneration Policy

The objective of GrandVision’s remuneration policy is to attract, motivate and retain the qualified individuals that it needs in order to achieve its strategic and operational objectives. The policy is designed in the context of international competitive market trends, statutory requirements, Corporate Governance best practices, the societal context around remuneration and the interests of GrandVision's shareholders and other stakeholders.

The overriding principle of GrandVison's remuneration policy is to ensure fairness and transparency. While it is important for GrandVision, which is in a growth stage, to reward achievement against growth targets, the remuneration structure has been designed so that Managing Directors and Supervisory Directors are not encouraged to take/stimulate inappropriate risks.

The remuneration policy and business strategy have been aligned through the creation of specific short- and long-term targets that link each Managing Director’s variable pay to the success of our company. As such, both the short- and long-term plans align with our business strategy and accordingly to GrandVison's longer term value creation and sustainability. Reference is made to the specific paragraphs below on target setting. Variable remuneration is higher when targets are exceeded and no variable remuneration is payable if threshold targets are not met. This helps to ensure the alignment of the Managing Directors’ interests with those of GrandVision's stakeholders and create a true pay-for-performance culture.