Guidelines for salaries, bonuses and other remuneration to the Company's executives are decided at the Annual General Meeting. In 2019, it was decided at the meeting that remuneration paid by the Company shall comprise salaries that are in line with the market as well as a limited, profit-related bonus scheme as described below. The Company has no incentive schemes related to share price.
These guidelines will be followed during 2019 according to a resolution passed at the Annual General Meeting. The report by the Board of Directors covering the evaluation of variable remuneration programmes for the executive management, the application of guidelines for remuneration to executives and current Company remuneration structures and remuneration levels for executives are available on the Company's website, www.hufvudstaden.se, no earlier than six weeks and no later than four weeks prior to the Meeting.
The auditor's statement on guidelines for remuneration to executives is available on the Company's website www.hufvudstaden.se and will be attached to the documents distributed at the Annual General Meeting. The statement is also available from the Company on request.
Remuneration to the President is proposed by the Chairman of the Board and is confirmed by the Board of Directors. The President does not take part in this decision. The President decides on remuneration to other senior executives following consultation with the Chairman of the Board.
Further information regarding salaries and remuneration as well as guidelines for remuneration to executives, as adopted at the Annual General Meeting, can be found in the Annual Report under Note 8, pages 74-75.
The President and executives are covered by a bonus scheme based on result, customer satisfaction and personal objectives. The bonus for 2019 is subject to a maximum of three months' salary per year for the President and for other senior executives, a maximum of the higher of three months' salary or SEK 250,000 per person per year. The maximum bonus payable to the present number of senior executives and at the present salary level is SEK 3.9 million.
Other permanent employees in the Group are also covered by a bonus scheme based on operating result and customer satisfaction. For managers with personnel responsibility there are also personal objectives. The maximum bonus for 2019 is two month's salary for executives with human resource responsibility and for other employees, one month's salary.
Both bonus schemes are subject to a decision reached by the board for one year on each occasion. In the event of a negative result (result excluding changes in value), no bonus is payable.
The Company has no incentive schemes related to share price.
The Board of Directors evaluates remuneration guidelines on a continuous basis
The Board of Directors also follows and evaluates the application of guidelines for remuneration to senior executives decided at the Annual General Meeting and on current remuneration structures and remuneration levels in the Company for senior executives.