CSR criteria incorporated into senior executives’ variable compensation
At the Shareholders’ Meeting held on April 30, 2009, the Chairman of Vivendi’s Supervisory Board announced that, starting in 2010, CSR objectives would be incorporated into the variable compensation of the Group’s senior executives. Vivendi was one of the first CAC 40 companies to adopt this policy.
For Vivendi’s senior executives, this means measuring their contribution to performance objectives linked to the strategic CSR issues common to all subsidiaries and directly related to their business. These objectives are established by each subsidiary in close coordination with Vivendi’s CSR and Human Resources departments, and are included in the overall assessment of senior executive performance. The non-financial rating agency Vigeo assists the group in this process. The Corporate Governance, Nominations and Remuneration Committee of the Supervisory Board assesses the performance of senior executives in relation to each CSR criterion and calculates the corresponding bonus percentage.
In 2015, the senior executives achieved most of the objectives, and even exceeded some of them. The amount of compensation which is contingent on reaching these objectives can account for up to 10% of variable compensation. The objectives in question applied to 1,102 senior executives in Vivendi’s subsidiaries and headquarters.
Below are a few examples of the objectives set for fiscal year 2015 for each of the following strategic issues:
– commitment by Canal+ to promoting local talent globally and to further increasing the inclusion of women experts on air as guests;
– empowerment by UMG of local talent in emerging and developing markets;
– commitment by UMG to establish a forum bringing together the most important five countries in terms of revenues. The purpose of the forum is to develop a guide to best practices in order to classify video clips by age rating or content descriptor and then to initiate dialogue, including with business partners, to roll out the guide;
– promotion of this guide to best practices in these five countries; and
– commitment by UMG to expand employee training on the topic of personal data protection beyond employees working in the Legal, Customer Relations or Marketing departments who have already undergone training ; and
– providing specific training for Canal+ customer relations advisers.
To find out more about this topic, please refer to the 2015 Annual Report