ACC makes changes to executive pay
Earlier in 2021 the ACC Board, led by Chair Dame Paula Rebstock, undertook a review of the use of ‘at risk’ remuneration payments for the Executive and select staff.
‘At risk’ payments have been part of total remuneration for the ACC Executive since 2001, with the level of payment depending on the achievement against organisational and personal performance criteria each year.
Earlier in 2021 the ACC Board, led by Chair Dame Paula Rebstock, undertook a review of the use of ‘at risk’ remuneration payments for the Executive and select senior leaders (a total of 17 people).
This review was completed late in July with the decision made to remove the ‘at risk’ payments for the past financial year, and all future years. The Board recognised these payments are no longer appropriate for ACC and the removal of them is in line with the Public Service Act.
Instead, eighty percent of the value of these at-risk payments has been added to the base salary of the participants. This results in a lower level of total potential remuneration for those who had this as part of their contracts. This approach has been applied to the 1 July 2020 to 30 June 2021 financial year.
In ACC’s specialist Investment area, bonuses remain, in line with the private and commercial sector remuneration and performance structures.