Remunerations of the Executive Board

NS remunerations policy

The key objective of the NS remuneration policy is that this policy should enable the Supervisory Board to attract and retain well-qualified members for the Executive Board. The remuneration policy is aimed at supporting and furthering NS’s objectives and strategy. The remuneration policy also reflects NS’s public status.

Objectives and principles

  • Given that the Dutch State is the sole shareholder, the remuneration policy is based on the principles for the remuneration policy of state participations;

  • The determination of job grades is an important element in determining levels of remuneration;

  • To determine remuneration levels for the Executive Board, a market comparison is used based on two reference markets: the public and semi-public sector (AMC, the Tax and Customs Administration, GVB, Havenbedrijf Rotterdam, the Ministry of Infrastructure and the Environment, ProRail and Vitens) and the Dutch private sector, using weightings of 60% and 40% respectively.

  • The NS remuneration policy satisfies the best practice stipulations on remuneration in the Corporate Governance Code.

Remuneration components

  • Base salary

  • Variable remuneration

  • Pension

  • Benefits

The financial statements contain a table showing all the remuneration components.

Base salary

In 2016, the gross annual base salary including the holiday allowance for the members of the Executive Board was as follows:

 

Position

Base salary (€)

Base salary received (€)

R. van Boxtel

CEO

438,600

438,600

B. Groenewegen

Finance Director

344,000

101,289

M. Rintel

Director of Operations

344,000

157,667

S. Zijderveld

Chief Governance, Risk & Compliance Officer

344,000

315,333

The overall income of the employee with the highest base salary, namely the CEO, is nine times the median value of the salaries of all NS staff in the Netherlands*.

*) Key assumptions:

  • All staff at NS and Abellio Transport Holdings BV are included in the calculation

  • The calculation is based on the following components: the base salary, variable remuneration and pension costs

  • The above components apply to both the staff and the CEO

  • Both full-time and part-time staff are included in the calculation.

Variable remuneration

All members of the Executive Board have explicitly waived the right to variable remuneration in their employment contracts.

Pension

All members of the Executive Board are also members of the NS pension plan. The employer’s share of the pension costs for the entire Executive Board was €43,728 in 2016 (2015: €15,324). The employer's contribution is two thirds of the total pension costs.

 

Position

Pension costs (€)

R. van Boxtel

CEO

14,171

B. Groenewegen

Finance Director

4,169

M. Rintel

Director of Operations

6,495

S. Zijderveld

Chief Governance, Risk & Compliance Officer

12,990

As required by legislation, pension accrual is capped at a salary of €101,519. NS and the trade unions have agreed to pay out a gross contribution in addition to the salary as an alternative for the cap on pension accrual. NS is allocating a gross contribution of 12% of the salary in excess of €101,519 to all current and new staff. A transitional scheme applies for members who were 46 or older on 1 January 2015. They will receive a supplementary age-related contribution. The percentage in question will be determined as a once-only action. In 2016, members of the Executive Board received a contribution that was the same as in the above scheme for NS employees.

 

Position

Alternative for capping the pension accrual (€)

R. van Boxtel

CEO

40,450

B. Groenewegen

Finance Director

8,571

M. Rintel

Director of Operations

14,448

S. Zijderveld

Chief Governance, Risk & Compliance Officer

26,673

Benefits

The benefits that apply to all other NS employees, including healthcare insurance schemes and transport facilities, also apply to the Executive Board members.

The benefits package for the Executive Board also includes an appropriate expense allowance, a lease car and the use of communication devices. The lease scheme offers the option of waiving the right to a lease car and being paid the gross lease amount instead. In addition, a chauffeur-driven car can be made available for business purposes.

 

Position

Payment of lease amount (€)

R. van Boxtel*

CEO

-

B. Groenewegen

Finance Director

4,629

M. Rintel

Director of Operations

2,784

S. Zijderveld

Chief Governance, Risk & Compliance Officer

14,410

  • *Mr van Boxtel used the directors’ chauffeur-driven car in 2016 and waived the gross payment of the lease amount.

Furthermore, the company has taken out an accident insurance policy and a directors' liability insurance policy for the members of the Executive Board. The company has not extended any loans, advances or guarantees to members of the Executive Board and will not do so.

Employment contracts

Members of the Executive Board are appointed each time for a period of four years at the most. Reappointments can be made each time for a period of four years.

 

Position

Date employment started

End of employment contract

R. van Boxtel

CEO

1 August 2015

31 July 2019

B. Groenewegen

Finance Director

15 September 2016

14 September 2020

M. Rintel

Director of Operations

1 November 2014

Unlimited period

S. Zijderveld

Chief Governance, Risk & Compliance Officer

1 February 2016

31 January 2020

  • *Marjan Rintel already had a permanent employment contract. On 15 July 2016 she was appointed a member of the Executive Board.

All employment contracts with members of the Executive Board include a period of notice for the employer of four months. On termination of the employment contract at the initiative of NS, the termination payment cannot exceed one year’s base salary.

Members of the Executive Board who retired

Mr E.M. Robbe (Finance Director) left his post as of 1 June 2016 (having remained active in the role until 8 April).