JOTUN A/S
61
2 Payroll expenses
Payroll expenses are the total disbursements relating to remuneration of personnel employed by the company. These expenses comprise
direct salaries and holiday pay, bonuses, pension costs and public taxes/charges relating to the employment of personnel.
Wages and other social costs
(NOK THOUSAND) 2018 2017
Wages including bonuses 748 605 715 221
Social security tax 118 328 114 755
Pension costs defined benefit plans, ref. note 3 3 586 3 182
Pension costs defined contribution plans 73 746 80 456
Other personnel costs –31 225 –30 156
Total 913 040 883 458
Average number of full time equivalents (FTEs) 944 923
Bonus systems
Jotun Group has a system of annual bonuses that applies to senior management and is limited to a maximum of 20 per cent of annual
basic salary.
Further, all members of Jotun Group Management, including the President & CEO, are part of an annual profit-dependent bonus system
limited upwards to 50 per cent of annual basic salary.
Remuneration of the President & CEO
(NOK THOUSAND) Ordinary salary Bonus Benefits in kind Pension cost Total
Morten Fon 5 408 1 050 271 863 7 593
The President & CEO is part of a pension scheme that includes a mutual opportunity to discontinue employment in whole or in part up
to five years earlier than a stipulated retirement age of 67 years.
Jotun Group has no obligation to give the President & CEO or the Chairman of the Board special remuneration upon discontinuance or
change of employment or office. Should the President & CEO’s employment discontinue, his contract has a clause stipulating that a oneyear
“competition quarantine” may be imposed with compensation. The President & CEO has a notice period of 6 months.
The Group has not given any loans or guarantees to the President & CEO, the Chairman of the Board, or to any shareholders or members
of Group Management, the Board or Corporate Assembly.
Remuneration of the Board of Directors
(NOK THOUSAND) Ordinary compensation
Board of Directors 2 820
Corporate Assembly 165
Total 2 985
Shares owned by members of the Board of Directors and Group Management are specified in note 15.
External auditor remuneration
(NOK THOUSAND) 2018 2017
Statutory audit 3 001 2 936
Other financial audit services 587 214
Tax services 339 1 078
Total 3 926 4 228