Performance-Based Compensation System

ProSiebenSat.1 Group offers its employees various training measures and creates career opportunities on the basis of personal ability. At the same time, ProSiebenSat.1 provides a performance incentive via a compensation system comprising fixed and variable performance-based components. The same principles apply to all employees: Women and men in similar positions at ProSiebenSat.1 Group have the same earning opportunities. The compensation depends on the function performed and individual performance. [G4-LA13]

With a performance-based compensation component, the Group gives its employees a share in the Company’s success. This is based on regular development meetings in which employees develop and track their personal goals for the financial year with their supervisors. The target system is tied to a bonus plan calculated on the basis of individual target attainment and the EBITDA generated by the Company. 89.3 % of our employees receive a performance review via our bonus system (previous year: 89.2 %), equating to 87.9 % of female employees (previous year: 86.6 %) and 90.6 % of male employees (previous year: 91.4 %). 80.7 % of employees aged under 30 (previous year: 78.8 %), 91.7 % of employees aged between 30 and 50 (previous year: 92.0 %) and 90.8 % of employees over 50 (previous year: 89.9 %) participate in the bonus system. [G4-LA11]

With performance-based compensation models, we ensure that achievements are recognized appropriately. In order to increase the performance incentive in the long term and reinforce the identification with the Company, ProSiebenSat.1 also launched a share program for employees in June 2016. Employees can acquire shares worth between EUR 120 and EUR 1,000 in a year. Regardless of the amount, they are given additional shares worth EUR 360, tax free. After a three-year holding period, they also receive one free share for every three of their shares. Within the participating companies, MyShares is aimed at all permanent employees who have been with the Company since at least January 1, 2016. This also includes colleagues on leave of absence such as maternity leave, parental leave or sabbatical; the same applies to trainees, management trainees, apprentices and dual-track students. Over 1,800 employees invested in MyShares in 2016, which equates to a ratio of nearly 50 % of all eligible employees. [G4-LA2]