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2018 Pillar 3 Disclosures
Information on remuneration
Each year, Cecabank evaluates individual and group performance in order to establish overall
performance management.
For these purposes, the bank has implemented a performance management system that, based
on the competences identified for Cecabank and the functions performed in the job position by
the employee, facilitates the assessment and observation of behaviour or conduct with respect to
which there may be an opportunity for each professional to grow and improve.
The assessment measures a series of competences with a specific requirement level set for each
functional level, with the aim of identifying strengths and areas for improvement. Moreover, an
analysis of the Functional Job Execution is conducted in order to ascertain how the professional
under assessment performs the functions corresponding to their position.
Once the final rating is obtained from the performance management system, the following actions
may be taken
•
Remunerative: an input that facilitates each individual’s position within their remuneration
scale. It is also an element involved in the determination of the percentage of variable
remuneration to be received, as a complement to the level of achievement with respect to
objectives.
•
Competence-based: by comparing the evaluation conducted and the competence profile of the
functional level, the profile’s strengths and points for improvement are obtained.
•
Developmental: drafting an improvement plan that, having obtained the result of the
assessment, sets out the future plans of the professional under assessment, with the aim of the
areas identified as requiring improvement.
In this regard, when assessing the individual performance of employees, Cecabank takes into
consideration both financial and non-financial criteria The appropriate combination of the two
depends on the tasks and responsibilities of the employee.
Financial criteria must cover a sufficiently long time period in order to reflect the risk of the
employee’s actions, and incorporate risk adjustment and economic efficiency measures.
Negative performance from the non-financial perspective, in particular unethical behaviour and
those in violation of regulatory compliance, cancels out any positive financial performance.
Conversion of the measurement of performance into a variable remuneration component for
each employee includes an adjustment for present and future risks, including quantitative and
qualitative measures. The final risk adjustment depends on the specific group to which the
employee belongs, as outlined above.
In addition, and in the case of functional levels corresponding to directors, managers and
technicians with an assigned team, the Remuneration Policy establishes the settlement of variable
remuneration for achieving certain objectives, distinguishing between business units, support
units related to incremental initiatives covered under the 2017-2020 Strategic Plan and other
support units.
The Steering Committee members have been assigned a series of individual objectives and
part of their remuneration is aligned with the achievement of the objectives of the 2017-2020
Strategic Plan.
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