Annual Financial Statements for the year ended 30 June 2021 0 - Book - Page 27
An external review of the remuneration policy was also conducted
for management by Mr Martin Hopkins, Head: Reward Advisory
Services, Bowmans Law, which confirmed that the Remuneration
policy complies with statutory and governance requirements, are
aligned with peer groups and more importantly, our short-term
and long-term priorities.
The Committee was satisfied with the advisors’ independence.
Many changes have been made to the reward policy in the past
two years and the Committee feels that it should now allow time
for these changes to be implemented. We will continue to ensure
that ESG issues receive the necessary attention, and to this end,
incentive targets for 2022 have a more specific focus on Sasol’s
drive to reduce carbon emissions and adopt a holistic approach in
the incentive plans on ESG matters balanced with the requirement
to continue to deliver financial returns to our shareholders.
Decarbonising our operations is a cornerstone of our strategy and
is carefully balanced with other priorities to ensure a sustainable
future. Key interventions which will result in step change
reductions in our emissions will be incentivised as appropriate.
The Committee remains committed to ensuring that Sasol’s
Remuneration Policy and the implementation thereof is fair and
responsible, enabling the achievement of the Group’s strategic
priorities including value creation for our shareholders, clients,
communities and employees. The Committee is satisfied that the
policy meets the agreed objectives and that the remuneration
outcomes for this year reflect alignment between performance
and rewards and, are appropriate and fair considering what
was achieved over the past year. Ultimately, our success will be
reflected in the Sasol share price which significantly contributes to
the reward outcomes of our executive team.
I would like to thank our shareholders for engaging with me and
look forward to their endorsement of the advisory votes on our
Remuneration Policy and Implementation Report at the 2021 AGM.
I would also like to extend my personal thanks to the Committee
members for their support, input and guidance over the past year.
Chairman of the Remuneration Committee
10 August 2021
Because the Group has high levels of debt, it is focused on cash
fixed cost management and prudent capital allocation. To motivate
employees to work together to stabilise the new operating model,
the Committee has agreed to re-introduce the Business Unit
scorecard in the STI calculation for 2022.
SASOL LIMITED GROUP
CONSOLIDATED FINANCIAL STATEMENTS
Alvarez & Marsal Taxand, UK (A&M) continued to act as
independent external advisors to the Committee. A&M provided
information on global reward trends and market insights into
discussions on executive reward matters. A&M does not provide
any other services to Sasol.
NOTES TO THE FINANCIAL STATEMENTS
As most employees did not receive a full increase, nor any STI
in 2020, the Committee approved annual salary increases for
employees in 2021. These are aligned with forecast salary market
movements in relevant Sasol jurisdictions. There is also a renewed
focus on the retention of key employees. Therefore, a portion of
the LTIs to Group Executive Committee members will continue to
be in restricted shares with a five-year vesting period also enabling
them to work towards meeting the minimum shareholding
requirements. Incentive targets have been reviewed and will align
closely with our strategic priorities for 2022.
SASOL LIMITED COMPANY
The Committee will propose to shareholders a revised
non-executive director (NED) fee structure. For NEDs domiciled
outside of the UK, Europe or North America, a cost of living factor
and a fixed exchange rate will be applied.
Sasol Annual Financial Statements 2021