5 Boroughs Partnership NHS Foundation Trust Annual ... - Monitor

Remuneration Report
The Remuneration Committee comprises the Chairman, Bernard Pilkington
and three designated Non-Executive Directors – Brian Marshall, Derek Taylor
and Rupert Nichols. The committee met on three occasions during the period
1 April 2011 to 31 March 2012 and was quorate. For full details of attendance,
please turn to page 14.
The committee is supported by the Director of Human Resources and
Organisational Development, who is able to provide market movement and
benchmark data to the committee. In addition, the committee receives
independent data on executive salaries and employment benefits. The Chief
Executive will also attend the committee in an advisory capacity except when
discussing his own remuneration or other terms of service.
The main function of the committee is to make recommendations to the Trust
Board on the remuneration, allowances and terms of office of the Executive
Directors (including the Chief Executive) to ensure that they are fairly
rewarded for their individual contribution to the organisation; having regard to
the organisations’ circumstances and performance. The committee also
advises and oversees the contractual arrangements including the calculation
and scrutiny of termination payments of Executive Directors - taking account
of national guidance as appropriate.
All senior managers employed by the Trust below Executive Director level are
covered by the nationally agreed and negotiated ‘Agenda for Change’ pay
system and the associated terms and conditions of employment.
The Chairman and Non-Executive Directors’ remuneration is determined by
the Nominations and Remuneration Committee of the Council of Members. In
determining pay levels, the Committee takes into account market data
provided by the Foundation Trust Network in addition to remuneration reports
provided by the Appointments Commission.
All appointments to the posts of Chief Executive and Executive Director have
been made on merit and on the basis of fair and open competition. The Chief
Executive and Executive Directors covered by this report are all subject to
open-ended contracts.
Basic pay for Executive Directors and Non-Executive Directors is not subject
to any specific performance-related element (e.g. bonus or performance pay
progression). However, all Directors and Non-Executive Directors are subject
to annual performance and development reviews. Under performance is a
consideration in determining any annual pay increase. For the year 2011/12
the Remuneration Committee determined that no cost-of-living rises should be
awarded to Executive Directors in line with the two-year NHS pay freeze for
staff nationally.
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Annual Report and Annual Accounts 2011-12