Motivation and remuneration system

NOVATEK offers fair pay to attract, motivate, and retain valuable highly skilled employees. Our remuneration system drives individual efficiency of employees and achievement of the Company’s strategic goals while optimizing costs.

The minimum wage of NOVATEK employees across the Company’s regions of operation is traditionally almost twice as high as the local minimum wage. In addition, NOVATEK performs salary indexation on a regular basis in line with its collective bargaining agreement.

Employee remuneration comprises fixed and variable parts in a reasonable ratio, with the variable part depending on the Company’s performance and the employee’s individual contribution toward its goals. Compensation and benefits packages offered by the Company also form part of the remuneration.

To incentivize members of the Management Board and other key employees, the Company offers KPI-linked bonuses. The KPI system is based on financial, economic, and industry-specific drivers as well as on progress toward the Company’s strategic goals, including sustainability performance. The list of KPIs for management comprises a consolidated index reflecting the performance of the HSE Management System, including climate change management.

Designed for employees showing high commitment to the Company’s growth, the Innovator corporate program encourages sensible initiatives and ideas for business improvement. For seven years now, employees have been taking active part in the program, putting forward useful ideas and being rewarded with financial incentives and corporate awards.

The Company also actively uses non-financial incentives in addition to financial ones.