Swiss Re’s compensation framework is designed to attract, motivate and retain the qualified talent the Group needs to succeed globally and to create a tangible link between performance and pay.
The aim is to provide total compensation that is competitive in local labour markets and to ensure that our employees focus on delivering outstanding results while supporting appropriate and controlled risk-taking. A balanced compensation package is complemented by competitive pension plans and benefits.
This approach adds to the success of the business by:
- Supporting a culture of high performance with a focus on risk-adjusted financial results.
- Ensuring alignment of compensation to business results, individual contribution and recognising what was achieved and how it was achieved.
- Supporting Swiss Re’s commitment to attract, motivate and retain key talent.
- Aligning the interests of employees with those of Swiss Re’s shareholders.
- Fostering compliance and supporting appropriate and controlled risk-taking.
In addition, Swiss Re seeks to ensure that total compensation is well balanced in terms of fixed versus variable compensation and in terms of short-term versus long-term incentives. This is to encourage sustainable long-term performance and appropriate risk-taking in line with the business and risk strategy.
Swiss Re has several incentive programmes that reflect the long-term nature of the business: both the Value Alignment Incentive (VAI), as the deferred part of the Annual Performance Incentive (API), and the Leadership Performance Plan (LPP) aim to reward sustainable long-term performance rather than short-term results. These programmes support closer alignment of the interests of shareholders and employees.