The trend toward simplifying remuneration structures, especially around performance-based remuneration, continues to gain traction. Key factors such as sustainability, transparency, and personal investment by members of the executive board are becoming increasingly significant and are being integrated into pay models.
Total remuneration encompasses multiple components. This Board Index analyses the progression of base salaries, variable compensation components, and the overall total remuneration. Depending on the length of their contracts, executive board members who joined or departed mid-year are reflected only on a proportional basis.
One company does not disclose any remuneration information; another provides details solely concerning CEO and CFO pay.
The significance of qualitative assessment criteria has been rising for years, particularly in relation to short-term variable compensation. Factors such as employee and customer satisfaction, sustainability, compliance, and safety records are now being incorporated. A rising number of supervisory bodies are exercising discretionary authority in determining the performance-based compensation of executive board members.
Remuneration of board members
The average total remuneration for all executive board members, including the chief executive officer or chair of the executive/management board, stands at €3,222,638. The average base salary is €1,010,503.
CEO remuneration
Examining individual roles within the DAX 40, the average total CEO remuneration is €5,274,897, which includes an average base salary of €1,449,022. The sole female CEO in the DAX 40 received total compensation of €10,527,000, composed of a €1,500,000 base salary and €9,027,000 in variable remuneration.
CFO remuneration
Across the entire cohort of chief financial officers, the average total compensation is €2,523,610, which includes an average base salary of €869,309. The 12 female CFOs in this group received an average total compensation of €1,821,942, including an average base salary of €735,182.
Remuneration of men and women
Among all other executive board members, the 48 female executives in the DAX 40 received average total pay of €2,525,702, including an average base salary of €830,326. Remuneration among the 130 male executives is higher, with average total remuneration of €2,873,293, including an average base salary of €953,142.
In conclusion, women in the observed executive cohort receive, on average, 12% less total compensation and 12.8% less base salary compared to their male counterparts.