The Chief Executive Officer of Standard Chartered Bank of Kenya, Lamin Manjang earned a total of KShs104 million (UShs3.84 billion) in the year ended December 2017, the lender has disclosed in its latest annual report.
Mr Manjang, who has worked for several subsidiaries of the parent company Standard Chartered Plc, was paid KSh101 million in the previous year, the Daily Nation reports.
His compensation includes basic pay, a bonus, deferred cash awards and shares in the London-based multinational bank, with the company saying the remuneration takes into account many factors including risk-adjusted returns.
“Executive directors typically receive salary, pension and other benefits, and are eligible to be considered for variable remuneration (determined based on both the company and individual performance),” StanChart said in the report.
“The company’s remuneration approach is consistent with effective risk management and the delivery of the company strategy,” the lender said, adding that executives have clear objectives and get continuous feedback.
Mr Manjang, who joined the local unit in March 2014, has a contract that is due to end in January 2019.
He earned a basic pay of Sh37 million in the year ended December when he also received a bonus of Sh10.8 million, deferred cash (Sh7.2 million), share-based awards (Sh18.7 million), non-cash benefits (Sh28.7 million) and pension (Sh1.4 million).
His compensation for the previous year comprised a basic pay of Sh33.8 million, bonus (Sh12.1 million), deferred cash of Sh8.1 million, stock awards (Sh15.1 million), non-cash benefits (Sh30.3 million) and Sh1.4 million for pension.
“Deferred share awards are used to deliver the deferred portion of variable remuneration, in line with both market practice and the Standard Chartered Group’s regulatory requirements,” the company said.
“These awards vest in instalments on anniversaries of the award date specified at the time of the grant.”
StanChart, whose net earnings fell 23.5 per cent to Sh6.9 billion in the year ended December, has one of the most generous dividend payout policies among publicly traded banks.
The proposal to pay a total dividend of Sh17 per share for the year ended December amounts to a distribution of 84 per cent of the net profit to holders of ordinary shares.
