P eople C ommitt ee T he Boar d oper a t es a P eople C ommitt ee which c onsis ts o f thr ee independen t non e x ecutiv e dir ec t ors T he c ommitt ee c onsiders al l aspec ts o f r emuner a tion s tr a t egy polic y and pr oc es s f or e x ecutiv e k e y managemen t personnel and non e x ecutiv e dir ec t ors T he c ommitt ee also c onsiders br oader r emuner a tion s tr a t egy and has o v ersigh t o f k e y r emuner a tion pr ogr ams f or the C ompan y global ly R emuner a tion changes f or al l non e x ecutiv e dir ec t ors the M anaging Dir ec t or and e x ecutiv e KMP ar e c onsider ed and appr o v ed b y the Boar d a f t er r ec eiving r ec ommenda tions fr om the c ommitt ee T he c ommitt ee s r ole also includes per f ormanc e managemen t f or the M anaging Dir ec t or and o v ersigh t o f e x ecutiv e man agemen t w orkplac e cultur e k e y t alen t de v elopmen t and suc c es sion planning div ersit y and br oader human r esour c e risk managemen t T he c ommitt ee c onduc ts annual r e vie ws o f its char t er the Gr oup r emuner a tion and bene fts policies and plans the s truc tur e and de t ails o f al l Dir ec t ors f ees r emuner a tion packages mark e t and indus try sec t or tr ends in r ela tion t o Dir ec t or and e x ecutiv e r emuner a tion pr ac tic es and r emuner a tion le v els Fix ed v ersus V ariable R emuner a tion T he br e ak do wn o f the fx ed r emuner a tion and a t risk r emuner a tion f or the M anaging Dir ec t or and Ex ecutiv e KMP is sho wn in T able 2 T he c omponen ts o f v ariable r emuner a tion sho w ma ximum po t en tial out c ome f or t ar ge t per f ormanc e 40 per c en t or mor e o f pa y is a t risk t o ensur e tha t e x ecutiv es wil l bene ft fr om achie ving s tr ong c ompan y per f ormanc e but r ec eiv e les s pa y if c ompan y per f ormanc e f al ls belo w e xpec t a tions Ext ernal R emuner a tion C onsult an ts ALS engages with K orn F erry t o pr o vide benchmark da t a as w el l as mark e t pr ac tic e input t o r emuner a tion s tr a t egy and mecha nisms fr om time t o time K orn F erry also pr o vides job e v alua tion and global r emuner a tion da t a f or midd le manager up t o Chie f Ex ecutiv e Of fc er le v el r oles their P a yNe t r emuner a tion da t abase is used acr os s k e y geogr aphies wher e advic e is sough t T o ensur e their independ enc e fr om e x ecutiv e managemen t K orn F erry is engaged dir ec tly b y the Boar d f or CE O and KMP r emuner a tion advic e EY Aus tr alia pr o vide v alua tion servic es in r espec t o f our L ong T erm Inc en tiv e P lan F ees paid f or r emuner a tion advic e during the fnancial y e ar w er e K orn F erry 29680 2018 152029 EY Aus tr alia 93500 2018 56900 and Godfr e y R emuner a tion 1800 2018 0 F ees paid t o these pr o viders f or o ther servic es during the y e ar K orn F erry 880 2018 120803 and EY Aus tr alia 0 2018 75000 NonEx ecutiv e Dir ec t or R emuner a tion audit ed With six ne w Dir ec t ors appoin t ed in the las t se v en y e ars the C ompan y is s a tis fed tha t the Boar d is independen t K e y C omponen ts o f NonEx ecutiv e Dir ec t or R emuner a tion No elemen t o f non e x ecutiv e dir ec t or r emuner a tion is a t risk F ees ar e fx ed and no t based on the per f ormanc e o f the C ompan y or equit y based Dir ec t ors f ees ar e r e vie w ed annual ly and incr e ased if appr opria t e Dir ec t ors ar e paid base f ees and if applica ble a f ee f or membership o f a c ommitt ee T he Chairman does no t r ec eiv e c ommitt ee f ees T he f ee s truc tur e is se t out in T able 3 F ees and the pool ar e inclusiv e o f manda t ory super annua tion c on tributions NonEx ecutiv e Dir ec t or F ee S truc tur e Fix ed P ool 1650000 per annum B ase Dir ec t or F ees Chairman Annual f ee c ompens a t es f or al l Boar d C ommitt ee ac tivities 353100 Non e x ecutiv e dir ec t ors Annual f ee 173250 C ommitt ee F ees Chair o f Audit Risk C ommitt ee 25000 Chairs o f P eople C ommitt ee and Sus t ainabilit y C ommitt ee 12500 C ommitt ee F ees F la t f ee f or e ach C ommitt ee member ship 6000 P ool and f ees include super annua tion bene fts T able 3 24 ALS LIMITED AND IT S SUBSIDIARIES A NNU AL F INANCIAL R EPOR T F OR THE Y EAR E NDED 31 M AR CH 2019 F INANCIAL REPOR T D IRE CT ORS REPOR T R EM UNERA TION REPOR T NonEx ecutiv e Dir ec t or R emuner a tion audit ed