The Board of Directors decides on the management’s incentive and remuneration systems on the basis of the CEO’s proposal.
The salary of all Management Group members consists of a fixed base salary, fringe benefits and a performance-based bonus. In addition, the members of the Management Group who are covered by the Finnish pension insurance system have group pension insurance, the contributions to which are based on the annual salary of the insured person, excluding bonuses. The payment is 10-25% of the aforementioned salary.
Long-term incentive schemes (LTI)
The members of the Management Group participate in the company’s long-term incentive schemes, the purpose of which is to promote long-term sustainable growth and align the interests of senior management and shareholders.
Performance Matching Share Plan 2023-2025
The performance criterion of the performance matching plan is the development of Absolute Total Shareholder Return and the cumulative adjusted operating result. The performance ratio of the matching share plan is one additional share per two invested shares. The maximum earning potential is 75,000 Teleste shares.
Performance Matching Share Plan 2024-2026
The performance criterion of the performance matching plan is the development of Absolute Total Shareholder Return and the cumulative adjusted operating result. The performance ratio of the matching share plan is one additional share per two invested shares. The maximum earning potential is 93,600 Teleste shares.
Performance Matching Share Plan 2025-2027
The performance criterion of the performance matching plan is the development of Absolute Total Shareholder Return and the cumulative adjusted operating result. The performance ratio of the matching share plan is one additional share per one invested share. The maximum earning potential is 119,000 Teleste shares.
The bonus paid to the members of the Management Group ranges from 0-100 per cent of their fixed annual salary depending on performance and the share price. If Teleste’s share price increases threefold during the course of the three-year share plan, the participants will not be paid rewards exceeding the threefold increase in the share price. The incentive scheme is targeted at specifically designated key employees, including the Group CEO and the members of the Management Group.
Short-term incentive schemes (STI)
The objective of the short-term incentive scheme is to incentivise the execution of the business plan and to reward the participants accordingly. The maximum reward for the members of the Management Group is approximately 50 per cent of their fixed annual base pay.
The short-term incentive scheme is based on the achievement of annual financial targets and measurable non-financial targets. The targets are set individually and consist of financial, operational and sustainability-related performance indicators.
Other benefits
The members of the Management Group have the opportunity to have a car benefit and a mobile phone benefit as fringe benefits depending on the valid policies of the local companies.
Remuneration 2024
Remuneration paid to the members of the Management Group (EUR):
| Fixed annual salary (includes holiday pay and taxable fringe benefits) | 1,346,894.25€ |
| Short-term incentive scheme (STI) | 0.00 € |
| Long-term incentive scheme (LTI) | 14,993.30 € |
| Supplementary pension | 168,081.00 € |
| TOTAL | 1,529,968.00 € |
Updated 2025