{"id":15196,"date":"2026-03-10T09:36:14","date_gmt":"2026-03-10T09:36:14","guid":{"rendered":"https:\/\/outsourcing-today.ro\/?p=15196"},"modified":"2026-03-10T09:36:15","modified_gmt":"2026-03-10T09:36:15","slug":"the-remuneration-system-for-executive-directors-and-members-of-the-boards-of-directors-of-listed-companies","status":"publish","type":"post","link":"https:\/\/outsourcing-today.ro\/?p=15196","title":{"rendered":"The remuneration system for executive directors and members of the Boards of Directors of listed companies"},"content":{"rendered":"\n

Opinion by<\/span> M\u0103d\u0103lina Racovi\u021ban – Tax Partner, Head of People Services, KPMG in Romania<\/span><\/strong><\/p>\n\n\n\n

Pay transparency becomes mandatory in 2026. Listed companies are already showing how transparency in the remuneration of executive management and members of the Board of Directors works.<\/strong><\/p>\n\n\n\n

Transparency in remuneration policies takes on a new dimension with the application of Directive (EU) 2023\/970 starting in the summer of 2026. The regulation introduces firm requirements regarding the clarity of remuneration criteria, the documentation of policies and the objective substantiation of salary decisions, with the aim of reducing unjustified differences between the remuneration of women and men, but also of consolidating coherent salary practices in organizations. <\/p>\n\n\n\n

For many companies, alignment with this standard will require a careful assessment of existing structures and mechanisms. In the case of companies listed on the Bucharest Stock Exchange, transparency regarding the remuneration of management, both at executive level and at the level of members of the Board of Directors, is already a reporting obligation. Although these reports respond to different legislative requirements and go as far as making the individual level of remuneration transparent \u2013 \u200b\u200ba level of detail not required by Directive (EU) 2023\/970 \u2013 they nevertheless provide a useful benchmark on how transparency can be applied in practice and represent Romania\u2019s first steps on the path towards greater transparency in remuneration.<\/p>\n\n\n\n

Below are the main results of the KPMG study on the remuneration of executives in companies listed on the Bucharest Stock Exchange:<\/p>\n\n\n\n

The study \u2013 \u201cThe remuneration system of executive directors and members of the Boards of Directors in listed companies\u201d,<\/span><\/strong> shows a consolidation of the trend of increasing compensation packages at the top management level, against the backdrop of a competitive economic environment and the pressure to attract and retain talent. The analysis was conducted based on all remuneration reports for the financial year ending December 31, 2024, officially published during 2025 by companies listed on the Bucharest Stock Exchange; in total, 76 reports from the 84 listed companies were analyzed. The results highlight increases in fixed remuneration, a diversification of variable components and an increasing convergence between the remuneration levels of CFOs and CEOs.<\/p>\n\n\n\n

According to the analyzed data, the median value of a CEO’s annual salary reached RON 637,523 (+4% compared to the previous year) in the analyzed period, with an unchanged minimum level of RON 48,000 and a maximum of RON 3,434,981. The growth rate is more moderate than in the previous period, suggesting an adaptation to the economic context and efficiency priorities. The dispersion remains high, and the companies in the BET index are mostly above the market median, representing approximately 41% of the total fixed remuneration reported. Regarding variable remuneration, approximately half of the companies granted such components in the analyzed period, with weights starting below the 25% threshold for approximately 40% of CEOs and exceeding 50% in almost a third of cases, there are also situations in which this component can significantly exceed the fixed one.<\/p>\n\n\n\n

Similar trends are also found in the evolution of the remuneration of financial directors. During the period under review, CFO salary levels ranged from RON 65,500 to RON 1,974,896, slightly above the range reported in the previous year, and companies in the BET index are generally found in the upper part of the distribution. The ratio between CFO and CEO remuneration indicates a close relationship between the two functions \u2014 median ratio of 75% and average of 82% \u2014 with notable differences from one company to another, depending on the structure and responsibilities assigned to the finance role. <\/p>\n\n\n\n

Approximately 54% of CFOs benefited from variable remuneration, with different weights depending on internal policy, which reflects the adaptation of salary policies to the specifics of each company and the strategic role of the finance function. For the other executive directors, the annual base salary calculated at company level ranged during the period under review between RON 3,419 and RON 1,984,841, with a median of RON 390,285. <\/p>\n\n\n\n

As with CEO and CFO remuneration, BET index organisations appear more frequently in the upper half of the distribution. In relation to CEO and CFO positions, salary levels are generally lower, although around a quarter of companies place certain roles at levels close to or even above CFO remuneration, depending on the importance of the position and retention strategies. The structure of packages remains dominated by the fixed component, complemented by variable components with different weights across companies.<\/p>\n\n\n\n

The compensation of non-executive members of the Board of Directors or Supervisory Boards also continues to increase moderately. The median rises to RON 15,623\/month (vs. RON 12,000 in the previous year), with a wide range (between a minimum of RON 41 and a maximum of RON 115,683). The Chairman of the Board remains consistent above the rest of the members, with higher core values \u200b\u200band a concentration in the range of 10,000 lei – 32,000 lei, reflecting increased responsibilities and the strategic oversight role.<\/p>\n\n\n\n

Sustainability practices<\/strong><\/p>\n\n\n\n

The integration of ESG (Environmental, Social, Governance) criteria into remuneration policies remains in its infancy on the local market: only 18 companies mention ESG indicators in public documents, usually without explicit links to bonuses or long-term incentives. Internationally, the pressure to correlate bonuses with sustainability objectives is increasing, and this trend is gradually starting to be reflected on the local market. And in terms of diversity, progress remains modest and uneven. In the period analyzed, women represent 21% of executive directors, with a share of 13% in the CEO role and over 50% in the finance function. <\/p>\n\n\n\n

Compared to the previous year (24% CEO and 62% CFO), the data indicate a reduction in representation in both roles, although the CFO position remains, still, a predominantly female position. Directive (EU) 2022\/2381 on gender balance on boards and the Pay Transparency Directive, which must be implemented by 2026, will accelerate the need for alignment, as listed companies will need to demonstrate both progress in representation and coherence in remuneration structures.<\/p>\n","protected":false},"excerpt":{"rendered":"

Opinion by M\u0103d\u0103lina Racovi\u021ban – Tax Partner, Head of People Services, KPMG in Romania Pay transparency becomes mandatory in 2026. Listed companies are already showing how transparency in the remuneration of executive management and members of the Board of Directors […]<\/p>\n","protected":false},"author":2,"featured_media":15198,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":[],"categories":[7,19,18,12,6,3,8],"tags":[570],"_links":{"self":[{"href":"https:\/\/outsourcing-today.ro\/index.php?rest_route=\/wp\/v2\/posts\/15196"}],"collection":[{"href":"https:\/\/outsourcing-today.ro\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/outsourcing-today.ro\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/outsourcing-today.ro\/index.php?rest_route=\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/outsourcing-today.ro\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=15196"}],"version-history":[{"count":1,"href":"https:\/\/outsourcing-today.ro\/index.php?rest_route=\/wp\/v2\/posts\/15196\/revisions"}],"predecessor-version":[{"id":15199,"href":"https:\/\/outsourcing-today.ro\/index.php?rest_route=\/wp\/v2\/posts\/15196\/revisions\/15199"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/outsourcing-today.ro\/index.php?rest_route=\/wp\/v2\/media\/15198"}],"wp:attachment":[{"href":"https:\/\/outsourcing-today.ro\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=15196"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/outsourcing-today.ro\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=15196"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/outsourcing-today.ro\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=15196"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}