Remuneration Committee
Terms of Reference and Membership 2023-24
Scope of Remuneration Committee
a) The University Remuneration Committee operates in line with the CUC Higher Education Senior Staff Remuneration Code, November 2021, and compliance is checked by Governance and reported to the Remuneration Committee.
b) Senior post holders at Leicester University who fall under the remit of the Remuneration Committee are:
- The President and Vice-Chancellor (VC)
- Executive Board members
- Staff earning a full time equivalent salary of (or more than) £150k (The £150k salary level is defined as the basic contractual salary without any temporary allowances and/or externally funded payments e.g. Head of Department allowances, Clinical Excellence Awards)
- Severance packages for staff earning a full time equivalent salary of (or more than) £100k per annum
- Any other staff who the governing body has deemed to be within the remit of the Remuneration Committee.
In addition, information regarding other senior staff paid more than £100,000 per annum would be presented to Remuneration Committee, on an annual basis, for information only.
Salary Definition
For the purposes of the terms of reference and undertaking the Remuneration Committee’s responsibilities, where salary is referenced, this is defined as the basic contractual salary without any temporary allowances and/or externally-funded payments e.g. Head of Department allowances, Clinical Excellence Awards, and on a full-time equivalent basis.
Role and Responsibilities:
Executive Board
a) To discuss, determine and review the remuneration, benefits and conditions of employment for members of the Executive Board (EB):
- President and Vice-Chancellor
- Provost and Deputy Vice-Chancellor
- Deputy Vice-Chancellor (Professional Services)
- Chief Financial Officer
- Registrar and Secretary
- Pro-Vice-Chancellor for Research and Enterprise
- Pro-Vice-Chancellor for Education
- 3 Pro-Vice-Chancellors and Heads of College
- Chief Marketing and Engagement Officer
Taking account of affordability, comparative information on the remuneration, benefits and conditions of employment in the University sector and elsewhere as appropriate.
b) To receive and discuss an annual report relating to the performance for members of the Executive Board in order to consider and approve any salary increases and/or unconsolidated additional annual payments.
Staff earning a full time equivalent salary of (or more than) £150k
c) To consider and approve recommendations for salaries that result in remuneration that exceeds £150k per annum (based on 1.0 FTE).
Severance Payments
d) To approve any severance or other payments made to members of EB and staff where salaries are in excess of £100k, taking into account both the CUC Higher Education Senior Staff Remuneration Code November 2021 and the CUC Guidance on Decisions Taken about Severance Payments in HEIs.
Senior Staff earning a full time equivalent salary of (or more than) £100k
e) To receive an annual report, for information, with the number of staff in receipt of salaries in excess of £100k per annum (based on 1.0 FTE) during the previous 12 months.
Senior Staff Pay Committee
f) To review the decisions of the Senior Staff Pay Committee and to approve any discretionary revisions made to the levels of remuneration as a result of retention issues that result in salary levels in excess of £150k, having particular regard to the University strategy, market position, equality duties and the need for transparency of process.
Paid External Activities Policy
g) To approve and review the Paid External Activities Policy for staff within the scope of the Remuneration Committee. To receive an annual report of activity, time and income retained for senior staff in relation to the Paid External Activities Policy.
Specific Considerations
h) To review the policy and parameters for the determination of the remuneration and benefits of senior officers of the University who fall within the remit of the Senior Staff Pay Committee, having given due regard to the University strategy, market position, equality duties and the need for transparency of process.
i) To promote the University’s responsibilities for equality and diversity by ensuring that relevant issues are given full consideration in all matters relating to the remuneration of all staff falling within the remit of the Remuneration and Senior Staff Pay Committees.
j) To take account of the context in which the University operates, including any consideration of the relevance of fair pay for all. Fair and appropriate remuneration requires three key elements that include:
- A fair, appropriate and justifiable level of remuneration;
- Procedural fairness; and
- Transparency and accountability.
Annual Remuneration Committee Reporting
k) To agree an annual framework of work and to review and report on progress through an Annual Remuneration Report and Statement for Council (and the University’s Financial Statements) which is transparent and produced in accordance with the requirements of the CUC Higher Education Senior Staff Remuneration Code (November 2021) and the Office for Students.
l) To publish the Annual Remuneration Report on the governance pages of the University’s website.
Reports to:
Council – with full delegated powers to determine salary increases, bonuses and severance payments without reference to Council, unless it thinks fit.
Constitution and Membership:
a) The Chair of Council (Chair) (Mr G Dixon)
b) The Treasurer (Ms C Ellis)
c) Up to three lay members of Council, appointed by the Nominations Committee (Dr S Dale-Black, Ms M Duke)
d) When the President and Vice-Chancellor’s salary is being considered, the role of Chair of the Remuneration Committee will transfer to the Treasurer for this item only. In the absence of the Treasurer, the role of Chair will pass to another member of the Committee for this item only.
Duration of Appointment:
a) and b) are ex-officio. Members appointed under c) shall serve for three years, renewable, but maximum length of service is normally six years.
Procedures
a) The Committee will invite the President and Vice-Chancellor and Director of Human Resources to attend part of the Committee’s meetings, as required, to consider the University’s Reward Strategy and practices and to provide information and answer any questions from the Committee.
b) The University’s Director of Human Resources will act as secretary to the Committee.
Frequency of Meetings:
The Committee will meet, as required, on the following dates during the period in question:
- Tuesday 24 October 2023, 1.30pm-3.00pm
- Thursday 25 January 2024, 2.00pm-3.00pm (if required)
- Tuesday 19 March 2024, 2.00pm-3.00pm (if required)
- Wednesday 8 May 2024, 2.00pm-3.00pm (if required)
- Tuesday 2 July 2024, 2.00pm-3.00pm (if required)
Quorum:
Three members.
Approved Council 24 October 2023.