47153 AG Barr Annual Report 2025 AW4 SQ WEB - Flipbook - Page 107
Strategic Report
Corporate Governance
Accounts
AG Barr is committed to offering its employees a competitive remuneration package. Base salaries for employees, including our executive directors,
are determined with reference to a range of factors including market practice, experience and performance in role.
The Committee also recognises that, due to the nature of the Company’s business and the flexibility permitted with the regulations for identifying
and calculating the total pay and benefits for employees, the ratios reported above may not be comparable to those reported by other companies.
Relative importance of spend on pay
The following table sets out the percentage change in dividends and the overall expenditure on pay (as a whole across the organisation).
Percentage change
Year ended
28 January 2024
£000
Year ended
25 January 2025
£000
% change
Dividends
14,729
17,238
17.0%
Overall expenditure on pay
63,200
63,700
0.8%
The Remuneration Committee
The following directors were members of the Remuneration Committee during the year: David Ritchie, Susan Barratt, Zoe Howorth, Louise Smalley, Mark Allen
and Nick Wharton. David Ritchie resigned from the Board and Remuneration Committee with effect from the closure of the AGM on 31 May 2024. Mark Allen
and Nick Wharton were appointed to the Remuneration Committee with effect from the closure of the AGM on 31 May 2024.
Euan Sutherland, Julie Barr and Stuart Lorimer attended specific Remuneration Committee meetings by invitation only. The Remuneration Committee
received assistance from the Company Secretary, who acts as secretary to the Remuneration Committee, and from other members of management,
who may attend meetings by invitation, except when matters relating to their own remuneration are being discussed.
The Remuneration Committee is required, in accordance with its terms of reference, to meet at least three times per year. The Remuneration Committee
met five times during the year. The Committee is responsible for determining, within its terms of reference, all aspects of the remuneration of the executive
directors, the Executive Committee and such other members of senior management as it is designated to consider. The Remuneration Committee reviews
the remuneration trends, pay levels and employment conditions across the Group. The Remuneration Committee is also responsible for determining the
remuneration of the Chair of the Company.
The Remuneration Committee recognises the importance of culture and effective employee engagement in the creation of a good workplace. Workforce
engagement sessions are held during the year, led by the Board’s designated workforce engagement director. Further information on workforce engagement
and how it influenced Board discussion and decision-making can be found in the Company’s Section 172(1) Statement in the Corporate Governance Report
on pages 72 to 74. The topic regarding how executive directors’ remuneration aligns with wider Company pay policy – in terms of governance, structure and
quantum – is included as a specific discussion item at workforce engagement sessions at least once per annum. The Board receives regular updates on
workforce engagement throughout the year. Further information on employee engagement is included in the Corporate Governance Report on pages 72 to 74.
The Remuneration Committee carried out an internally facilitated review of its performance and effectiveness during the year. This review included a detailed
and comprehensive evaluation of the performance and effectiveness of the Remuneration Committee using written survey questionnaires, which were
completed by members of the Remuneration Committee and the Company Secretary. The results of the evaluation were shared with the Remuneration
Committee. Overall, the review found that the Remuneration Committee was functioning in an effective manner and performing satisfactorily, with no
major issues identified.
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