remuneration for the President and CEO

Salary, remuneration and other financial benefits for President and CEO Jorma Rauhala 

President and CEO Jorma Rauhala’s personal remuneration, other financial benefits, performance bonus scheme criteria and performance bonuses paid are decided by Kesko's Board of Directors based on the Remuneration Committee's preparatory work. A written managing director's service contract, approved by the Board, is in force between the Company and the President and CEO. Rauhala has been the Company’s President and CEO and the Chairman of the Group Management Board since 1 February 2024. 

The fixed monetary monthly salary of the President and CEO is €65,000. The President and CEO’s performance bonus scheme (short-term commitment and incentive scheme) can be found here and share-based commitment and incentive scheme can be found here.

Retirement benefits of President and CEO

Old-age pension for the President and CEO Jorma Rauhala begins at 65 and the amount has been agreed to be 66% of the President and CEO’s pensionable earnings. The pension is based on a defined benefit plan and determined according to the rules of Kesko Pension Fund. Jorma Rauhala is a member of Kesko Pension Fund.

Period of notice and termination benefit for President and CEO

The period of notice for the President and CEO is six (6) months, both if the managing director’s service contract is terminated by the Company and six (6) months if President and CEO resigns. If the Company terminates the contract for a reason other than a material breach of contract by the President and CEO, and the President and CEO does not retire on an old-age pension or some other pension, the President and CEO is paid, in addition to the salary for the period of notice, a compensation corresponding to the combined amount of 12 months' monetary salary and fringe benefits.

Insurance

A health insurance and leisure travel insurance have been taken out for President and CEO Rauhala.