President and CEO

Salary and benefits

EUR 807 300/year and car benefit of maximum EUR 26 400/year.

In 2020, the fixed salary of the CEO is temporarily cut by 15% for a three-month period. Salary amounted to EUR 777 026 and benefits to EUR 29 190. Special payments, comprising integration award, amounted EUR 702 000 (paid in 2020).

Short-term incentives 

The President and CEO is entitled to an annual bonus corresponding to 75% (50% in 2019) of the CEO's annual base salary when performance targets met, with a maximum potential reward of 150% (100% in 2019) of the annual base salary. 

Performance criteria in 2019 (paid in 2020):

• Group revenue (40%)
• Group adjusted operating profit (30%)
• Strategic and operational goals (30%)

The amount of the bonus paid based on the financial performance in 2019 was EUR 412 078 (paid in 2020).

Performance criteria in 2020 (paid in 2021)

• Group revenue (20%)
• Group adjusted operating profit (20%)
• Synergy targets (20%)
• Adjusted free cash flow (20%)
• Strategic and operational goals (20%)

The amount of the bonus paid based on the financial performance in 2020 was EUR 847 424 (paid in 2021).

Long-term incentives 

Participant in share-based incentive plans for 2019–2021 and 2020-2022.

Share rewards are based on the relative Total Shareholder Return (TSR), strategic target related to TietoEVRY growth and Earnings per Share (EPS). Further details on share reward criteria available on this page.

In March 2020, a total of 13 947 shares were delivered to the CEO related to share-based incentive plan 2017–2019. This amount consists of

• 11 265 shares, based on an overall achievement of 105% with performance criteria consisting of Earnings per Share, relative TSR and revenue growth
• 2 682 shares from the Restricted Share Plan

A cash portion corresponding to a value of 12 053 shares was paid to cover related taxes. The total value of paid gross reward was EUR 595 057.

In March 2021, a total of 9 729 shares were delivered to the CEO related to the share-based incentive plan 2018–2020. Share delivery was based on an overall achievement of 80% with performance criteria consisting of Earnings per Share, relative TSR and revenue growth.

Share ownership guideline

The recommended minimum investment in company shares corresponds to the executive's one time gross annual base salary.

Retirement age

 63

Expenditure for voluntary pension

Expenditure for voluntary pension amounted EUR 121 095 in 2020.

Payments to defined contribution plans are recognized as expenses for the period to which they relate. After payment of the contribution the Group has no further obligations in respect of such plans.

Period of notice

12 months (six months if terminated by the President and CEO)

If the agreement is terminated by TietoEVRY, the company will pay severance equivalent to the base salary plus the short-term target incentive for six months on top of the salary for the notice period.

Severance payment

If someone acquires over 50% of the company's shares or the company is merged with another company as a merging company and if the agreement is terminated by either party within nine months of such acquisition or merger, the company shall pay a severance payment equivalent to the base salary plus the short-term target incentive for six months and the monetary value of the maximum amount of shares granted to him in the most recent long-term incentive plan in addition to the salary for the notice period.

Should the CEO stay in the company after an acquisition or a merger, he is entitled to the above mentioned outcome of the most recent long-term incentive plan after twelve months after such an acquisition or a merge.

If the agreement is terminated by the President and CEO, except in the event of the above mentioned over 50% take over or the merge, the severance payment shall not be paid.