2. FY2018-19 Senior Executive Remuneration
2.1 Remuneration governance at Western Sydney Airport
The role of the People, Remuneration and Nomination Committee (PRNC) is to assist the Board to fulfil its governance responsibilities in relation to people management and remuneration policies.
The table below sets out the roles and responsibilities of the Board, the PRNC and Management in relation to Executive remuneration.
The Board |
PRNC |
Management |
---|---|---|
|
|
|
|
|
|
|
|
|
|
Overarching Board discretion
The Board retains overall discretion to adjust remuneration outcomes upwards or downwards. In applying this judgement, the Board will consider a range of factors, including, but not limited to:
- Safety outcomes, including the delivery of priorities, plus lead and lag indicators;
- Overall financial outcomes of the Company;
- Unanticipated political and/or economic events;
- The quality of the outcome relative to the agreed strategy; and
- Alignment of individual behaviours with the Company’s vision and values.
Support from external advisers
During FY2018-19, WSA received external advice in relation to remuneration from KPMG. The advice included a review of its Remuneration and Benefits Policy and Short-term Incentive Policy, and benchmarking remuneration data which was used as an input to the annual review of Senior Executive remuneration. The advice provided by KPMG did not constitute a remuneration recommendation as defined in the Corporations Act 2001 (Cth).
2.2 FY2018-19 Remuneration strategy and framework
The Company’s remuneration strategy is aligned with the business plan and aims to deliver superior performance and sustainable growth in the interests of the Greater Western Sydney community. It is designed to attract, grow and retain the quality of people required to deliver the business plan.
2.3 FY2018-19 Remuneration Table
This table presents the Chief Executive Officer’s and senior executives’ remuneration for FY2018-19 with a comparison against FY2017-18 and is shown on an accruals basis.
Short Term Benefits |
Post-employment Benefits |
Other Long-Term Benefits |
|||||||
---|---|---|---|---|---|---|---|---|---|
Name |
Year |
Base Salary8 |
STI Cash |
Other benefits |
Annual Leave9 |
Superannuation Contributions |
STI Deferred |
Long Service Leave |
Total Remuneration |
$ |
$ |
$ |
$ |
$ |
$ |
$ |
$ |
||
Graham Millett1 |
2019 |
703,669 |
123,114 |
- |
54,128 |
20,531 |
123,114 |
3,266 |
1,027,822 |
2018 |
415,559 |
67,098 |
- |
35,277 |
16,707 |
67,098 |
714 |
602,453 |
|
Shelley Cole2 |
2019 |
479,469 |
63,750 |
- |
36,882 |
20,531 |
63,750 |
2,352 |
666,735 |
2018 |
326,560 |
71,461 |
- |
23,110 |
16,138 |
- |
595 |
437,864 |
|
Maryanne Graham3 |
2019 |
324,374 |
55,026 |
- |
26,267 |
20,531 |
55,026 |
1,651 |
482,875 |
2018 |
158,313 |
44,384 |
- |
12,253 |
8,354 |
- |
249 |
223,553 |
|
Katherine Newton-John4 |
2019 |
379,469 |
51,000 |
- |
29,190 |
20,531 |
51,000 |
1,745 |
532,935 |
2018 |
195,230 |
55,923 |
- |
14,019 |
12,653 |
- |
359 |
278,184 |
|
Jim Tragotsalos5 |
2019 |
442,995 |
66,300 |
- |
35,789 |
20,531 |
66,300 |
1,788 |
633,703 |
2018 |
37,689 |
- |
- |
2,958 |
3,580 |
- |
56 |
44,283 |
|
Joanne Vaughan6 |
2019 |
343,284 |
54,000 |
11,838 |
28,790 |
20,531 |
54,000 |
1,704 |
514,147 |
2018 |
162,410 |
46,159 |
- |
7,944 |
11,120 |
- |
324 |
227,957 |
|
Tom McCormack7 |
2019 |
316,224 |
44,828 |
- |
29,190 |
17,110 |
44,827 |
1,763 |
453,942 |
2018 |
- |
- |
- |
- |
- |
- |
- |
- |
|
Total |
2019 |
2,989,482 |
458,018 |
11,838 |
240,236 |
140,298 |
458,018 |
14,269 |
4,312,160 |
2018 |
1,295,761 |
285,025 |
- |
95,561 |
68,552 |
67,098 |
2,297 |
1,814,294 |
1 Graham Millett commenced as Executive General Manager Airport Infrastructure on 1 November 2017 (preceding this he was an independent contractor from 18 September 2017). On 23 February 2018 Mr Millett was appointed Chief Executive Officer.
2 Shelley Cole commenced as General Manager Finance 18 September 2017 and subsequently, her position was expanded to Chief Financial Officer on 1 January 2018.
3 Maryanne Graham was appointed Executive General Manager Corporate Affairs on 1 February 2018.
4 Katherine Newton-John was appointed General Counsel and Company Secretary on 27 November 2017.
5 Jim Tragotsalos was appointed EGM Airport Infrastructure on 4 June 2018.
6 Joanne Vaughan was appointed Chief People & Culture Officer on 18 December 2017.
7 Tom McCormack was appointed Chief Information Officer on 1 September 2018.
8 Base salary comprises cash salary excluding annual leave accrued.
9 For FY2018–19 annual leave is the total amount of leave accrued for the period. For FY2017–18 the movement in annual leave provision is presented.
2.4 FY2018-19 STI outcomes for the CEO and the Executives
This table presents the Chief Executive Officer’s and Senior Executives’ Target and Awarded STI for FY2018-19.
Name |
Target STI |
Awarded STI |
Awarded STI as % of Target |
Forfeited STI |
STI Cash |
STI Deferred |
---|---|---|---|---|---|---|
$ |
$ |
$ |
$ |
$ |
||
Graham Millett |
289,680 |
246,228 |
85% |
43,452 |
123,114 |
123,114 |
Shelley Cole |
150,000 |
127,500 |
85% |
22,500 |
63,750 |
63,750 |
Maryanne Graham |
122,280 |
110,052 |
90% |
12,228 |
55,026 |
55,026 |
Katherine Newton-John |
120,000 |
102,000 |
85% |
18,000 |
51,000 |
51,000 |
Jim Tragotsalos |
156,000 |
132,600 |
85% |
23,400 |
66,300 |
66,300 |
Joanne Vaughan |
120,000 |
108,000 |
90% |
12,000 |
54,000 |
54,000 |
Tom McCormack |
99,616 |
89,655 |
90% |
9,961 |
44,827 |
44,827 |
Total |
1,057,576 |
916,035 |
- |
141,541 |
458,018 |
458,018 |
2.5 FY2018-19 STI scorecard outcomes for the CEO and Senior Executives
The CEO and Executive scorecards contain a range of financial and non-financial KPIs that are aligned to the strategic priorities of Western Sydney International.
The Company’s scorecard in FY2018-19 is detailed below:
Strategic Domain KPI |
KPI Description |
Performance Outcome |
---|---|---|
Safety Record |
Measures WSA’s success in cultivating and reinforcing a zero-harm, prevention and protection mindset amongst employees, contractors and consultants. TRIFR < 5. |
Achieved TRIFR = 3.4 |
Employee Engagement |
Measure agility, engaging leadership, talent focus, and commitment to roles. Baseline to be established following collection of initial employee feedback. |
Achieved Baseline = 66% |
Community Engagement |
Measures the extent of community engagement undertaken by WSA and subsequent awareness of Western Sydney Airport. Baseline to be established following initial community feedback. |
Achieved Baseline = 63% |
Environmental Performance |
Measures performance relating to environmental conditions imposed upon WSA during construction (as per the Airport Plan, Environmental Impact Statement, and associated Construction Environment Management Plans). Meet all relevant conditions. |
Achieved |
Financial Performance |
Measure of actual expenditure relative to budgeted forecasts. Expenditure within budget. |
Achieved |
Visit
https://www.transparency.gov.au/annual-reports/wsa-co-ltd/reporting-year/2018-2019-32