Henkel’s compensation strategy is a significant part of our performance management. Our main objective is to ensure the long-term and sustainable business success of the company by aligning the interests of our employees with our business strategy. Our compensation programs are designed to reward employees for their contributions in the achievement of company and individual target objectives. Pay for performance signifies our key philosophy in rewarding employees for the achievement of short and long-term business goals.

Our compensation programs are competitive in the labor markets in which we compete and consist of: 

• Base Salary: a fixed pay component based on the requirements of the job and local market needs
• Short-Term Incentives: a reward for the achievement of business and individual targets based on annual targets
• Long-Term Incentives: a reward for our core management team for the long-term creation of Shareholder Value

We are committed to offering a broad array of competitive benefits that serve the diverse needs of our employees around the world. Our benefits form a valuable element of the overall Total Rewards package and focus on providing employees with adequate security in the major areas of: 

• health
• welfare
• retirement