Remuneratie

Remuneratie is the total compensation provided to a person in exchange for work or services. In Dutch and Belgian contexts, it is a broad term that covers base salary, variable pay (bonuses, incentives), non-cash benefits (pension contributions, health insurance, car allowances), and other forms of consideration such as stock-based compensation or severance payments. The exact composition varies by contract, country, and industry.

In employment and corporate governance, remuneration policies are used to attract, retain, and motivate staff and executives. For directors and senior managers, remuneration policy is often set by a remuneration committee and approved by the board and, in some jurisdictions, by shareholders. Policies aim to align pay with performance, long-term value, and risk management, while avoiding excessive risk-taking or reputational harm. Controversies over pay, inequality, and bonuses are common in public debate.

Geographically, remuneration is a common umbrella term in Dutch-speaking regions, while in English contexts it is often translated as compensation or pay. Tax and social security rules generally treat remuneration as taxable income; some components may receive favorable tax treatment or be subject to capital gains rules when linked to equity-based compensation.

Companies typically publish remuneration reports outlining the policy, actual payments, and any performance criteria, sometimes including pay ratios between executives and employees. Remuneration is rooted in the Latin remunerare, meaning to reward or recompense.