REMUNERATION REPORT (continued) • In line with the growth ambitions and moving into new markets, long term retention incentives were considered and awarded to the respective senior leaders to ensure there is commitment to the long-term strategic goals. • With PPS’s vision to grow the business significantly and capitalise on its unique mutual model, parts of the organisation were restructured, referred to as Project Khula (growth), to enable its vision for 2027. Where there were job role impacts, a remuneration benchmarking was conducted to ensure that the remuneration levels remain competitive and recognise the added scope of the roles. • Continuous efforts in increasing the number of senior management staff and critical key skills to participate in the long-term retention scheme to ensure that we remain competitive at this level. Remuneration Philosophy and Policy The PPS Group is committed to a remuneration philosophy that is competitive in the market and focuses on rewarding individual and corporate performance. People are one of the PPS Group’s strategic differentiators and the achievement of the PPS Group’s objectives is supported by the way in which it rewards people for their contributions. Remuneration is not only important when recruiting people into the organisation, but also in retaining, engaging and motivating them, and therefore forms part of the foundation of the psychological contract between employee and employer. This policy is important for the PPS Employee Value Proposition. Remuneration Framework The determination of the total remuneration packages of employees is overseen on an annual basis by Remco within the context of a total reward approach, balanced design and pay mix. The PPS Group remuneration structure is based on the following remuneration principles: • Driving a high-performance culture: Performance contracts include financial and non-financial, qualitative and quantitative, as well as lag and lead metrics. Performance measurement metrics are set annually and reviewed for broad alignment to the PPS Group's objectives and strategies. The mix of short-term and long-term incentives is aligned to appropriate risk management principles, in order that management's performance is aligned with members' long-term interests and the remuneration structure does not induce excessive or inappropriate risk-taking. • Balance between fixed and variable remuneration: The mix of guaranteed pay and short- and long-term incentives is in line with the risk appetite and culture of the company and is designed to meet the PPS Group’s operational needs and strategic objectives, based on targets that are stretched, verifiable and relevant. • Long-term value creation: Given the long-term nature of the business, the remuneration structure needs to support both long-term value creation and the achievement of short-term objectives. • Pay fairness: PPS strives for a total reward offering that is aligned with the principle of equal pay for equal work. 100 Remuneration report by the Group Remuneration Committee
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