Integrated_Annual_Report_2026 - Flipbook - Page 157
INTRODUCTION
SASOL AT A
GLANCE
DRIVING SUSTAINABLE
VALUE CREATION
EXECUTING
STRATEGY
DELIVERING
BUSINESS VALUE
SUMMARISED FINANCIAL
PERFORMANCE
CORPORATE
GOVERNANCE
SUSTAINABILITY
REPORT
REMUNERATION
REPORT
ASSURANCE /
ADMINISTRATION
PART II: SECTION A – REMUNERATION POLICY CONTINUED
Overview of remuneration elements continued
EXECUTIVE REMUNERATION
VARIABLE PAY
Long-term Incentive Plan
We offer a single LTI plan to all eligible participants,
which is Equity- or Cash-settled. LTI grants are awarded
annually to eligible employees, where the underlying
value is tied to the market value of a Sasol ordinary
share for Southern African participants or an American
Depositary Receipt (ADR) for international participants,
subject to vesting conditions.
Annual awards are made with reference to a percentage
of base pay or TGP, and a number of factors including
local market practice, individual performance, the
organisation’s requirement for skills retention and
contribution to long-term achievement of corporate
performance targets.
Vesting of awards is subject to the achievement of
Corporate Performance Targets (CPTs) and/or service
criteria. The CPTs are aligned to the strategic priorities of
the Group, and are designed to ensure delivery of those
medium- to long-term objectives.
LTI grants are linked 100% to Corporate Performance
Targets and have a performance-based vesting period
of three years.
Minimum Shareholding Requirement (MSR) and
Post-cessation Holding Requirements
Application
LTIs form an important part of our reward mix and are governed
by the 2022 LTI Plan Rules approved by shareholders.
Target award levels as well as the corporate performance
targets are regularly reviewed to ensure ongoing market
competitiveness and alignment to strategic priorities over the
medium to long term.
The Committee considers the potential impact of windfall gains/
windfall losses at the vesting date and is required to apply fair
and transparent discretion where this may result in unintended
consequences.
Employees leaving Sasol’s service for reasons of dismissal,
resignation or mutually agreed separation forfeit outstanding
LTI grants.
For ‘good leavers’, being employees whose service terminates
due to retirement, retrenchment, ill-health or disability,
outstanding awards are retained. Vesting conditions remain in
place, subject to the Committee’s discretion.
MSRs are determined in accordance with the Group MSR Policy, as
amended from time to time. MSRs are applicable to all Executive Directors
and Prescribed Officers and are stated as a percentage of annual
pensionable salary on the appointment date, or as reviewed thereafter:
• President and CEO: 300%
• Group Chief Financial Officer: 200%
• Other Executive Directors and Prescribed Officers: 100%
Prescribed Officers are allowed a period of six years to attain the MSR
and Executive Directors a period of five years.
Participants are required to retain the vested after-tax shares until the
MSR has been met whereafter they may elect to either sell or retain
the vested shares above the MSR level as held in personal beneficial
holdings.
The post-cessation holding requirement applies for a period of 12 months
post service termination or when the employee is no longer a Prescribed
Officer. Thereafter, it reduces to 50% of the MSR for a further six months.
The target and maximum pay-outs are as follows:
1
2
3
LTI
On-Target1,2
Maximum3
CEO
150%
300%
CFO
125%
250%
Other members
of the GEC
110%
220%
Performance LTIs
100%
Calculated as a percentage of Annual TGP or Base Salary
On-target award: The on-target award may be determined within a range around the target level, at the discretion of the Committee or Board, as appropriate, having regard to individual performance, retention risk, and the scarcity of critical skills.
Maximum award: An increase in the on-target award level will not result in a corresponding increase in the maximum award opportunity, even where stretch performance is achieved. The maximum pay-out is capped and excludes the impact of any share price appreciation.
SASOL INTEGRATED REPORT 2026
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