KUB Malaysia Berhad Annual Report 2021

Remuneration of Senior Management The remuneration framework outlines the total compensation packages comprising fixed remuneration and variable remuneration payable to employees. Fixed remuneration refers to basic salary and other fixed income commensurate with the role and position of an individual employee, taking into consideration professional experience, qualifications, responsibilities, job complexity and local market condition. Variable remuneration refers to discretionary bonus and other benefits, which is cash-based and excludes shares and non-cash instruments. The total amount for the variable remuneration is determined by a financial matrix that includes factors such as KUB Group’s overall performance, achievement of selected financial ratios, market trends and economic outlook. The total value of cash-based remuneration for the top five (5) Senior Management of KUB Group for financial period ended 30 June 2021 is shown below: Group (RM’000) Short Term Employee Benefits: • Salary, allowances and bonuses • Other Benefits 3,032 3,168 Post-Employment Benefits: • Defined contribution plan - EPF • Social security contributions 3,342 333,5 TOTAL 3,547 Note: Exclude the remuneration of Group Managing Director declared under the Directors’ Remuneration. Board Assessment The Annual Board Evaluation covering the Board and Board Committees Effectiveness and Directors’ Self and Peer Assessment is undertaken to assess performance and identify areas for improvement. Directors’ Training The Board acknowledges the importance of continuing education for Directors in order to equip them with the necessary skills and knowledge. During the financial period under review, Directors attended a few training programmes as set out in the CG Report. PRINCIPLE B: EFFECTIVE AUDIT AND RISK MANAGEMENT Board Audit Committee (‘BAC’) The BAC comprises two (2) Independent Non-Executive Directors and a Non-Independent Non-Executive Director who possess financial expertise and commercial acumen to discharge their responsibilities. The Chairman of the BAC is not the Chairman of the Board to ensure objectivity in its findings and recommendations. Details of the composition and activities of the BAC are set out in the BAC Report. Terms of Reference of the BAC The BAC is governed by its Terms of Reference, which is available on the Company’s website. 33 ANNUAL REPORT 2021 CORPORATE GOVERNANCE