Question to the Cabinet Office:

To ask the Minister for the Cabinet Office, pursuant to the Answer of 27 November 2024 to Question 14704 on Remuneration Committee, what the (a) terms of reference and (b) remit are of that Committee.

The Government Commercial Organisation (GCO) Remuneration Committee's remit focuses on overseeing all aspects of remuneration for GCO staff, including setting strategic direction for remuneration and reward, and ensuring pension administration is managed correctly.

A summary of the terms of reference is below:

GCO Remuneration Committee - Summary Terms of Reference (TOR)

1. Membership

The Committee will comprise five members: - two Non-Executive Directors (NEDs), of whom one will be the Committee Chair; - the Government Chief Commercial Officer (GCCO); and - two independent members comprising a senior Cabinet Office (CO) HR representative and a HM Treasury representative.

2. Authority

The Committee is authorised to approve the remuneration of the GCO’s employees.

3. Remit

The Committee will act on a collective basis, and has collective responsibility for overseeing the total reward of GCO employees covering all aspects of terms and conditions within the GCO.

4. Duties

4.1 In support of delivering against the remit of the Committee, the following duties will apply: - The Committee will seek to ensure that the GCO reward structure continues to be competitive, in order to attract, retain and motivate employees within the constraints and parameters set by HM Treasury and the Civil Service Board.

In addition, the Committee will:

- Have access to the appropriate personal reward and performance information and have the sufficient resources in order to carry out its duties, including access to relevant experts and advice as required.

- Be provided with appropriate and timely training, both in the form of an induction for new members and in light of any GCO or wider Civil Service changes on an ongoing basis as and when required

5. Role of members in supporting the Committee’s work

Effective corporate governance requires that Committee members abide by certain principles when making their own contributions to the Committee’s work, including:

a. working cooperatively with fellow Committee members in the GCO’s best interests.

b. allocating sufficient time to discharge their responsibilities effectively.

c. reaching a view on issues based upon proper and impartial consideration of the facts presented and not on the basis of predetermined or partisan views.

d. supporting corporate decisions whatever one’s personal view on the matter.

e. respecting any decision of the Committee that an item of business should remain confidential unless there is a legal requirement to waive confidentiality.

f. declaring any potential conflict of interest arising from discussions of business or from other aspects of membership and, where appropriate, recusing themselves from discussions of business.

6. Secretariat

The GCO will provide the secretary to the Committee and will ensure that the relevant information and papers are issued to members in a timely manner to enable full and proper consideration to be given to the issues.

7. Meetings

The Committee will have a minimum of two meetings a year, with meeting dates agreed annually with the Chair. Meetings of the Committee may have to be moved / amended as required by the relevant GCO remuneration and people policies.

The secretariat will record actions and decisions of all committee meetings, including the names of those present. They will also make a record of any out of Committee decisions and actions.

8. Other matters

The quorum necessary for any approval or recommendation will be three, including at least one Non-Executive Director and matters can be considered, and recorded, out of formal Committee meetings.