Compensation, Performance Evaluation and Employee Incentives

In 2024, Kcell’s total annual payroll – including bonuses and incentive payments – amounted to KZT 19.7 billion (2023: KZT 19.7 billion; 2022: KZT 16.7 billion).

In 2024, the median monthly salary at Kcell JSC was KZT 671,300 for female employees and KZT 870,200 for male employees. The 22.9 % gap is due to differences in the professional structure: women are predominantly employed in administrative and service roles (64 %), while men are more often engaged in technical and engineering positions. At the same time, the Company places great emphasis on ensuring equal opportunities and continues its efforts to expand the participation of women across all professional areas, including technical and managerial positions.

Kcell’s remuneration and incentive system is based on the following core principles:

• Internal equity: pay is determined based on job grade; External competitiveness: compensation levels are benchmarked against the relevant labour market;
• Transparency
• Performance linkage: employee compensation is tied to both Company-wide and individual achievement of set goals and objectives, and aligned with Kcell’s financial capacity;
• Inclusivity: remuneration decisions are free from discrimination based on gender, race, nationality, religion, age, political beliefs, or any other characteristic.

The Company applies several types of incentive-based compensation:

• Annual bonus
• Functional performance bonus
• Project-based bonus
• One-time discretionary bonus
• Additional performance bonus for exceeding planned targets in Revenue and EBITDA Margin

Key performance indicators used to determine employee bonuses and incentives include:

• Achievement of the Company’s corporate financial targets
• Fulfilment of individual goals and objectives
• Adherence to workplace discipline.

Annual bonuses, functional performance bonuses, project-based bonuses, and additional performance incentives for exceeding Revenue and EBITDA Margin targets are governed by internal Company policies. One-time bonuses are awarded on a discretionary basis, subject to approval by the Management Board.

As part of ongoing efforts to improve employee loyalty (eNPS) and working conditions, the Company continued implementing its action plan in 2024, which included the following initiatives:

• Hosting a variety of corporate events, including team-building activities, contests, and quizzes
• Launching a staff equipment purchase program in partnership with Samsung
• Enhancing the incentive program for employees performing dual roles
• Introducing “Free Fridays” and Creative Days
• Revamping the internal training platform, “Corporate University”.

In 2024, the Company also launched an employee recognition program. This includes awards for outstanding individual and team contributions, with winners receiving certificates and valuable prizes in recognition of their professional achievements. Beyond job performance, the program also features an ESG Leader category. This award celebrates employees who actively contribute to socially significant ESG projects. The initiative not only strengthens employee motivation but also promotes the development of impactful ESG activities across the Company.