Railway board members usually earn between 700,000 euros and 850,000 euros in base salary, plus bonuses. The bottom line is that the severance payment could easily be in the seven-figure range.

Because Deutsche Bahn’s new compensation system has significantly increased the basic salaries of board members from 2024. Board member Daniela Gerd tom Markotten conceded loudly Compensation report 2024 Basic salary was already 746,000 euros, Evelyn Palla, as head of regional transport at the time, received 700,000 euros. Former CEO Richard Lutz was at the top with 1.42 million euros.

Compensation is likely to be more than one million euros

According to the compensation report, Dohm is entitled to two full years’ salary as severance pay. Because the report says: “The board members are entitled to appropriate severance pay upon termination of the organizational appointment before the contractually agreed date, unless there is an important reason for which they are responsible. The severance payment is based on the remaining term of the contract, the agreed target salary and, if applicable, the pension claims to be fulfilled by DB AG during the remaining term of the contract.

In accordance with the recommendations of the PCGK, a severance payment cap is included in all service contracts of DB AG Executive Board members. According to this, payments to a board member due to premature termination of board activity without good cause i.e. S.d. § 626 BGB does not exceed the value of two annual salaries including variable salary components and do not pay more than the remaining term of the employment contract.”

Differences with railway boss Palla

The reason for the early departure: Differences with railway boss Evelyn Palla. Dohm’s leadership style is said to have caused unrest internally. She is also said to have angered politicians and employee representatives. The supervisory board wants to officially decide on her dismissal in March. The “Süddeutsche Zeitung” was the first medium to report on the impending change.

What will annoy many people is that the high severance payment can hardly be prevented. A so-called severance payment cap applies to the executive board contract. Two years’ salary in the event of early termination by the company is standard at Deutsche Bahn. Only in the case of gross misconduct would a different result be conceivable. There is no mention of that here.

Former railway board members also cashed in

Dohm is not an isolated case. Former railway board members such as Norbert Bensel and Margret Suckale also left the group with similar sums. The system is well known, criticized, but legally watertight.

The train itself? Be silent. When asked by the news portal “Spiegel”, there was no comment on the personnel or the amount of the severance payment. Only this much is certain: Dohm is leaving. And leaving costs money.