Head honchos of the corporate India make good money irrespective of the slow down
The corporate India might be reeling under the economic slowdown and the pay hikes have not been satisfactory in most of the companies in the last few years, however the top brass has managed to earn very handsome pay checks in spite of the slowdown.
Pawan Munjal the MD & CEO of Hero Motocorp, is on top of the pay charts having taken home Rs 37.88 crore last year. The first runner up in the rat race is Lupin’s Desh Bandhu Gupta, whose pay rose 69 % to Rs 37.15 crore last year. Apollo Tyres’ CMD Onkar Singh Kanwar’s remuneration rose 26 % to Rs. 30.41 crore while Sameer Gehlaut of Indiabulls earned Rs 29.6 crore.
Non-promoter CEOs of course make much less money even if they shoulder greater responsibilities; Chanda Kochhar, MD & CEO of ICICI Bank, and Shikha Sharma, MD & CEO of Axis Bank, for instance, drew salaries of Rs 5.23 crore and Rs. 3.75 crore, respectively, in FY14. The banks did very well and their banks’ assets having grown smartly to Rs 5.95 lakh crore and Rs 3.83 lakh crore, respectively.
The IT sector also saw a good story with TCS’s N Chandrasekaran, being rewarded with a 60 % jump in remuneration to Rs 18.7 crore. Debu Bhattacharya the MD of Hindalco Industries, had earned Rs 20.61 crore in FY13 while Larsen & Toubro’s AM Naik, had earned Rs 21.06 crore.
The surprising fact is that Pawan Munjal’s total pay — comprising basic salary, perquisites and allowances, retirement benefits and commissions — rose 15.5 percent in FY14 although the firm’s net profit growth stayed flat. Although the Companies Act 2013 allows executive directors to be paid a remuneration of up to 5 % of net profits, most firms typically pay between 1 and 2 %.
Source- The Financial Express
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