Tech Mahindra’s latest company reported that CP Gurnani, CEO and Managing Director of leading IT giant, earned Rs 22 crore in salary in the last fiscal, compared to earning Rs 33.2 crore in the year before that. The CEO’s pay was down by 33% in the previous fiscal.
Tech Mahindra CEO’s pay consists of Rs 2.7 crore in salary, approx. Rs 9 crore in prerequisites and nearly Rs 1.7 crore in commissions. Gurnani was also eligible for trade payables worth Rs 1.8 crore. The remaining parts of Tech Mahindra CEO’s compensation are expected to come from stock compensation benefits.
Part of the decline can be attributed to the company’s top management decision in the first quarter of 2020 to not take their bonus or variable pay as part of an effort to reduce the financial loss that occurred owing to the pandemic crisis. Tech Mahindra is yet to provide a valid reason behind the decline in the pay of the company’s Chief Executive Officer, CP Gurnani.
It is known that the CEO of the IT major Infosys, Salil Parekh earned Rs. 49 Crores in the last fiscal. At the same time, the compensation of the CEO of Tata Consultancy services increases by almost 54% to more than Rs. 20 Crore. However, these salary increases cannot be directly regarded as increments in base salaries. The salaries of top management executives are expected to change according to the year-to-year changes in the stock vesting schedule.