This is the time of the year when boards are called upon to fix pay levels of its members for the coming financial year. This series on CEO pay, compiled by IiAS using data from comPAYre, IiAS’ cloud-based pay-versus-performance tool, is aimed at sensitizing boards on the remuneration trends across the market, as a basis for determining appropriate pay structures. This last piece focusses on pay differential across key sectors.
Given the nature of their responsibilities, CEOs get paid higher than executive directors. However, in many of the key sectors, the CEO remuneration is more than twice of that of other executive directors. Further, promoter CEOs are paid much higher than their professional counterparts – even after accounting for stock option grants (which promoters are ineligible for). This pay differential is unjustifiable and needs corrective action from remuneration committees in the form of more equitable pay structures.
You can read this report by clicking this link.
You can read the earlier reports by clicking the links below:
Part 1: Indian CEO salaries outpace performance
Part 2: Bridging the pay gap
Part 3: CEO Pay Sector Analysis: Private Banks
Part 4: CEO Pay Sector Analysis: Automobiles
Part 5: CEO Pay Sector Analysis: Healthcare
Part 6: CEO Pay Sector Analysis: IT
Part 7: CEO Pay Sector Analysis: FMCG
Part 8: CEO Pay Sector Analysis: Construction Materials
Part 9: CEO Pay: Sector Analysis (Engineering)
Part 10: CEO Pay: Sector Analysis (Key Sectors)