look news india
Salary Hike: CEO salaries in India have increased rapidly after the Covid-19 pandemic. According to a Deloitte report, the average salary of a Chief Executive Officer (CEO) in India is Rs 13.8 crore. Which is 40 percent more than the Covid-19 epidemic. The incentive contribution in their salary has increased. A CEO who is also a member of the promoter family gets an average salary of Rs. Rs 16.7 crore has been paid.
Promoter CEO salary higher
The salary of promoter CEO is higher than that of professional CEO. Since promoter CEOs have a longer tenure than professional CEOs, salaries have increased steadily. Professional CEOs change frequently. Since the salary of the Promoter CEO is higher, the remuneration is also higher.
Despite growth in CEO compensation, more than 50 percent of compensation remains pay-at-risk. The risk-payoff for professional CEOs is 57 percent, while for promoter CEOs it is 47 percent. Professional CEOs earn 25 percent of their pay through long-term incentives. The CEO pay structure in India has grown in single digits year on year. Incentives are determined through an overall scorecard of the CEO's performance. In which financial and non-financial metrics as well as goals are considered.
45 percent CEOs changed
Reduction in stock options and ESOPs continues. Which has decreased from 68 percent in 2020 to 49 percent in 2024. BSE 200 companies (except PSUs) have seen large-scale CEO turnover. 45 percent of CEOs have changed in the last five years. Out of every 10 new CEOs, 6 are appointed from within the company's staff and the other 4 are appointed from outside.
