A staggering amount of wealth was created by the upper echelons of corporate India over the last two years even as tough economic conditions loom large over the payouts of the broader employee base.
Wealth creation was led by L&T and followed by Infosys, ICICI Bank, JSW Steel, Bharti Airtel, ITC, UltraTech Cement, Bajaj Auto, Reliance Industries, UPL, Asian Paints and Dr Reddy s Laboratories, on the basis of the number of options issued.
Reliance: Proxy firms Institutional Shareholder Services Inc. (ISS) and Institutional Investor Advisory Services (IIAS) have recommended that shareholders vote against the induction of Anant Ambani, the youngest son of Reliance Industries Chairman Mukesh Ambani, to the company s board. ISS cited Anant s limited leadership and board experience as a concern. However, Reliance defended Anant s appointment, stating that he has relevant experience and maturity.
Indian corporate boards and their nomination and remuneration committees are closely examining CEO compensation amid challenging economic conditions. With declining revenues and profits for many companies, there is greater emphasis on linking CEO pay to performance, financials, and market valuation.
Remunerations paid to top bosses in corporate India are increasingly coming under scrutiny, just as the gap between salaries of workers and top bosses widens.