Mumbai: Naveen Jindal, the youngest scion of the O.P. Jindal Group, has emerged the highest paid corporate head in India for the second consecutive year, with a compensation of Rs 67.21 crore in the last fiscal.
Jindal’s pay was the highest despite him taking a 3.7% cut in his annual package from Rs 69.76 crore in the previous fiscal, according to a Mint analysis of data from Capitaline, a provider of financial and corporate information.
When it comes to the highest take-home packages over the past five years, Jindal loses out narrowly to media mogul Kalanithi Maran and his wife Kavery. They both earned Rs 194.23 crore each over the five-year period and took home Rs 64.40 crore in the last fiscal.
File photo of Naveen Jindal
Bharti Airtel Ltd chairman Sunil Mittal was fourth on the list with a take-home of Rs 27.51 crore last year. His annual salary has grown at a compounded rate of 13% over the past five years, during which he earned a total of Rs 108.40 crore.
Reliance Industries Ltd (RIL) chairman Mukesh Ambani, India’s richest person, doesn’t figure among the top 10 earners. Ambani took home Rs 15 crore every year for the last three years, but his cumulative salary package over the past five years stands at Rs 119.48 crore.
RIL executive directors Nikhil Meswani and Hital Meswani earned Rs 11.05 crore and Rs 11.03 crore, respectively, last year.
Anil Ambani, chairman of Reliance Group, earned Rs 11.04 crore in the last fiscal from four group companies—Reliance Capital Ltd, Reliance Infrastructure Ltd, Reliance Communications Ltd (R-Com) and Reliance Power Ltd. For the second consecutive year, he did not take any commission from R-Com, of which he is non-executive chairman.
Hero MotoCorp Ltd chairman and patriarch Brijmohan Lall Munjal was paid Rs 26.75 crore in compensation last year and Rs 106.94 crore over the past five years. Managing director Pawan Munjal cost the company Rs 26.47 crore last year and Rs 106.66 crore cumulatively over the past five years.
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Among non-promoters, the highest paid executive was Hindalco Industries Ltd’s managing director Debu Bhattacharya, who took home Rs 17.31 crore in the last fiscal, compared with Rs 13.15 crore and Rs 11.09 crore, respectively, in the previous two years. Bhattacharya, incidentally, earns more than what chairman Kumar Mangalam Birla earns from Hindalco.
Birla cost the company Rs 13.06 crore last year. He was also paid Rs 9.71 crore by Grasim Industries Ltd and Rs 1.84 crore by Aditya Birla Nuvo Ltd.
A.M. Naik, chairman of India’s largest engineering company Larsen and Toubro Ltd (L&T), took a 7.3% cut in earnings in the last fiscal year, taking home Rs 14.18 crore, as order inflows in both the firm and the sector slowed over the past couple of years. Unlike a majority of Indian firms that are family-owned, L&T is controlled by institutions.
The highest paid executive in the salt-to-software Tata group was the former chief executive and managing director of Tata Motors Ltd, Carl-Peter Forster, who earned Rs 12.60 crore last year. Tata Consultancy Services Ltd’s managing director and chief executive N. Chandrasekaran earned Rs 5.30 crore in the same period.
Group chairman Ratan Tata earned Rs 4.33 crore from Tata Steel Ltd and Tata Motors.
Interestingly, Crompton Greaves Ltd’s vice-chairman Sudhir Trehan earned more than chairman Gautam Thapar, with Rs 12 crore against Thapar’s Rs 8.49 crore.
The founders of gold loan company Muthoot Finance Ltd, M.G. George Muthoot, George Jacob Muthoot, George Thomas Muthoot and George Alexander Muthoot all earned Rs 4.80 crore each last year, up four times from Rs 1.20 crore in the year before.
Among the smaller companies, BGR Energy Systems Ltd chairman and managing director B.G. Raghupathy earned Rs 25.92 crore last year, higher than the Rs 23.49 crore earned cumulatively over the previous four years.
On a relative basis, Mukesh Ambani was the least expensive founder and chairman measured by remuneration to net profit last year, while Max India Ltd’s executive chairman Analjit Singh was the most expensive, with earnings of Rs 4.99 crore on a reported loss of Rs 42.09 crore.
Cadila Healthcare Ltd’s deputy managing director Sharvil Patel earned the highest raise in earnings last year, up 713% to Rs 10 crore from Rs 1.23 crore in the previous year.
Wipro Ltd chairman Azim Premji took the biggest cut in earnings last year, Rs 1.12 crore, down 86% from Rs 7.87 crore the year earlier.
Ravindra Sonavane contributed to this story.-