Hospital chain Fortis Healthcare today said its shareholders have approved an annual pay package of up to Rs 8 crore for its Managing Director Shivinder Mohan Singh.
In a filing to the Bombay Stock Exchange, the company said the shareholders had approved the proposal to re-appoint Singh as the Managing Director for another three years, with effect from November 13, 2009.
?The monetary value of perquisites or allowances will be limited to Rs 5.40 crore per annum, with authority granted to the board of directors to increase it from time to time up to an amount not exceeding Rs 8 crore per annum,? it said.
The announcement comes at a time when the government wants corporate India to follow its austerity footsteps.
Singh will get perquisites, like medical reimbursement, insurance premium, besides telephone and conveyance bills. He will receive a fixed annual bonus of Rs 2 crore.
The shareholders of Fortis Healthcare have also approved performance linked bonus for Singh in the range of Rs 1.50 crore to Rs 3 crore. Further, the shareholders have approved re-appointment of Malvinder Mohan Singh as a Director of the company and appointment of Sunil Godhwani as Director.
Corporate Affairs Minister Salman Khurshid had earlier said the pay packets of industry honchos should be trimmed and as far as CEOs? salaries were concerned, it should be up to the shareholders to decide what the company heads should be paid.