Wipro chairman Azim Premji pay package in the last fiscal saw a fall of 63 percent at $1,21,853 (about Rs 79 lakh) , without any commission paid during the year, a PTI report has said. He drew a compensation of $3,27,993 (about Rs 2.17 crore) in the last fiscal.
The net income of Wipro slipped 4.7 per cent for the full year over last fiscal. For the fourth quarter, revenue of its IT services slipped marginally in October- December quarter. However, company’s CEO Abidali Neemuchwala’s pay package was raised by 16 percent to $2.09 million during FY 2016-17, which included $8,00,000 in salary, $1,50,244 in commission, $1.13 million (others) and $9,014 (deferred benefits). He was promoted as the CEO on February 1, 2016 last year from the position of COO.
Premji received $66,464 in salary and allowances and $41,742 (others) and $13,647 in long-term compensation, which totalled $121,853 for the year 2016-17, documents with the US SEC has revealed. “Azim H Premji is entitled to a commission at the rate of 0.5 per cent on incremental net profits of Wipro for the fiscal 2017 over the previous year… For the year ended March 31, 2017, commission paid to Azim H Premji is INR Nil,” the document said.
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The document further said that other executives of the company got variable pay under a quarterly performance linked scheme, which is based on parameters of individual or combined performance of the business unit, division or segment or the firm. Premji had received $1,39,634 as commission in last fiscal. According to the report, there has been a fall in in compensation for senior executives in the industry. For example, Infosys CEO Vishal Sikka package came down drastically by 67 per cent to Rs 16.01 crore in 2016- 17 from Rs 48.73 crore in the previous year, as per the news agency.
The huge compensations for leaders in IT sector came to limelight after Infosys founder N R Narayana Murthy raised questions on pay hikes for senior executives in his company.