BENGALURU: Infosys had 74 employees in its crorepati club in 2019-20, up from 64 in the year before. Employees at the designation of vice-presidents and senior vice-presidents make up for the bulk of the crorepatis.
A significant jump in the compensation of these employees in the 2020 fiscal compared to the previous one was because of the increase in perquisite value of stock incentives previously granted and exercised during the year, Infosys’s annual report showed. Remuneration includes fixed pay, variable pay, retiral benefits and stock options exercised during the period. Infosys’s overall wages at leadership levels remained constant or lower and there were no promotions during 2019-20 at the leadership level. A majority of the key management personnel (KMP) did not go through the increment cycle in the last fiscal.
The median remuneration of employees (MRE) rose 10% to Rs 6.8 lakh in 2019-20, from Rs 6.2 lakh previously. The average annual increase in the salaries of employees was 7.3% in India, after accounting for promotions and other event-based compensation revisions.
The ratio of Infosys CEO Salil Parekh and its COO UB Pravin Rao’s remuneration to MRE was 502 and 155 respectively.
Talking about the current environment, Infosys chairman Nandan Nilekani said in his letter to shareholders, “…the real test will come in the following months when we must find ways to understand and respond to the gradually evolving dynamics of the new normal. Technology will prove an ally here. That said, building systems and operating models at enterprise scale is an exercise in factoring scale intrinsically into the design of solutions.”