A revision in the remuneration of Anish Shah, MD and CEO, Mahindra Group may see his salary going from the present scale of Rs 18 to Rs 30 lakh per month, to Rs 30 to Rs 55 lakhs per month. Rajesh Jejurikar, executive director, automotive division, Mahindra Group, may also see a hike in remuneration if the increments proposed by the Board is approved.
In its latest Annual Report, the Mahindra Group, through its Board of Directors, via a special resolution, has asked for its shareholders’ approval to decide on increasing the current basic salary of Shah in the Rs 30 lakh to Rs 55 lakh per month range. Approval has been sought to increase the basic salary of Jejurikar too in the range of Rs 24 lakh to Rs 40 lakhs per month.
The remuneration will be finalised basis the recommendations of the shareholders.
That means, the basic monthly salary of Shah could be in the Rs 30 to Rs 55 lakh per month scale, for the next two years. Presently, it is in the scale of Rs 18 lakh-Rs 30 lakh per month. This proposed salary scale is applicable over a span of the next two years, lasting till the end of the current appointments in April 2025. The time-bound nature of the salary scale provides structure and accountability, while allowing for necessary adjustments to reflect the market and performance conditions.
Jejuriker, who used to earn Rs 26 lakh per month, may now expect to earn up to Rs 48 lakh per month.
Shah’s pay is based on his own performance and the performance of the company and is capped at 235 per cent of the annual basic salary for the period FY 2022-23 to FY 2024-25.
Jejurikar’s performance pay, which is also based on his performance and linked to the company’s performance, is capped at not more than 235 per cent of the annual basic salary from FY2023 to FY2025, says the company’s annual report.
In the financial year that ended on 31 March 2023, Shah had earned Rs 12.46 crore, which does not include the perquisite value of employees stock options or ESOPs exercised. Shah possesses 1,88,882 shares in the Group as on 31 March, 2023. His earning was Rs 16.44 crore inclusive of the value of ESOPs held by him.
