We all are aware of the fact that Mukesh Ambani is the richest man in India. But did you know that the largest shareholder of the Reliance Industries Limited has not got an increment in the last 11 years? Yes! For over a decade now, Ambani has kept his annual salary from Reliance Industries (RIL) capped at Rs 15 crore. “Compensation of Shri Mukesh D Ambani, Chairman and Managing Director has been set at Rs 15 crore, reflecting his desire to continue to set a personal example for moderation in managerial compensation levels,” RIL said in its latest annual report.
According to PTI, here’s all you need to know about his salary, increments, allowances, commissions and more.
· Ambani has kept salary, perquisites, allowances and commission together at Rs 15 crore since 2008-09, forgoing over Rs 24 crore per annum.
· This is at a time when remunerations of all whole-time directors of the company, including cousins Nikhil and Hital Meswani saw a handsome increase in the fiscal year ended March 31, 2019.
· Ambani’s remuneration for 2018-19 included Rs 4.45 crore as salary and allowances, which is marginally lower than Rs 4.49 crore he got in the previous 2017-18 fiscal.
· Commission has been unchanged at Rs 9.53 crore while perquisites have risen to Rs 31 lakh from Rs 27 lakh. Retirement benefits were Rs 71 lakh.
· Ambani voluntarily capped his compensation at Rs 15 crore in October 2009 amid a debate over right-sizing of CEO salaries. The salary-cap continued even as all other executive directors saw their remunerations go up.
· ‘Performance criteria for two Executive Directors, entitled for Performance Linked Incentive (PLI), are determined by the Human Resources, Nomination, and Remuneration Committee,’ RIL said in the annual report.
· RIL's non-executive directors, including Nita Ambani, also got Rs 1.65 crore each as commission, besides sitting fees. The commission was Rs 1.5 crore in 2017-18 and Rs 1.3 crore in the previous year.
· Former State Bank of India (SBI) chairman Arundhati Bhattacharya got only Rs 75 lakh as a commission as she was appointed to the board of RIL only with effect from October 17, 2018.
· Apart from Ambani, the RIL board has Meswani brothers, Prasad, and Kapil as wholetime directors.