Mumbai: Last month, Infosys co-founder N R Narayana Murthy had raised few uncomfortable questions over huge severance package granted to its outgoing chief financial officer Rajiv Bansal in 2015.
Murthy had also objected to huge gap in salaries of Infosys' low rung employees and those occupying corner offices. Murthy also regretted fall of corporate governance norms at the company that he co-founded.
News portal firstpost.com reports that variable pay of Vishal Sikka, Infosys' chief executive officer, has been docked for 2016-17. On Thursday, Infosys took on board a new co-chairman, an idea that Murthy had mooted since differences between Infosys board and its founders surfaced.
On Thursday, Infosys presented worse than expected quarterly profits that also ignited a call for a salary cut in Vishal Sikka's total compensation.
"Sikka’s variable pay was cut by 54 per cent and he took home only $3.68 million of his target variable compensation of $8 million for 2016-17," the report said. Presently, Vishal Sikka gets a fixed compensation of $3 million and his total take home for the year is $6.68 million.
On the contrary, the actual compensation for Sikka was $11 million. And, this does not stop here. The amount Sikka took home was substantially lower than what he took home in the year 2015-16, a $7.45 million salary package.
Variable pay is part of compensation that evaluates and monitors an emloyees performance. If Infosys' fourth quarter results for 2016-17 are anything to go by, Sikka could be at the receiving end as Infosys did not enacted a better show...