Axis Bank's Managing Director and Chief Executive Officer (MD & CEO) Amitabh Chaudhry took home a total compensation of Rs 9.75 crore in the fiscal year 2023, according to the bank's latest annual report. Chaudhry's compensation included a basic salary of Rs 4.4 crore and perquisites of Rs 1.4 crores and deferred variable pay components for the previous years.
In three previous fiscal year, Chaudhry had earned an annual salary of Rs 7.62 crore. Axis Bank's Deputy Managing Director, Rajiv Anand, got an annual compensation of Rs 6.4 crore that included a basic salary of Rs 2.9 crores, perquisites of Rs 34.3 lakh and variable pay, the report showed.
Perquisites include furnished accommodation, electricity, water and furnishings, club fees, personal accident insurance, loans, use of car and telephone at residence, medical reimbursement, travelling and halting allowances and newspapers and periodicals.
Also, both Chaudhry and Anand were granted 369,014 and 248,783 stock options, respectively, for fiscal 2022 and approval for the same was received from the RBI in fiscal 2023, the bank said. The stock options were granted at Rs 725.90 per share.
As a point of comparison, HDFC Bank’s MD & CEO Sashidhar Jagdishan took home an annual package of Rs 10.5 crore in the financial year 2022-2023, according to the annual report of the bank released on July 19. In FY22, Jagdishan had earned an annual salary of Rs 6.51 crore.
Jagdishan’s package included a basic salary of Rs 2.82 crore, allowances and perquisites of Rs 3.3 crore and a performance bonus of Rs 3.63 crore among other components, according to the annual report.
As against this, HDFC Bank’s Executive Director Kaizad Bharucha received an annual compensation of Rs 10 crore that included a basic salary of Rs 2.7 crore, allowances and perquisites of Rs 4.3 crore and a performance bonus of Rs 2.2 crore.
Both Jagdishan and Bahrucha received payments that also include the component received as part of the deferred cash variable of previous years. State Bank of India (SBI) Chairman Dinesh Khara took home Rs 37 lakh in the fiscal year 2022-2023, marking a jump of around 7.5 percent from the previous year, according to the bank’s annual report. SBI is India's largest bank by assets.
Khara’s salary included Rs 27 lakh basic pay and Rs 9.99 lakh dearness allowance. In the previous fiscal year, Khara earned Rs 34.42 lakh in annual salary for the financial year ending 2021-22 (FY22), 13.4 percent higher than what his predecessor Rajnish Kumar drew during FY21.
There has been a long-standing debate on the salary disparity between top bankers in public sector and private sector banks. Typically, top executives at private sector banks get far higher annual compensation compared with that of state-run banks.
In the case of Kotak Mahindra Bank, Managing Director and CEO Uday Kotak opted to forego his fixed salary and accepted a token salary of Rs 1 for the financial year 2022-23, the annual report of the bank showed, Moneycontrol reported on July 15.
Dipak Gupta, Joint Managing Director, got an annual compensation of Rs 5.43 crore, the report showed. Gupta's total package included a basic salary of Rs 2.74 crore and an annual incentive of Rs 1.18 crore. Other whole-time directors KVS Manian, Gaurang Shah and Shanti Ekambaram got total packages of Rs 5.3 crore, Rs 5.03 crore and Rs 2.02 crore, respectively.
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