India's 5 Highest Paid CEOs. Do They Deserve the Big Bucks?

India is on the cusp of a breakthrough that will shock many countries.

And at the heart of this boom is the corporate workforce of the country. They have a big responsibility on their shoulders.

Especially the leaders...

In the hustle and bustle of India's corporate arena, leadership isn't just a role. It's an art.

The financial year 2022-23 was packed with challenges and opportunities.

Amid the chaos, a league of extraordinary leaders steered their respective ships through uncharted waters, bagging not just accolades but also fat pay checks.

We're talking about the CEOs.

These CEOs are more than just names on the letterhead. They are architects of corporate dreams, each weaving their unique story.

From FMCG to tech giants, their playgrounds are as diverse as their strategies.

These CEOs have time and again proved that it is possible to succeed even in difficult times.

Mind you it's not all about pie charts and dollar signs. At the end of the day, they too are people.

We're talking about real people here...

People who before they were big shots, were students just like us. Education set their stage, honed their skills, and armed them to play the corporate symphony.

They put their degrees to practical use in steering their ships in a rather stormy year.

But their salary packages might raise some eyebrows. Today we will spill the beans on it all.

Here's a list of top 5 highest-paid CEOs in India during FY23.

#1 C Vijayakumar, CEO of HCL Technologies: Salary - US$ 16.5 m

CEO and Managing Director of HCL Technologies, Vijayakumar has been with the company for over 28 years and has held a variety of leadership positions.

Vijayakumar is a graduate in Electrical & Electronics Engineering from P.S.G. College of Technology, Tamil Nadu, India, and has an MBA from IIM Calcutta.

He is a member of the Wall Street Journal's CEO Council and is on the Steward Board of World Economic Forum's Strategic Initiative on 'Future of Education, Gender and Work'.

He is also a passionate champion of the diversity and gender empowerment agenda.

Under Vijayakumar's leadership, HCL Technologies has been consistently ranked among the top IT services companies in the world.

Vijayakumar is a strong advocate for the use of technology to solve social and economic problems. He believes that technology can be a force for good in the world and is committed to using HCL Technologies' expertise to make a positive impact on society.

Under his leadership in FY23, HCL Technologies clocked an operating profit of Rs 226.28 bn which was 10% higher than the previous year's 205.29 bn. The net profit for FY23 was Rs 148.45 bn.

Apart from this, some of the key achievements of C Vijayakumar as CEO of HCL Technologies in in tenure are:

• Led the company's growth to over US$ 12 bn in revenue.
• Increased the company's market capitalisation to over US$ 20 bn.
• Transformed the company's business model to focus on digital transformation.

#2 Thierry Delaporte, CEO Wipro: Salary - US$ 10 m

Thierry Delaporte, at the helm of Wipro India as CEO, is a seasoned leader celebrated for his strategic prowess and transformative strategies in the tech sphere.

With an impressive track record and a versatile skill set, Delaporte has been instrumental in propelling Wipro's evolution amid the swiftly changing global market.

He holds a bachelor's degree in economy and finance from SciencesPo Paris, and a Master of Laws from the Sorbonne University.

Taking charge as Wipro India's CEO in 2020, Delaporte brought along 25+ years of expertise in the tech and consulting sectors.

Before joining Wipro, he held influential leadership roles in some of the most respected organisations, showcasing his adeptness in steering intricate business operations.

His visionary leadership hinges on harnessing technology to offer innovative solutions aligned with shifting market dynamics.

Delaporte's tenure has witnessed an all-encompassing makeover of Wipro India. His role has been pivotal in advancing the company's digital capabilities, broadening its international presence, and nurturing a culture of ingenuity.

Beyond just refining operational efficiency, his strategic manoeuvres have established Wipro as a formidable contender in the digital transformation arena.

A noteworthy feather in Delaporte's cap is his emphasis on forging robust client relationships. His ethos centres on customer-centricity, recognising that catering to client needs is pivotal for sustained growth.

By blending Wipro's offerings with client requisites and providing bespoke solutions, he has been pivotal in enhancing customer contentment and allegiance.

Under his leadership in FY23, Wipro booked an operating profit of Rs 168.48 bn which was slightly higher than the previous year's 166.84 bn. The net profit for FY23 was Rs 113.66 bn.

#3 C P Gurnani, CEO Tech Mahindra: Salary- US$ 7.6 m

Gurnani is a chemical engineer from the National Institute of Technology, Rourkela, and has an MBA from the Indian Institute of Management, Ahmedabad.

He has over 30 years of experience in the IT industry, and has held various leadership positions at Tech Mahindra, including President of Global Delivery, Chief Operating Officer, and CEO.

Under Gurnani's leadership, Tech Mahindra has strengthened its commitment to sustainability and social responsibility. He is very passionate about the use of technology to solve social and economic problems.

He too believes that technology can be a force for good in the world, and he is committed to using Tech Mahindra's expertise to make a positive impact on society.

Under his leadership in FY23, Tech Mahindra booked an operating profit of Rs 77.63 bn which was lower than the previous year's Rs 80.20 bn.

The net profit for FY23 was Rs 48.57 bn, which was lower than the previous year's 56.30 bn.

Gurnani has other achievements as the CEO of Tech Mahindra:

• Led the company's growth to over US$ 16 bn in revenue.
• Increased the company's market capitalisation to over US$ 25 bn.
• Built a strong culture of innovation and collaboration.

#4 S.N Subrahmanyan, CEO L&T: Salary - US$ 7.37 m

S N Subrahmanyan or SNS as he is known is an accomplished leader renowned for his strategic and visionary approach within the engineering and construction domain.

With a decorated corporate past and a versatile skill set, Subrahmanyan has been a driving force behind L&T's growth and innovation in India's tough business landscape.

He took charge of the position in 2017, Subrahmanyan brought a plethora of experience garnered through his longstanding journey within L&T.

His unwavering dedication to excellence and customer satisfaction has been a very important factor in the success the company has witnessed. During his tenure, L&T has witnessed a comprehensive metamorphosis across diverse facets.

His strategic plans have not only improved the company's project execution capabilities but have also amplified its global presence.

His visionary take on technology integration and sustainability has firmly established L&T as a pioneer in the industry. Subrahmanyan has a persistent focus on fostering innovation and research within the organisation. He believes that innovation is the foundation of maintaining a competitive edge in the market.

By cultivating a culture of creative thinking and investing in robust R&D, he has empowered L&T to develop unconventional solutions that effectively cater to the evolving needs of various sectors.

One more factor that sets Subrahmanyan apart from his contemporaries is that he assigns significant weight to the growth and engagement of L&T's workforce.

He is a very strong advocate of the fact that a motivated team is pivotal in achieving operational excellence. His actions to nurture talent, provide avenues for professional advancement, and further an environment conducive to productivity have not only boosted employee morale but have also reinforced L&T's reputation as an employer of choice within the industry.

Some key factors that could be attributed to SNS's leadership are:

1. L&T is almost debt free
2. It has a good return on equity (ROE) track record: Last 3-years average ROE 23.7%
3. It has been maintaining a healthy dividend payout of 38%

Under his leadership in FY23, L&T made an operating profit of Rs 17.11 bn which was 21% higher than the previous year's 14.15 bn.

The net profit for FY23 was Rs 11.74 bn.

#5 Salil Parekh, CEO of Infosys: Salary - US$ 6.8 m

Salil Parekh serves as the CEO of Infosys, orchestrating a strategic transformation.

He has had a very profound professional journey and a diverse bouquet of skills.

Parekh has been very instrumental in steering Infosys towards unparalleled growth and innovation in the last 5 years.

In 2018, he assumed the mantle of CEO, bringing along a wealth of experience from his prior leadership roles and an in-depth grasp of the technological domain.

His leadership style is characterised by a distinctive perspective, focusing on harnessing technology to architect innovative solutions that cater seamlessly to the ever-evolving client needs.

During Parekh's tenure, Infosys has undergone pivotal shifts across multifaceted operational dimensions. His strategic acumen has fortified the company's digital prowess, positioning Infosys as a formidable contender in the tech consultancy and service sector.

He is known across the industry for his solid commitment to advancing innovation and synergy.

This commitment of his has been pivotal in driving the creation of groundbreaking solutions aimed at biggest challenges faced by modern enterprises.

Just like many of his contemporaries, client relationships occupy a central role in Parekh's approach. His understanding of client expectations is unparalleled and helps him tailor solutions accordingly.

By aligning Infosys' offerings with client needs and persistently delivering substantial value, Parekh has cemented Infosys' reputation as a dependable ally for businesses seeking tech-driven resolutions.

Parekh's initiatives to empower employees, champion diversity, and inclusion, and cultivate an environment of perpetual learning have not only elevated employee morale but have also entrenched Infosys' standing as a preferred employer in the industry.

The visionary that he is, he has strategically invested in areas like artificial intelligence, cloud computing, and cybersecurity. This has positioned Infosys as a frontrunner in delivering cutting-edge solutions to its clientele.

Under his leadership, the company has a good return on equity (ROE) track record, 3 Years ROE 29.4%. And has maintaining a healthy dividend payout of 58.8%.

In FY23, Infosys booked an operating profit of Rs 351.30 bn which was 24% higher than the previous year's 314.91 bn.

The net profit for FY23 was Rs 241.08 bn.

Conclusion

These CEOs command substantial compensation packages due to their adept leadership skills and specialised expertise.

However, their remunerations often spark debates. Some contend that these figures are exorbitant, while others speculate is they are merited, given the profound level of accountability and proficiency required for the position.

The compensation of these CEOs mirrors the paramount importance that Indian enterprises attribute to effective leadership. Furthermore, it underscores the escalating significance of the Indian economy in the global context.

With India's continued growth trajectory, it is foreseeable that the earnings of its foremost CEOs will continue to ascend.

The broader economic climate also factors into CEO earnings. In prosperous economic periods, CEOs typically receive elevated compensation. This is underpinned by companies experiencing higher profitability and thereby being better positioned to provide augmented salaries.

Ultimately, the compensation of CEOs is an outcome of multifaceted determinants. It is unequivocal, however, that these CEOs are consummate leaders who have orchestrated profound contributions to their organizations and the Indian economy.

Disclaimer: This article is for information purposes only. It is not a stock recommendation and should not be treated as such. Learn more about our recommendation services here...