Reliance Industries (RIL) Chairman Mukesh Ambani has decided to forgo about Rs 24 crore from his annual pay in 2011-12 keeping his salary capped at Rs 15 crore for the fourth year in a row.
Ambani's
salary has remained unchanged at Rs 15 crore since 2008-09.
However, the company's total outgo towards remuneration to its top management personnel, as also the sitting fees and commissions for its non-executive directors, increased during the fiscal year ended March 31, 2012.
The latest annual report by RIL for the year 2011-12 said Ambani's total pay package stood at Rs 15 crore, against his eligibility of Rs 38.82 crore, according to the shareholders' approval, reflecting his desire to continue to set a personal example for moderation in managerial compensation levels.
In 2010-11 also, Ambani was eligible for a pay package of Rs 38.75 crore but he took home Rs 15 crore.
The firm's total remuneration for the top management and commission paid to its non-executive directors had dropped during 2010-11 but rose again last fiscal.
The decision to cap
the salary of the country's corporate honcho at Rs 15 crore was taken way back in October 2009 amid a raging debate on right-sizing of chief executives salaries.
The decision led to a hefty pay cut for Ambani as his remuneration declined to Rs 15 crore for 2008-09 from over Rs 44 crore in 2007-08.
Ambani was India's top-paid executive in 2007-08.
His total package for 2011-12 as the chairman and managing director (CMD) of the country's biggest private sector entity included Rs 4.16 crore as salary, Rs 60 lakh as prequisites and allowances, Rs 5.78 crore as retiral benefits and Rs 4.46 crore as commission.
Ambani was followed by whole-time RIL directors Nikhil Meswani and Hital Meswani with a total remuneration of Rs 10.99 crore each, PMS Prasad (Rs 5crore) and Pawan Kumar Kapil (Rs 1.99 crore).
The company's total top managerial remuneration rose to Rs 44 crore from Rs 41 crore in the previous fiscal while sitting fees and commission paid to non-executive directors rose to Rs 1.85 crore from Rs 1.68 crore in 2010-11.
The non-executive directors are paid sitting fee of Rs 20,000 for attending each meeting besides annual commission of Rs 21 lakh each. However, total commission payable to them are capped at one per cent of the firm's net profit.
Among executive directors, the remuneration paid to Nikhil and Hital Meswani was higher at Rs 11.05 crore each in 2010-11 while it was lower at Rs 2.37 crore for Prasad.
RIL Chairman Mukesh Ambani 
Special 
