For the second year in a row, Billionaire Mukesh Ambani voluntarily drew no salary from his flagship firm Reliance Industries in the last fiscal, in view of Covid-19 pandemic hitting the business and economy in the country, according to news agency PTI.
Reliance, in its latest annual report, said that Mukesh Ambani’s remuneration was ‘nil’ for the financial year 2020-21. He decided to forego his salary for FY 2020-21 in June 2020 and then, continued to draw no salary in FR 2021-22 as well.
This indicates that in both these years, Ambani did not any kind of financial allowances, perquisites, retiral benefits, etc. from Reliance Industries as the Chairman and Managing Director.
From FY 2008-09 to FY 2019-20, the Reliance Industries MD had his salary capped at ₹15 crore in order to set a personal example of moderation in managerial compensation levels, as per PTI reports.
The agency further reported that Mukesh Ambani has kept salary, perquisites, allowances and commission together at ₹15 crore since 2008-09, forgoing over ₹24 crore per year.
In an official statement, the company in June 2020 said, “Mukesh D Ambani, the Chairman and Managing Director of Reliance Industries, decided to forego his salary, in light of Covid-19 outbreak in India which is affecting the nation’s economic and industrial growth.”
However, the remuneration of his cousins Nikhil and Hital Meswani remain unchanged at ₹24 crore, but this time, it included a ₹17.28 crore commission. On the other hand, the remuneration of Executive Directors PMS Prasad and Pawan Kumar Kapil has fallen marginally.
Prasad drew ₹11.89 crore in 2021-22, while ₹11.99 crore in 2020-21. Kapil got ₹4.22 crore in 2021-22 and ₹4.24 in 2020-21. Their payments also included ‘performance-linked incentives’ for FY 2020-21 which has been paid in FR 2021-22, according to annual report as quoted by PTI.
Apart from Mukesh Ambanihis wife, Nita who is a non-executive director on the company’s board earned ₹5 lakh as a sitting fee and another ₹2 crore compensation for the year. In the previous year, she had got ₹8 lakh as the sitting fee and ₹1.65 crore commission.
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