The compensation package of TCS’s current CEO, K Krithivasan, was revealed in the latest annual report for 2023-24. His total compensation for the year stood at Rs 25.35 crore. This includes a base salary of Rs 1.27 crore (or Rs 10.6 lakh per month), benefits and allowances of Rs 3.08 crore, and a performance-based commission of Rs 21 crore.
It’s worth noting that the TCS annual report clarifies that this compensation reflects Krithivasan’s combined role as the Global Head of Banking, Financial Services and Insurance (BFSI) for the initial two months (April-May 2023) and as CEO & MD for the remaining period (June 2023-March 2024).
Krithivasan took over as TCS’s chief executive on June 1, 2023, after Rajesh Gopinathan resigned as the company’s MD and CEO.
In the previous financial year 2022-23, TCS’s COO N G Subramaniam earned a total compensation of Rs 26.18 crore, which was a 10.98% increase from the previous year.
Rajesh Gopinathan, who stepped down as the MD and CEO of TCS in June 2023, received a total compensation of Rs 25.75 crore in a year.
TCS uses a two-part compensation structure for its managing director and executive directors. It includes a fixed component comprising salary, benefits, perquisites, and allowances, and a variable component based on performance, known as commission.
TCS recently announced annual salary hikes for its workforce, with top performers receiving double-digit increments. The salary hikes will be in the range of 4.5-7% based on performance, with high-performers receiving double-digit increases.
In the latest March 2024 quarter, Tata Consultancy Services reported a 9.1% growth in its net profit to Rs 12,434 crore. In the fiscal year 2023-24, the company’s net profit grew 9% to Rs 45,908 crore.
On a constant currency basis, TCS revenue jumped 13.5% during the December 2022 quarter.
Overall, TCS’s CEO salary for the financial year 2023-24 was Rs 25.35 crore, and the company’s COO earned a total compensation of Rs 26.18 crore.
