Tata Motors MD Draws Over 2-Times More Salary Than M&M’s In FY19
Homegrown auto majors Tata Motors and Mahindra & Mahindra are close rivals in the automotive market but when it comes to remuneration of their top honchos, the former is miles ahead of the latter.
Tata Motors Managing Director and CEO Guenter Butschek's total remuneration was at Rs 26.29 crore, an increase of 1.57 percent from the previous year, according to the company's annual report for 2018-19.
On the other hand, Mahindra & Mahindra Managing Director Pawan Goenka's total remuneration for FY2018-19 was at Rs 12.19 crore, which was at a marginal decline of 0.16 percent from the previous fiscal, its annual report for 2018-19 showed.
Tata Motors said Butschek's remunerations included performance bonus and long-term incentive plan of Rs 9.23 crore and retirement benefits of over Rs 32 lakhs.
The performance bonus of 5,94,000 euros will be paid during FY 2019-20, the company said, adding his remunerations also included Long term incentives of 5,94,000 euros, which would accrue based on company performance as decided by Nomination and Remuneration Committee.
M&M, did not elaborate on the break-up of Goenka's remuneration but said he holds 79,188 ordinary equity shares of the company.
During FY2018-19, Tata Motors said its Chairman N Chandrasekaran was paid Rs 6 lakh for attending board and committee meetings. However, as a policy he abstained from receiving commission. On the other hand, M&M Executive Chairman Anand Mahindra's total remuneration for the fiscal was at Rs 8.67 crore, up 7.97 percent from the previous fiscal.
Tata Motors group sales for 2018-19 stood at 12.7 lakh units, up 4.3 percent as compared to FY 2017-18. Commercial vehicles sales of Tata Motors in the first quarter of FY 2019-20 were at 89,845 units whereas that of M&M was at 51,594 units.
M&M's automotive volume sales grew by 10.8 percent to 6.08 lakh units in 2018-19. The company's tractor sales grew by 3.4 percent to 3.30 lakh units in 2018-19 from 3.20 units in the previous fiscal.