10/14/2016

Infosystopexecs,highperformingemployeesreceivebigcompensationincreaseTimesofIndia

Printedfrom

Infosys top execs, high-performing employees

receive big compensation increase
TNN | Oct 14, 2016, 10.33 PM IST

BENGALURU: Top executives and 425 high-performing employees of

Infosys have been granted signicant increases in compensation, most of
that as stock options and/or variable compensation.
Eight key managerial personnel, including CFO MD Ranganath, presidents
Mohit Joshi, Sandeep Dadlani, Rajesh K Murthy and Ravikumar S, general
counsel and chief compliance ofcer David Kennedy, HR head
Krishnamurthy Shankar and company secretary Manikantha AGS, will
have a signicantly higher variable component -- linked to goals set by the
board and nomination & remuneration committee -- built into their
remuneration, effective November 1.
The combined revised compensation of the eight executives includes xed compensation of Rs 24 crore and variable
compensation of up to Rs 20 crore. Additionally, based on 2016 scal performance, restricted stock units (RSUs) of 2.45 lakh
and stock options of 5.02 lakh will be granted on November 1. Both RSUs (which are issued at face value) and stock options
(which are issued at market value) will vest over a period of four years.
Infosys COO Pravin Rao's compensation has also been revised to a xed component of Rs 4.62 crore per annum and a variable
compensation of Rs 3.88 crore per annum and based on performance, he will be granted 27,250 RSUs and 43,000 stock
options that would vest over a period of four years.
CEO Vishal Sikka said the revised compensation was justied as the company has embarked on transforming itself from a
http://timesofindia.indiatimes.com/business/Infosystopexecshighperformingemployeesreceivebigcompensationincrease/articleshowprint/54857487.cms?null

1/2

10/14/2016

Infosystopexecs,highperformingemployeesreceivebigcompensationincreaseTimesofIndia

people-led to a people-and-software-led business. "If you look at the last two years, we have added a little over $2 billion in
revenue on a yearly basis and the growth is of a very different kind. We need leadership capabilities that are necessary for this
kind of a transformation," he said. Sikka's compensation had been increased sharply in February, again largely on the variable
side. He said the cash component of the top executives remains the same. "It's a meritocracy-based model at every level in the
company starting with the presidents," Sikka added.
The company said only 30-40% of the compensation of the top executives is now xed. The xed-variable proportion earlier
was 50:50. "Earlier the variability was low, now it's signicantly high," CFO MD Ranganath said.

The 425 high-performing employees will be granted 906,275 RSUs and 943,810 stock options, effective November 1. These too
will vest over four years.

DN Prahlad on Infosys board

Infosys has inducted DN Prahlad as independent director on the board effective Friday. Prahlad is the founder and CEO of
Bengaluru-based Surya Software Systems and happens to be a distant relative of the company's founder NR Narayana Murthy.
A former Infoscion, Prahlad is on the advisory board of the computer science and automation department of Indian Institute of
Science.

http://timesofindia.indiatimes.com/business/Infosystopexecshighperformingemployeesreceivebigcompensationincrease/articleshowprint/54857487.cms?null

2/2