The Indian IT industry has seen a significant increase in CEO compensation, with top leaders such as Salil Parekh of Infosys receiving substantial bonuses. In FY25, Parekh’s salary jumped 22% to Rs 80.62 crore ($9.4 million), making him one of the highest-paid CEOs in the Indian IT sector. This increase is a notable exception compared to other industries, such as fast-moving consumer goods (FMCG), where leaders have seen relatively modest increases in compensation, with some receiving only a 5% bump.
In contrast, IT CEOs have been rewarded with significant bonuses due to the strong growth of the industry. The sector has seen a surge in demand for digital transformation, cloud computing, and artificial intelligence, leading to increased revenues and profits for top IT companies. As a result, CEOs such as Parekh have been recognized for their leadership and strategic vision, which has driven the success of their companies.
The significant increase in Parekh’s compensation is a reflection of the company’s strong performance in FY25. Infosys has reported steady revenue growth, driven by its focus on digital transformation, cloud computing, and innovation. The company’s strategy to invest in emerging technologies and build a strong portfolio of services has paid off, leading to increased client demand and loyalty.
The disparity in compensation between IT CEOs and FMCG leaders highlights the varying fortunes of different industries. While the IT sector has been booming, FMCG companies have faced challenges such as intense competition, changing consumer behavior, and supply chain disruptions. As a result, FMCG leaders have seen relatively modest increases in compensation, reflecting the sector’s more modest growth prospects.
Overall, the significant increase in IT CEO compensation, such as Parekh’s 22% hike, reflects the strong growth and optimism in the sector. As the industry continues to evolve and drive innovation, it is likely that top performers will be rewarded with substantial bonuses and compensation packages.