Wipro chairman chooses a 50% pay cut

Rishad Premji, Chairman of Wipro, a prominent IT company, has voluntarily decided to reduce his remuneration by nearly 50 percent for the fiscal year ending in March 2023. This decision showcases his dedication to the company and his willingness to contribute during challenging times. According to reports, his total compensation for this period stands at $951,353, which is nearly half of his previous year’s earnings.

It is worth mentioning that this reduction in Rishad Premji’s compensation is the first major pay cut he has taken after the Covid pandemic. Amidst the pandemic, he had willingly decreased his remuneration by 31 percent. In the fiscal year 2019-2020, his earnings totaled $0.68 million, a slight decrease from the previous year’s $0.98 million.

Along with his base salary, Rishad Premji is eligible for a commission based on incremental consolidated net profits. In addition, Jatin Pravinchandra Dalal, the Chief Financial Officer of Wipro, has voluntarily reduced his compensation by almost 32 percent. For the fiscal year 2022-23, Dalal’s total earnings amounted to $1.1 million, a decrease from the previous year’s $1.6 million.

It is worth mentioning that Wipro recently announced an average variable payout of 80.2 percent for its employees in the fourth quarter of FY23, highlighting the company’s commitment to recognizing and rewarding its workforce. Despite the persistent challenges, Wipro recorded a consolidated net profit of Rs 3,074.5 crore during Q4 FY23, indicating a marginal decline compared to the Rs 3,087.3 crore profit reported in the corresponding period of the previous year.