Indian CEOs are far behind the US ones in Severance Pay Packages
Advertisement

Advertisement
Indians are way behind the "Most executives in India do not have any severance clauses in their contracts,”
Except from the star CEOs, majority of who are in a position to dictate terms, most CXOs don’t have the luxury of getting severance packages, which act as an insurance. These are mostly equivalent to CXO’s fixed salary for anywhere between six months and two years. In some cases, according to The Economic Times, these include vested stock options. The global norm is one to three years of fixed salary and includes safeguards for the organisation.
Complimentary Tech Event
Transform talent with learning that works
Capability development is critical for businesses who want to push the envelope of innovation.Discover how business leaders are strategizing around building talent capabilities and empowering employee transformation.Know More
“A mid-sized Indian company recently hired a senior executive at a US multinational as its CEO after agreeing to his demand for a severance package of nearly $1 million,”
In another ongoing mandate for a real estate firm, Mahapatra told the financial daiy, the candidate is likely to insist on a severance clause because of the risks associated with the job. As perceived risk rise, so does the severance package. Severance for top employees in the technology and ecommerce/startups sectors have started to match global standards, said
Advertisement
(Image credit: Linkedin)
Advertisement
Top 10 must-visit destinations in South Africa
Indian markets continue record run, Sensex scales 69K peak as power, bank shares advance
Stock markets continue record run, Sensex scales 69K peak as power, bank shares advance
Icy pebbles may be carrying water to developing planets across the cosmos!
With $500 billion in reserves, LIC is the world’s fourth largest insurer