Calling in sick? Meet the Indian executive who made nearly $3 million for leaves he didn’t take
- A M Naik, the non-executive chairman of L&T, earned ₹194 million ($2.7 million) last year after encashing all his accumulated leaves.
- His total payout, which included a base
salaryof ₹27.3 million, came to ₹1.37 billion for the year.
- A son of a village primary school teacher in Gujarat, Naik joined L&T as junior engineer in 1965, rose through the ranks.
Indians are famous for not taking a break from work. And one of the biggest examples of that could be Anil Manibhai Naik.
On January 26, the now retired non-executive chairman of industrial conglomerate Larsen & Toubro (L&T), was awarded the Padma Vibhushan - India’s second-highest honour for civilians-- for his contribution to India’s corporate sector.
The government honour caps a terrific 12-month period for Naik who made a staggering $3 million last year for unused leaves in his career spanning five decades.
According to L&T’s annual report for 2017-18, Naik earned ₹194 million ($2.7 million) last year after encashing all his accumulated leaves. His total payout, which included a base salary of ₹27.3 million, came to ₹1.37 billion for the year. His retirement gratuity benefits and the exercise of his stock options netted him more than ₹1 billion of his total.
A son of a village primary school teacher in Gujarat, Naik joined L&T as junior engineer in 1965, rose through the ranks, and eventually steered the construction major’s entry into the defence. The ₹1.83 trillion L&T group today offers IT solutions and financial services too.
Naik famously fended off takeover bids from by the
While he announced in August 2016 that he would give away 75% of his income to charitable causes over his lifetime-- that an executive’s unused leaves are worth $3 million will be an uncomfortable fact for millions more who slog through their lives without the assurance of a secured retirement.
India’s billionaires saw their wealth grow by ₹22 billion every day last year while the poorest 50% only saw a 3% rise in income: Oxfam