CEOs’ Salaries Surge Over ₹20 Crore Annually: Average CEO Pay Rises by 40% in 4 Years to Reach ₹13.8 Crore

In India, the salaries of Chief Executive Officers (CEOs) have seen a significant increase of 40% in the last four years. In 2020, the average annual salary of CEOs in the country was Rs. 9.8 crore, which has now risen to over Rs. 13.8 crore in 2024. According to the Deloitte India Executive Performance and Rewards Survey 2024, CEOs working in over 400 organizations in the country are now earning more than Rs. 5 crore annually, representing an increase of 75% or more.

In 2020, these figures were at 66%. The number of CEOs earning annual incomes between Rs. 5 crore and Rs. 10 crore has decreased from 35 to 26% over the four years. However, CEOs earning between Rs. 10 crore and Rs. 20 crore have increased from 22 to 27%. In 2020, nearly 10% of CEOs earned annual incomes exceeding Rs. 20 crore, but by 2024, this percentage has increased significantly to 21%.

According to Deloitte’s report, over the span of four years, there has been a 14% increase in the income of promoter CEOs, rising from an average of Rs. 10 crore to Rs. 16.7 crore annually. Meanwhile, the annual income of professional CEOs has increased from Rs. 9.7 crore to Rs. 13 crore, reflecting an 8% rise. The ratio between the incomes of promoters and professional CEOs has increased from 1 to 1.3 during this period, indicating a significant disparity.

The report indicates that over the last five years, 45% of CEOs of BSE 200 companies (excluding government companies) have been replaced. Among the majority of these companies, CEOs have been appointed from within the organization rather than hiring external candidates. Approximately 70% of CEOs were internally promoted or elevated. In contrast, 30% of companies appointed CEOs from outside. Among the companies that appointed an external candidate as CEO, 81% chose individuals from the same sector.