Paytm proposed cutting director pay as part of its efforts towards responsible financial discipline and corporate governance ahead of its annual general meeting next month.
The proposed new remuneration framework is subject to shareholder approval.
As per the revised remuneration structure, the annual remuneration of each non-executive independent director will be capped at Rs 4.8 million with the fixed portion being Rs 2 million.
The variables will be linked to attendance at meetings and chairmanship/committeeship on various committees of the Board to ensure proper governance.
The revised compensation structure will take effect on April 1, 2024.
Earlier, the annual salary of non-executive independent directors on Paytm’s board, including Asit Ranjit Lilani, was set at Rs 1.65 crore, while Gopalasamudram Srinivasaragavan Sundararajan’s annual salary was set at Rs 2.07 crore.
The new compensation plan is based on good governance practices and the company’s benchmarking with companies in a similar sector or business type with similar market capitalisation, the company said in a stock exchange filing.
