In the fiscal year 2025, a stark contrast emerged in executive compensation trends between India's IT and FMCG sectors. While leaders of major IT firms enjoyed significant pay hikes, top executives at consumer goods companies experienced restrained salary increases, mirroring the divergent economic landscapes of these industries.

IT Sector: Robust Compensation Growth

Infosys CEO Salil Parekh's total remuneration surged by 22% to ₹80.6 crore in FY25, making him one of the highest-paid executives in the Indian IT sector. This increase was primarily driven by the exercise of stock options worth ₹49.5 crore, complemented by a base salary of ₹7.45 crore and bonuses totaling ₹23.18 crore. Notably, Parekh's compensation was 752 times the median employee salary at Infosys, highlighting the widening pay gap within the organization. 

At Tata Consultancy Services (TCS), CEO K Krithivasan received a 4.6% salary increase, bringing his total compensation to ₹26.52 crore in FY25. His remuneration package included a base salary of ₹1.39 crore, benefits and allowances amounting to ₹2.13 crore, and a commission of ₹23 crore. Krithivasan's pay was nearly 330 times the median salary of TCS employees. 

Wipro's CEO and Managing Director, Srinivas Pallia, who assumed the role in April 2024, took home approximately ₹53.4 crore ($6.27 million) in FY25. This figure underscores Wipro's commitment to rewarding leadership amid its strategic initiatives and performance metrics. 

FMCG Sector: Conservative Pay Adjustments

In contrast, Nestlé India's Chairman and Managing Director, Suresh Narayanan, received a modest 5% salary hike, with his total remuneration reaching ₹23.47 crore in FY25. This conservative increase reflects the company's cautious approach amid a challenging consumer environment.

Similarly, Hindustan Unilever Limited (HUL) Managing Director Rohit Jawa's compensation rose by 3.75% to ₹23.23 crore in FY25. Jawa's remuneration included a salary of ₹3.65 crore, allowances of ₹11.45 crore, a bonus of ₹3.78 crore, and long-term incentives worth ₹2.76 crore. The restrained pay hike aligns with HUL's strategic focus on navigating market uncertainties and sustaining growth. 

Economic Context and Industry Dynamics

The divergent compensation trends between the IT and FMCG sectors can be attributed to varying economic conditions and industry-specific challenges. The IT sector's resilience and adaptability have enabled firms like Infosys, TCS, and Wipro to maintain robust performance, justifying substantial executive pay increases.

Conversely, the FMCG sector has grappled with subdued consumer demand, rising inflation, and changing consumption patterns, prompting companies like Nestlé India and HUL to adopt a more conservative approach to executive compensation.