11 May 2012
Hi, Is there any clause making mandatory for public limited companies to disclose the salaries of executives, whose salaries are higher than any specified limit. Please advice.
11 May 2012
Particulars about certain employees: [217(2A] Director’s report should contain the details of the following employees: -Every employee whose remuneration is more than 60 lacks per annum for the financial year or more than 5 lacks per month, if employed for a part of the year.
-If any employee holds 2% or more of the equity shares by himself or along with his spouse and dependent children and his remuneration is more than that of managing director or whole-time director or in case of a company managed by a manager the name of such employee should be included in the statement.
-Companies (Particulars of Employees) Rules, 1975 prescribes the following particulars to be included in the statement: -Designation of the employee. -Remuneration received. -Nature of Employment (Contractual or otherwise) -Qualification and experience. -Date of the commencement of the employment. -The age of the employee. -The last employment held before joining the company. -The percentage of equity share held by the employee in the company within the manner of sec. 217(2A)(a)(iii)
The Ministry of Corporate Affairs has vide notification dated 31st March 2011 enhanced the limits for the purpose of disclosure of particulars of employees in Directors Report as requisite under Section 217 (2A) read with Companies (Particulars of Employees) Rules, 1975 from the existing limit of Rs. 24 lakh/ year/ Rs. 2 lakh per month to Rs. 60 lakh per year/ Rs. 5 lakh per month.
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