E-commerce giant Flipkart had paid salary of more than Rs. 1-Crore (annual) last year to over 23 employees. According to the filing with registrar of companies, Flipkart employees benefit expense has increased three folds to Rs. 476 crore.
Former Chief Public Officer, Mekin Maheshwari drew Rs. 18.73 crores during 2014-15, which is more than the top executives of Hindustan Unilever and ITC chairman, Sanjay Mehta and YC Deveshwar, respectively.
This data excludes the other firms of Flipkart like logistics etc; and if we consider it as a whole, the figure will get multiplied more in numbers.
High remuneration is indicating that e-commerce companies have small pool of talent and are ready to pay big amounts to retain and attract new talents, even at higher levels.
Anuj Roy, partner at Transearch said “They are hiring people from Silicon Valley or people who are experienced working with organizations like Google, Adobe, etc.
Corporations like Google offer high remuneration at the engineering college levels where they are amongst the biggest paymasters and this situation is followed with ranking. So to engage people from such big companies, one has to offer premium perks.”
As the market matures and more companies get listed, the market cap of e-commerce companies is likely to expand as well. Indian e-commerce economy has clocked a compounded growth (CAGK) of 35% and likely to cross $100 Billions mark over the next five years.
As per another report, Hindustan Unilever had 169 employees who drew eight-digit salaries last year. Whereas, IT giant Infosys had 123 and Wipro had 70 employees on this list.