As the debate over the CEO salaries in the country continues, a new study says Indian top managers are paid nearly $30,000 a year less than their peers in the emerging BRIC -- Brazil, Russia (India) and China -- countries.
After factors such as tax and cost of living are taken into consideration, corporate India's top brass can boast of an average disposable income of just $92,750 compared to other fast growing economies like Brazil, Russia and China.
While Russia's managers stand tall with a disposable income of $157,348, China has $126,281 and Brazil follows suit with $123,766, Global management consultancy firm Hay Groups latest World Pay Report said.
All the three BRIC nations except India managed to reserve their place in the top 20 countries listed by the World Pay Report, while India was way behind and managed 36th rank in the list of global pay stakes for 47 countries.
India's large base of skilled talent has made the management pay somewhat immune to the global market despite the impressive economic development in the country.
"India benefits from a large tier of well educated, English-speaking local talent, making management pay more immune to the international market," World Pay Report said.
The top management cadre of corporate India can expect better pay packet in the future the report said, adding that managers' pay is increasing at double-digit rates in India -- between 15-20 per cent -- so it is unlikely to stay at the bottom
The report took into consideration factors like cost of living and tax to reveal disposable income levels the true purchasing power of managerial pay for surveyed countries in North America, South America, Middle East, Africa, Europe and Asia Pacific.
In comparison, China's rapid economic development is reflected in disposable incomes at management level averaging
$126,281 -- placing the country in the 14th position in the world's pay table.
"Chinese companies have realised the need to attract management talent as economic acceleration continues apace,
having a significant upward impact on managers pay," Reward Information Services Manager for Hay Group China Hern Yin Goh said.
In emerging economies like Russia and Brazil, managers are enjoying far higher levels of buying power for their pay
than their counterparts in the US and other developed markets.
Managers in the oil-rich, tax-free states of Saudi Arabia and the United Arab Emirates take home the highest disposable incomes worldwide, with pay equating to buying power in excess of $220,000.
Management pay in Western European countries fares poorly by comparison. The UK is ranked just 40th in the management pay stakes, Germany is placed at 19th position followed by Italy 28th and France at the 31st rank.
