Over 200 CXOs in India are now earning over $1 million a year, but the representation of women in this elite group is strikingly low, with only nine female executives making the cut. This situation highlights both the progress and challenges in achieving gender equality at the highest levels of corporate leadership.
The Million-Dollar Club
In the fiscal year 2024, more than 200 chief executives and other top officers (CXOs) from India's BSE 200 companies have joined the million-dollar pay club, with their collective compensation soaring to ₹5,144 crore. This marks a 20.86% increase from the previous year, reflecting a growing trend in executive pay driven by fierce competition for talent and rising company valuations.Among these executives, professional CXOs dominate, accounting for about two-thirds of the total. The highest earner, Abhay Bhutada, took home ₹241.21 crore, including substantial stock options. This trend indicates that as India aims to become a $10 trillion economy, executive compensation is likely to continue its upward trajectory.
Gender Disparity in Leadership
Despite the impressive numbers in executive compensation, the representation of women remains disappointingly low. Out of over 200 CXOs earning more than $1 million, only nine are women. This stark contrast underscores a significant gender gap in corporate leadership roles.While there has been some progress—women now hold about 16% of all CXO positions—this figure is still far from equitable. The auto industry exemplifies this issue, with women making up less than 3% of CXOs in major companies. Experts agree that while strides have been made in sectors like finance and marketing, many industries still lag behind in promoting female leadership.
The Path Forward
The corporate landscape is evolving, and there is a growing recognition of the need for diversity in leadership. Companies are beginning to implement initiatives aimed at increasing female representation. For example:
- Tata Motors aims to boost its female management percentage to double digits by 2030.
- Hero MotoCorp has set a target of having 30% women in its workforce by 2030.
- Mercedes-Benz India is striving for every second hire to be a woman.
These initiatives reflect a broader commitment to fostering an inclusive environment where women can thrive in leadership roles.
Conclusion
The disparity between male and female CXOs earning over $1 million highlights an urgent need for change within Indian corporations. As companies strive for growth and innovation, embracing diversity at all levels will not only enhance their talent pool but also drive better business outcomes. The journey towards gender equality in corporate leadership is ongoing, but with concerted efforts from organizations across various sectors, there is hope for a more balanced future.
With inputs from agencies
Image Source: Multiple agencies
*The views expressed are personal to the author and do not reflect the platform's opinion of the same.
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