IDFC announces 10% voluntary pay cuts for senior staff, 30% for Managing Director
The IDFC First bank has
become the second after Kotak Mahindra Bank to announce that its senior
management has volunteered to take a 10% cut in compensation in the current
financial year 2020-21 during the Cornonavirus pandemic.
The Managing Director and Chief Executive Officer (MD and CEO) of the company V Vaidyanathan has himself offered a 30% cut in his compensation - including the fixed income and allowance- for the financial year 2020-21.
He said, “Such pay cut forms part of the Bank’s austerity measures which start at the top. Further, we feel the pain our customers, big, small, micro-enterprises, and people at large are going through, and we also want to be empathetic to the situation.”
Through a statement, the bank said that it had also paid 100% of the variable pay to 78.2% of employees for the period pertaining to FY 19- 20 despite the pandemic.
Also, the bank has contributed Rs 5 crore, while the employees have volunteered their one-day salary (totaling to Rs 3.29 crore) towards the PM Cares fund to support the fight against Covid-19. The bank has also donated a huge sum to the CM Covid Relief fund and the total contributions including those of MD’s personal donations have totaled up to Rs 10.86.