Mar, 28: According to the Deloitte India Executive Performance and Rewards Survey 2026, the median compensation for non-promoter or professional CEOs now stands at INR10.5 crore; up by 5 percent compared with the previous year. One-third of CEO compensation is paid through stock awards, and it is the slow growth in the value of these awards last year that led to the lowest increase in CEO pay since COVID-19. The pay for other CXOs saw an increase ranging from 4 percent to 10 percent. Among the other CXOs, CFOs witnessed the highest compensation increase given the high attrition, focus on capital efficiency and direct shareholder accountability. In many cases, CFOs also hold additional board-level responsibilities. Median India CFO compensation now stands at INR4.5 crore. Additionally, the chief digital officer role is increasingly emerging as a CXO role, which was not necessarily the case earlier.

 

 

 “CXO compensation decisions in India have shown great maturity. Given the ongoing underperformance of Indian equity markets over the past 12–18 months, it is natural that pay increases were lower last year. Market volatility and downside risks have increased further recently amid ongoing geopolitical risks. We do not expect any knee-jerk reactions from boards and remuneration committees, and they are likely to change course depending on how domestic and external events unfold.”

 

The survey finds that CXO performance assessment remains robust in India. While CXO performance is assessed on both financial and non-financial strategic metrics, and the evaluation is data-driven, we see discretion being applied to determine CXO rewards outcomes. This helps organisations align long-term business roadmaps to compensation strategies while continuing to focus on accountability.

 

Remuneration strategies in India, particularly with respect to stock awards, are also undergoing a fast transition. Instead of a one-plan-fits-all approach, remuneration committees and CHROs are increasingly deploying multiple long-term incentive plans for different employee cohorts. Multi-year stock grants are being used more for CXOs, while one-time retention awards are being extended to key talent selectively to drive a high return on investment. The study reveals that larger companies, particularly those comprising the Nifty50 Index, are opting for more complex multi-year performance share plans. In contrast, relatively smaller companies still prefer the tried-and-tested stock options or ESOP plans.

 

Some of the most high-performing teams globally are rewarded for outcomes but focus on the process. Leading organisations in India are also doing the same. The ongoing conflict has reminded us of the inherent volatility in share-based payments. We expect more companies to reward their CXOs on internal performance metrics than simply a share price increase. With robust executive employment contracts and downside accountability mechanisms, Boards and CHROs are driving sustainable value creation,” said, Anandorup Ghose, Partner, Deloitte India.

The survey noted no significant changes to executive benefits over the last year.