Median CEO pay in India rises to Rs 10.5 crore, but growth slows since COVID-19

Executive salaries in India are still rising, but the pace is no longer what it used to be. After years of strong jumps, the latest data shows that pay at the very top is beginning to steady, reflecting a mix of market caution, global uncertainty and changing reward strategies.

A new Deloitte India survey has highlighted how companies are rethinking how they reward their top leaders, especially at a time when stock markets have been under pressure and global risks remain high.

Deloitte India Executive Performance and Rewards Survey 2026 findings show that while pay is still going up, the way it is structured and distributed is undergoing a clear shift.

At the centre of this change is the CEO. Median compensation for non-promoter or professional CEOs now stands at Rs 10.5 crore for FY 2025–26, marking a 5 percent rise from the previous year.

However, this increase is the slowest since the COVID-19 period, largely due to weaker growth in stock-based rewards, which make up nearly one-third of total CEO pay.

WHY PAY GROWTH HAS SLOWED

Nearly one-third of CEO pay comes from stock-based rewards. With equity markets underperforming in the last 12–18 months, these payouts did not rise as much, pulling down overall growth in compensation.

Anandorup Ghose, Partner, Deloitte India, said, "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."

He added, "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."

CFOs LEAD THE PAY HIKE

While CEO pay growth slowed, other senior leaders still saw steady increases. CXO compensation rose between 4 percent and 10 percent across roles.

CFOs saw the highest jump. Their median pay now stands at Rs 4.5 crore. This is because companies are relying more on finance heads to manage costs, improve capital use and stay accountable to shareholders. In many cases, CFOs are also taking on board-level roles.

Another role gaining importance is the chief digital officer. This position is now becoming a core part of leadership teams as companies focus more on digital growth.

COMPANIES ARE CHANGING HOW THEY PAY

The survey shows that companies are moving away from a single reward system for all employees. Instead, they are creating different plans for different roles.

For senior leaders, multi-year stock grants are becoming common. These link pay to long-term performance. At the same time, companies are giving one-time bonuses to retain key talent when needed.

Large companies, especially those in the Nifty50 Index, are using more complex performance-based stock plans. Smaller companies are still sticking to simpler ESOP or stock option models.

FOCUS IS NOW ON PERFORMANCE

"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," said, Anandorup Ghose, Partner, Deloitte India.

"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," added Ghose.

The survey also found no major changes in executive benefits over the past year. Instead, companies are focusing more on linking pay to performance and long-term goals.

The seventh edition of the survey, launched in September 2025, covered more than 350 organisations in India. It focused only on private sector companies and did not include public sector firms.