Mukesh Ambani has accepted a two-thirds cut in his salary in 2008/09 as chairman and managing director of Reliance Industries. His total compensation fell 66 percent to 150 million rupees.
Ambani's "desire to set a personal example of moderation in executive compensation" may be in line with the Congress government's efforts to shore up public finances with an austerity drive of its own.
Excessive compensation has sparked outrage across the developed world after years of multi-million dollar bonuses paid out to executives, even at money-losing firms.
Politicians and policy makers have advocated curbs on these salaries, a theme echoed at the G20 meeting in September.Ambani's revised pay package is a far cry from the 440 million rupees he got last year but the salary cut is not seen as making too much of a dent in his wallet.
Earlier this year, Forbes magazine pegged Ambani's worth at about $19.5 billion in its list of the world's billionaires.
Within hours of the Reliance Industries statement on his salary, Twitter users sympathised with the 'poor little rich boy'. Some suggested it could be a move to pay less tax.
Is Ambani's pay cut a genuine attempt at bringing in moderation in executive salaries?
