Showing posts with label 2016. Show all posts
Showing posts with label 2016. Show all posts
MCA vide Notification dated 30th June, 2016 has notified the Companies (Appointment and Remuneration of Managerial Personnel) Amendment Rules, 2016 amending Rule 3, 5(1) and 5(2) of the Companies (Appointment and Remuneration of Managerial Personnel) Rules, 2014.
Due to
this amendment:
1.
Return of appointment of a “Chief Executive
Officer (CEO), Company Secretary, Chief Financial Officer (CFO)” is not
required to be filled with the Registrar in Form No. MR-1.
2.
Listed Company is no more required to disclose
the following matters in its Board’s report:
i) the explanation on the relationship between
average increase in remuneration and company performance;
ii)
comparison of the remuneration of the Key
Managerial Personnel against the performance of the company;
iii)
variations in the market capitalisation of the
company, price earnings ratio as at the closing date of the current financial
year and previous financial year and percentage increase over decrease in the
market quotations of the shares of the company in comparison to the rate at which
the company came out with the last public offer in case of listed companies,
and in case of unlisted companies, the variations in the net worth of the
company as at the close of the current financial year and previous financial
year;
iv) comparison of the each remuneration of the Key
Managerial Personnel against the performance of the company;
v)
the key parameters for any variable component
of remuneration availed by the directors;
vi)
the ratio of the remuneration of the highest
paid director to that of the employees who are not directors but receive
remuneration in excess of the highest paid director during the year.
3.
The board’s report shall include a statement
showing the name of top ten employees in terms of remuneration drawn and the name
of every employee, -
(i) if employed throughout the financial year, was in receipt of
remuneration for that year which, in the aggregate, was not less than one crore
and two lakh rupees;
(ii) if employed for a part of the financial year, was in receipt
of remuneration for any part of that year, at a rate which, in the aggregate,
was not less than eight lakh and fifty thousand rupees per month;
(iii) if employed throughout the financial year or part thereof,
was in receipt of remuneration in that year which, in the aggregate, or as the
case may be, at a rate which, in the aggregate, is in excess of that drawn by
the managing director or whole-time director or manager and holds by himself or
along with his spouse and dependent children, not less than two percent of the
equity shares of the company.
