Chapter: 12th Commerce : Chapter 27 : Company Law and Secretarial Practice : Company Management
Differences betweeen Managing Director Vs Whole time Director
Differences betweeen Managing Director Vs Whole time
Director
Differentiate between managing director and
whole-time directors of a company
MANAGING
DIRECTOR
Power: Managing
Director is entrusted with substantial powers.
Prohibition: Section
197 Prohibits to act both a managing director and a manager simultaneously.
Appointment: Consent
of the shareholders of the company by means of resolution is not necessarily
for the appointment of managing director
Duration
of Appointment: No individual can be appointed for more than five
years at a time.
WHOLE-TIME
DIRECTOR
Power: The Power
is stated in the term of employment.
Prohibition:
Sometimes a whole-time director may be appointed as manager and director of a
company.
Appointment: Consent
of shareholders of the company by a special resolution is must for the
appointment of a whole- time director
Duration
of Appointment: There is no such restriction regarding the appointment
of a whole-time director.
As the salary of an average Indian
CEO at top listed private companies is doubling from Rs. 10 crore to Rs. 20
crore in just two years, it’s bound to trigger interests as we hope for a
legitimate raise in our paychecks this year. The analysis of CEOs salaries in
top listed companies for FY 2015-16 shows that the average remuneration paid to
the top executives was approximately Rs. 19 crore.
The payment includes their salary,
commissions, allowances, value of all prerequisites and ESOPs (Employee Stock
Ownership Plans) exercised during the year and all other benefits.
Key words
Board of Directors Management Manager
Managing Director Promoter
Wouldn’t it be interesting to know who are these
highest paid CEOs in India
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