The Ministry of Corporate Affairs (MCA) has amended the Companies (Appointment and Remuneration of Managerial Personnel) Rules, 2014. The changes are effective from 30th June, 2016.
The key amendments made are as follows:
- Employers shall submit the following two reports to the MCA along with the director’s report on an annual basis:
• A statement showing top 10 employees list in terms of highest remuneration drawn.
• All employees who are drawing salaries not less than Rs.1,02,00,000/- in a year or Rs.8,50,000/- in a month for the financial year.
- Company shall have to file a return of appointment for Managing Director, Whole Time Director or Manager within 60 days from the date of appointment to the Registrar of Companies. Prior to the amendment, Company also had to comply with the same for Chief Executive Officer, Chief Financial Officer and the Company Secretary.