As the global economy is reeling from the unprecedented outbreak of COVID-19, Uday Kotak, MD & CEO of Kotak Mahindra Bank, has decided to receive the token amount of Re 1 as his salary for the financial year 2020-21. Likewise, the bank’s leadership team has unanimously opted to take a 15% cut in compensation for the same financial year.
“We are in the midst of a battle to protect both lives and livelihoods. The revival of the economy will depend on a healthy and robust financial sector. The bank is committed to work alongside the government, private enterprise, civil society and individuals in the tough times that lie ahead,” Kotak Mahindra Bank said in statement.
Kotak leadership takes 15% cut in salary. pic.twitter.com/U7pniYAn8X
— Kotak Mahindra Bank (@KotakBankLtd) April 9, 2020
Earlier, in March, Uday Kotak also committed personally Rs 25 crore to the PM-CARES Fund for the battle against the pandemic. The bank also contributed the same amount to the newly setup national fund.
Kotak Mahindra Bank & Mr. Uday Kotak personally, commit immediate support of ₹50cr to PM CARES (₹25cr each).
— Kotak Mahindra Bank (@KotakBankLtd) March 29, 2020
In addition to this, to fight the COVID-19 pandemic, approximately 2,56,000 SBI employees have also decided to donate 2 days’ salary to the PM-Cares fund.
It is worth noting that amidst the nationwide lockdown, corporate firms are reworking their cost structures to survive. IndiGo, for instance, has announced to cut employees’ salaries, including that of the CEO because of a sharp fall in revenue.
Notably, the 21-day lockdown to battle the pandemic is likely to result in huge economic loss in terms of unemployment and layoffs.
There have been 6412 cases of coronavirus infections reported in India so far and 199 fatalities.