BENGALURU: InfosysNSE 3.13 the chief executive Salil Parekh cannot be part of a rival company for 6 months if he decides to leave the IT services firm.
Infosys has handed him an employment contract with strict and elaborated terms when facing flak over what critics called a very generous agreement along with his precursor, Vishal Sikka, who had left the corporate when an ugly public spat with its founders.
So, Parekh cannot come back to former leader Capgemini or be part of others like Tata consultancy ServicesNSE 0.69 %, Accenture, Wipro, IBM, Cognizant, Tech MahindraNSE 2.22 %nothing or HCL Technologies during the cooling-off period. The contract with Parekh is additionally much more elaborated in terms of what constitutes the cause for termination of employment. If Sikka had six such conditions, Parekh has 14, as well as refusal to follow “reasonable and lawful directions of the board”, if it continues for 10 days when the board provides him a written notice.
“Executive’s engaging in any wilful misconduct that is injurious to the financial condition, reputation or goodwill of the company” is another potential cause for termination within the employment agreement that the company has filed with us Securities and Exchange Commission.
The agreement enclosed a waiver of all rights to civil court action, a condition that wasn’t placed on former CEO Sikka and additionally has elaborated non-disclosure clauses. Parekh’s agreement allows the company to put him on gardening leave — suspension from work on full pay — throughout the notice period, which is able to last 3 months.
Infosys has also spelled out the varied metrics on that its top executives are evaluated in fiscal 2019. The Bengaluru-headquartered firm had not such as whether or not Sikka’s incentives were — as insinuated by a member throughout a media interview — tied to the company achieving his 2020 goal of becoming a $20 billion revenue company. Sikka, though, had insisted that the target was aspirational.
For CEO, the goals mirror the company targets consisting of revenue growth, operating margin percentage, and organization development goals. For alternative executives, performance bonus is joined to the accomplishment of company goals of revenue and in operation margin proportion, at the side of parts of individual goals,” Infosys said within the filing with the United States regulator.
Chief operating officer UB Pravin Rao are evaluated on new capability development, revenue statement and operational potency as a part of his individual goals. For deputy COO Ravi Kumar S, it’ll be supported the fulfillment of the United States talent model and also the plan for the consulting business.