Amid ‘frugal focus’, Zee boss Goenka to take 20% pay cut
Days after Zee Entertainment Enterprises laid off 50 per cent of its staff at its Bengaluru technology centre, Managing Director and Chief Executive Officer Punit Goenka announced on Tuesday a voluntary 20 per cent reduction in his remuneration.
According to the annual report, the company paid Goenka a remuneration of ~35 crore in 2022-23.
“The organisation is sharply focused on adopting a frugal approach as we move forward towards our set goals for the future. While I am in the process of implementing the required steps and actions across all the company’s verticals, I intend for the necessary change in mindset to begin at my desk. It is imperative to adapt to the situation, and at this point in time, accountability and agility are the needs of the hour,” said Goenka in a statement.
In January of this year, Japan’s Sony Corporation decided to withdraw from a merger of its India unit with Zee, leading to a decline in Zee’s share price. The stock has dropped 44 per cent in value since January 1 of this year. Zee shares closed at ~153 on Tuesday.
“As chairman of the board, I welcome the decision and appreciate the thought and intent behind it. It is important for leaders to set the right example, and Goenka has done so by taking direct charge of critical revenue verticals of the company. It is imperative for the management to enhance their productivity levels to achieve the set goals for the future and bring the company back to its original glory,” said R Gopalan, chairman of Zee Entertainment Enterprises.
Earlier, a company appointed panel had said Zee should substantially reduce losses in its businesses, including its English TV channels, and cut costs in other areas to meet a key profit target.