What the ICA2013 states about managerial personnel

The Indian Companies Act 2013 mentions significant guidelines for the appointment as well as the remuneration of managerial personnel. These guidelines include separate provisions regarding appointments for the manager, managing director, whole time director and so on.  Regarding the payments made to the managerial personnel, the usual ceiling remains at 11-12% of the financial year's profit earned by the company on an average. The categorised list of companies in this regard comprise of those which possess a paid-up share capital of a minimum five crore INR in both public and private sectors. The Companies Act 2013 clarifies certain points according to which one individual cannot be appointed as the Managing Director, CEO and chairperson of a company at the same time. Exceptions to this rule can be seen in case a company has particular norms that govern such a decision and also if the company is not into multiple businesses. The upper and lower age limits for the managerial personnel at different levels, overall remuneration in detail, appointment and qualification related causes are some of the other factors that have been stated extensively in the Indian Companies Act 2013. Most of these details have been incorporated in the section 196 of the Act.