In a massive development today, shareholders of Eicher Motors have rejected a special resolution to re-appoint Siddhartha Lal as Managing Director of Eicher Motors, over a pay hike proposal.
In a notification to BSE, the company informed that the shareholders in requisite majority did not approve of Lal’s re-appointment as Managing Director of the company for a period of five years with effect from May 1, 2021.
As per reports, majority of shareholders voted against the proposal to hike Lal’s salary by 10%, as the company saw a hit in its revenues and profit growth due to the pandemic. The median salary hike for all Eicher employees was 1%, reported a leading financial daily.
This development comes a week after Vinod Dasari stepped down as Chief Executive Officer of Royal Enfield and Executive Director on the Board of Eicher Motors with effect from August 13, 2021.