New Delhi: Engineering and construction giant L&T's chief A M Naik will see his salary surging by over 35 percent to 2.64 crore a year, besides other benefits and commissions, once he gets elevated as Executive Chairman from October 1, 2012.

Naik, currently Chairman and Managing Director, will get a monthly salary of 22 lakh, perquisites of 25 lakh a year, commission of 0.3 per cent of annual operating net profit after tax, besides a host of other benefits in his new role.

The commission would be excluding exceptional profits or losses arising from sale of business or in any associate and joint venture company, perquisites would exclude the value of stock option benefits, Larsen and Toubro (L&T) said in its annual report.

The L&T board has already approved Naik's elevation for a five-year period beginning October 2012, and the company would seek shareholders' nod for the same at its Annual General Meeting tomorrow.

His proposed salary of 22 lakh a month or 2.64 crore per year marks a hike of 35.3 percent over a salary of 1.95 crore paid to him in the previous fiscal (2011-12).

During the last fiscal, he was also paid perquisites of 20 lakh and retirement benefits worth 52.65 lakh.

The company paid a total amount of 53.45 crore as commission to its 12 executive directors, but the breakup for individuals including Naik was not available.

Joining L&T in 1965, Naik quickly secured positions of increasing responsibility as he moved from General Manager to Managing Director & CEO, culminating in the appointment as Chairman in 2003.

Along with Naik's elevation, L&T Board in March had also approved appointment of K Venkataramanan as CEO and Managing Director from April 1, 2012 to September 30, 2015.

Venkataramanan's annual salary has been increased to 1.63 crore from 1.01 crore paid in 2011-12. He is also entitled to get commission of 0.18 percent of annual operating net profit after tax, 20 lakh perquisites along with a host of other benefits.