Summary
After hearing so much about how employee stock ownership plans (ESOP) and other ownership plans in the U.S. transform companies, it seemed logical to think that other countries, like Mexico, should have similar incentive plans in place. This assumption, however, turned out to be incorrect. Even though there is legislation focusing on employees’ rights and on the redistribution of profits mandating profit sharing to all tax-paying companies, there is nothing that establishes employee ownership or equity compensation plans with incentives for both the companies and employees in the long-term.