This book describes the full spectrum of equity compensation plans (such as stock options, stock purchase plans, stock grants, restricted stock, phantom stock, and stock appreciation rights) available to private and public companies as well as LLCs. Unlike most books on equity compensation, it focuses on helping decision-makers decide what kinds of equity to choose, and who should get how much and when.
Increasing numbers of businesses view their employees not as a mere cost but as invaluable contributors for business success. These firms are implementing strategies to fully engage employees at all levels. The Employees Matter report identifies sixteen fast growing entrepreneurial firms that employ employee ownership and engagement strategies which they perceive as directly linked with improved business performance. Eight other notable companies with key lessons to share are included as sidebar profiles.
Elizabeth had a number of concerns related to the heavy use of employee stock options as incentives and employee compensation in the high-technology sector…
The case introduces students to the concepts of employee stock options, stock-splits and buybacks, multiple share classes, and the basics of equity investment and diversification.
Between one-third and one-half of employees participate directly in company performance through profit sharing, gain sharing, employee ownership, or stock options.
This paper addresses whether the risk in shared capitalism makes it unwise for most workers or whether the risk can be managed to limit much of the loss of utility from holding the extra risk.
This paper uses nationally representative linked workplace-employee data from the British 2004 Workplace Employment Relations Survey to examine the operation of shared capitalist forms of pay—profit-sharing and group pay for performance, employee share ownership, and stock options—and their link to productivity.
Apart from the extreme cases that get publicized, are employee stock ownership plans generally good or bad for workers?
This paper analyzes social stratification in patterns of access to shared capitalism programs, the value of shared capitalist plan assets, and access to workplace power and authority in a sample of over 40,000 employees in 14 companies with various forms of shared capitalism in the United States.
This paper examines the effect of a variety of employee stock ownership programs – including ESOPs and broad based stock options – on employees’ holdings of their employers’ stock, their earnings and their wealth.
Bertelsmann’s EVP HR Immanuel Hermreck and his team were focused on four key HR issues. Three of these were somewhat discreet: improving Bertelsmann’s employer brand; managing Bertelsmann talent across the firm’s decentralized businesses; and ensuring early identification and appropriate development of Bertelsmann’s top 100 high potential managers (hi-pos) to better seed the company’s future top management. The fourth issue-recruitment and retention-played an integral role across all three challenges and had to be strengthened and made consistent across the firm, not an easy prospect given Bertelsmann’s highly decentralized structure.
The authors found that companies with broad-based stock option plans (here, defined as those where most nonmanagement employees receive option grants) had statistically significant higher productivity levels and annual growth rates than public companies in general and their peers.
The Beyster Fellowship Symposium brings together academic leaders and new scholars involved with evaluating broad-based employee ownership (EO) and entrepreneurism. The first symposium was held July 2009 in La Jolla, CA. Over 40 academics shared their research findings and participated in an MIT Enterprise Forum panel discussion, which was attended by more than 200 people. The following are videos of Symposium presentations highlighting multiple dimensions of the history, development, and process of employee ownership.
The John Lewis Partnership (JLP) is one of the UK’s most profitable retailers – sales grew by 6.3% and pre-tax profit by 18.7% in the year to 27 January 2008. Its success owes much to the co-ownership principles of its founder, John Spedan Lewis, who handed over control and ownership in two trust settlements in the last century.
This paper summarizes new evidence from the “Shared Capitalism” Project on the extent to which workers’ earnings depend on the performance of their firm or work group in the US and advanced European countries and on the impact of sharing arrangements on economic behavior.
Staff members at Vasey Commercial Heating & Air Conditioning in Zionsville are company owners as part of an employee stock ownership plan.
This collection of papers provides background on a number of employee ownership issues.
Oxera was commissioned by HM Revenue & Customs (formerly the Inland Revenue) to examine the impact of tax-advantaged share schemes on UK company performance (whereby companies reward their employees by granting them shares, or share options, as part of their remuneration package).
The U.S. labor market is the most laissez faire of any developed nation, with a weak social safety net and little government regulation compared to Europe or Japan.
The Employee Ownership Video Collection Teaching Addendum presented by the Foundation for Enterprise Development is divided into four sections, Teaching in Entrepreneurship Programs, the History of Broad-Based Ownership, Innovation and High-Tech, and Money and People. This video outline is designed to explore the ways to incorporate employee ownership in your class curriculum, learn about the early beginnings of employee ownership and how it has evolved especially in the high-tech fields, and to discover the culture of participation embraced by employee-owned businesses.
Extending ownership to all employees, involving all in managing the business and tying the compensation to profits brought a renaissance to Alloy Engineering twenty years ago.
This study examines the development of economic democracy in the United States since the 1700s with particular emphasis on the last 30 years. The particular focus is on employee ownership…
An employee cooperative is a membership organization set up to market the labor and skills of its members through owning a business.
Can a support organization enhance the development and performance of an employee-owned sector in a market economy? That is the question this paper will address.
There is a significant gap in the incidence and development of employee ownership between the European Union (EU) and the US when both sectors are examined.