| FINANCIAL PARTICIPATION Alliance formed to boost employee share ownership The CBI, TUC, the Chartered Institute of Personnel and Development and the Institute of Directors are just some of a host of organisations which have come together in a new body — the Employee Share Alliance — to promote the tax-efficient share incentive plan, formerly known as the all-employee share ownership plan (AESOP). What is the Employee Share Alliance? The Employee Share Alliance was formed to work in partnership with the Government, and it is backed by the Chancellor, Gordon Brown, who is known to be strongly in favour of extending employee share ownership. The alliance is a joint initiative of Job Ownership Ltd and ProShare. It has been formed to boost take-up of the new share plan, and it supported a series of regional road shows run by the Inland Revenue and ProShare during November 2001, which 40,000 small and medium-sized UK companies were invited to attend. To find out more about the alliance . . .
What is the share incentive plan? SIP is a tax-advantaged plan to encourage employees to hold shares in the company or group for which they work. The legislation includes provision for special features to make the plan attractive to unlisted companies, which may not have a ready market for their shares. Three types of plan shares can be used:
If you want to learn more, click here . . . www.inlandrevenue.gov.uk/shareschemes/index.htm A final word What is so special about the share incentive plan is that it offers companies of all shapes and sizes a chance to get involved with employee share ownership for the first time. We hope that having the support of key organisations like the CBI, the TUC and the IoD will really encourage employers and employees to actively consider this. — Diane Hay, chief executive of ProShare.
Posted 4 December 2001 |