FINANCIAL PARTICIPATION
IDS publishes new research on employee share ownership
Employee share ownership is already a year-round reality for two million employees in the UK. But the Government has unveiled plans to broaden the scope for shareholding by introducing a new form of all-employee share ownership. Although no decision has yet been made about the fate of existing plans, a number of tax experts suspect that the new initiative could signal the demise of some, or all of these, share schemes. So, now is an ideal chance to prepare your business for the changes ahead. To help you, UK pay analysts Incomes Data Services has just published an in-depth guide to all-employee share schemes.
The 28-page IDS report looks at the various tax-effective ways by which employees can participate in your organisation. It will guide you to a sound understanding of the different types of all-employee share schemes already in operation, highlighting all the potential attractions and drawbacks.
Based on an analysis of company practice in 36 organisations, the research also addresses the key implementation issues, including methods of assessing the full cost of employee share schemes and communicating them effectively to the workforce — which is vital when they are launched and when they mature.
The coverage also extends to the practical considerations companies with employees in more than one country may face when implementing international or global share plans, and the questions that can arise when there is a takeover.
What you'll find in the IDS research:
Approved profit-sharing — details of company practice in 19 named companies, including:
eligibility criteria for participation
latest share allocations
basis of their distribution among employees.
SAYE share option schemes — details of company practice in 34 named companies, including:
eligibility criteria
level of employee participation
length of savings contracts that employees are choosing.
Approved company share option plans — details of practice in four named companies (where they operate as all-employee schemes), including:
eligibility criteria
latest option grant
performance conditions.
Title: All-employee share schemes , IDS Studies 680, December 1999.
Availability: contact the IDS customer services manager, tel: 020 7324 2599 or email ids@incomesdata.co.uk
Want to know more? IDS is an independent research organisation providing information and analysis on pay, conditions, pensions, employment law and personnel policy and practice in the UK and rest of Europe.
For a list of recent IDS Studies with abstracts, jump to . . . www.incomesdata.co.uk