Employee perceptions of share schemes

Abstract

Companies are under pressure to develop and design effective incentive schemes for their employees with an aim of attracting and retaining talent. Whilst other organisations consider various methods to motivate employees, employee share schemes have dominated the agenda in many companies. It is expected that share schemes would achieve the desired objective through aligning the objectives of the employer with those of the employees. In the study, employee perceptions of share schemes are investigated to establish if the above objective is maintained. A medium sized company listed on the JSE was selected for the study with 105 respondents being solicited for a population of 242. The results confirmed that employee shareholders do have perceptions ranging from expectations of empowerment to employee engagement in decision-making. The study contributes to the body of knowledge and research in remuneration strategies for today‟s work environment, and makes recommendations for companies with the intention to improve the worker‟s social well-being. Copyright