Employee share ownership scheme

Abstract

Employee Share Ownership Scheme (ESOS) is compensation tool whereby employees are granted stock options that allow them to buy shares of their companies. The ESOS promotes employee ownership which is found to be effective in improving employees' motivation and retaining employees. This study showed employers had found the scheme effective in achieving the motivational and retention effects respectively. Furthermore, it was found out that the Marine and Shipping industry favoured the use of the ESOS.