You can do it, if you... B&Q share scheme benefits the company
If you ever had questions regarding the positive effects share schemes can have on a business, B&Q's recent success has provided many of the answers.
Three hundred store managers cashed in on shares worth £45,000 on 24th April 2012 thanks to a £9million share save scheme otherwise known as a Save As You Earn (SAYE) scheme maturing. Under the terms of the scheme colloquially known as 'Let's share it', managers meeting the criteria regarding consistently high store standards happily received pay-outs representing in excess of 6 months' salary. The shares were allocated by Kingfisher, B&Q's parent company, in 2009 as part of a programme to encourage staff to keep performing at the highest standards.
A B&Q representative stated rewarding managers who meet challenging store standards with shares is a really tangible way of making sure we do the best job we can for customers and reward our managers for their contribution to the growth and success of the company.
There are massive benefits to be had by implementing a share scheme. Employee engagement is widely recognised as the vital component in creating and maintaining a happy and inspired workforce and what healthier way to engage staff than by making them a part of the company?
The case of B&Q demonstrates the wide ranging benefits that share schemes have to offer and exhibits their ability to motivate, incentivise and inspire employees to attain and maintain enhanced performance.
RM2 do not act for B&Q or Kingfisher. However, we have numerous similar success stories. For recent examples of share scheme success from RM2 clients, please see here.
If you would like to replicate the schemes implemented at B&Q (and hopefully the success!), then there is a share plan to suit your business and objectives. This may be an all employee share scheme like the Share Incentive Plan (SIP) (which is now generally more attractive that the SAYE) or a discretionary plan like an Enterprise Management Incentive (EMI) scheme for your key individuals. RM2 will work with you to ensure your employee communications also maximise engagement and optimise your chances of success. Download our fact sheets on these schemes for further information.
If you are considering implementing a share scheme to help benefit your business, and would like to discuss your requirements, then please call us on 020 8949 5522.