The IT behemoth Infosys has chosen to reward its employees by allocating equity shares to its key contributors for growth at a time when tech companies are laying off workers as a cost-cutting measure. According to reports, Infosys granted eligible employees access to more than 5.11 lakh equity shares. The choice was made in an effort to increase employee ownership in the business. On May 12, two employee-related schemes were used to make the allocation. In accordance with these plans, shares are distributed to employees to increase their stake in the business and to recognise their achievements.
“This is to inform that the Company has allotted 5,11,862 equity shares on May 12, 2023, pursuant to the exercise of Restricted Stock Units by the eligible employee,” Infosys said in an exchange filing on May 14. 1,04,335 equity shares were distributed under the 2015 Stock Incentive Compensation Plan, and 4,07,527 equity shares were distributed under the Infosys Expanded Stock Ownership Programme 2019 of the total shares distributed to the employees.
The 2015 Incentive Compensation Plan for Infosys aims to recruit, retain, and inspire talented and essential employees. Additionally encouraging staff to match personal performance with business goals. Not only that but it is given as compensation for employee performance, with ownership based on their input. Align the interests of the organisation and the workforce. Although the 2015 Incentive Compensation plan has earlier replaced the RSU plan.
The Infosys Expanded Stock Ownership Programme 2019 also seeks to reward, retain, and attract key talent through this performance-based stock grant programme while increasing shareholder value by increasing employee ownership of the business.
The closing share price of Infosys on the BSE was 1,245.55, down 0.84%. In terms of market value, Infosys is the second-largest company in the IT sector and the third-largest company in India. Meanwhile, the company’s market capitalization is currently over 5.16 lakh crore.
