Beruflich Dokumente
Kultur Dokumente
ESOP is an Employee benefit Plan which makes the employees of a company owners of stock in that Company.
ESOP is one of the way by which a Company may reward its employees by granting them an option or choice to buy the shares of the Company in the future date at the predetermined price which is generally lower than the market price.
GOVERNING LAWS
ON LISTED COMPANIES
1. SEBI (Employee Stock Option Scheme and Employee Stock Purchase Scheme), Guidelines, 1999 2. CBDT Circular No. 9/2007, dated 20-12-2007
WHY ESOP??
To attract, reward, motivate and retain employees
for high levels of individual performance and for unusual efforts. To improve the financial performance of the Company, which will ultimately contribute to the success of the Company Companies grant an option to employees to acquire shares of their employer company over a period of time at a reduced price or nil price. Therefore ESOP is primarily a kind of incentive to hold the employees to the company's fold.
OBJECTIVES
ROUTES OF ESOP
Trust Route
Direct Route
HR DEPARTMENT
ACCOUNTS DEPARTMENT