
Employee ownership structure
Employee ownership structure means that employees hold a significant portion or all of the company's ownership, often through shares or stock options. This approach aligns employees’ interests with the company's success, motivating them to perform well. It can take various forms, such as Employee Stock Ownership Plans (ESOPs) or direct equity stakes. Essentially, employees are also part-owners, sharing in the profits and having a say in company decisions, which can foster a sense of loyalty, accountability, and collaborative growth within the organization.