- Infosys allots 5.11 lakh equity shares to eligible employees: The IT giant has rewarded its employees with equity shares to recognize their contributions to the company's growth and align their interests with organizational objectives.
- 2015 Stock Incentive Compensation Plan: Infosys implemented this plan to attract, retain, and motivate talented employees, offering them a proportional ownership stake and rewarding performance.
- Infosys Expanded Stock Ownership Program 2019: This program aims to increase shareholder value by expanding employee ownership, incentivizing, retaining, and attracting key talent through performance-based stock grants.
IT giant Infosys recently announced the allocation of more than 5.11 lakh equity shares to eligible employees as a means of recognizing their key contributions to the company's growth. This allocation, which took place on May 12, falls under two employee-related schemes aimed at expanding employees' ownership in the company and rewarding their exceptional performance.
Expanding Ownership and Rewarding Performance
Infosys, in its exchange filing on May 14, disclosed the allotment of 5,11,862 equity shares to eligible employees. The shares were granted through the exercise of Restricted Stock Units (RSUs) by these individuals. This initiative seeks to strengthen employees' ties to the company by allowing them to have a stake in its ownership, while also serving as a well-deserved reward for their outstanding performance.
2015 Stock Incentive Compensation Plan
A significant portion of the allotted shares, 1,04,335 equity shares to be precise, was assigned under the 2015 Stock Incentive Compensation Plan. This plan was implemented with the primary objective of attracting, retaining, and motivating highly talented and critical employees. By linking individual performance with organizational objectives, the plan encourages employees to align their efforts and contribute towards the company's growth. The allocation of equity shares under this scheme further strengthens this alignment and provides employees with a proportional ownership stake based on their contributions.
Infosys Expanded Stock Ownership Program 2019
The remaining shares, totaling 4,07,527 equity shares, were allocated under the Infosys Expanded Stock Ownership Program 2019. This program aims to enhance shareholder value by expanding employee ownership within the company. By offering performance-based stock grants, the program incentivizes, retains, and attracts key talent. This initiative aligns the interests of employees with those of the organization, fostering a sense of ownership and commitment among the workforce.
Increased Share Capital
With the recent allotment of equity shares, Infosys has increased its issued and subscribed share capital. As of May 12, the company's share capital now stands at ₹ 20,749,373,460/-, divided into 4,149,874,692 equity shares with a face value of ₹5/- each. This increase reflects the company's commitment to expanding employee ownership and its dedication to recognizing and rewarding exceptional performance.
Market Performance and Value
On the Bombay Stock Exchange (BSE), Infosys' share price closed at ₹1,245.55 apiece, representing a decrease of 0.84%. Infosys currently holds the position of the third-largest company in India and the second-largest in the IT segment in terms of market value. The company's market capitalization is currently valued at over ₹5.16 lakh crore.
Infosys' recent allotment of equity shares to eligible employees demonstrates the company's commitment to recognizing and rewarding exceptional performance. By expanding employees' ownership in the company, Infosys aims to align their interests with those of the organization, fostering a sense of ownership and commitment. This strategic approach to talent retention and motivation positions Infosys as a leading IT company and reinforces its commitment to sustainable growth and success.