Ferrari is making moves to turn all of its employees, in Italy and abroad, into owners of the company.
The company this week made some corporate announcements that included news of a share ownership plan that will offer all employees one-off grant of shares, free of charge.
The grant will be worth up to a maximum of 2,065 euros (approximately $2,240), which at the current share price equates to about 6.3 shares.
So that there’s no immediate sell-off by employees looking to cash in, Ferrari will also offer a bonus for employees who keep their shares for at least 36 months. The company will give them an additional tranche of shares worth up to 15% of the value of the first grant.
Ferrari’s share price has been on a tear since the company was made public in 2015. Ferrari priced its initial public offering at $52 per share and today the share price sits at $351.68. That’s almost a seven-fold increase in less than a decade.
Employee share programs can help motivate staff to become more productive, as it aligns an employee’s interest with that of existing shareholders. It’s one of the reasons Ferrari has decided to launch the program. In a statement, the company said its aim is to promote a culture of collective responsibility and increasing engagement in the company.
Ferrari has more than 5,000 employees worldwide and this week said it plans to add 250 new hires in the first half of 2024.
