B2B ecommerce platform udaan removes 1 year ESOP cliff
Following these changes, the overall number of ESOP holders in the company has jumped 400 percent and now covers 100% of its employees. BENGALURU: B2B ecommerce platform udaan , has announced an ESOP policy covering all employees with significant changes which are industry leading – based on what it defines as its philosophy of ‘deep employee trust’ and ‘shared entrepreneurship’.
In a ‘first of its kind program’, udaan has decided to remove ‘ cliff ’ vesting for all ESOPs. All future ESOP allocations at udaan will vest every quarter. The one year ‘cliff’ period is a widely prevalent industry practice that requires employees to wait for one year for their ESOPs to start vesting. udaan has done away with this waiting period.
In a statement, Meenakshi Priyam, Group CHRO, udaan, said, “People trust companies with their careers. We felt that the practice of granting ESOPs with a one-year cliff doesn’t reciprocate this trust. So, we decided to take the lead in balancing the scales in employer-employee relationships in the industry and revamped our ESOP policy. We want to treat all our employees as responsible adults and as equal partners.”
As a part of the revamp, the company also announced that, every employee at udaan, regardless of their tenure or job profile will be allotted ESOPs under their annual performance cycle. These ESOPs will vest at a quarterly frequency and be completely vested within a two-year period – twice as fast as the industry norm of four years.
Following these changes, the overall number of ESOP holders in the company has jumped 400 percent and now covers 100% of its employees.
Apply for ETRise Top MSMEs Ranking. Register now
Click here to view original web page at economictimes.indiatimes.com
I am a robot. This article is curated from another source (e.g. videos, images, articles, etc.). For the complete article please use the link provided to visit the original source or author. Content from other websites behaves in the exact same way as if the visitor has visited the other website.
Warning: The views and opinions expressed are those of the authors and do not necessarily reflect the official policy or position of MichelPaquin.com.