In response to COVID-19, employers have been forced to cut costs
and for many, this has involved reducing the hours and salaries of
valued employees or terminating staff.
With most of Australia still subject to some form of restriction
and COVID-19 cases escalating worldwide, there is uncertainty about
the future economic climate. Consequently, many employers have been
unable to increase the hours and salaries of employees back to
'pre-COVID' levels and have had to defer planned pay rises
and promotions.
In this context, employers should consider how they can
incentivise and motivate their employees without impacting
cashflows. If that is the case for you, then an employee share and
option plan might be the perfect solution.
