Ferrari, the legendary Italian luxury sports car manufacturer, is taking bold strides to turn its workforce into company owners, both in Italy and around the world. As part of its recent corporate announcements, the company revealed a new share ownership plan that will provide all employees with a one-time grant of shares, free of charge.
Each employee will receive a grant worth a maximum of 2,065 euros, which translates to approximately 6.3 shares at the current share price. To encourage long-term investment in the company, Ferrari has also implemented a bonus program. Employees who hold onto their shares for at least 36 months will receive an additional tranche of shares valued at up to 15% of the initial grant.
Ferrari’s decision to offer shares to its employees comes at a time when the company’s stock price has experienced significant growth. Since going public in 2015, Ferrari has seen its share price skyrocket from an initial public offering of $52 per share to its current value of $351.68, representing nearly a sevenfold increase in less than a decade.
Part of Ferrari’s motivation for introducing the share ownership program is to drive employee engagement and productivity. Employee share programs have been shown to align the interests of employees with those of existing shareholders, creating a sense of collective responsibility and fostering a stronger connection to the company’s success.
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With more than 5,000 employees spread across the globe, Ferrari’s new initiative will impact a large and diverse workforce. In addition to the share ownership plan, the company also announced plans to expand its workforce by adding 250 new hires in the first half of 2024.
By offering shares to its employees, Ferrari is aiming to create a culture of shared ownership and responsibility within the company. This move not only aligns with the company’s commitment to employee well-being and satisfaction but also underscores Ferrari’s confidence in its employees’ ability to contribute to the continued success of the brand.
In a world where employee retention and loyalty are increasingly becoming key factors in business success, Ferrari’s decision to empower its workforce through share ownership demonstrates a forward-thinking approach to talent management and corporate culture. This initiative acknowledges the vital role that employees play in the company’s achievements and emphasizes their importance to the long-term viability and growth of the brand.
As Ferrari continues to expand its global operations and solidify its position as a leading luxury automotive brand, the share ownership program represents a significant step toward fostering a cohesive and engaged workforce. By giving employees a stake in the company’s success, Ferrari is not only investing in its workforce but also positioning itself for sustained growth and prosperity in the years to come.
