Capgemini, the French IT giant, has announced its 11th Employee Share Ownership Plan (ESOP), allowing a significant portion of its workforce in India to participate. With 1.7 lakh (170,000) employees in India, the plan is designed to enhance employee engagement and offer an opportunity for ownership in the company. Eligible employees will be able to invest in company shares and benefit from its growth.
Eligibility and Investment Details
Employees with a minimum tenure of three months as of the subscription date are eligible to participate in this ESOP, covering approximately 97% of the company’s Indian workforce. The minimum investment starts at 100 euros (around ₹9,000), providing an accessible entry point for most employees. Capgemini has capped the maximum investment, which includes leverage, at 25% of the employee’s annual compensation.
This plan aims to strengthen the alignment between employee interests and the company’s long-term growth, with a five-year lock-in period during which employees cannot withdraw their investments. However, employees will benefit from any increase in the company’s share price during this time, providing potential financial rewards linked to Capgemini’s market performance.
Capital Increase and Share Allocation
The ESOP is structured through a capital increase reserved exclusively for Capgemini employees, allowing for up to 27 lakh shares, representing 1.5% of the company’s outstanding shares. Employees will invest in euros, and the ownership is expected to create a sense of participation in the company’s success.
Strengthening Employee Engagement
Capgemini has consistently focused on employee well-being and engagement, and the introduction of this ESOP is a testament to its commitment to fostering long-term relationships with its employees. With this initiative, Capgemini employees have the opportunity to become shareholders, aligning their interests with the company’s growth and contributing to a culture of ownership and accountability.
