This research paper aims to provide evidence and inform policies that promote employee share ownership in Australia.
Employee Share Schemes (ESS) are a form of shared capitalism that have been argued to reduce wealth inequality and improve firm and aggregate economic outcomes. Policy makers and advocates consider them an important mechanism to encourage start-up activity. It can enable employers to improve cash flows and attract and retain staff at lower rates of wage compensation.
The paper uses cross-sectional and panel analysis of Australian Bureau of Statistics (ABS) Economic Activity Survey data and Australian Tax Office data to identify some of the characteristics and performance of firms engaged in ESS over 2006–07 to 2014–15.
Authors: Luke Hendrickson, Toni Pachernegg, Maria Boyle, Stan Bucifal, David Hansell