The Organizational Performance Pay Plan

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The Organizational Performance Pay Plan for The Fit Stop According to all the facts we have on the Fit Stop, we chose that the best suitable organizational performance pay plan for employees would be employee stock plans which are a plan through which employees acquire shares in the Fit Stop. We have chosen the three main employee stock plans i.e. employee stock bonus plan, employee share purchase plan and employee stock option plan. (Long, 2013) The following will be the design and implementation of the performance pay plan in the Fit Stop. Type of Pay Plan Definition Design & Implementation Evaluation Period Employee Stock Bonus Plan The plan allows employees to receive shares in the Fit Stop at no cost to the employee. (Long, 2013) Will be established after employees have been on the job for 12 months The plan will be evaluated every 2 years from the date it is implemented Employee Share Purchase Plan (1000 shares) The plan allows employees to purchase shares in the Fit Stop at a specific cost. (Long, 2013) Will be established after employees have worked for the company for 18 months The plan will be evaluated every 3 years with possible cost benefit packages included Employee Stock Option Plan (1500 shares) The plan provides employees options to purchase shares in the Fit Stop at a fixed price within a limited time period. (Long, 2013) Will be established after employees have worked for the company for 24 months This plan will be evaluated every 3
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