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Benefits August 12, 2002
Most Companies Putting Stock in Options: Survey
August 12, 2002 (PLANSPONSOR.com) - The use of
company stock compensation is "thriving" among US employers,
according to an industry group report.
Reported by Fred Schneyer
WorldatWork reported that out of the more than 2,800 companies polled, 57.8% continue using stock-based compensation – up from the 55.9% in 2001.
Interestingly enough, while the application of options as a benefit was relatively uniform across all regions, the central region was noticeably lower. Still, that region reflected a 57.3% utilization. Among other regions:
- Eastern Region – 62.9%
- Southern Region – 63.9%
- Western Region — 62.5%
WorldatWork said the stock option programs increasingly include a performance component saying an employee won’t receive the options unless his work is deemed up to snuff.
About a third of respondents said moving to this performance-based options award was their biggest options change, WorldatWork said.