ownership, performance and reward at rcu - what works for us
DESCRIPTION
Ownership, performance and reward at RCU - what works for us. Gordon Aitken, Director RCU. About us – briefly!. Colleges and training companies. Private sector clients. Customer surveys; staff surveys; market analysis; data mining; labour market info; - PowerPoint PPT PresentationTRANSCRIPT
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RCU, Buckingham House, Glovers Court, Preston, PR1 3LS
Tel 01772 885999 | Fax 01772 887336 | [email protected]
Seminar 5: Linking employee ownership to reward and performance 10.123
Ownership, performance and reward at RCU - what works for us
Gordon Aitken, Director RCU
![Page 2: Ownership, performance and reward at RCU - what works for us](https://reader035.vdocument.in/reader035/viewer/2022062521/56816851550346895dde5cbc/html5/thumbnails/2.jpg)
RCU, Buckingham House, Glovers Court, Preston, PR1 3LS
Tel 01772 885999 | Fax 01772 887336 | [email protected]
Seminar 5: Linking employee ownership to reward and performance 10.123
About us – briefly!
Customer surveys; staff surveys; market analysis; data mining; labour market info;stakeholder perceptions; income generation; customer relations management.
Colleges and training companies
Private sector clients
![Page 3: Ownership, performance and reward at RCU - what works for us](https://reader035.vdocument.in/reader035/viewer/2022062521/56816851550346895dde5cbc/html5/thumbnails/3.jpg)
RCU, Buckingham House, Glovers Court, Preston, PR1 3LS
Tel 01772 885999 | Fax 01772 887336 | [email protected]
Seminar 5: Linking employee ownership to reward and performance 10.123
Previous Model (2002-April 2009)
• Managing Director• Deputy Director• EBT nominee• 2 Non-Execs• Right to attend
for all other staff• Salary bonus (equal for all staff)• EBT group benefits (caravan, events)• Reinvestment
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RCU, Buckingham House, Glovers Court, Preston, PR1 3LS
Tel 01772 885999 | Fax 01772 887336 | [email protected]
Seminar 5: Linking employee ownership to reward and performance 10.123
Current Model (April 2009 onwards)
• Managing Director• 3 Exec Directors
(Elected A shareholders)
• 3 NEDs• Right to attend for all
other staff• Dividend (equal for all staff)• Staff Benefits Budget (group benefits)• Reinvestment
Share Ownership•17 voting shares awarded after 1 year’s service.
• 6745 capital owning shares (and 900 options) – 60 per year of service.
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RCU, Buckingham House, Glovers Court, Preston, PR1 3LS
Tel 01772 885999 | Fax 01772 887336 | [email protected]
Seminar 5: Linking employee ownership to reward and performance 10.123
So what’s changed? This is what colleagues say
Click here (you need to be running slide show)
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RCU, Buckingham House, Glovers Court, Preston, PR1 3LS
Tel 01772 885999 | Fax 01772 887336 | [email protected]
Seminar 5: Linking employee ownership to reward and performance 10.123
Remuneration Structure
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RCU, Buckingham House, Glovers Court, Preston, PR1 3LS
Tel 01772 885999 | Fax 01772 887336 | [email protected]
Seminar 5: Linking employee ownership to reward and performance 10.123
Benefits and (Potential) Problems
• Collective enterprise• Motivation/innovation• Cost control• Self-adjusting remun.• Peer group impact• Reduced mgt cost• Recruitment• Transparency• Development spur• Longer perspective
• Initial legal/tax cost• Slower decision-making• Risk of “free riders”• Disenchanted “top
performers”• Small company model –
James Meade (1975) “employee-shareholder enterprises” c30?
Benefits Potential Problems
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RCU, Buckingham House, Glovers Court, Preston, PR1 3LS
Tel 01772 885999 | Fax 01772 887336 | [email protected]
Seminar 5: Linking employee ownership to reward and performance 10.123
Final thought
No structure works without genuine employee involvement
... but most structures will work with it.