BT Group announced that it will allocate shares worth £50 million per year to its employees making them shareholders in the company.
The latest move is a major step in BT’s ambition to create a more engaged and energised workforce to drive significant improvements in customer service, BT CEO Philip Jansen said on Thursday.
BT did not reveal the number of employees who will benefit from the share allocation.
The yourshare scheme will amount to approximately £50 million per year for BT employees around the world, equating to an initial award value of £500 per employee. BT employees will need to hold the shares for three years.
Openreach employees’ awards will be in with the success of Openreach and its customers to ensure that their independence is maintained.
BT aims to improve customer service, investing in its leading fixed and mobile networks and transforming its operating model. BT confirmed its intent to imminently launch the UK’s first 5G network.
The company, together with Openreach, also increased fibre rollout target from 3 million to 4 million premises by March 2021 and 15 million premises by the mid-2020s.
The award, starting in July 2020, will be dependent upon the performance and will be paid in shares that cannot be sold for at least three years. Employees will receive a cash equivalent award in some countries, where regulatory or commercial reasons restrict the use of shares.
BT Group’s revenue reached £23.428 billion with profit before taxation of £2.666 billion for the year ended 31 March 2019.