Orange has launched Together 2021, an employee shareholding operation for employees. The telecom operator said this new scheme aims to increase the capital held by company employees by around 1 percent.
As of June 30, 2021, 80 percent of Group employees (and 88 percent of Orange employees in France) were company shareholders. Employees or formers employees held 6.50 percent of capital and around 10 percent of voting rights.
This 12th employee shareholding scheme reflects efforts made by Orange to make employees part of the Group’s development and the success of the Engage 2025 strategic plan, while reinforcing this element of stability in company governance.
Through these schemes, employee shareholders can actively and independently play a role in company governance, either directly or via the supervisory boards of employee shareholding funds.
Together 2021 follows the 2 December 2020 announcement concerning the reimbursement of €2.2 billion by the French State Council related to a long-standing tax dispute.
Stephane Richard, Chairman and CEO of the Orange Group, said: “Together 2021 is a step to achieve our goal of 10 percent employee share ownership over time, and to allow employees to play an even bigger role in the Group’s development and prospects.”
Together 2021 is offered to 140,000 eligible employees at the Group’s French and international entities who are members of the Group Savings Plan (PEG) and International Group Savings Plan (PEGI) respectively, as well as 45,000 retirees with credit in the PEG.
This scheme includes a maximum subscription limit worth €260 million (indicated as the price of shares before a 30 percent discount). This will operate through the repurchase of existing shares, carried out previously by Orange in the context of its share buyback program.