Prevalence, Characteristics, and Employee Views of Financial Participation in Enterprises
Authors: Park, Rhokeun; Kruse, Douglas; Blasi, Joseph
Source: Forthcoming from University of Chicago Press
Number of pages: 48
Between one-third and one-half of employees participate directly in company performance through profit sharing, gain sharing, employee ownership, or stock options. This flies in the face of concerns about the free rider problem and worker risk aversion in group incentives, and raises many questions about the effects on firms and workers. This paper lays out the major reasons we may see such "shared capitalism" plans, and reviews recent nationally representative surveys on the prevalence of these plans.