Study On The Impact Of Employee Stock Ownership On Enterprises' Performance

In recent years,more and more companies are keen to implement employee stock ownership plans.As far as Chinese listed companies are concerned,the shareholding incentives that have been ruled out have only officially appeared in 2006,and have entered a stage of rapid development since 2011.One of the main objectives of the employee stock ownership plan is to establish and improve the benefit sharing mechanism between employees and owners through partial adjustment of corporate property rights arrangements,thereby improving their work enthusiasm,thereby reducing the internal supervision costs and improving corporate governance as well as governance structure in order to improve business performance.Therefore,how the employee stock ownership plan affects the performance of the company and its impact on performance is exactly what this article is about.The purpose of this paper is to study the impact of employee stock ownership on corporate performance.A total of 439 A-share non-financial listed companies that successfully implemented employee stock ownership in 2014-2016 were selected as sample populations.This paper studies the influence of employee shareholding on the financial performance of listed companies from two angles of employee shareholding and executive shareholding,measures employee shareholding by using shareholding ratio and shareholding scope,and further examines the influence of equity concentration of large shareholders on the effect of management shareholding.This article is going to use the factor analysis method to calculate the comprehensive performance indicators of listed companies,and empirically testing the performance of the listed companies that implement the employee stock ownership plan in the second year of implementation,and using multiple linear regression methods to verify the employee's performance.The correlation between stocks and corporate performance leads to the following conclusions:(1)The employee shareholding ratio is statistically positively correlated with corporate performance,and the incentive effect is better in state-owned enterprises;(2)employee stock ownership and corporate performance is statistically not significant;(3)There is a statistically positive correlation between the shareholding ratio of executives and corporate performance.Further,the concentration of ownership of large shareholders will weaken the incentive effect of executives.Finally,this paper selects Shanghai Port Group as the research object to further verify the empirical results to prove that employee stock ownership has played a certain role in improving the performance of Chinese enterprises.According to the above research conclusions,this paper believes that listed companies should actively implement the employee stock ownership plan to improve the company's performance level,but at the same time should pay attention to the reasonable setting of employee shareholding according to the relevant documents,and prevent excessively high in the implementation process.Strive to create a good internal competition atmosphere for employees,and focus on the incentives for core technical employees.At the same time,when a listed company activates the management equity incentive plan,it should consider the appropriate governance environment,especially the degree of control of major shareholders.The company should also be fair and just in the implementation of employee stock ownership,taking into account efficiency and fairness,in order to promote a better sense of belonging.At the same time,at the regulatory level,enterprises need to strengthen supervision over the operation of employee stock ownership plans,prevent employees'interests from being infringed,strengthen the guidance of investment styles of employee stock ownership plans,and establish the concept of value investment.Long-term investors.