Unable to pay salaries, Gurugram firm offers shares to employees
What's the story
Eastman Auto and Power Limited, a Gurugram-based startup firm said today that it has come up with a novel plan to compensate their employees by offering them company shares as they are unable to pay them salaries.
Managing Director Shekhar Singal said the company does "not have adequate money" during initial days and, therefore, has decided to offer Employee Stock Ownership Plan (ESOP).
Reward to employees
It is a reward to employees for their countless contribution
"The idea is to attract elite talents with ESOP in which full-time employees generally earn share as part of their compensation. It is a reward to the employees for their countless contribution," Singhal said.
The company is working in the fields of energy storage and solar solutions, is possibly the first in Indian's solar sector to offer this scheme.
MoU with employees
15% of total employees accepted the scheme
15% of the total number of employees have been given this scheme. The company plans to roll out the scheme for all employees soon.
It has signed a MoU with its employees before they accepted the scheme.
"It is a good scheme which makes us feel valued and an integral part of the company," said Ashwani Sharma, an employee.