Large Australian Companies Request Stronger Employee Ownership Policies

Australian's Group of 100, an organization of the chief financial officers of country's 100 largest companies, has called on the government to create more incentives for companies to share profits and provide equity compensation to employees. Andrew Porter, the group's president and the CFO of Australian Foundation Investment Company, cited employee ownership as a solution to the problems caused by stagnant wage growth. In an interview reported in the Australian Financial Review, he said, "Where an employee can directly see how improvements in the bottom line of a business can benefit them, they become more motivated—generally speaking—and the business improves."