In the Company of Owners: The Truth about Stock Options (and Why Every Employee Should Have Them)

Remedies for corporate greed seem often to involve limiting stock options for executives. That may be well and good, but the authors here make a different case: Equity should be given to more employees, not fewer. If all companies followed the lead of their tech brethren and handed out stock options to employees, those companies would perform much better. Using what they call the partnership capitalism approach, companies should use options to prod employees to think like owners. And even though shareholders initially lose out on stock option schemes—employee options water down the value of stock holders—in the end the increased productivity provided by a motivated workforce makes the company more profitable and increases the share value.