At Esco Retail, all employees are constantly driven to work hard. The company places maximum emphasis on stocking high quality goods and providing high quality service to retain the edge they have in the retail industry. To promote organizational commitment further, employees are incentivized by enabling them to purchase company shares at below-market prices as a part of their benefits. This mode of providing incentives represents the use of ________.
A) core-plus plans
B) flexible benefits plans
C) modular plans
D) employee stock ownership plans
E) merit-based plans

Question

Quizplus · Accepted Answer

The mode of providing incentives by allowing employees to purchase company shares at below-market prices is an example of employee stock ownership plans (ESOPs). This is a common method used by companies to incentivize employees and promote organizational commitment. Core-plus plans, flexible benefits plans, modular plans, and merit-based plans are other forms of employee benefits, but they do not include stock ownership.

At Esco Retail, All Employees Are Constantly Driven to Work