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Contact: Taryn Lynds, 202.682.4443
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Sharing The Wealth Through Stock Options: Facts & Figures
American Benefits Council

In the past, only company executives received stock options. But today, the opportunity to enjoy equity ownership is spreading throughout a company's workforce. Below is a sampling of survey data that illustrate this trend. For more information, contact either James Delaplane, the Council’s Vice President, Retirement Policy, or John Scott, the Council's Director, Retirement Policy, at 202-289-6700.

Data on Employers Offering Stock Options

  • In a 1997 survey, the National Center for Employee Ownership (NCEO) reported that among 1,100 public companies concentrated in the electronics industry 53% provided options to all employees. Of companies with 500 to 999 employees, the study found that 51% offered options to all employees, as compared with 30% in 1994. 43% of companies with 2,000 to 4,999 employees offered options to all employees as compared with 10% in 1994. Similarly, 45% of companies with more than 5,000 employees offered stock options to all employees, up from 10% in 1994 (Employee Stock Options Fact Sheet, National Center for Employee Ownership, 1997).

  • A 2000 survey by the National Association of Stock Plan Professionals and PricewaterhouseCoopers reported that 44% of 345 large domestic companies with stock option plans made grants to all employees, including hourly employees (The 2000 Stock Plan Design and Administration Survey, National Association of Stock Plan Professionals, 2000).

  • According to a 1999 William M. Mercer survey of 350 major industrial and service corporations, 39.4% of those surveyed had a broad-based (at least 50% of employees being eligible) stock option plan and 18% made grants under such plans. These figures compare with 17% of companies offering broad-based stock option plans and 5.7% making grants in 1993 (Broad-based Stock Options - 1999 Update, William M. Mercer, Inc., 1999).

  • From a 1998 Hewitt survey, over 66% of large companies gave options to some portion of their non-executive workforce. Of this group, 26% granted options to all their workers and another 15% gave options to at least half the employees (1998 Hewitt Survey Findings: Broad-based Stock Ownership Opportunities in Large U.S. Companies, Hewitt & Associates, 1998).

Data on Employees Eligible for Stock Options

  • From a 1999 survey of large employers by Watson Wyatt Worldwide, 19% of employees were eligible for stock option grants (1999/2000 Survey of Top Management Compensation, Watson Wyatt Worldwide, 1999).

  • According to the NCEO, more than 6 million non-executives receive stock options. The trend is towards more non-managers receiving stock options. In the biotechnology and computer programming industries, stock option holdings were more widespread among rank-and-file employees (55%) than among managers (45%) (Current Practices in Stock Option Plan Design, National Center for Employee Ownership, 1998).

  • In the same NCEO survey, the average option grant value was $37,000 for professional employees, $41,000 for technical employees, and $12,500 for administrative employees.

  • The Federal Reserve reported that in 1998 49% of all families had, directly or indirectly, stock holdings, up from 31.6% in 1989 (1998 Survey of Consumer Finances, The Federal Reserve, 1999).

# # #


Advancing the business of technology, AeA is the nation's largest high-tech trade association. AeA has more than 3,500 member companies that span the high-technology spectrum, from software, semiconductors and computers to Internet technology, advanced electronics and telecommunications systems and services. With 18 regional U.S. councils and offices in Brussels and Beijing, AeA offers a unique global policy grassroots capability and a wide portfolio of valuable business services and products for the high-tech industry. AeA has been the accepted voice of the U.S. technology community since 1943.


This page was last updated on 05/09/02.  

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