What does it entail when a business is “100% employee owned”?

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Do the employees get a stake in the company proportional to how many there are? Are profits shared amongst them equally?

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Anonymous 0 Comments

Shares are typically divided up in a combination of seniority, level/position, job type. So somebody who has been with the company for 10 years gets more than somebody in same position who has been there for 1 year. Somebody who is a VP gets more than a manager. Somebody who is a company attorney gets more than a call center rep. There might be an initial grant and then opportunities to earn more shares along the way, such as on particular anniversary dates, promotions, etc. Profit sharing would be proportional to number of shares owned.

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