The incidence and determinants of employee share ownership and profit sharing in Europe

Abstract

This paper uses a substantial international database to provide the widest and the most detailed analysis to date of financial participation across Europe. It explores the antecedents of broad-based share ownership and profit sharing schemes. It is found that country effects are important predictors of both profit sharing and share ownership schemes. Share ownership schemes are also associated with company size, stock market listing and some measures of HRM ‘sophistication’. Employee participation and representation have weak relationships with financial participation.

Citation

Pendleton, A., Poutsma, E., Van Ommeren, J. and Brewster, C. (2003), "The incidence and determinants of employee share ownership and profit sharing in Europe", Advances in the Economic Analysis of Participatory & Labor-Managed Firms (Advances in the Economic Analysis of Participatory & Labor-Managed Firms, Vol. 7), Emerald Group Publishing Limited, Leeds, pp. 141-172. https://doi.org/10.1016/S0885-3339(03)07008-X