BT’s Chief Executive Philip Jansen has announced a commitment of £50m towards making BT Group colleagues shareholders in the company. The move is a major step in BT’s ambition to create a more engaged and energised workforce to drive significant improvements in customer service.
The ‘yourshare’ scheme will amount to approximately £50m per year for BT Group colleagues around the world, equating to an initial award value of £500 per employee. The shares will need to be held for three years, a move designed to encourage the long-term thinking and customer focus that will drive the success of the company.
Openreach colleagues’ awards will be aligned to the success of Openreach and its customers to ensure that their independence is maintained.
Chief Executive Philip Jansen said: “I want to make BT a company that exceeds our customers’ expectations and does a brilliant job for the country. To achieve that, I’m going to start with our colleagues: the 100,000 people involved in developing and delivering the essential products and services that connect millions of people across the globe.
“I’m asking our colleagues for their commitment to making BT a national champion; and I want to give them ownership in our company and a share in our success. Placing customers at the heart of BT will only be possible by investing in the lifeblood of the business, our people, giving everyone a stake as we build a better BT for the future.”
Carolyn Fairbairn, CBI Director-General, said: “BT’s move towards employee ownership is very welcome, giving employees a stronger voice, which has been shown to foster productivity growth and inclusivity in the workplace.
“All businesses need a structure that works for them and their staff, and workers should rightly feel they are an integral part of any business.”
At an event for BT’s colleagues around the world today, Jansen will outline his internal proposals for a new, re-energised BT. These new initiatives will be considered over the coming months, following input from BT’s workforce.
At its Full Year results last week, BT reaffirmed its strategic commitment to improving customer service, investing in its leading fixed and mobile networks and transforming its operating model. BT confirmed its intent to imminently launch the UK’s first 5G network. The company, together with Openreach, also outlined an increased fibre rollout target from 3m to 4m premises passed by March 2021 and an increased ambition to pass 15m premises by the mid-2020s, if the conditions are right.
Notes to editors
The yearly award, starting in July 2020, will be dependent upon prior year company performance and will be paid in shares that cannot be sold for at least three years. In some countries, where regulatory or commercial reasons restrict the use of shares, colleagues will receive a cash equivalent award that will increase (or decrease) in value in line with the BT share price.
BT’s purpose is to use the power of communications to make a better world. It is one of the world’s leading providers of communications services and solutions, serving customers in 180 countries. Its principal activities include the provision of networked IT services globally; local, national and international telecommunications services to its customers for use at home, at work and on the move; broadband, TV and internet products and services; and converged fixed-mobile products and services. BT consists of four customer-facing units: Consumer, Enterprise, Global Services and Openreach.
For the year ended 31 March 2019, BT Group’s reported revenue was £23,428m with reported profit before taxation of £2,666m.
British Telecommunications plc (BT) is a wholly-owned subsidiary of BT Group plc and encompasses virtually all businesses and assets of the BT Group. BT Group plc is listed on stock exchanges in London and New York.
For more information, visit www.btplc.com