Coca-Cola Beverages South Africa has launched the Ikageng Employee Share Trust whose primary focus is to ensure that every employee receives an equal allocation of shares regardless of staff level, race or years of service,
Coca-Cola Beverages South Africa (CCBSA) has launched the Ikageng Employee Share Trust which has been created for the company’s employees to have shares and direct economic participation in the business. According to Business Report Online, 8,000 CCBA employees have become shareholders in the business through the trust, which owns a 5 percent stake in parent company Coca-Cola Fortune.
Coca-Cola Fortune was founded on March 1 2002, after a merger between the South African operations of Coca-Cola Sabco and the Kunene family’s Fortune Beverages.
From May 26, 75 percent was allocated equally among the eligible employees, irrespective of grade or salary, while the remaining 25 percent would be held in reserve for future employees.
“If CCBSA makes a profit and subsequently declares a dividend, then the Ikageng Employee Share Trust will receive a dividend,” said the company in the Business Report article, which quotes CCBSA director Velaphi Ratshefola saying the establishment of the trust reflected the group’s commitment to transformation, and recognition that employees were the company’s biggest asset.
“As part of our mission to create shared opportunity and value throughout our business, we want employees to have a vested interest in delivering an enhanced value while influencing and directly participating in the company’s long-term vision of sustained profitability,” Ratshefola said in the article.