Employee gains from sharesave schemes have more than doubled in the last year, according to research by law firm Pinsent Masons.
Its research found that profits made by employees at the conclusion of the scheme, either after three or five years, have increased by 141% from £360 million up to £870 million.
Employees participating in sharesave schemes have benefited in the last year from strong stock market performance, with shares in FTSE 100 organisations rallying strongly in 2013 with the index up by 14.4%.
The research found that employees have also made £430 million worth of tax and national insurance savings from sharesave schemes, up from £170 million saved in 2012.
A number of employees from organisations including BT, BSkyB and Ocado have benefited from sharesave payouts this year.
The research also found that share schemes are becoming increasingly popular among a range of employees, as employers aim to promote the benefits of owning shares in the organisation as part of employees’ reward packages.
Matthew Findley, partner and head of share plans and incentives at Pinsent Masons, said: “[Sharesave] is a highly tax-efficient and risk-free route for employees to invest in the stock market, and to take a financial stake in the organisation they work for.
“Employees who have joined a sharesave scheme and then opted to sell their shares this year have really reaped the benefits of an improving stock market.
“[Sharesave] demonstrates that share options are not the preserve of senior directors. As employers get better at communicating the benefits of schemes like [sharesave], more and more staff from organisations offering them are looking to sign up.”
