Over 100 Multinationals Have Set Up Employee Ownership Plans in Zimbabwe

Over 100 foreign-owned companies in Zimbabwe have set up government-approved plans to share between 5% and 28% of their equity through employee stock ownership trusts that accumulate shares over an employee's tenure with the firm and pay out when they leave. Many, but not all, of the firms are in mining. The plans are being set up as part of the country's indigenization program. In addition, some firms have set up plans that go beyond the government guidelines, such as Schweppes, where the stock plan owns 51% of the subsidiary's shares. Other firms not covered by the requirements have also set up voluntary plans. The plans are almost always funded by employer contributions.