11.5 million LILANZ’s stock options granted: 213 employees reaped benefits

LILANZ (China) Company Ltd. announced on July 3rd that it granted 11.5 million stock options to 213 employees.

The objects of the stock option incentive are officers working 2 years or more. They don’t need to pay any cash and can exercise, at HK$4.31, 2 years after the date of grant, valid for 10 years. The costs will be accounted for by LILANZ.

The “red envelope” is really big. LILANZ is expected to pay around 50 to 70 million yuan. Except for the direct stock costs, 49.565 million yuan, LILANZ will also advance other expenses, i. e. taxes and costs in stock rights change.

What do the stock options mean to employees? Suppose the reporter receives 10,000 options. IfLILANZ’s share price rises to HK$20 2 years later, the reporter will get a cash benefit of HK$43,000 before taxes for nothing; if below HK$4.31, he can’t cash in his shares, but can choose not to exercise the options.

“The company grants stock options, and we benefit from that. So, for sure, everyone will take it as her own business and work harder,” Chen (an employee in LILANZ) said.

During the coronavirus outbreak, LILANZ not only pays full salaries to employees, but offers top workers a pay raise of 10% to 30%. The welfare system is based on its philosophy that the competitiveness lies  in company’s size and profits, as well as in talents.

“The outbreak does harm to the clothing industry. LILANZ’s share price remains at a depressed level. Stock options granted now, they, employees, can reap better benefits in the future,” Wang Congxing, vice chairman of the board in LILANZ, said.

This draws attention in the industry. “For a company, to cope easily with future uncertainties is to keep key employees, it's a win-win move,” Tu Manzhang, a member of Expert Committee of Human Resources Management Division said. It frees employees’ worries, keeps talents for the company and brings more chance to the city, Jinjiang.

利郎授出1150万份购股权213位员工领到“大红包”

　　3日，中国利郎有限公司对外宣布，向213位员工授出1150万份购股权“大红包”。

　　此次利郎期权激励的对象为入职主管级岗位2年以上的员工，他们无须支付任何现金，就可在规定期内按每股4.31港元行使权利，有效期10年，成本由利郎公司负责。根据购股权计划，每名承授人于授出日期2年届满后之日起，到授出日期后10年止的期间内行使。

　　这份“大红包”，利郎除了要掏出4956.5万元的明面成本，还需在期内为员工垫付包括税费、股权变动在内的其他费用，为此利郎预计将付出5000万元~7000万元。

　　这份购股权福利对员工意味着什么？假设记者获得1万份购股权，2年后利郎股价到了20港元，那记者将无偿获得税前4.3万港元的现金福利；如果2年后股价低于4.31港元，记者将无法将其变现，但可以选择不行权，直至股价高于4.31港元。

　　“公司无偿授予购股权，其实就是让利给员工。大家肯定会更加努力，把公司的事业当自己的事业干。”利郎员工陈女士告诉记者。

　　疫情之下，利郎不仅在疫情放假期间足额发放薪资，加大一线员工调薪力度（达10%~30%），此次还大发福利，其背后的逻辑在于，行业竞争并不仅仅是公司规模、利润的竞争，更是人才的竞争。

　　“疫情对于服装行业造成了一定的影响，许多投资者短期内不看好，因此最近利郎的股价处于低位。此时向员工授予购股权，能让员工未来收获空间更大。越是非常时期，越不能在人员开支上节约成本。”利郎董事局副主席王聪星透露。

　　利郎此举也引起业内关注。“留住核心员工，未来再怎么充满不确定性，企业都有资本从容应对。”国家执业资格人力资源管理师专家委员会委员涂满章表示，这是一个“多赢”的暖心举措。对员工，解除了他们的后顾之忧；对企业，有人就有一切；而对所在的城市，企业的主动作为留下的人才，还将影响更多人留在晋江。

策划：秦 娴

执行：施珊妹 李诗怡 刘 宁 董严军

翻译：黄珍珍 郑芷芳 张自玲