I think they are short term enticements and enventually become entitlement's.
Agreed if nothing is "at risk"
A lot of larger businesses management's compensation is (salary bonus) and the bonus is tied directly to the proffit margin.
No proffit no bonus. Higher up the ladder you go the higher the bonus. The reasoning behind this is they have a greater decision making impact on profit.
A large percentage of the take home pay is at risk so they try to make wise decisions.
Now if the guy in shipping was given 20% of his wages in company stock number of share not dollar value he now has risk and a chance to gain.
Time and material wasted indirectly effect his stock.
Business 101
The main reason a business exists is positive cash flow.
The second reason does not matter if it can't do reason one.
Negative cash flow is changed by reducing cost.
If you only have enough product sale to run one shift in the shipping dept you close down one shift. A sales man offering to leave to protect a shipping position is a noble effort but not real effective.
Business 102
In a down economy you reduce operational cost, increase advertising and sales staff.
How bout some links to the news articles or better yet, the company name. I'd like to give them a piece of my mind!
??
You are on a sinking ship you have an option of letting some go in life rafts or every one is going down. The captain has a tough decision to make.
He lets a few go to save the ship the rest of the crew punches holes in the boat to teach him a lesson. Lack of support and understand on the rest of the towns people sank it.
Now the captain has been offered a place out of state he can build a new boat and not have to pay taxes for 5 years if he hires 60 people from the new town that need a job.
I just started a new job because the company I was with outsourced a large percentage of their work source due to a down turn in business.
So I move to another state, had the kids change schools, still one two houses I can't sell but is it the businesses fault I was "let go" nope see rule one.
I purchased stock from the business that just let me go ( And yes the Wife was pissed) I understood rule one. Now I have a new job doing something I enjoy and made 30% on the stock in 8 months.
I believe before you go to work, vote, fly a plane, drive a motor vehicle you should have to take a basic course and understand the principles on how every thing operates.