84% of Hong Kong-listed firms use employee share plans: report

Equity incentives form 27.3% of senior management pay.

Employee share plans are now standard practice amongst Hong Kong-listed companies, with 84% operating at least one scheme in 2024, according to a report by global share plan provider Computershare.

The report analysed equity incentive structures across more than 2,600 companies listed on Hong Kong Exchanges and Clearing. It found that half of listed companies operated two or more share plans during the year, signalling deeper reliance on equity-based remuneration.

Equity awards made up a significant share of executive compensation. Key management personnel earned an average of 27.3% of their total remuneration in equity form in 2024, the report showed.

Performance-linked incentives also gained traction. About 32% of Computershare’s Hong Kong-listed share plan clients tied share awards to performance targets across employee seniority levels during the year, according to the report.