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SAN ANTONIO — H‑E‑B, the largest private employer in Texas, in commemoration of its 110th anniversary, announced earlier this month that 55,000 employees would be eligible to receive a portion of stock in the company under a new employee ownership plan.
H‑E‑B, the largest private employer in Texas, in commemoration of its 110th anniversary, announced earlier this month that 55,000 employees would be eligible to receive a portion of stock in the company under a new employee ownership plan.
The Butt family, which founded and owns H-E-B, will remain the primary owners of the company. H‑E‑B anticipates that employees, known as partners, will own approximately 15% of the company over time.
In January 2016, eligible partners — employees who are at least 21 and have been with the company one year and have worked at least 1,000 hours in a calendar year — will receive a grant of stock valued at 3% of their salary, plus $100 in stock value for each year of continuous service completed by the end of 2015. Going forward, yearly contributions to the stock plan will be made based on company performance.
This grant enhances the long‑term financial security of partners and will be offered in addition to all of H‑E‑B’s existing compensation programs including a 401(k) plan that includes a company match. "The Partner Stock Plan is a milestone and a recognition of our most important resource — our people,” said H‑E‑B chairman and chief executive officer Charles Butt. "Our partners are the competitive edge that brings innovation, growth, and success to H‑E‑B. This plan has been my dream for decades. It is a gift that recognizes our partners’ ongoing commitment to H‑E‑B. Our partners shaped our past, define our present, and will lead us into the future."
H‑E‑B president and chief operating officer Craig Boyan said, "This historic offering reflects our commitment to our partners and the communities we serve. We are anchored in our mission to hire the best people, offer the best service, provide the best products at budget-sensitive prices, and operate our business in a way that reflects our deeply ingrained value system."
