The Government has announced proposals to improve the ability of small businesses to offer employee share schemes to help them attract, retain and motivate employees and grow their businesses.
The current regulatory framework is complex and fragmented, and ultimately discourages some businesses from offering employee share schemes.
This consultation paper seeks feedback on proposals to simplify and extend the current regulatory regime for employee share schemes by:
- consolidating exemptions and class order relief from disclosure, licensing, hawking, advertising and other obligations under the Corporations Act 2001;
- increasing the value limit of eligible financial products that can be offered by unlisted companies in a 12 month period from $5,000 per employee to $10,000 per employee;
- expanding relief for unlisted companies to include contribution plans, where an employee can make a monetary contribution to acquire eligible financial products; and
- allowing small businesses to offer employee share schemes without publicly disclosing commercially sensitive financial information in lodged disclosure documents, unless they are otherwise obligated to do so.
Feedback received through submissions will be used to inform the development of legislation.
You can submit responses to this consultation up until 30 April 2019.
Interested parties are invited to comment on this consultation.
While submissions may be lodged electronically or by post, electronic lodgement is preferred. For accessibility reasons, please submit responses sent via email in a Word or RTF format. An additional PDF version may also be submitted.
All information (including name and address details) contained in submissions will be made available to the public on the Treasury website unless you indicate that you would like all or part of your submission to remain in confidence. Automatically generated confidentiality statements in emails do not suffice for this purpose. Respondents who would like part of their submission to remain in confidence should provide this information marked as such in a separate attachment.
Legal requirements, such as those imposed by the Freedom of Information Act 1982, may affect the confidentiality of your submission.
How To Respond
Address written submissions to:
Senior Policy Adviser
Consumer and Corporations Division
PARKES ACT 2600
Phone: Nathania Nero 02 6263 2318