Canadian e-commerce firm Shopify, which has seen its share price plummet 75% in the space of a year, has decided to adjust its remuneration system. The company's workforce, which stands at 10,000 employees worldwide, will be able to choose how their pay is split between cash and shares. Shopify's management hopes to restore commitment and motivation among its staff, after announcing on 26 July that it was laying off 10% of its workforce.
Shopify’s management will no longer determine the breakdown of employees’ pay packets between cash and equity. Instead, staff will be free to choose how they want to be paid. Under the new system, dubbed “Flex Comp”, employees will be able to choose “exactly how they want to allocate their total reward”, depending on their individual needs, Shopify human resources chief Tia Silas writes in a statement.
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