Equity participation
Sir: How timely and welcome — in the truest sense of that trite phrase — to find Nicholas Davenport (30 September) coming out so wholeheartedly in favour of the 'simple idea of equity participation' for workers, along with existing shareholders and all of us taxpayers, as the obvious solution to the Ford and similar deadlocks now and in the future. Those of us who have been preaching the same gospel, in one form or another and in and out of season, for years can only add three full-throated cheers.
The only other point I might perhaps be allowed to add is that the Government, while dutifully sticking to its 5 per cent guideline, also has a direct part to play, not only by supporting such schemes to the hilt with adequate tax reliefs for the companies themselves and/or their workers, but also by enabling the latter to put part of their performance-related earnings back into the kitty by permitting them, if they wish, to buy additional shares or the like at a suitable discount. The benefits to the Government itself in terms of increased tax revenue as a result of higher productivity, with fewer disputes and hence increased taxable earnings, should comfortably outweigh the cost involved.
Here at last is, without blasphemous intent, a heaven-sent opportunity to bridge the gulf between 'them' and 'us' which has plagued our society and economy all too long. If those presented with it fail, through preoccupation with hitherto vested interests and blindness to their long-term mutual advantage, to seize it with both hands, they will have only themselves to blame for remaining, like the rest of us, the losers. W. Grey 12 Arden Road, Finchley, London N3
Previous page
