Prior to the IPO announcement, Reward can be brought into the loop and have at the ready a retention scheme to keep key employees with the organisation through the IPO life cycle. This can release some of the psychological stress and keep employees engaged throughout the entire timeline.
Around the middle point of the IPO activity, details surrounding the new cash and equity schemes can be communicated, of course once the requisite approvals have been secured. At this stage, employees will then be given the information they need to commit to the organisation longer term. Transparency and clear communication on equity plans is extremely important at this stage. Roadshows and lunch and learn are extremely beneficial, also, as employees can ask detailed questions on the specifics around the new post-IPO plans, including vesting and performance metrics. The important question to answer for employees is, “what’s in this for me after the IPO and how can I ensure that what I do today is adding value in the longer term?”.
Once it’s all over, you should consider how to reward staff for their loyalty throughout the IPO process and beyond. In this candidate-led market, many companies are struggling to hold on to quality talent. It’s imperative that you consider ways to retain your workers during a transition of this magnitude. It is often best to have ‘softer’ Reward item at this point to recognize the effort and work that has gone into the IPO. Recognition programs where employees can nominate one other are helpful, as are mental health days to recuperate from the cognitively taxing work, additional vacation days are just some examples of items that can be rolled out fairly easily, but with a high rate of value return.