GROUP FIVE, a Princeton, New Jersey financial services consultant, found that the overall satisfaction level with employee stock purchase plans continued to hover around 44% in 2001- about the same as in 2000. The figure is well below the 66% favorable rating for stock option plans.
Major problems, according to the GROUP FIVE survey, were participant services, cited by 42% of the sample and plan reporting, mentioned by 33% of respondents. Internet services to plan sponsors and participants were a particular bad spot, the company said.
Service providers are having the most difficulty with plan reporting on their clients’ stock plans, particularly stock purchase plans. Keeping records up-to-date and accurate and providing ad hoc reporting also continue to be major problems, GROUP FIVE said.
Overall employer satisfaction with service levels on their employee stock option plans jumped to 62% – well above the 2000 level of 46%.
The study, which covered 819 stock plans, measured satisfaction in three major services. These are:
- account administration,
- recordkeeping and plan reporting, and
- participant services