Lehman Brothers Bolsters Employees with Bonuses

Whether it’s a public move to allay fears of disaster after a 66% stock plunge, or a “hey we’re on your side and we appreciate you” gesture toward employees, I think Lehman’s fearless approach in awarding midyear stock bonuses is a strategy worth talking about.

The mortgage crisis spared few, and those 26,000 employees at the Wall Street firm have good reason to be concerned. Especially after the Bear Sterns take-over. This move, no matter how it’s viewed from the outside world is a tool of employee engagement and retention to the max.

The credit meltdown impacts people across the board. Lehman, like others, has been thrown into the bull pin under the screeching bright lights of the market mayhem. The company knows that it’ll cost them a pretty penny and a spiral into more chaos it they lose their top management. Not sure if this will curtail the watercooler talk of “gee, are we next on the chopping block”?

The question is, how does stock measure up in the minds of these employees  – to the almighty dollar?Even if it’s a short term confidence booster, it’s something. Heading into the holiday weekend, it’s food for thought. But I’m not so sure these employees will be frying up steak instead of burgers on the grill over the weekend.