400 Flipkart Employees Have Now Become Crorepatis Thanks To The New Round Of Funding

Flipkart received $1 billion (Rs. 6,000 crore) in funding last month, currently valuing it at $7 billion.

With about 25% of the 7,000 full-time employees owning a stake in the online retail giant, most of these employees are now really, really rich. According to theEconomic Times, thanks to their employee stock option scheme, about 400 of these employees have now become crorepatis.

Source: NDTV

In two years, Flipkart's valuation has grown eight times. For the company's founders, Esops (Employee Stock Options) are a conscious attempt at creating wealth for their employees. "We are competitive when it comes to salaries, Esops offer the opportunity for wealth and value creation," said Sachin Bansal, 32, Flipkart's co-founder and chief executive when speaking to Economic Times. "It's a long-term reward for those who believe in the future of Flipkart."

Source: The Quint

At the senior-most level, nearly 20 employees who are at the grade of senior vice-president or above and joined over two years ago, are now dollar millionaires, meaning their stock options are worth at least Rs. 6 crores on paper.

A number of junior employees at Flipkart too hold sizeable stake in the company. This has helped employees like 29-year-old Ambur Iyyappa, a senior manager of customer operations at Flipkart. The Annamalai University graduate told Economic Times, "I was getting married in 2012 and the buyback allowed me to take care of my wedding expenses." Other existing employees too claim that Esops give them recognition and are a great motivating factor for employees.

Source: NY Times

A motivating factor indeed! Not just for existing employees, but for prospective employees as well. Way to incentivize, Flipkart!