Smiths to give 10,000 workers up to £400 in shares – but there’s a catch

Smiths Group will give more than 10,000 staff members shares worth up to £400 as part of a scheme coinciding with its 175th anniversary.

The London-listed engineering conglomerate said all of its permanent employees will have the opportunity to own a stake and share in its “future success”.

The one-off share awards will be granted to full-time and part-time staff who are employed by Smiths globally on October 30.

However, the catch is, employees will have to stay working for the business until November 2028 before the award will vest, meaning they can take ownership of the shares.

Roland Carter, Smiths’ chief executive, said: “For 175 years, we have built our reputation on engineering excellence and innovation. But our success has always been driven by our people.

“This award is our way of saying thank you for everything our colleagues do and recognising the role they play in our future success.”

Kini Pathmanathan, the chief people, sustainability and excellence officer, said: “This is an important moment for our business. By making this award, we’re bringing colleagues together with a shared stake in our future success and recognising the contribution they make every day. Together, we are engineering a better future, and the future we are building belongs to all of us.”

In countries where shares cannot be granted, employees will instead receive an equivalent cash-based award.

Smiths is among the UK’s biggest industrial firms and makes parts for products spanning sectors like construction, energy, aerospace and life sciences.

It sold off parts of the business last year to focus on its John Crane subsidiary, which makes seals and parts for a range of industries including oil and gas, and its Flex-Tek business, which makes heating and cooling components.

The company was founded by Samuel Smith in 1851, who opened his first jewellery and watchmaking shop in London.

Smiths reported an adjusted operating profit of £399 million in the year to the end of July, on a headline basis, which was 2.1 per cent higher than the year before.