Vedanta Grants ₹2,500 Crore Stock Options in 5 Years Covering 40% Workforce

As per The Economic Times report, Vedanta Ltd has distributed employee stock options worth ₹2,500 crore over a 5-year span, with the latest ₹500 crore allocation under ESOP 2025 including 1,200 first-time recipients across various levels in the organisation. 

₹2,500 Crore Stock Options Issued Over 5 Years 

Vedanta Ltd, a diversified natural resources company, has allocated ₹2,500 crore worth of employee stock options (ESOPs) across a 5-year period.  

This initiative includes a recent tranche under ESOP 2025, involving stock options valued at over ₹500 crore. The plan covers nearly 1,200 first-time participants, of which many are early-career professionals. 

The shares are being allotted at ₹1 per share, making it one of the lowest cost structures among Indian ESOPs. According to the company, this move is designed to align employee compensation directly with share price performance. 

Wider Coverage Across Workforce 

Vedanta’s ESOP programme now covers 40% of its workforce, spanning different roles, plants, functions and seniority levels.  

Unlike conventional ESOPs that focus on senior executives, this structure includes fresh graduates and mid-level employees. New joiners can receive stock options equivalent to 30% of their fixed pay, subject to a standard 3-year vesting period. 

Performance-Linked Scheme and Gains 

Vedanta’s structure ties stock allocations with performance in areas like automation, digitalisation, artificial intelligence, operational efficiency and sustainability.  

During ESOP 2022 vesting, the stock registered over 80% appreciation, creating cumulative gains of ₹300 crore for participating employees. 

Read More: Odisha Government Issues ₹1,255 Crore Demand Notices to Vedanta’s ESL Steel! 

Vedanta Share Price Performance 

As of January 21, 2026, at 3:30 PM, Vedanta share price on NSE was closed at ₹676.65 up by 0.72% from the previous closing price. 

Conclusion 

The ₹2,500 crore ESOP deployment by Vedanta over 5 years highlights a significant shift towards equity-based employee rewards across hierarchical levels. The programme has provided participation to a broad section of the workforce with performance-linked benefits and substantial gains during past vesting cycles. 

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