Life @ PhonePe
Compensation Philosophy at PhonePe
Collaboration not Competition
In January 2021, we launched the PhonePe Stock Option Plan that gives every PhonePe employee the chance to own a part of the company. The USD 200 Mn plan allotted stock options to all 2,200 employees at PhonePe, enabling everyone in the organization to benefit from its success.
The PhonePe Stock Option Plan is a core component of our compensation philosophy crafted to encourage collaboration, long-term focus and organization-first thinking. PhonePe is on a mission to use technology as a transformational force that’s making financial inclusion real for every Indian. We believe when money and services flow freely, everyone progresses. A core value that enables this inclusion is positive disruption — the idea that as we unlock value and expand the market, we expand the opportunity for everyone, creating a positive flywheel of success. The same core principle drives us internally.
We are committed to building an internal culture based on inclusion and an abundance mentality, where every interaction is a positive-sum game. The success of the organisation is built on the success of each individual in the company. As individuals grow and create more impact, it translates into additional value for the organisation. As the organisation generates more value, it translates into more benefits for every employee. There is more for everyone removing the need for internal competition.
Our compensation system aligns with this approach by removing variable pay based on individual performance for most roles. Instead, we use ESOPs to create the incentive for everyone to be invested in long-term organizational growth. By having ESOPs at a minimum of USD 5000 for all levels, we enable every employee in the organization to participate in the wealth generation opportunity they have helped create — Karte Ja, Badhte Ja. As roles become more senior, ESOPs are a part of the annual compensation for employees, translating into a larger component of their compensation being tied to the organisation’s success. This encourages everyone to put the organisation first. The organisation’s success is their success.
Our value proposition to our people is the opportunity to learn, grow and make an impact. We offer people the chance to work closely with smart people who are passionate about their craft and can partner to solve some of the most complex problems of the day. We offer an informal environment, transparency and a flat organization structure, that enables everyone to focus on learning and delivering great results. The Stock Option Plan ensures that there is also an opportunity to generate wealth and be participants in PhonePe’s growth story!
By — Manmeet Sandhu, HR Head