Meaning of employee share scheme
(1) An employee share scheme of a body corporate, or of a registered scheme that is included in the official list of a financial market covered by section 1100K, means a scheme under which an ESS interest of the body corporate or registered scheme may be issued, sold or transferred to:
(a) a person (a primary participant ) who is:
(i) an employee or director of, or an individual who provides services to, the body corporate or the responsible entity of the registered scheme; or
(ii) an employee or director of, or an individual who provides services to, an associated entity of the body corporate or of the responsible entity of the registered scheme, where that associated entity is a body corporate; or
(iii) a prospective person to whom subparagraph (i) or (ii) may apply; or
(iv) a person prescribed by the regulations for the purposes of this subparagraph; or
(b) another person (a related person ) on behalf of a primary participant, where the related person is:
(i) a spouse, parent, child or sibling of the primary participant; or
(ii) another body corporate controlled by the primary participant or a person mentioned in subparagraph (i); or
(iii) a body corporate that is the trustee of a self managed superannuation fund (within the meaning of the Superannuation Industry (Supervision) Act 1993 ) where the primary participant is a director of the body corporate; or
(iv) a person prescribed in relation to the primary participant by the regulations for the purposes of this subparagraph.
Note: An ESS participant who is an employee may be entitled to certain protections, conditions and minimum wages under the Fair Work Act 2009 , and protections under other laws of the Commonwealth, including section 31 of Schedule 2 to the Competition and Consumer Act 2010 (misleading conduct relating to employment).
Meaning of ESS participant
(2) A person is an ESS participant in an employee share scheme if the person is:
(a) a primary participant mentioned in paragraph (1)(a) in relation to the scheme; or
(b) a related person mentioned in paragraph (1)(b) in relation to the scheme.