Staff at BT are to get a payout of £500 a year in company shares, new boss Philip Jansen has said.
The awards are meant to improve motivation as the firm continues with a difficult turnaround plan.
Britain’s largest telecoms company is in the midst of laying off 13,000 workers as its seeks to cut costs.
The shares will go to BT staff around the world, but will need to be held for three years before they can be cashed in.
Since BT announced cuts to its 100,000-strong workforce last May, unions have warned of stress and low morale among staff.
Mr Jansen said: “I’m asking our colleagues for their commitment to making BT a national champion; and I want to give them ownership in our company and a share in our success.”
Mr Jansen replaced Gavin Patterson in January after the company called for a change of leadership.
The firm is struggling with intense competition, an underperforming IT services unit and a huge pension deficit.
In results posted last week, BT said revenues for the year to the end of March fell 1% but profits rose 2%.
UK firms are increasingly offering staff perks and rewards.
This week, engineering company Weir Group said the majority of its 15,000 workers globally would get £600 in company shares as a gift.
And more than 500 staff at Hi-fi and TV retailer Richer Sounds are in line for a combined windfall of £3.5m, after boss Julian Richer handed them a 60% stake in the retailer.