LTI

Business & Finance abbreviation · Human Resources

LTI
Stands forLong-term incentive
CategoriesBusiness & Finance

LTI stands for Long-term incentive, a human resources abbreviation.

Compensation paid out over several years, usually as stock options, restricted stock units or performance shares, designed to tie executives and key employees to long-term company results and encourage retention.

Example: Her LTI vests over three years, with half tied to relative shareholder return.

Usage notes

Performance share units (PSUs) are a common LTI vehicle that pays out only if targets such as earnings growth are met. Executive pay disclosures in proxy statements break out base salary, short-term incentive and LTI separately.

More human resources abbreviations

  • ISO – Incentive stock option
  • JD – Job description
  • KSA – Knowledge, skills and abilities
  • L&D – Learning and development
  • LMS – Learning management system
  • LOA – Leave of absence
  • MSP – Managed service provider
  • NCNS – No call, no show
  • NSO – Nonqualified stock option
  • OD – Organization development
  • OE – Open enrollment
  • OT – Overtime

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