Essential, main employee stakeholder in corporate operations. May be an officer with voting rights able to influence the company. Any employee owning company assets 5% or more of the total and/or receives compensation exceeding a threshold set by the IRS is a key employee per the IRS. Also known as highly compensated employee.
Link to This DefinitionDid you find this definition of KEY EMPLOYEE helpful? You can share it by copying the code below and adding it to your blog or web page.
Written and fact checked by The Law Dictionary