At a time when retirement seems out of reach for many Americans, there is clear and convincing evidence that people who work for private businesses with Employee Stock Ownership Plans (S corporation ESOPs) have far greater retirement security than the average American.
That is why when we were in Congress, we led bipartisan legislation to encourage
I’ve just returned after attending the Oxford Symposium on Employee Ownership and wanted to share my experiences of the event. This is the second year that the Symposium has taken place. Organised by Graeme Nuttall OBE and Professor John Hoffmire, the aim is to bring together individuals and organisations active in employee ownership from across
Businesses can play a crucial role in addressing poverty issues in the USA and throughout the world by implementing strategies that promote economic and social equity. Business needs to be part of the equation of alleviating poverty. Ask any one who is struggling financially what would improve their situation and the answer will usually
George Clason, in his classic book titled “The Richest Man in Babylon,” wrote this line: “A part of all I earned was mine to keep.” In the 1950s, a lawyer named Louis Kelso coined the term “Employee Stock Ownership Plan” (ESOP). The intent of ESOPs is to significantly increase employee incentives and productivity, while giving
Employee Stock Ownership Plans (ESOPs) are utilized by many successful companies across the world. This case study describes Huawei, a Chinese telecommunications equipment company, which heavily utilizes ESOP ownership, and applies Huawei’s results to describe ESOPs as a powerful tool for achieving corporate efficiency and growth. Using and analysis of Huawei’s annual reports, we argue
John Raines and Donna Day-Lower write in Modern Work and Human Meaning that “Work is not first of all what we do to “make” a living. Work is human living – human being and human becoming.” Purposeful, rewarding work is a key source of good life, with job satisfaction being strongly linked to overall happiness.
In a world where much economic wealth revolves around the 1% and where many managers are wondering how to encourage employees to show more “ownership,” the UK-based retailer John Lewis has a novel solution: make employees owners.
The John Lewis Partnership (JLP) comprises 45 John Lewis retail shops (similar to Nordstrom in the US), over 300
When companies participate in an Employee Stock Ownership Plan (ESOP), the results are fairly conclusive. A Rutgers University comparison of benefits between ESOPs and non-ESOPs shows that employee ownership plans are financially beneficial for workers. Individuals who participate in ESOPs are likely to reap greater financial rewards than those whose employer plans are the traditional
A robust and relatively wealthy middle-class has long been a trademark of the United States. This is still the case, although in recent years we have seen the middle class, as well as the poorest of Americans, lose a portion of their share of the economic pie.
A recent New York Times study shows that America’s
The potential for a long-term job with competitive wages, cash bonuses, paid sick leave and an outstanding retirement plan is an attractive employment opportunity for any job seeker, especially in the wake of what has at times been called “the jobless recovery.” These are real benefits that are provided as part of an employee stock
Regardless of all operational, strategic and management factors, staff productivity can make or break a business. Recruitment and training are thus fundamental to any CEO’s efforts to ensure or improve worker output. Still, many firms struggle in these areas, and many others wonder what more can be done. Employee ownership is a complement to recruitment
The philosophy behind an Employee Stock Ownership Plan (ESOP) has three parts, according to ESOP advisors: broaden ownership of capital, create financial security and incentives, and urge better employee productivity. It is a wonder that ESOPs are not more prevalent with such a philosophy.
ESOPs are not new. The early makings of an ESOP began in
Small businesses are a very essential component of the economic and financial fabric of emerging market countries such as Mexico.
In order for a company to secure a business loan from a bank in Mexico, the owner(s) will need to put up some form of collateral. The collateral can be in the form of business or
