ESOPs can increase employee engagement: Forbes

17 October 2013

A recent Forbes column in recognition of Employee Ownership Month makes the case: Why try to persuade employees to act like owners when you could just make them owners?

“For over 20 years, our members have been working to promote employee ownership and its benefits every day,” said ESOP Association President, J. Michael Keeling. “I’m pleased to announce the start of Employee Ownership Month and am looking forward to a month of celebrations.”

Employee ownership facts:

• There are approximately 10,000 ESOPs in place in the U.S., covering 10.3 million employees (approximately 10% of the private sector workforce).
• The 22nd Annual Economic Performance Survey conducted in 2013 by the Employee Ownership Foundation found: 94% of survey respondents reported that creating employee ownership through an ESOP was ‘a good business decision that has helped the company.’
• 64% of companies indicated they have created an ESOP education program or ESOP advisory committee since establishing the ESOP.
• 77% of respondents indicated the ESOP positively affected the overall productivity of the employees

Source: The ESOP Association