Impact of Ownership
Employee ownership creates measurable, positive impacts on business performance.
It is also a critical tool in fighting wealth inequality, allowing regular working people to benefit from the productivity of their companies.
Business Growth
Company sales, employment, and productivity increase by more than 2% per year after implementing an ESOP
Businesses with an employee ownership model, including through an ESOP, have higher profit margins over time and are more resilient in downturns
100% ESOP-owned S-corporations do not pay Federal and often State taxes, which increases the business’s cash flow after transitioning to employee-ownership
For more great data on the power and profitability of employee-owned companies, click here.
Worker Outcomes
Millennial workers at ESOP companies have 33% higher median income from their wages when compared to millennial workers at non-ESOP companies
Most employees at an ESOP report higher job satisfaction and a greater sense of purpose, recognizing that their contributions are benefitting the company which benefits them
The employee ownership model and A&H’s management philosophy give workers input in company decisions
Fighting Inequality
STAFF RETENTION
During the COVID-19 pandemic, ESOP companies were between 3 and 4 times more likely to retain staff — keeping more money in employees’ hands and in the economy
INCREASED SAVINGS
Low/moderate-income workers in an ESOP have account values ranging from $15,000 to $6 million, with a median value of $165,000. By contrast, the typical American household has just $17,000 in savings
RETIREMENT SECURITY
Low/moderate-income workers in an ESOP closest to retirement (ages 60 to 64) have 10 times more wealth than the typical American in that age group
Proud Partners
