Not all things are scary in the month of October, in fact, it is quite the opposite for approximately 7,000 to 10,000 companies – depending on who you ask – who are celebrating pride of employee stock ownership plans (ESOPs) their employers have launched.
Payroll Tax Management, Inc. (PTM) is pleased to participate in that celebration as of this past July. “We continue to learn and understand the benefits of our ESOP and are pleased to be members of this community” says VP of Sales, Summer Poletti.
The ESOP Association located in Washington, DC is spreading the word regarding a month-long tribute and celebration in October and “in the spirit of employee ownership” as they state.
Here are some highlights in their October 1, 2015 Press Release:
• 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 24th Annual Economic Performance Survey conducted in 2015 by the Employee Ownership Foundation found:
– 92% of respondents reported that creating employee ownership through an ESOP was ‘a good business decision that has helped the company.’
– 78% indicated revenue increased
– 65% 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.
Click here to read the entire release: Employee Ownership Month-long Celebration Begins October 1st
ESOPs Stir Economic Power
Financial Business Group Holdings, the parent company to PTM recently made the announcement that they had moved to launch their ESOP. Stats from The ESOP Association and the National Center for Employee Ownership (NCEO), lead their 85 employee base to consider the economic power ESOP companies can generate.
In a nutshell, ESOPs are good business for organizations that participate in them. Productivity tends to improve and community wealth becomes equitable across all levels – rare into today’s post great recession environment. “Our employees have retirement benefits that include ‘skin-in-the-game’ so to speak, in addition to their 401k participation”, Poletti offers. “This bodes well for all to be 100% employee-owned”, she continues.
We hope this piques your interest or confirms your choice to work with PTM. If you have any additional questions about Payroll Tax Management products and services, please contact us..