Gillming’s remarks were echoed by ESCA’s Executive Director, Noelle Montaño, who explained to the committee in a statement that “[t]here are almost 3,000 S ESOPs in the U.S. which account for $92 billion in direct output to the nation’s economy. It was almost 24 years ago that Congress passed legislation creating S ESOPs. Congress’ goal in 1996 was to encourage employee ownership of private industry, enable workers to benefit from their labor, and create a path for building meaningful retirement savings. Data show that today, S ESOPs are doing exactly that. More than two decades later, private employee-owned companies have been a remarkable success story for American workers … Quite simply, more S ESOPs means more worker savings, wealth and wage equality, job stability and national economic benefit.”
Thanks to S ESOP legislation passed by Congress more than 20 years ago, hundreds of thousands of American workers in all 50 states have gained the opportunity to have equity in the businesses where they work. Today, S ESOPs accomplish exactly what Congress intended them to do: create jobs, generate economic activity and promote retirement savings.