Washington, D.C. – Today, Employee-Owned S Corporations of America (ESCA) applauded Representatives Ron Kind (D-WI-3) and Jason Smith (R-MO-8) for reintroducing The Promotion and Expansion of Private Employee Ownership Act (H.R. 2258) along with the following bipartisan cosponsors from the Ways and Means Committee: Earl Blumenauer (D-OR), Tom Reed (R-NY), Bill Pascrell (D-NJ) and Mike Kelly (R-PA).
“This legislation, which had 86 bipartisan cosponsors in the last Congress, demonstrates broad bipartisan support in the House for ESOP ownership,” said ESCA Chairman David Cimpl. “We commend Representatives Ron Kind and Jason Smith for leading the way. The bill will provide more hardworking Americans with the opportunity they deserve to accrue significant retirement savings through ESOPs.”
“Employee-owners and policymakers recognize the benefits of the ESOP structure stretch further than the robust retirement savings they provide,” Cimpl continued. “Employee-owned companies report greater job satisfaction and higher productivity thanks to the ownership mentality that results from employee ownership. It’s no surprise that turnover at S ESOP companies is two times lower than national rates.”
The Promotion and Expansion of Private Employee Ownership Act will encourage S corporations to move to an employee ownership model, which empowers workers while also helping them to prepare for financial security in retirement.
Read more about the benefits of S ESOPs here.