Employee-owners gave the Senator a tour of the facility and also had the opportunity to discuss current policy issues such as : tax reform, the farm bill, and health care reform. Senator Grassley, a long time supporter of S ESOPs and a member of the Senate Finance Committee, and Ritchie’s employee-owners also discussed the many economic benefits to the employee-ownership business model.
These benefits were also touted in a 2008 study by the University of Pennsylvania. The study titled, S Corp ESOP Legislation Benefits and Costs: Public Policy and Tax Analysis, found that S ESOPs experience higher productivity, profitability, job stability and job growth. These benefits culminated in employee-owned companies amassing $33 billion more in profit than if they were not S ESOPs.
ESCA thanks Senator Grassley for taking the time to visit successful employee-owned businesses like Ritchie Industries and for your continued support of the S ESOP business model.