Loren Rodgers
On June 24, 2021, Meld Studios announced that it was transitioning ownership from its three founders to an employee ownership trust (EOT) that owns shares on behalf of all 22 Meld employees.
Timothy Garbinsky
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ESOPs at their best do a lot more than provide working people with livable retirement income. Sure, this is perhaps the most important or compelling aspect of ESOPs, and one needn't look far to see reasons why this sort of wealth inequality solution is so vital in 2021.
Dallan Guzinski
A long-term employee-owner at Web Industries with 20-plus years at the company once told an audience of NCEO conference-goers in Minneapolis that communication and learning at an ESOP company never really ends. He said that even thinking there is a finish line when it comes to improving your efforts on education might just mean that there is still a whole lot more to learn...
Timothy Garbinsky
Our friends across the pond have just celebrated their own employee ownership day (EO Day 2021), releasing some very promising facts and figures along with it to highlight the state of employee ownership in the UK.
Corey Rosen
Colorado has become the first state to pass a law that helps cover some of the costs to convert to employee ownership. On June 23, Governor Polis signed into law H.B. 21-1311, a bill that makes sweeping changes to Colorado tax law, notably a provision to provide $10 million annually in tax credits over the next six years to fund the professional service costs of conversions to employee ownership. The funds could be used to convert to an ESOP, an employee ownership trust, or a worker cooperative. ESOPs can qualify for a credit equal to 50% of the conversion costs up to $50,000; cooperative and employee ownership trusts can get up to $25,000 (see page 21 of the bill).
Nancy Wiefek
A new study conducted by John Zogby Strategies on behalf of Employee-Owned S Corporations of America (ESCA), Employee Financial Health and Sentiments Amid the Pandemic, summarized in this press release, provides evidence that employees in S corporation ESOPs suffered fewer financial setbacks compared to a sample of employees at companies without ESOPs.
Timothy Garbinsky
Thank you to all of the sponsors, speakers, attendees, and staff who helped make our 2021 annual conference a rousing success! It not only was the largest virtual gathering in NCEO history but with 1,940 attendees was the second-largest event we’ve ever hosted, placing it just behind our last in-person annual conference in Pittsburgh, PA.
Loren Rodgers
The NCEO is excited to announce that the 2021 Fall ESOP Forum will be back in September, this time as a hybrid event! After more than a year of virtual education, the NCEO’s 2021 Forum will take place both onsite and online. This one-of-a-kind gathering will give attendees, speakers, and sponsors the ability to meet and engage with the ESOP community from wherever they are—onsite in San Diego, online via our state-of-the-art virtual platform, or both.
Loren Rodgers
The U.S. Innovation and Competition Act (formerly titled the Endless Frontier Act (S. 1260) has now passed the Senate. As it was being considered, Senators Bernie Sanders (I-VT) and Jerry Moran (R-KS) submitted an amendment that would incorporate a version of the WORK Act (the Worker Ownership, Readiness, and Knowledge Act). The amendment was never acted on, however. The WORK Act, versions of which have been proposed by Sen. Sanders in prior Congresses (see S. 1081 from 2017, for example), would create a $50 million fund to be disbursed over four years for outreach to promote employee ownership through employee ownership centers sponsored or contracted by individual states. An office within the Department of Labor would create an “employee ownership and participation” initiative to coordinate and provide technical assistance for the program. A state, or an organization designated by a state, could receive a maximum grant of $330,000 per year, which would be increased by 5% per year, from 2022 through 2026. The idea of federal support for state-level employee ownership has been promoted by several think tanks, and has roots in an idea raised by the NCEO’s Corey Rosen in 1986 and initially introduced by Senator James Sasser that year.
