Employee-Owned Companies

An employee-owned is a company where the employees are given stock as part of compensation for working at the company, making them shareholders. This having multiple benefits not only for the employees but also for the company itself.

Employee-owned companies provide more motivations to its employees as it provides a stronger initiative to achieve successful outcomes. Every participant worker gets to take their equity share of the success. These results can improve the morale of workers and keep the organization more productive.

Research shows employee owned companies are more productive, faster growing, more profitable and have lower turnover — benefits that pile to all stakeholders including the retirement accounts of the employee-owners. In addition, an employee owned company is a great way to enhance the company’s ability to recruit and retain top talent.

Most employees are more willing to share an idea, embrace change or encourage innovation when they have a stake in the outcome. Employee owned companies also enhance organizational culture as everyone within the company wants to be informed, engaged and innovate.

Companies with this kind of program, are not only focused on the present of the company but also on the future, taking care of the employees that can make them grow and provide the best to the company and boosting their motivation and results. In my opinion, employee owned companies provide a bast amount of benefits to their employees, and these retrieves additional benefits to the company.