SOSC 1510 Study Guide - Final Guide: Employee Stock Ownership Plan, Worker Cooperative, W. M. Keck Observatory
17 Jun 2017
School
Department
Course
Professor
Document Summary
An employee share ownership plan (esop) allows employees, who qualify, to purchase shares in their employer"s company, with or without the monetary assistance from the company. Employees can acquire shares and ownership through an esop that can range from one percent to 100 percent. The key aspect is that employees have an ownership stake in the company they work for, and share in the risks and rewards that accrue to it. An employee stock ownership plan (esop) is an employee-owner program that provides a company"s workforce with an ownership interest in the company. In an esop, companies provide their employees with stock ownership, often at no upfront cost to the employees. Esop shares, however, are part of employees" remuneration for work performed. Shares are assigned to employees and may be held in an esop trust until the employee retires or leaves the company.
