In this webinar, Project Equity and other leaders in the national movement talked about how we harness employee ownership to address income and wealth inequality and the racial wealth gap. We discussed the ample evidence of the job quality and local business retention benefits of employee ownership and how the movement is growing around the country. 

1. Rebuilding with resiliency and equity
through employee ownership
The evidence is clear and the time is now

2. 2© 2020 Project Equity
We foster economic resiliency among
frontline workers and workers of color
through employee ownership.
Our main strategy is to transition
strong small businesses with
low-income and diverse workforces to
employee ownership, resulting in
quality jobs, empowered workers, and
strong local economies.
Project Equity

3. 3© 2020 Project Equity
What is employee
ownership?
A high impact but little known business
structure in which a broad base of
employees owns the business where they
work
Stock options are the most common
form of employee ownership and are
usually available only to
management.
In contrast, broad-based employee
ownership gives all employees who
meet basic criteria the opportunity to
become employee-owners.

4. © 2020 Project Equity
Forms of broad-based employee ownership
Worker
Cooperatives
These businesses are directly
and wholly-owned by the
employee-owners, who share
in profits and elect and serve
on the Board of Directors.
Employee Ownership
Trusts (EOTs)
EOTs are a more flexible form of
broad-based EO that, like
ESOPs, can be adapted to
incorporate democratic
principles and profit sharing.
This model is newer to the U.S.
Employee Stock
Ownership Plans (ESOPs)
ESOPs are retirement plans that
own all or part of a company on
behalf of its employees, and are
the most common form of
broad-based employee-
ownership in the U.S.

5. © 2020 Project Equity
Agenda
1. Introductions
2. The case for Employee Ownership is clear
3. High impact: my story with Ren Boguiren
4. Mandate for the movement: a conversation
5. Questions & answers / discussion

6. © 2020 Project Equity
Meet our speakers
Ren Boguiren
Employee-Owner
A Slice
of New York
Christina Corea
Vice President
Citi Community
Investing and
Development
Jeanne Wardford
Program Officer
WK Kellogg
Foundation
Diane Ives
Fund Advisor
The Kendeda
Fund
Jordan Klein
Interim Director,
Dept. of Planning
and Development
City of Berkeley
Hilary Abell
Co-founder
Project
Equity

7. © 2020 Project Equity
The Case for Employee Ownership is clear
100s of studies document major benefits of employee ownership for businesses, workers and communities:
● Business growth, profitability, and longevity
● Employee engagement and retention
● Better compensation and benefits
● Profit sharing, asset building, retirement savings
● Greater job security and stability
● Psychological safety and
● Fewer layoffs, especially during recessions
● Reduced government spending
● Community development
● Reduced racial and gender inequality
project-equity.org/whitepaper

8. 9
© 2020 Project Equity
“Under our Recology Recovers policy, we
will still pay employees' full salary during
this time period even if we don't have
enough work for everyone, and we
continue their health benefits. We
recognize that this is a unique time and we
want to support our employee-owners to
the fullest extent possible.”
Recology provides waste management services in California, Oregon and
Washington and has over 3,800 employee-owners
Employee-owned businesses support their workers
& communities

9. © 2020 Project Equity

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© 2020 Project Equity
Stronger locally-owned businesses
Profit margins Sales and employment
Grows 2% faster per year
National Center for Employee Ownership
8.5% higher than peers
Democracy at Work Institute

11. © 2020 Project Equity
Several studies show that
employee-owners earn more:
(all citations are in The Case for Employee
Ownership)
● $2 more per hour among
cooperative employees
● 53% higher incomes among
ESOP employees
● 40-80% increases in family
income in home cleaning
coops
Better wages
Employee Ownership and wage income over time
Source: 2018 update on Employee-Owners (NCEO)

12. © 2020 Project Equity
Source: Building the Assets of Low and Moderate Income Workers and their Families: The Role of Employee Ownership, Boguslaw et.al. 2019, as cited in The Case for EO
Wealth building for all

13. © 2020 Project Equity
Many community benefits
25% higher
annual income
9% more hours
each week
Higher wealth
building potential
For example, formerly incarcerated ESOP employees fare better than formerly incarcerated
workers at non-ESOP firms.
Source: The Role of Broad Based Employee Ownership Opportunities in Prisoner Reentry, Cox 2020, cited in The Case for EO

14. © 2020 Project Equity
Fewer layoffs with Employee Ownership
Source: Does Employee Ownership Improve Performance? Kruse, 2016, as cited in The Case for EO. Original data is from the US General Social Survey.

15. © 2020 Project Equity
● Integrate EO into economic recovery via policy and government
engagement at all levels
● Engage diverse stakeholders -- everyone has a role to play
● Unlock capital -- both philanthropic and investment dollars -- to
raise awareness about EO and reach businesses
● Accelerate proven methods of transitioning businesses to EO
● Innovate to meet the moment
The time is NOW
to create economic resiliency
through employee ownership
project-equity.org/whitepaper

16. © 2020 Project Equity
Interview with Ren
Employee-owner at A Slice of New York

17. © 2020 Project Equity
A conversation with leaders from philanthropy
and local government
Christina Corea
Vice President
Citi Community
Investing and
Development
Jeanne Wardford
Program Officer
WK Kellogg
Foundation
Diane Ives
Fund Advisor
The Kendeda
Fund
Jordan Klein
Interim Director,
Dept. of Planning
and Development
City of Berkeley

18. © 2020 Project Equity
Audience questions
and conversation

19. © 2020 Project Equity
Many thanks to all of our supporters
For more information visit project-equity.org
contact: hilary@project-equity.org or annalisa@project-equity.org