Aaron Supple
Newly updated state-by-state ESOP slides are now available in our members-only area. These downloadable PowerPoint presentations are a member benefit breaking down the ESOP community in each state. The new slides reflect the most up-to-date data on ESOPs, including state-level statistics on the number of ESOPs and participants, an industry breakdown, the dollar value of plan assets and distributions, and more.
Corey Rosen
Governor Newsom has signed the California Employee Ownership Act. Both houses approved the bill unanimously. A broader version of the bill previously passed the Senate, but the bill was pared down in the Assembly. The Senate agreed to a pared down version with the understanding that an effort will be made to add the deleted features in the governor's next budget proposal.
Corey Rosen
Senators Gary Peters (D-MI) and Joni Ernst (R-IA) have introduced S. 4623, the AGILE Procurement Act of 2022, which aims to streamline federal procurement practices in the technology area. Peters chairs the Senate’s Homeland Security and Governmental Affairs Committee.
Corey Rosen
Congress has passed HR 4346, the CHIPS Act (previously called the America Competes Act), which now heads to Presdient Biden for signature. The bipartisan bill is primarily designed to make it easier for American chip and other technology manufacturers to compete worldwide, but it also contains a pilot provision (Section 25B) that directs Manufacturing Extension Partnerships (MEPs) to provide awards for a variety of worker education and training programs, including employee ownership.
Charles Chang, Kim Blaugher
Robust and cohesive corporate governance is key to ensure that companies function effectively. Corporate governance is an umbrella term that includes specific issues arising from interactions among senior management, shareholders, the board of directors, and other corporate stakeholders. These interactions result in decisions that steer a company toward success or failure, making it crucial to understand the roles and responsibilities of each stakeholder.
Corey Rosen
On June 28, 2022, the House introduced HR 8254, which provides funding for a variety of government agencies, including the Small Business Administration (SBA). In a report accompanying the bill, the House Appropriations Committee urged the SBA to fully implement the Main Street Employee Ownership Act (MSEOA), which was passed in 2018 but has seen only limited use because the SBA-issued standard operating procedures directly undermine the intent of the Act. The report does not have legislative force, but such reports, coming from the committee that appropriates funds for the agency, are usually taken seriously. The report states:
Corey Rosen
At an NCEO Innovative Communication Coalition network meeting on July 18, communication team leaders from a number of NCEO member companies discussed how they use skill assessments. Lori Atone of TVF said they use the CliftonStrengths assessment (formerly StrengthsFinder) to increase self-awareness and understand their fellow employee-owners better. They create a grid that lists the top 10 strengths of each employee by name. The idea is to focus only on the positives, to help identify potential talents, and to make it easier to assemble well-balanced teams. They feel helping employee-owners contribute in a way that’s aligned with their natural strengths amplifies the employee ownership mindset and will increase engagement in a fun and meaningful way. Managers can use the results to help get people engaged in ways that “feel right to them” and find new paths for participation. Employees have responded to the idea very favorably.
Corey Rosen
Massachusetts House Bill 5007, “An Act relating to economic growth and relief for the Commonwealth,” has passed the Massachusetts House without dissent. Among its many provisions, it would establish the Massachusetts Employee Ownership Center within the state government. In 2019, the state agreed to fund the Center as a separate entity operated by the ICA Group, a Massachusetts-based nonprofit that provides employee ownership consulting.
Loren Rodgers
Is employee assessment different in employee-owned companies than in traditional businesses? The NCEO’s CEO roundtable addressed tools for skills assessment in its meeting, and the results were thought-provoking.
