A new report from the Treasury Inspector General for Tax Administration, Statistical Trends in Retirement Plans (click here for the report in PDF format) finds that ESOPs held about 15% of the
On April 25, Virginia Smith of the U.S. Department of Labor's Employee Benefits Security Administration told a meeting of the American Society of Pension Plan Actuaries that ESOP violations were one of five high-priority DOL enforcement projects.
A new NCEO issue brief on the performance effects of ESOPs reports that research consistently shows they improve performance in closely held companies but have a less clear impact in public companies.
As Congress continues to deliberate on reforming retirement plan law in the wake of Enron, it is becoming clear that closely held company ESOPs will probably not be substantially affected by any likely changes.
The NCEO is currently working on a project to be released in 2007 that will provide data on the percentages of ESOP-only and combined 401(k)/ESOP plans in the 900 largest public companies.
The CEO of employee-owned ArcherPoint, Greg Kaupp, tells his company's ESOP story on the Cleveland-area station WJCU. The interview also features NCEO founder Corey Rosen, who discusses how ESOPs affect companies, owners, employees, and the economy.
New data from the Employee Benefit Research Institute (EBRI) shows that just 56.8% of working adults between ages 21 and 64 are eligible for a retirement plan and only 45.1% actually participate in a plan.
A recent study published by the University of Maryland and the Federal Reserve Bank of New York ("ESOP Fables: The Impact of Employee Stock Ownership Plans on Labor Disputes," by Peter Campton, Hamid Mehran, and Joseph Tracy, 2005) reports that unionized public companies saw a significant decline
ESOP advisors continue to report very strong activity in new ESOPs in closely held companies. As the baby boomer generation retires, many owners of closely held businesses will look for transition strategies, and ESOPs seem well positioned to benefit from this development.
A number of sellers to ESOPs, as well as their advisors, are rethinking whether to take advantage of the tax-deferred rollover opportunity Section 1042 of the Internal Revenue Code provides for sales of stock to ESOPs in C corporations that end up with at least 30% of the company's shares.
