Employee Stock Ownership Plans, or ESOPs, were designed as a way to put ownership into the hands of American workers. An ESOP is a type of employee benefit plan designed to invest primarily in employer stock. As such, it is a mechanism by which employees become beneficial owners of stock in their company. Created in 1974 with the passage of federal laws, ESOPs comprise an estimated 11,000 companies in the US, employing an estimated 11.5 million workers. The laws enacted to encourage employee ownership allow certain incentives for selling stockholders, the ESOP companies and the ESOP company's employee owners. The tax advantages of ESOP companies often allow them favorable corporate financing.
For more information on ESOPs, please visit the following websites:
When our ESOP began in 1998, we strongly believed that open communication and education with our employees was the key to a successful transition. During our early years as an ESOP company we were awarded three Annual Awards for Communication Excellence (AACE) by the National ESOP Association. The AACE awards are given to companies for outstanding communication and education about their ESOP to their employees, community, and company stakeholders.
2001 - Total Communications
2000 - External ESOP Advertising; Website Communications
1999 - The Young ESOP Total Communications
We were also honored with the Ohio ESOP Company of the Year in 2000 and the Ohio Chapter Employee-Owner of the Year in 1999.
The employee owners of Kraft Fluid Systems take pride in our community and support it with a variety of charitable events.