Sen. Gillibrand Introduces Pro-ESOP Bill S. 2786

by The ESOP Association | May 07, 2018
The ESOP community can celebrate the introduction of another pro-ESOP bill: S. 2786, introduced by Sen. Kirsten Gillibrand (D-NY). The bill aims to provide $500 million to support ESOPs through programs operated by the Small Business Administration.

The 115th Session of Congress has produced a striking number of pro-ESOP bills—and one more bill now joins the list: Senator Kirsten Gillibrand (D-NY) recently introduced S. 2786, the Main Street Employee Ownership Act of 2018.

The legislation is the companion bill to H.R. 5236, which was introduced by Rep. Nydia Velazquez (D-NY) and passed unanimously by the House Small Business Committee in March. Sen. Gillibrand and Rep. Velazquez collaborated on the two pieces of legislation.

S. 2786 would provide $500 million in support of Employee Stock Ownership Plan (ESOP) programs and would operate through the Small Business Administration. The bill already has six additional sponsors—three Democrats and three Republicans.

In a statement to the media, ESOP Association President J. Michael Keeling thanked Sen. Gillibrand for her efforts to work with Republicans on this important legislation.

“Senator Gillibrand’s bill and the sponsorship it has attracted shows that Democrats and Republicans continue to find common ground in supporting ESOPs and employee ownership,” said Keeling. “Supporting employee owned businesses constitutes a great jobs policy because these companies are 7.3 times more likely to retain workers than conventionally owned firms.”

Senator Gillibrand discussed S. 2786 while touring three employee owned companies that are ESOP Association corporate members: Syracuse Label & Surround Printing, Schenectady Steel Company, and Adworkshop Inc., in Lake Placid, NY.

“Employee-owned businesses have a strong track record of better pay and retirement benefits for workers and a commitment to creating local jobs,” said Sen. Gillibrand during her visits. “I will continue to fight as hard as I can in the Senate to pass my bipartisan legislation that rewards work and supports employee ownership around New York and the country.”