Top 5 Reasons It's Great to Work for an ESOP Company!
TMC Transportation is employee-owned, meaning that all eligible employees are part-owners at no cost to them through an Employee Stock Ownership Plan (ESOP). (Learn more about the basics of ESOP on our previous blog here.) So what, you ask? We share below the Top 5 Reasons it’s great to work for an ESOP company.
1.) Job Security.
Research studies consistently show that employee-owned companies perform better than companies that are not employee owned. TMC is living proof! Since establishing our ESOP in October 2013, our company has grown and prospered. Our driver fleet has grown, our logistics department has more than doubled in size, and we just broke ground on a bigger and better Indianapolis terminal.
2.) Together. Everyone. Achieves. More.
Employees tend to work harder when they’ve got some “skin in the game.” Being able to directly benefit from the overall success and profitability of the company adds significant financial motivation to work harder, think creatively, and work efficiently as a team. This synergy creates a far more rewarding work environment.
3.) More Retirement Assets.
Most companies offer their employees a 401(k). TMC offers their employees a 401(k) in addition to their ESOP retirement savings plan. In fact, according to a 2010 study, 56% of ESOP companies offer their employees at least one additional retirement savings plan on top of their ESOP. As such, employees of ESOP companies tend to have far more in retirement assets than workers in comparable non-ESOP companies.
4.) Incredible Growth Potential.
The value of the ESOP is dependent on the success and profitability of the company, so the value of ESOP shares can fluctuate over time. Generally, a 7% growth is average, but if the company does especially well, there can be incredible share value increases year to year. Over time, ESOP allocations can add up to large numbers. Plus, unlike a 401(k), employees do not contribute any of their own money towards their ESOP, so anything they receive is extra and at no cost to them.
5.) Rare Benefit.
There is no such thing as a perfect job or a perfect company, and you’ll likely experience ups and downs no matter where you work. An ESOP is an amazing benefit that is incredibly rare to come by, as there are only approximately 10,000 ESOPs in place nationwide, with far fewer that are trucking companies.
We’re hiring! View our career opportunities here.