The power of employee ownership amid economic uncertainty
In 2008, as the housing market collapsed and the construction industry came to a standstill, I found myself doing what a lot of people were doing: wondering if I needed to start looking for another job.
At the time, I had a growing family, and I was still early in my career at Messer Construction’s Indianapolis office. Work was slowing down. Projects were drying up. And everywhere I looked, companies were laying people off. It felt inevitable that we’d be next.
But the layoffs never came.
Messer kept hiring. We pulled back where we needed to, but no one was let go. In fact, I still received a bonus that year. I remember thinking, ‘This is different.’
That’s the power of employee ownership.
Employee ownership shapes how we operate every day, from the job site to the boardroom. Employee Stock Ownership Plans (ESOPs) give employees shares of company stock that accumulate throughout their careers. As the business grows, so does their stake.
At employee-owned companies, we’re not just workers. We’re owners. And when you own something, you take care of it differently. You think long-term. You look out for the people around you. You make decisions based on more than just the next quarter.
That mindset shows up in the way people support each other. During economic downturns, employee-owned companies prioritize their employees. They keep them informed, invest in training, and plan for the future.
And it’s not just anecdotal.
Story Continues Below
Nationally, ESOP companies report layoff rates at one-fourth the national average during economic downturns. Even when the economy is strong, voluntary employee quit rates remain just one-third of the national average. That’s not a coincidence. It’s what happens when people are treated like owners. They stay and they grow.
Retention at employee-owned companies is no accident. It comes from a workplace culture built on ownership, transparency, and long-term investment in people.
The importance of transparency is something I have seen up close. At Messer, financials are shared with the workforce. People understand how the business is performing and how leadership decisions affect the future of their ESOP.
Today, employee ownership is leaving its mark in Indiana. There are more than 180,000 employee-owners across the state, with more than 100,000 living in Indianapolis. This isn’t a niche trend. It’s a growing model that helps Hoosiers build wealth, stay rooted in their communities, and retire with security.
Still, many business owners don’t realize that employee ownership is an option, or they don’t know how to make it work. That’s why we need practical policy solutions that make it easier to transition to employee ownership.
One step is supporting the Promotion and Expansion of Private Employee Ownership Act, a bipartisan bill designed to help more businesses become ESOPs. The legislation would encourage owners to sell to their employees and provide the technical assistance companies need to make the transition successful.
This bill creates opportunities for working families to build long-term financial security. Senator Todd Young and Representative Rudy Yakim have strongly supported employee ownership, and I encourage the rest of Indiana’s congressional delegation to join them and help ensure more workers across our state have the chance to become owners.
As Messer celebrates its 35th year of being employee-owned, I look back and remember what it truly means for a company to stand by its people during a time of uncertainty. That commitment made all the difference.
Let’s build a future where every worker has a retirement worth looking forward to.
As seen in Inside INdiana Business and written by Carl Dennin, Operations Vice President at Messer