EFES NEWSLETTER - OCTOBER 2010
researches about employee ownership and corporate performance
Many new research works recently about employee ownership
in the UK, in USA, in The Netherlands (see press review).
Research confirms that employee-owned businesses offer greater
resilience and tend to create new jobs more quickly and
typically outperform other companies. The employee ownership
structure works well in small firms, however large firms
demonstrate the structure can deliver superior returns provided
it is weaved into the firm's culture, strategy and operations.
Conference on public policies for employee ownership
conference will be held in Brussels on November 26. With
the Rapporteurs of the European Economic & Social Committee,
Alexander Graf von Schwerin, with European Commissioner
Michel Barnier, Pervenche Berès from the European Parliament
and many other high representatives. The conference is organized
by the EFES for the Belgian Presidency of the European Union.
It is open to all. Practical information
Much new information about employee ownership in September
2010, with 1.503 articles in this press review (on which
518 involving stock options and 367 about workers' cooperatives).
We made a selection of 47 remarkable articles in 12 countries:
Arab Emirates, Australia, Canada, France, Italy, Netherlands,
Philippines, Poland, Spain, Trinidad, UK, USA.
Emirates: Research reveals that employee-owned businesses
offer greater resilience and tend to create new jobs more
quickly and typically outperform other companies.
Recent tax reform has killed share options. About angels
The employee-owners of CHEK TV celebrate their first year
Bask Government will promote employee ownership and the
ESOP Model with the objective to facilitate business transmissions
and maintain local decision centers. New global employee
share plan for Telefónica. The Spanish Confederation of
employee-owned companies will facilitate unions' information
Attacks against tax incentives favouring employee participation.
New employee share plans for Veolia and maybe even for Carrefour.
Rescuing companies as workers' cooperatives. Le Monde: Employee
shareholders loss their control of the newspaper.
Successful international conference on employee ownership
New research work by Nijmegen University confirms that employee
ownership leads to better performance.
Workers of a dental facility, which shut down last month
without due notice by its American owner, are planning to
take over the business.
The French Chamber of Commerce in Warsaw points out the
lack of adequate legislation on employee share ownership
as a significant obstacle for French investors. Krzysztof
Ludwiniak promotes the benefits of the ESOP Model.
New Prime Minister David Cameron made clear before the election
that he would consider spinning off the functions of some
Government departments to employees to boost efficiency.
However the Co-operative Party (the sister party of the
Labour) expresses doubts about the new Coalition's will
to promote workers' cooperatives. Royal Mail workers will
get 10% of privatised business, which means that the workers'
share would be the biggest of any privatised UK company
for 25 years.
Results from the Employee Ownership Foundation's 19th Annual
Economic Performance Survey of ESOP (employee stock ownership
plan) companies evidences that despite the severe economic
downturn, ESOP companies on the whole continue to have increased
share value, better productivity, and overwhelming support
among leaders of the companies. Another extensive study
evidences that ESOPs provide more employee retirement benefits
than non-ESOP companies. Finally, President Obama responded
to a question about ESOPs and employee-owned companies.
The full press review is available