Unlocking the potential of employee ownership in Canada

In the US and the UK, employee-owned companies grow faster, pay better, are less prone to lay-offs or bankruptcies in economic downturns, and are more likely to keep jobs in local economies. Due to supportive public policy, EOTs are a popular structure for business succession in those countries and have generated significant wealth for front-line employees. Canada does not have a business structure comparable to the employee ownership trust (EOT).

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Building an employee ownership economy

New research continues to demonstrate that employee ownership fosters economic resilience. As in previous economic crises, employee-owned companies were better at retaining employees and at maintaining hours and salaries throughout the pandemic. In a post-pandemic economic environment, the demonstrated benefits of increased employee retention and alignment by employee-owned companies will be even more important to support economic growth.

Taylor Guitars’ transitions to 100% employee ownership with support from the Healthcare of Ontario Pension Plan (HOOPP) and Social Capital Partners (SCP)

In a transaction that would be impossible for a Canadian company, the owners of North America's largest builder of acoustic guitars secure a sustainable future for their company and its employees.