| 1 | 1 | | 86R34428 KSM-F |
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| 2 | 2 | | By: Shine H.C.R. No. 179 |
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| 3 | 3 | | |
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| 4 | 4 | | |
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| 5 | 5 | | CONCURRENT RESOLUTION |
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| 6 | 6 | | WHEREAS, Employee Stock Ownership Plans (ESOPs) are tax |
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| 7 | 7 | | qualified retirement plans authorized and encouraged by U.S. tax |
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| 8 | 8 | | and pension laws and commonly referred to as "employee-owned |
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| 9 | 9 | | companies"; and |
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| 10 | 10 | | WHEREAS, The National Center for Employee |
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| 11 | 11 | | Ownership estimates that there are approximately 11,300 employee |
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| 12 | 12 | | stock ownership plans for over 13 million employees in the United |
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| 13 | 13 | | States and that Texas is currently home to over 700 ESOPs; and |
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| 14 | 14 | | WHEREAS, A 2000 Rutgers study found that companies grow 2.3 |
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| 15 | 15 | | to 2.4 percent faster after establishing an ESOP and that companies |
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| 16 | 16 | | that combine employee ownership with employee workplace |
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| 17 | 17 | | participation programs show even more substantial gains in |
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| 18 | 18 | | performance; and |
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| 19 | 19 | | WHEREAS, An ESOP is a powerful mechanism to vest employees in |
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| 20 | 20 | | the company and boost employee morale; such plans create an |
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| 21 | 21 | | opportunity for employees to share in company growth and |
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| 22 | 22 | | performance and give employees real ownership stakes, with high |
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| 23 | 23 | | potential to invigorate their contributions to the success of the |
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| 24 | 24 | | business; and |
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| 25 | 25 | | WHEREAS, ESOPs encourage corporate and economic growth, |
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| 26 | 26 | | reduce unemployment, increase job satisfaction, improve employee |
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| 27 | 27 | | retention, and foster entrepreneurialism, and they should be |
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| 28 | 28 | | heavily promoted in Texas; now, therefore, be it |
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| 29 | 29 | | RESOLVED, That the 86th Legislature of the State of Texas |
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| 30 | 30 | | hereby request the Governor's Office of Economic Development and |
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| 31 | 31 | | Tourism to conduct a study on the promotion of Employee Stock |
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| 32 | 32 | | Ownership Plans in Texas; and, be it further |
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| 33 | 33 | | RESOLVED, That the office be requested to submit a full |
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| 34 | 34 | | report, including findings and recommendations, to the 87th Texas |
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| 35 | 35 | | Legislature before it convenes in January 2021. |
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