HUNTSVILLE – Torch Technologies has always taken pride in its employee ownership model, and a national nonprofit has recognized the company for its efforts in that area.
To that end, Torch has been named to the National Center for Employee Ownership (NCEO) 2023 Employee Ownership 100 list. The nonprofit is a research and membership organization supporting the employee ownership community since 1981.
“This recognition is a testament to our incredible team’s dedication, hard work, and shared commitment,” Brad Walker, president of Torch Technologies, said. “Employee ownership has been a cornerstone of our success, fostering a culture of collaboration, innovation, and shared accomplishment.
“As we celebrate this achievement, we reaffirm our commitment to empowering our employees and building a future where everyone has a stake in our collective success. Together, we will continue to grow, thrive, and light the pathway to freedom.”
The Employee Ownership 100 list includes the largest broad-based employee-owned companies in the US that the NCEO could verify using governmental or other credible third-party sources. Most are Employee Stock Ownership Plan (ESOP)-owned, and one is a cooperative. To be on the list, companies must be at least 50% employee-owned and most at 100%. Collectively, these broad-based plans employ close to 685,000 people.
According to a news release from Torch, employee ownership generally and ESOPs more specifically have a long history of showing tangible benefits to both companies and employees while creating a viable model for business succession.
In 2019, total contributions to ESOP accounts were $89 billion (or an average of $6,420 in contributions per participant). The average ESOP account balance is more than double the average 401(k) account balance at a closely matched non-ESOP company offering only a 401(k) plan; in addition, a large majority of ESOP companies offer a 401(k) plan alongside the ESOP, further amplifying the benefits.
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