Project Equity
Employee ownership lets workers build real wealth through their jobs, offering them a stake in their company's profits, stability, and future.
Project Equity, a nonprofit founded in 2014, is helping businesses across America transition to employee ownership—keeping wealth in local communities and rewarding workers who drive company success.
Project Equity identifies small businesses whose owners are ready to retire and might otherwise close their doors or sell to larger corporations, causing jobs and local prosperity to vanish. Instead, by transitioning to employee ownership, workers gain long-term financial security, and neighborhoods keep thriving businesses deeply rooted in their communities.
This isn't theoretical—it's already working. At a factory in Illinois, workers each received significant payouts (averaging $175,000) when their employee-owned company sold. Productivity increased, turnover plummeted, and the community became stronger. The effort was championed by Pete Stavros, a private equity leader who has become a national advocate for employee ownership through his nonprofit, Ownership Works. Another standout example is Apis & Heritage, a nonprofit partner of Project Equity and one of five organizations awarded a $2 million Skoll Foundation fellowship this year, that supports businesses with large workforces of color in making the transition to employee ownership.
Today, about 14 million American workers participate in employee ownership plans—representing less than 10% of the U.S. workforce.
While the concept is proven and gaining momentum, significant obstacles remain. Complex tax laws, limited financing options, and a lack of awareness among business owners and policymakers slow the growth of employee ownership. Project Equity works to simplify the process by advocating for clearer regulations, promoting supportive policy, and offering practical tools to help businesses transition successfully.
If these barriers can be overcome, the potential is enormous. Expanding employee ownership could redistribute hundreds of billions of dollars in wealth to workers, significantly reducing the racial and economic wealth gaps. Studies show employee-owned companies experience 4-5% higher productivity, increased employee retention, and greater resilience during economic downturns—strengthening local economies and creating sustainable prosperity for communities across America.
The easiest and highest-leverage action: follow and support leading nonprofits and follow key leaders who are driving the employee ownership movement forward.
Nonprofits leading the work:
Project Equity – A national nonprofit leader in the movement to harness employee ownership as a strategy to strengthen businesses and local economies. Co-founded by Hilary Abell and Alison Lingane, Project Equity helps retiring owners and other businesses transition to employee ownership via ESOPs, worker cooperatives, or employee ownership trusts. Its programs have saved jobs and created wealth by converting companies to broad-based ownership, demonstrating the model’s impact in communities.
Ownership Works – A nonprofit initiative founded in 2021 by Pete Stavros (of KKR) to partner with investors and companies in expanding broad-based employee ownership. Backed by $50 million in funding and dozens of major private equity firms and foundations, Ownership Works partners with corporations to implement programs where employees receive significant equity stakes. It also advocates for policy changes to make shared ownership a standard business practice, aiming to enhance workers’ financial security at scale.
Apis & Heritage Capital Partners – An impact investment fund pioneering “employee-led buyouts” to turn businesses with large workforces of color into 100% employee-owned companies. Led by co-founders Todd Leverette and Philip Reeves, Apis & Heritage raises capital to purchase small and mid-sized firms and transfer ownership to their employees, helping those workers build wealth. This innovative model (the Legacy Fund) addresses the racial wealth gap and retirement sales crisis by aligning investors, sellers, and employees in preserving thriving, worker-owned businesses.
National Center for Employee Ownership (NCEO) – A nonprofit membership and research organization founded in 1981 that has been instrumental in expanding employee ownership awareness and best practices. NCEO connects thousands of members—from businesses to advisors and academics—and provides essential research, resources, and events to help employee ownership thrive across ESOPs, cooperatives, and other models.
The ESOP Association (TEA) – The largest advocacy organization for employee-owned companies (ESOPs) in the U.S., with a 40+ year history representing millions of employee-owners in Washington, DC, and state capitals. TEA unites a nationwide network of ESOP companies through 19 chapters, providing advocacy, education, and networking to protect and expand the laws that enable employee stock ownership.
U.S. Federation of Worker Cooperatives (USFWC) – The national grassroots membership association for worker cooperatives and democratic workplaces in the U.S. USFWC’s mission is to build a thriving ecosystem for worker-owned businesses, advancing racial justice and economic democracy through cooperative ownership. It supports new and existing co-ops with advocacy, training (via its Democracy at Work Institute), and development programs, serving as the voice of the worker co-op movement.
Employee Ownership Expansion Network (EOX) – A national nonprofit dedicated to growing employee ownership by establishing and supporting state-level centers. Launched in recent years, EOX works with local partners to create Employee Ownership Centers in numerous states (over a dozen to date), which educate business owners about ESOPs and co-op conversions and connect them with resources. By building this infrastructure, EOX is driving the expansion of employee ownership at the grassroots level.
The Democracy Collaborative (Fifty by Fifty Initiative) – A leading think-tank advancing inclusive ownership models as part of a democratic economy. Through its “50 by 50” campaign, launched in 2016, The Democracy Collaborative set an ambitious goal of 50 million U.S. employee-owners by 2050. It convenes leaders, promotes awareness, and develops strategies (from financing tools to CEO coalitions) to greatly expand worker ownership.
ICA Group – The oldest national organization dedicated to developing worker cooperatives in the U.S., founded in 1977. The ICA Group has launched dozens of employee-owned businesses and helped companies (in sectors like home care and manufacturing) convert to cooperative or ESOP structures, preserving or creating over 10,000 jobs and demonstrating the viability of employee ownership as a community economic development strategy.
Certified Employee-Owned (Certified EO) – A social enterprise building a brand for employee ownership and raising its visibility nationally. Certified EO certifies companies that meet broad-based employee ownership criteria and unites them under a common banner, helping the public and policymakers recognize the value of employee-owned businesses. With over 600 member companies and 200,000+ employee-owners across all 50 states, Certified EO amplifies the voice of employee-owned firms.
And beyond nonprofits:
Government Champions of Employee Ownership
Sen. Bernie Sanders (I-VT) – Longstanding advocate who secured federal funding to expand employee ownership initiatives. His bipartisan efforts frame employee ownership as key to reducing wealth inequality and stabilizing communities.
Sen. Kirsten Gillibrand (D-NY) – Successfully advanced the Main Street Employee Ownership Act, making transitions to employee ownership easier nationwide. Her work emphasizes employee ownership as a practical solution for resilient local economies.
Sen. Jerry Moran (R-KS) – Bipartisan leader who partnered with Bernie Sanders to fund the Employee Ownership Initiative. Moran views employee-owned businesses as essential to preserving jobs and strengthening local economies.
Economic Leaders
Pete Stavros – Influential private equity executive at KKR and founder of Ownership Works, who champions employee ownership as good business. He has created employee equity plans benefiting over 100,000 workers, significantly raising the movement’s profile.
Dr. Joseph Blasi – Leading scholar and economist who co-founded the Fifty by Fifty initiative to expand employee ownership. His research strongly links employee ownership to higher productivity and reduced economic inequality.
Hamdi Ulukaya – Founder of Chobani who famously gave employees significant equity stakes in his company. His example demonstrates how broad-based ownership rewards workers, enhances productivity, and promotes inclusive capitalism.
Cultural Influencers and Public Intellectuals
Richard D. Wolff – Economist and public intellectual advocating worker cooperatives to build economic democracy. His widely-shared work popularizes the concept of democratizing workplaces.
Marjorie Kelly – Influential author and advocate whose work highlights employee ownership’s role in building community wealth and stabilizing local economies. She co-leads Fifty by Fifty and consistently positions ownership as key to a fair economy.
Nathan Schneider – Journalist and scholar elevating employee ownership in public discourse through popular media and activism. He documents bipartisan support and growing momentum for cooperative and employee-owned enterprises.