How does being part of an employee-owned company benefit YOU?
Posted: March 30, 2020
At Big G Express, we’re proud of our status as a 100% employee-owned company but many people are unsure what that means or how it can benefit them in the future. Simply put, our employee stock ownership plan (or ESOP) is a free retirement plan that requires no money from the employee.
Employees’ ESOP account balances are calculated by the number of shares they have and the value of the shares. Big G Express stock value has increased every year since we formed the ESOP in 2009, showing we are a profitable, financially stable carrier. Big G Express allocates stock once a year, and the employee’s portion of the ESOP contribution is based on years of service (how long they have worked at Big G) and compensation (how much the employee made in that calendar year).
What are the perks of an ESOP? We know that truck drivers and employees today desire more than just a paycheck. They want to feel that they are contributing to something. As part owners in the company, our people benefit from Big G’s successes and are also empowered to help shape our company’s future.
According to a study by the National Center for Employee Ownership (NCEO), employee-owners generally have higher median incomes from wages overall and substantially more job stability than non-employee-owners.
So, let’s talk about retirement. The NCEO has found that employees of ESOP companies have double the retirement savings balance than non-ESOP employees because almost always the ESOP is added to another retirement savings vehicle like a 401(k). But the ESOP balance is usually the larger of the two by far. Remember, with a 401(k) plan, most of the money comes from the employee. With Big G’s ESOP, all the assets come from the company. We’re saving on your behalf! Research by the Department of Labor shows that ESOPs not only have higher rates of return than 401(k) plans, they are also less volatile.
In addition to our outstanding ESOP structure, Big G has many excellent OTR opportunities that offer a family atmosphere, late-model equipment with state-of-the-art technology, industry-leading benefits, great earning potential and more. CDL drivers with at least six months of driving experience, are invited to join in on our success. Visit us at https://driveforbigg.com to learn more or get started!