The leadership team here at Boston Orthotics & Prosthetics has long recognized the unique talents and commitment of so many of our employees to the work they do. For several years, we searched to find the right way to cultivate those admirable employee traits in every employee, to have that culture permeate our entire workforce, and to enable our employees to share directly in the wealth they create.
At the same time, we have also seen our country developing a very unhealthy schism between the investors in companies and the laborers who do the work to make those investors wealthy, the feeling that the rich get richer.
When a couple of inactive family members decided they would like to divest their ownership in the company, we found our answer to both of those problems. At the end of 2014, Boston O&P was thrilled to become a 1/3 employee-owned company through a new ESOP (Employee Stock Ownership Plan).
An ESOP is a unique retirement plan that mainly holds stock in the company for the benefit of all of the employees of the company. Stock is contributed each year to all active employees, and the value of that stock is independently appraised each year so the value of stock held by each employee increases or decreases based on the financial performance of the company.
Every time you interact with one of our employees, you are speaking to an owner who understands that making sure you are happy with the service we provide has a major impact on their ownership holdings. Through their ESOP holdings, our employees have a vested interest in our success, and they are empowered to make decisions that encourage you to want to come back and work with us again and again.
Many studies have concluded that employee-owned companies routinely outperform their competitors. In our short time as an Employee Owned Company, we are already seeing those results come to fruition.
We believe being employee-owned is a major differentiator for us in our continuing quest to be the premier provider of pediatric and orthotic and prosthetic services and products in the country.