What Is An ESOP? - Lampin Corporation

Two employee-owners at Lampin discuss a work document. Both are wearing black Lampin tshirts, one is holding a pink sheet of paper.

An Insider Perspective On What It Means To Be An Employee-Owner At Lampin

If you’ve ever considered a career at Lampin, you’ve probably heard how proud we are to be an ESOP. But what does that really mean? It means you are part of a great team that believes in what we do and cares about each other like family. But, even more than that, it also means you have the opportunity to build valuable retirement savings, contribute to our growth as we grow, and share in our success! 

An ESOP is different from other company structures because it offers a secure, cost-effective way to help employees build wealth through an ownership stake in the company. The success of an ESOP is directly tied to the performance and growth of your company, so if you’re looking for a long-term investment that will grow with you then this may be the right option for you.

So, What Is An ESOP?

An “employee stock ownership plan” or ESOP is a retirement plan that gives you an ownership stake in the company or companies where you work. You share in the value of your company as it grows and becomes more valuable over time. In today’s workplace culture it’s common to jump from job to job to improve your situation, but this is a way to continually benefit while growing in a stable role.

The ESOP is also great because it means that employees have a voice with owners, so everyone’s work has a direct impact on how well the company does financially. And when business is booming, you’ll all reap the rewards of its success as mutual owners. ​​

What Are The Benefits of An ESOP?

Another Lampin ESOP participant and employee-owner inspects a part for deburring. She has long, curly, dark hair and a black shirt. She holds a small metal piece under an illuminated magnifier.Through participating in the ESOP employees accumulate funds for retirement savings while building up stock ownership in their company.  As an ESOP participant, every year that you work the company will deposit shares in your account, ensuring that your daily efforts result in a nice retirement when you are ready.

Everyone has a stake in the business after 1 year of service. After five years, you’re considered a vested shareholder— that is, you are fully eligible to grow your stake in the company, which increases over the course of your career. In addition to sharing the profits that you’ve played an important role in earning, an ESOP arrangement allows Lampin to enjoy a reduced tax burden, freeing up funds to be reinvested in employee benefits packages. In short, Lampin’s employee stock ownership plan not only helps you plan for the future, it keeps you and your family happy and healthy today!

What Are The Disadvantages of An ESOP?

There are very few downsides to working at an employee-owned business, but there are a few factors to consider. For many people, participating in an ESOP is a fantastic path toward retirement when you are ready. This can, however, introduce gaps in the workforce when workers retire with no one prepared to fill their role. 

At Lampin, we combat this effect through on-the-job cross-training, educational opportunities where our employees can learn new skills, and dedicated participation in local education programs that introduce students to engineering and manufacturing skills at the high school level.

 

Is Lampin’s ESOP Good For Customers?

The Employee Stock Ownership Plan is an employee benefit plan that invests in your future and gives you real ownership of the company. As Employee-Owners at Lampin, everyone has the incentive to keep costs low and create a great product because we’ve all invested in the success–and future!–of our business. When our customers are happy and business is good, our employees are directly impacted by the results of that success. In other words, we’re all on the same team!

Become an Employee-Owner At Lampin

Two of Lampin's employee owners engaged in conversation about on-the-job cross-training. One wears a blue tshirt and holds an inspection gauge; the other is wearing a black tshirt and looking at the gauge in his fellow ESOP participant's hand.If you’ve got a mechanical mind and you’re keen to work your way toward your retirement, Lampin is a great option for you. Every day that you work adds up to shares in your account each year that will guarantee retirement savings and build up stock ownership. We’ve all invested in the success of our business’s future because we’re all committed to its success—and that drives us to take pride in our work each and every day. When our customers are happy and business is good (thanks to our hard-working team of employee-owners) so are we!

You can also expect to receive a generous benefits package from Lampin as part of being an employee-owner. Our employees enjoy medical coverage with family plans, PTO, flexible scheduling with 3-day weekends, and 7 paid holidays annually.

If you’re excited about becoming an employee-owner at Lampin, we’d love to hear from you! We never discriminate based on race, gender, sexual orientation, or age—we value our employees and their unique contributions. 

Ready to join the Lampin team as an employee-owner? Check out our available positions and apply today!

Lampin's employee owners are gathered in front of a machine with their hands raised in the air to express joy.