Rutgers Study Finds Employee Ownership Delivers Stronger Financial Security for Workers Without Four-Year College Degrees

Conducted on behalf of the Employee-owned S Corporations of America (ESCA)

WASHINGTON, Sept. 16, 2026 /PRNewswire/ -- New research from the Rutgers Institute for the Study of Employee Ownership and Profit Sharing finds that workers without a bachelor's degree have higher earnings in jobs with an employee stock ownership plan (ESOP) than in non-ESOP jobs. They also report higher household wealth and greater access to employer-provided benefits.

The report offers the first national analysis of how ESOPs shape compensation outcomes for employees without college degrees. The findings come as federal policymakers increasingly focus on strengthening economic opportunities for workers without four-year degrees.

Among the report's key findings:

• Full-time workers without a bachelor's degree earn 15.3% more in ESOP jobs. They earn an average of $80,091 per year in ESOP jobs, compared with $69,458 in non-ESOP jobs, an annual difference of $10,633. The earnings advantage appears across gender, race and ethnicity, and rural and urban communities.
• ESOP workers report greater household wealth. Full-time workers without a bachelor's degree in ESOP jobs report median household net worth of $93,500, compared with $79,640 among their non-ESOP counterparts.
• ESOP workers report stronger access to employer-provided benefits. More than 95% of ESOP workers report access to both medical insurance and a retirement plan, compared with 81.9% and 75.0% of non-ESOP workers, respectively.

"Every worker deserves the opportunity to live the American dream, and having a four-year degree should not be the price of entry. Employee ownership erases that boundary," said Stephanie Silverman, President and CEO of the Employee-owned S Corporations of America (ESCA). "We have to clear a path for more American workers to benefit from employee ownership so they can experience that financial upside, regardless of whether they have a fancy degree."

"Research has long shown that ESOPs deliver strong economic benefits for workers, but this is the first study to drill down on how those benefits affect workers without a bachelor's degree," said Adria Scharf, Director of the Rutgers Institute for the Study of Employee Ownership and Profit Sharing. "Our analysis reveals that ESOP jobs may offset some of the earnings disadvantage associated with not having a four-year degree. That is a significant finding."

About ESCA: ESCA, the Employee-owned S Corporations of America, is the voice in Washington, D.C. that speaks exclusively for employee-owned S corporations (S ESOPs).

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SOURCE The Employee-Owned S Corporations of America (ESCA)