Community Corner

 Rutgers Research Fellows to Study How Equity Compensation Builds Wealth for Workers

NEW BRUNSWICK, N.J. (November 11, 2021) – The Rutgers Institute for the Study of Employee Ownership and Profit Sharing today appointed 25 research fellows to study how granting stock to employees can sustain and grow the middle class as part of our recovery from the COVID-19 pandemic. The senior researchers, emerging scholars, and subject matter experts announced today represent the most globally diverse class of fellows in the 14-year history of the program.

“The Institute’s scholars study every form of granting equity and profit shares to employees,” said Joseph Blasi, the J. Robert Beyster Distinguished Professor and Director of the Rutgers Institute for the Study of Employee Ownership and Profit Sharing. “We’re trying to understand the conditions under which shares do and do not work well, both nationally and globally.”

Research shows that owning a piece of the company where you work and sharing in its profits can increase productivity, reduce employee turnover, and help workers build significant wealth with a supportive corporate culture. But as the Institute documented in research commissioned by The Wall Street Journal, women and people of color do not share equally in the rewards. With today’s appointments, the Institute will launch a major research initiative to further study those disparities and how to fix them.

“These scholars will explore how to include more workers in shared prosperity,” said Distinguished Professor Douglas Kruse, Associate Director of the Rutgers Institute for the Study of Employee Ownership and Profit Sharing. “With a tight labor market, workers are in a stronger position. And national surveys show that they do favor having a share in their company’s performance.”

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