Q: What does it mean to be employee-owned?
A: It means that everyone who works at the company is an owner! Ownership
ensures that everyone builds wealth when the company succeeds.
Q: What is an ESOP?
A: An ESOP is an Employee Stock Ownership Plan. Technically it is a retirement
plan. The company makes annual contributions and the value of your account
tracks closely with our success. You pay nothing for your shares and do not
have to contribute to your ESOP account.
Q: Is the ESOP open to all employees?
A: It is open to all employees who are over the age of 18 and have worked at
least 1,000 hours in the last 12 months.
Q: Does this cost me anything?
A: It does not cost you anything!
Q: What is vesting?
A: Vesting is the percentage of your ESOP Account that is yours and cannot
be taken back. The longer you stay at the company, the more you vest, and
this means that if you leave Commonwealth Fire Protection Company prior to
6 years, you will receive only your vested portion. You will always, however,
be 100% vested if you are employed on or after your Normal Retirement Age.
Q: When do I get the money?
A: Distribution of the benefit in your ESOP account begins when you leave
the company or retire.
Q: But really, what does this cost me?
A: Really - it does not cost you anything.
Q: Does this mean I can set my own schedule?
A: We are professionally managed, just like any business, and being an
owner doesn’t necessarily mean you have control. Ownership is about
having a monetary stake in and an ability to have a positive impact on
the success of the company. Control is about decision making.
Q: If I don’t reach 1,000 hours, why should I care about
the ESOP?
A: You are part of a team of owners that care about doing high-quality,
efficient work and keeping the well-being and success of all their fellow
employee-owners at the forefront.
Q: How do I learn more?
A: Ask your supervisor or an ESOP Communications Committee member.