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Tile Outlets of America Becomes an Employee Owned Company
"I'm pleased to announce that effective September 1st, 2016, the employees of Tile Outlets now own around one third of the company through the Tile Outlets of America (TOA) Employee Stock Ownership Plan or "ESOP," says Don Aronin. "This milestone event represents the first phase of my plan to eventually have the TOA employees own 100% of the company through the ESOP."
What is an ESOP?
An ESOP is a type of employee benefit plan governed by the Employee Retirement Income Security Act ("ERISA") just as other qualified retirement plans. Unlike 401(K) plans, ESOPs are funded 100% by the employer, costing employees absolutely nothing to participate. In fact, no contributions are required or allowed from employees.
Each year Tile Outlets of America will make a financial contribution to the ESOP in an amount that will equal approximately 9% of the total annual compensation for each employee.
How does an ESOP Benefit Tile Outlets of America Employees?
The ESOP gives every Tile Outlets of America employee who meets the age and hours of service requirements a beneficial ownership interest in the company which enables him or her to share in the financial success of Tile Outlets throughout the employee's career with the company. Each employee becomes fully vested in his or her interest after 6 years of employment with the company.
Ray Hampton, Fort Myers Receiving Manager, says, "It's a dream come true." He was hired in 2006.
Jacolby Cooper, Order Puller in the Tampa Store, says, "It's a great opportunity and a great thing that the company has done." He has been with Tile Outlets since 2015.
Bob Stangs, Sarasota Assistant Store Manager, says, "I now have a vested interest in the store that I have spent the last 3 years helping to build and make us what we are today." He started with Tile Outlets of America in 2013.
"The ESOP allowed me to accomplish my dual goals of providing a path toward my eventual retirement and exit from the company along with my desire to better protect the jobs of those who helped build TOA into the great company that it has become," adds Aronin.
Although the value of the company is sure to fluctuate in the future, employee ownership interest will increase in value if the value of Tile Outlets of America increases and decline if the value decreases in the future. Every owner-employee will have an investment in the future value of Tile Outlets.
To learn more about Tile Outlets of America being proudly employee-owned, visit https://www.tileoutlets.com/
Tile Outlets of America, with stores in Fort Myers, Sarasota and Tampa and online at TileOutlets.com, sells first quality ceramic and porcelain tile, stone, mosaics and more for the home, all in-stock and ready to go at incredibly low prices. Tile Outlets takes seriously its Promise to Customers, backing it up with the Peace of Mind Commitment. Tile Outlets of America, "where dreams become reality... for a whole lot less."
Tile Outlets of America was founded in 2002. Corporate offices are located in Atlanta, GA. For more information, visit http://www.TileOutlets.com.