Freakonomics Radio Should Companies Be Owned by Their Workers?
79 snips
May 9, 2024 
In this discussion, Pete Stavros, co-head of Global Private Equity at KKR, advocates for employee ownership as a transformative model, while Corey Rosen, founder of the National Center for Employee Ownership, emphasizes the potential of ESOPs to create a fairer economy. Marjorie Kelly, a critic of private equity, shares insights on its effects on workers. They delve into the complexities of employee ownership, its potential benefits, and the challenges it faces, questioning whether these initiatives are genuine change or merely a façade in the corporate landscape.
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Capital Safety
- Pete Stavros' first ownership experiment was with Capital Safety, a fall-protection equipment company.
- Ironically, their own injury rate was three times the OSHA benchmark.
CHI Overhead Doors
- KKR acquired CHI Overhead Doors, a garage door manufacturer in rural Illinois.
- Employee engagement was initially low but improved after implementing employee ownership.
CHI Payouts
- When CHI Overhead Doors was sold, tenured factory employees received substantial payouts, some up to half a million dollars.
- Truck drivers even made as much as $800,000, demonstrating significant wealth creation.
