Employee Ownership Financing Act

The Employee Ownership Financing Act establishes an Office of Employee Ownership within the Department of Labor to administer a new loan program supporting employee ownership. The program provides loans or loan guarantees to employee stock ownership plans (ESOPs) and worker-owned cooperatives to help companies become or remain at least 51% employee-owned, increase employee ownership, or expand operations while preserving jobs. Loans will have interest rates at or below market rates with up to 15 years to repay, and require business plans demonstrating employee ownership structures and meaningful employee involvement in company decisions. The bill also amends the Worker Adjustment and Retraining Notification Act to give employees the right of first refusal to purchase a plant or facility before a closure, and establishes an Advisory Council to advise on implementation.