OLD TOWN, Maine
(NEWS CENTER) -- Since it first started in the 1920's, earthwork company Sargent Corporation has gone through a lot of changes in equipment and projects, but now it's going through a change that is completely new.
Herb Sargent realized that it is not his children's dream to run the construction company. Instead of selling it, he is handing it over to those who work every day for the business.
Through an Employee Stock Option Plan, Sargent has given 100 percent of ownership to his employees that was effective May 1st. The company is not yet sure just how the shares will be divided, but one thing leaders do know is that the value of the shares will depend on the work of the employees.
"E.S.O.P. is a retirement plan, an addition retirement plan, for our employees. It's an employee stock ownership plan, and they will benefit from the profits that the company has going forward," said Brent Hartley, V.P. of Finance at Sargent Corp.
"Really it makes the employee work harder to know that the more money they make for the company, the more money you can have for retirement. It's crucial. The more money, the more the company grows and improves the more money it's worth and the more money you can get, hopefully," said Timothy Lepage, Sargent Corp. Superintendent.
If an employee leaves the company, they do not get to take the shares with them. They will be paid out for the value of their shares, which will then be redistributed.