Advocate for Employee Ownership Act

S. 2474 would establish a new position called the Advocate for Employee Ownership within the Department of Labor's Employee Ownership Initiative. This Advocate would serve as a liaison between the Department of Labor, workers, employers, and other stakeholders interested in employee stock ownership plans (ESOPs). The Advocate would provide public education about employee ownership, help resolve disputes between the Department of Labor and ESOP sponsors or participants, and work to identify opportunities for expanding employee ownership. The bill would require the Advocate to submit annual reports to Congress describing assistance provided, activities conducted, problems identified, and recommendations for supporting employee ownership expansion.

The practical impact would be to give employee ownership a dedicated voice within the federal government. Currently, the Department of Labor has a Division of Employee Ownership with primarily informational functions. This new Advocate position would have broader authority to work with other federal agencies and provide more active support for workers and companies interested in employee ownership arrangements. The bill has bipartisan sponsorship and its language has been incorporated into broader employee ownership legislation that has advanced through the Senate Health, Education, Labor, and Pensions Committee.