Since our inception in 1991, Chatsworth Products (CPI) has been proud to call itself one of the nearly 7,000 Employee Stock Ownership Plan (ESOP) companies in the United States.
What is an ESOP?
Beyond the acronym definition, an ESOP can be thought of as a qualified contribution plan that provides a company’s workers with retirement savings through their investments in their employer’s stock, at no cost to the worker.
Through an ESOP structure, all full-time employees become beneficial owners or employee-owners, as CPI calls its employee family. And because we are business owners, we are encouraged to think and act as business owners, which, in turn contributes to an increase in overall productivity, performance and employee participation. Simply put, such unique ownership creates a strong commitment to the attainment of our core purpose: Delighting the customer—that’s YOU—through high-quality products and unrivaled customer service and technical support.
CPI's ESOP Journey
1991: Despite being a profitable and respected business unit of its then Fortune 500 parent organization, CPI's specialized product line no longer fit the parent corporation's core business strategy. Targeted for divestiture, employees were given an opportunity to purchase the business unit, setting the wheels in motion that which would ultimately result in a 100% employee-owned company.
1993: CPI adapted to employee ownership with such ease, that just two years after inception, the California Chapter of the ESOP Association recognized CPI as ESOP Company of the Year.
2008: CPI again was honored to be recognized by the California Chapter of the ESOP Association as the ESOP Company of the Year.
Today: Now in its third decade as an ESOP company, CPI reflects with a sense of gratitude and pride, thankful for our customer’s continual support and business. It's helped us grow from a single location in Chatsworth, Calif. to a global company with offices and manufacturing capabilities located around the world.
By embodying the spirit of our company motto—"we're all in this together"—we continue to keep our customers top of mind and remember we’ve made it thus far, in part, thanks to the mutual respect we feel for one another.
If you haven’t already, now’s a great time to get more familiar with CPI, our employee owners, culture, family and how you too can help continue to shape our ESOP journey, whether by utilizing our products and solutions, joining the team or just watching the video below!
Posted by Brittany Mangan, Digital Content Specialist at 11/11/2021 11:10:03 AM