EYE on RETAIL: Room & Board goes ESOP
Room & Board, the Minneapolis-based furniture retailer announced its transition to a 100% Employee Stock Ownership Plan (ESOP), giving their 1,100 employees a financial stake in the company.
The company was founded in 1980 by founder John Gabbert, and promotes itself as a business with a commitment to American craftsmanship.
Room & Board's annual sales exceed $500,000,000.
“At Room & Board, our staff members are at the heart of everything we do,” says Gabbert, founder and chairman. “Over the past few years, we have explored every possible option for future ownership—from going public, to private equity, to non-profit ownership. Becoming 100% employee-owned was the only option that allowed us to stay true to our business values of respect, accountability, transparency, and collaboration and most importantly, preserve our company culture. My goal has always been to take care of the people who have helped make the company successful and this decision is in the best interest of our staff members, vendor partners, and customers.”
Room & Board pointed to a long history of championing staff member well-being. From establishing a company wage of $45,000 for all full-time employees to pioneering same-sex partner benefits over 30 years ago, the company has consistently demonstrated its pledge to creating a supportive and inclusive workplace environment.
This announcement coincides with Room & Board's recent B-Corp certification. As a Certified B Corporation, Room & Board embrace a balance between profit and purpose, the company said.
