1,700-Employee Firm Sees 8% ESOP Candidate Surge Amid Talent War

For HR leaders grappling with engineering talent shortages, Ulteig’s experience offers a compelling case for employee stock ownership as a recruitment and retention accelerator. The firm’s ESOP is now a top candidate inquiry point, moving the conversation beyond salary to long-term wealth and organizational voice. This shift demands that HR departments not just administer benefits but actively shape an ownership culture that turns every employee into a stakeholder.

Ulteig, an infrastructure engineering services firm with 1,700 employees across North America and Costa Rica, has placed its employee stock ownership plan (ESOP) at the heart of a people-centric culture strategy. This spring, the company promoted Sara Chapman to chief human resources officer, tasking her with deepening that culture as the organization grows. Chapman’s appointment signals a deliberate effort to align HR leadership with the company’s ownership model, which has evolved from a mere retirement benefit into a recruiting differentiator and cultural glue amid a severe engineering talent shortage. Her early insights reveal how employee ownership can transform workforce dynamics—but also where its limits lie.

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Ulteig, an infrastructure engineering services firm with 1,700 employees across North America and Costa Rica, has placed its employee stock ownership plan (ESOP) at the heart of a people-centric culture strategy.

ESOPs have gained traction across the U.S.: the Department of Labor reports more than 6,500 registered plans as of 2023, with participant numbers rising about 8% over the previous decade. Legislative tailwinds, notably the SECURE Act 2.0 of 2022 and its Employee Ownership Initiative, aim to accelerate adoption by educating employers on the potential of broad-based ownership. At Ulteig, the ESOP has tangible effects. Chapman notes that candidates in a hyper-competitive labor market frequently ask detailed questions about the plan, far more than she anticipated. This interest gives Ulteig a leg up, converting ownership from a back-office financial arrangement into a compelling attraction tool. The cultural impact is equally profound. Because employees directly share in the company’s financial success, they feel a greater sense of agency and partnership; Chapman describes a “we’re in this together” mindset that encourages open dialogue and feedback. This ownership mentality aligns individual incentives with long-term organizational health, potentially reducing turnover and boosting engagement—critical metrics for any HR leader.

However, Chapman cautions that an ESOP alone does not guarantee a sustainable culture. She acknowledges that the stock plan provides a “wonderful foundation” but emphasizes that culture must be actively nurtured through leadership behaviors, communication, and processes that reinforce the principle that every voice matters. The risk is that an ESOP can be perceived as a passive entitlement, while its true value emerges only when employees understand the connection between their daily work and the company’s valuation. This requires ongoing education, transparency, and opportunities for genuine input—areas where HR must play a central role.