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W W W. M A I N E B I Z . B I Z 15 N OV E M B E R 2 8 , 2 0 1 6 life as a civil engineer. ey found their careers satisfy- ing. But whenever they met, they ended up talking about how nice it is to work alongside people who care about each other and share a commitment to excellence. ose ideas fi nally clicked into a partnership. ey formed Wright-Ryan Construction in 1984, hired two employees who were connections from their previous days, and settled in Portland. Today, the fi rm has grown to 70 to 80 people, sometimes more, depending on projects, and diversi- fi ed into a variety of commercial, institutional and residential categories and services, primarily in Maine, with a focus on forward-thinking projects that "make a diff erence in the community," such as the recently completed "passive house" construction — the Village Centre aff ordable housing community in Brewer. Recruitment and retention "Career" is a key word for Ryan, given the chal- lenges of replenishing an aging and out-migrating workforce. Ryan views work in the construction industry as a career, not just a job. "We already have an ownership culture at Wright- Ryan, with employees operating like owners, and a business philosophy defi ned by collaboration and transparency," says Ryan. " e ESOP takes that to the next level." Ryan and others at the company see the ESOP as a retirement benefi t on top of the company's employer- matched 401(k). Each serve as recruitment and reten- tion tools. Given Maine's general labor shortage and the growing challenge construction companies face, having attractive benefi ts is crucial in this day and age. Some 7,000 U.S. companies have ESOP plans, encompassing 13.5 million employees, according to the Oakland, Calif.-based National Center for Employee Ownership. e ESOP is one of a variety of mechanisms used to transition a company to employee ownership, and also has signifi cant tax advantages, making additional capital available for investment in the company. Generally, ESOPs are a contribution to the employee, not an employee purchase and function as "a kind of employee benefi t plan," NCEO says. e company sets up a trust fund, and shares in the trust are allocated to individual employee accounts. "As employees accumulate seniority with the com- pany, they acquire an increasing right to the shares in their account," NCEO says. A number of Maine companies in industries as far ranging as construction, manufacturing, advertising and insurance have taken a similar route. In con- struction and engineering, Cianbro, Landry/French Construction, Sargent Corp. and Sebago Technics have gone that route. In manufacturing, there's GAC Chemical Corp., Kennebec Technologies and SteelPro Inc. Allen Insurance has an ESOP, as does the VIA Agency, an advertising agency. at is by no means a comprehensive list. Finding labor is an industry challenge e ESOP is expected to attract new employees to Wright-Ryan in a tight labor market. According to information provided by Wright-Ryan: ¡ Employment in construction has increased steadily nationally and statewide since a low of early 2011. Construction employment totaled 6.7 million nationally in October according to the U.S. Department of Labor, the highest level since December 2008. ¡ Maine's Center for Workforce Research and Information projects consistent demand for con- struction jobs in the state through 2024, ranking trade professions such as carpenters and general maintenance and repair workers in the top 10 for high-wage, in-demand occupations. www.bhbt.com • 888-853-7100 As a business owner, you have spent a lifetime serving customers and providing a livelihood for your employees. Now you want to retire but see the company you built continue. It is an important community asset and you feel a responsibility to your employees. Transitioning the business to the right owner is essential. You have one chance to get it right. Bar Harbor Bank & Trust has advised many business owners on the financial aspects of transitioning their business to the next owner, using a variety of financing strategies. Together we can do this. Start the conversation today. From business owner to retiree C O N T I N U E D O N F O L L OW I N G PA G E » We've always tried to make careers for people, to give them a place We've always tried to make careers for people, to give them a place We've always tried to make careers for people, to give them a place We've always tried to make careers for people, to give them a place We've always tried to make careers for people, to give them a place We've always tried to make careers for people, to give them a place We've always tried to make careers for people, to give them a place We've always tried to make careers for people, to give them a place We've always tried to make careers for people, to give them a place We've always tried to make careers for people, to give them a place We've always tried to make careers for people, to give them a place We've always tried to make careers for people, to give them a place We've always tried to make careers for people, to give them a place We've always tried to make careers for people, to give them a place to grow, whether it's within their current position in new positions, to grow, whether it's within their current position in new positions, to grow, whether it's within their current position in new positions, to grow, whether it's within their current position in new positions, to grow, whether it's within their current position in new positions, to grow, whether it's within their current position in new positions, to grow, whether it's within their current position in new positions, to grow, whether it's within their current position in new positions, to grow, whether it's within their current position in new positions, to grow, whether it's within their current position in new positions, to grow, whether it's within their current position in new positions, to grow, whether it's within their current position in new positions, to grow, whether it's within their current position in new positions, with the opportunity to explore different aspects of our business. — John Ryan, president, Wright-Ryan Construction

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