New Jersey § 52:27h-90

§ 52:27h-90.

The Legislature finds and declares that: a. In 1981 the Legislature enacted the “Worker Owned Corporation Study Act” (P.L.1981,

c. 82) which mandated a study to determine the best means to encourage and assist

the formulation of employee stock ownership plans for the purpose of averting the

closure of places of employment. b. In March 1982, the Department of Labor, in accordance with that act, issued a report

which included a thoughtful analysis and cogent recommendations for legislative action

on the issue. c. The report noted that in certain cases, employee stock ownership plans offer an

indispensable vehicle for the retention of employment threatened by the pending closure

of business facilities and stated that often there is no alternate viable technique

of job maintenance in the case of a complete shutdown. d. The report also indicated that while State policy should include the encouragement

and assistance of employee stock ownership plans, great care should be taken to avoid

the waste of public and private resources and the bitter disappointment of the employees

that might result from the employee acquisition of an obsolete, overpriced or otherwise

undesirable facility. e. The report recommended that the State also publicize the potential value of employee

stock ownership plans as tools to aid the refinancing of presently successful businesses. f. The public interest will be best served by implementing a State policy to assist

employee stock ownership plans which is in accord with the recommendations of the

report.