Momentum continues to build behind efforts to introduce Employee Ownership Trust (EOT) legislation in Ireland following what has been described as a “very positive” meeting with the Tánaiste and Minister for Finance, Simon Harris.
The meeting in Government Buildings in Dublin brought together members of IPSA’s EOT Working Group, Graeme Nuttall OBE, former adviser to the UK Government on employee ownership, and Alan Coleman, founder of Wolfgang Digital and creator of Ireland’s first Employee Ownership Trust, along with and George Lawlor TD, Labour spokesperson on Enterprise, Tourism and Employment.
Supportive framework
The discussions focused on how Ireland can develop a more supportive framework for employee ownership and remove the significant tax and legislative barriers currently preventing wider adoption of the EOT model.
Ahead of the meeting, the Tánaiste received a detailed submission from Marie Flynn, Chair of IPSA’s EOT Working Group, outlining the tax obstacles facing Irish businesses that wish to transition to employee ownership, along with practical proposals for reform.
During the meeting, Mr Nuttall outlined the broad policy benefits of EOTs, drawing on the UK’s experience over the past decade. These benefits include stronger business resilience, improved employee engagement, better succession planning outcomes, and the retention of businesses within local communities and national economies.
Succession Solution
Mr Coleman highlighted the practical realities facing Irish entrepreneurs and business owners, explaining how EOTs can provide a valuable succession solution that allows successful Irish businesses to remain Irish-owned rather than being sold abroad, with the prospect of job losses.
The meeting follows growing concern around the continued sale of Irish companies into foreign ownership and increasing recognition that Ireland needs stronger mechanisms to support indigenous enterprise and long-term business sustainability.
‘Very positive’
Speaking afterwards, Mr Nuttall described the meeting as “highly constructive” and the reception from Minister Harris as “very positive”.
The Irish ProShare Association believes the represents another important step forward in the campaign to establish a fair and workable EOT framework similar to that operating successfully in the UK, where approximately 10 companies each week transition to employee ownership.
IPSA and its EOT Working Group will continue engaging with Government, policymakers, business leaders and stakeholders across the enterprise sector to build awareness and support for employee ownership as a viable option for Irish businesses.
