Tuesday May 12, 2020
London-based, specialist engineering contractor, McGee, announces today that it has become employee owned through an Employee Ownership Trust (EOT).
Founded in 1959, the second generation McGee brothers have grown the capability, size and reputation of the business, making it synonymous with delivering world-class engineering solutions, either as standalone disciplines or as part of a high-value integrated offering. To date, it has worked on a number of London’s flagship infrastructure projects including: Wembley Stadium, Heathrow Airport T2B, Battersea Power Station, the Londoner Hotel and the award-winning, iceberg basement for Claridges hotel.
Over its 61 years of operation, the business has consistently enjoyed the support of its highly skilled and very loyal employees. Recognising that contribution has long been a core value of McGee’s, which is one of the reasons why transitioning to Employee Ownership is seen as a natural next step in its journey.
Chairman, Brian McGee, says, “For us, it’s a move designed to secure the future of the business, continue the legacy that our father started in 1959 and reward the people who have made the business the success it is today – its employees”. The McGee family will continue to actively support the business in its next chapter, and (Third Generation) Tom McGee will join the Board of McGee Group (Holdings) Ltd as part of this commitment.
Seb Fossey, Managing Director, comments, “The decision by the McGee brothers to transition ownership of the business to the Group’s employees via an EOT underscores the respect for the contribution our people have made to the McGee business.
In doing this, the McGee brothers have created a clear platform for genuine alignment between all of our new ‘employee owners’ that will further reinforce our culture of delivering upon our commitments to clients, and stands us in good stead as we drive to achieve our strategic goals. Undoubtedly, at this time of crisis in the industry, our transition to Employee Ownership will serve as fuel for our business and will help enable us to emerge stronger.”
Clients will see no change in the mechanics of how the business functions as the same team remains in place, committed to our value based approach to delivering complex projects. They will however enjoy the benefits that come from working with an engaged and aligned business where everyone is fully motivated by our goal of delivering certainty.
Employee Ownership has already proven to be a successful approach in many industries across the UK, including the construction industry, and is extremely well suited to the challenges of the 21st Century. Employee owned businesses have been shown to deliver superior business performance, and McGee is confident that this is the right time to embrace this change.
Deb Oxley OBE, Chief Executive of the Employee Ownership Association, said: “McGee joins a growing number of family business who want those who helped them to achieve success to have a stake in the business’ future – making employees custodians of the business for future generations, rooting jobs and investment for the longer term.
“Using the EOT model McGee’s move to put their employees at the heart of what they do will help unite them behind common purpose to drive performance and innovation during a time when this is going to be exceptionally important.”
Other Employee Owned businesses have benefited from:
- Higher productivity and greater levels of innovation*
- 25% increase in operating profits*
- More resilience to economic turbulence**
- More engaged, more fulfilled and less stressed workforces**