Impact of demographic characteristics on the perception of stewardship in employee-owned companies

This study investigates how employees in Employee Stock Ownership Plan (ESOP) companies perceive stewardship governance using survey data from 211 employee and owners across six U.S. ESOP firms and interviews with 10 employees. We examine how demographic factors and managerial status shape perceptions of stewardship climate. Stewardship was measured through psychological and situational mechanisms, including organizational identification, intrinsic motivation, personal power, involvement orientation, collectivist orientation, and power distance. Results show that managers report significantly higher stewardship perceptions than nonmanagers. Age and tenure were negatively associated with stewardship, while ESOP value was positively associated. A two-step cluster analysis revealed three distinct groups: nonmanagers with low stewardship perception, nonmanagers with high stewardship perception, and high stewardship managers. Qualitative findings supported these patterns. Overall, the study demonstrates meaningful within organization variation in stewardship perceptions and offers insights for strengthening employee ownership cultures.