LEXINGTON, Kentucky – In a significant turning point for the Davis H. Elliot Company, this employee-owned electrical contracting firm has flourished since its transition to an Employee Stock Ownership Plan (ESOP) in 2000. Initially faced with a lack of succession planning, Bill Elliot symbolically placed the future of the company into the hands of its employees, rather than taking offers from strategic buyers.
This decision stemmed from Elliot’s commitment to the well-being of his workers, as Keith Simpson, the company’s senior vice president, recalled, stating, “He said it wouldn’t feel right selling the company to a strategic buyer.” Instead of pursuing profit for himself, Elliot emphasized the importance of maintaining profit-sharing and employee benefits, ensuring the stability of the company’s culture.
Founded in 1946, the Davis H. Elliot Company originally serviced Appalachian Power Company with just one crew. Over the decades, it expanded its reach, working extensively with regional utilities and adapting to clients’ evolving needs. Today, its operations span across the United States, from Corpus Christi, Texas, to Baltimore, Maryland.
The transition to employee ownership proved beneficial, as the company has since cleared its initial debt ahead of schedule and evolved its services to meet current market demands. New branches, such as Elliot Services and Studio 46, have emerged, offering residential electrical services and on-demand safety training through innovative video content.
With over 1,000 employees, the company remains at the forefront of responding to utility emergencies, including natural disasters, exemplified by its continued presence in Nashville, Tennessee, post the 1998 tornado. Recently, the company expanded its portfolio with the acquisition of Wells Engineering, enhancing its procurement and delivery services.
As the industry confronts a decline in interest among younger generations toward skilled trades, Elliot’s diverse service lines are critical for recruiting and retaining talent. The *recruiting platform Handshake* reported nearly a 50% decrease in applications for skilled trades compared to 2020, causing concern for the future workforce.
Addressing this issue, Simpson expressed optimism, stating, “What we look for are people who want to invest in their future.” By offering varied career paths, including information technology and video production, the company aims to attract young professionals while fostering their growth through apprenticeships.
In summary, the Davis H. Elliot Company’s journey from a traditional electrical contractor to a fully employee-owned business illustrates a successful shift in corporate structure, prioritizing its workforce while navigating the challenges of an evolving labor market.
