Do the employees get a stake in the company proportional to how many there are? Are profits shared amongst them equally?
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Publicly traded companies are owned by people who do not work for the company; Meaning that anyone can buy a share of the company and potentially have a significant amount of influence over the company. These shareholders usually want to see their investments grow, so they influence the company to cut costs and/or expand their business. This often times results in conflicts of interests with employees, as they may see an increased workload and potentially lowered wages and benefits. IE: Walmart.
An employee owned business is not publicly traded, instead, each employee receives a stock option and technically becomes a shareholder. Although, these shares are usually very small and not worth much. These companies tend to have better wages and work conditions, but aren’t all that great as one may think. But, if you get a job at a quickly growing ’employee owned’ business, your shares could become very valuable overtime.
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