Sure you’re beholden to the shareholders, but it doesn’t necessarily follow that shareholders…
Timothy Gutwald
1

I have no problem w/ the “greedy” shareholders demanding eps growth, but I think that the decision to go public is sometimes even more greedy. Certainly some companies need the capital to grow, but often it is to cash out large shareholders and/or make questionable acquisitions that do not benefit shareholders anyway. There are many examples of large, growing companies that didn’t go public and are very glad they did not…Chik-fil-a, Waffle House, LA Fitness, Koch Industries, Publix… Once you are public it is pretty hard to stand up to activist shareholders. Passing laws to force public cos to strengthen the employees is counter to the interest of the shareholder. Maybe forcing a co going public to reserve a % of its stock for employees would help employees have a voice & a seat on the board.

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