An Employee Stock Ownership Plan (ESOP) is a program that provides a company's workforce with an ownership interest in the company. Through this plan, employees can acquire shares of the company, often at no upfront cost. ESOPs are designed to align the interests of employees and shareholders, encouraging employees to work towards the company's success. ESOPs can serve as a retirement benefit, as employees can sell their shares back to the company or on the open market upon retirement or leaving the company. This structure can enhance employee motivation and retention, fostering a sense of belonging and investment in the company's future.