The Workers' Paradise A Discussion of Workers Cooperatives and Building the New Economy

February 13, 2017

Our Worker Co-ops Have a Unique Role to Play

Filed under: Movement — Tags: , , , — John McNamara @ 11:14 am

We are living in very interesting times.

It can be difficult to figure out a coherent strategy with which to negotiate the next 1,237 days (or more). We almost need an individualized strategic plan to manage all of the areas of resistance to understand when it is vital to be on the streets or in the workplace or with friends and family.

Worker Co-operatives have a key role to play during this era, but it will only be meaningful if they embrace their identity as worker-owned and operated enterprises. False co-ops, those who use the co-op label more for marketing while ignoring the principles, really aren’t needed. They do damage to the rest of us. I am talking about employer co-ops masquerading as worker co-ops or solidarity co-ops. Some of these, like cab “co-ops” that have only 3–4 owners and hundreds of workers. They use the co-op model to escape double-taxation and should really be Limited Liability Corporations. They don’t engage in the principles or values of co-operation.

The rest, the worker co-ops who strive every day to live their principles and values, to engrain the co-op ethics into the operations, to demonstrate the resiliency and power of worker control need to step up and do more. This is not the time to be insular and withdraw behind the doors of your meeting room. The nation needs to learn about worker co-ops, and more importantly, worker co-ops need to expand and build the movement.

Mondragon provides lessons for how to develop and succeed in a hostile political climate. I want to talk about two, that I see as key to navigating the new normal of the political landscape in the U.S.

The first lesson: control our capital and keep it inside the movement. Worker co-ops need to create full service banks owned by worker co-ops to support and develop worker co-ops. While credit unions have a role, they can be hampered by antagonistic legislation that favors banks. Let’s use that legislation to support co-ops.

The second lesson of Mondragon: expand the movement by investing in new co-ops and incubating them if necessary. Mondragon recognized early on that more worker co-ops would make their lives easier. With enough worker co-ops, the supply lines and financial support could keep the money in the co-operative sector and economies of scale could be reached in ways that kept the democracy alive in the workplace. When a co-op needs something that it doesn’t produce, and can’t find an affordable source aligned with its mission, it should create a new co-op to meet its need. This engages the intellectual capital and capacity of its membership. Larger co-ops may have people working for them because it is a co-op, not because they want to drive a taxi, provide home care, or engage in bike delivery. These members provide a great expansion opportunity for the co-op and the movement.

This might be a state by state, city by city effort with each community finding its own path. Some cities, such as New York, Cleveland, and Madison, are able to use taxpayer dollars to support and build a co-operative solution to meet city needs. Others cannot and need to find other methods. In either case, it is important for existing co-ops to step up and help create strong co-operative economic ecosystems.

Creating nodes of economic democratic organizations throughout the U.S. over the next four years might not be the showiest or strongest form of resistance, but it will build stronger communities that will allow more people to engage in other forms of resistance since they will have free themselves of wage slavery. It is a passive revolution of a sort, although it can easily succumb to the hegemony of the dominant capital model if the values and principles fall to the wayside of our work.

If we could quadruple the worker co-ops in terms of number and employees over the next four years and develop them into real economic democracies through strong governance strategies that overcome gatekeepers and philanthropic saviors, we would create not just an answer to Trumpism, but also to neoliberalism.

As we train our members to engage within our co-ops, we are also training them to engage within their communities. This will create leadership on neighborhood councils, city committees, county committees and even State boards and commissions. We can create a new form of community leadership to fill the current vacuum that only sees a dichotomy between the conservative and liberal factions of Wall Street. Some co-ops, of course, are already doing this and their efforts have paid off substantially (see New York City and Madison), but we need to make this a bigger and broader movement that reaches beyond traditional liberal strongholds and into cities throughout the country. By focusing on the values of co-operation and putting the practice of solidarity and cooperation among cooperatives into practice, we can build an incredible future that delivers on the American Dream.

February 9, 2017

CICOPA’s Declaration on migrants and refugees

Since my last post on January 23, I had been wondering how to address some of the actions that have happened since in terms of the worker cooperative identity. Fortunately for me, my friends at the Canadian Worker Co-op Federation posted the following (adopted April, 2016) The International of Industrial and Service Cooperatives (CICOPA) put forth the following Declaration on Migrants and Refugees:

According to the United Nations, the number of international migrants increased by 41% over the last 15 years, from 173 million in 2000 to 244 million in 2015;1 the UN also point out that the main reasons for migrating include conflict, poverty, inequality and lack of decent jobs, and that the distinction between countries of origin, transit and destination is becoming increasingly obsolete.2

According to the UNHCR, refugees reached an estimated 15.1 million people in mid-2015, up from 10.5 million in 2012, 3 namely an increase of 40% in only 3 years, the vast majority being hosted by low or middle income countries.4

This massive increase in the flow of migrants and refugees is bound to increase over the next few years, both because the present reasons for such an increase have not been solved and because new phenomena are beginning to impact on migration, such as climate change.

Europe in particular is facing the gravest migration and humanitarian crisis since World War II, bringing into light its own paradoxes and inabilities to apply its constituent values such as solidarity, respect for human dignity and liberty.

It should be pointed out that, when they are able to survive during their exodus, migrants often face difficulties in accessing employment opportunities and basic social and health services. Furthermore, migrants are among the most exposed to working in low-paid precarious jobs and potentially exploitive conditions in the informal economy.

CICOPA is fully aware of the complex reality which migrants are facings around the world and that it is, at times, a difficult or perilous path.

As an organization active globally, CICOPA strives to change this paradigm through the development and growth of industrial and service cooperatives, in compliance with the first cooperative principle according to which “cooperatives are voluntary organisations, open to all persons able to use their services and willing to accept the responsibilities of membership, without gender, social, racial, political or religious discrimination”.

Industrial and service cooperatives contribute to a decent and dignified life and to the social and economic integration of refugees and migrants in various parts of the world. 5 They are also used as a tool by migrants and refugees themselves for developing entrepreneurship initiatives together with other members from the community, thus increasing autonomy, solidarity and human development while at the same time contributing to a sustainable economy both globally and locally.

Industrial and service cooperatives are the natural allies of international organizations, regional organizations and national governments in carrying out inclusive policies that provide basic services and socioeconomic inclusion for migrants and refugees. Cooperative entrepreneurship is a valuable tool to maximize the developmental benefits represented by migrants and refugees for welcoming countries, in terms of human resources, competences and skills.

Through this Declaration, CICOPA wants to express its commitment to fight for an equal access to services and work opportunities provided by cooperatives, allowing for a decent life and increased opportunities for the entrepreneurial projects to be initiated by workers and producers in the migrant and refugee communities around the world.

Cooperatives are based on the principle of equality, whereby all human beings are equal in rights and remain at the heart of all policy concerns. This is why cooperatives in industry and services commit themselves to fight against discrimination, stigmatization and exclusion which refugees and migrants are facing all around the globe.

 

1 United Nations Department of Economic and Social Affairs (2016) International Migration Report 2015; New York: United Nations, p. 5

2 Ibid.

3 UNHCR (2015) Mid-Year Trends 2015 ; Geneva : UNHCR

4 Ibid., p. 7 2 CICOPA – C/O European House of Cooperatives – avenue Milcamps 105 – BE-1030 BRUSSELS TEL. (+32/2) 543 10 33 – WWW.CICOPA.COOP– CICOPA@CICOPA.COOP 5 For example, Si, Se Puede! (Yes, it is possible!) Women’s Cooperative was founded in

5 For example, Si, Se Puede! (Yes, it is possible!) Women’s Cooperative was founded in New York in 2006, with the mission to bring together immigrant women to create a women-run, women-owned, eco-friendly housecleaning business. The cooperative Nor Bum, established in 2011 in La Plata, Argentina, groups 7 construction workers coming from Bolivia. Social cooperative Camelot established in 1997 in Ferrara, Italy, by

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