The Workers' Paradise

February 13, 2012

Markets Can Be Healthy

Filed under: Education,Movement — Tags: , , , , — John McNamara @ 12:12 pm

As part of my studies this semester, I am reading the English edition of Cooperative Enterprise: Facing the Challenge of Globalization* by Stefano and Vera Zamagni.

In their opening chapters, they lead a discussion about the nature of cooperation (from their Italian perspective), the nature of competition and the nature of the market.

For decades, Stefano has argued that capitalism has been incorrectly used as a synonym for “free market.” Indeed, that connection is so embedded in our culture in the United States that anyone suggesting anything else often gets labeled a socialist. The dominant paradigm sees the dichotomy of the planned economy of socialism and the market economy of capitalism. There isn’t any other means except the historically defunct feudalism.

Today isn’t about getting into the argument about State Capitalism of the former Soviet Union and modern China, rather, it is about debunking the intimate connection between a free market and capitalism. The Zamagni’s carry this thought throughout the introduction to their book.

Essentially, they argue in the language of Flora and Fauna taxonomy. If we consider the “marketplace” to be the Genus of this particular economic strain, then capitalism is but one species within it. Co-operation, they argue is a unique species within the free market. Cooperation is not opposed to the marketplace, but utilizes it in a manner that seeks to maximize the benefit for the community. Capitalism utilizes the market to maximize the benefit for those owning the capital. Both are subject Adam Smith‘s invisible hand of the marketplace that provide the mechanism for each type of business to make adjustments. Both seek to use government (although capitalism is much better at it) to ameliorate the effect of the invisible hand towards the benefit of their shareholders or stakeholders as the case may be.

As a condition of this, competition plays different roles. In the capitalist species, competition is expected to be a ruthless Darwinian arbitrator determining the most fit organization (again for the benefit of the narrow group of stockholders). In the Co-operative species, however, competition plays a much different, almost helpful, role. The authors argue that the root word for competition is cum petere (“literally, tend together toward a common goal”). It is the basis of a free market. This is the antithesis of “creative destruction”:

“We are well aware of the many economic advantages created by this mechanism. But we are equally familiar with its brutality, its harmful social and political reprecussions. And it is clear that creative destruction may enjoy some legitamacy as long as the value of what is created is grreater than that of what is destroyed, that legitamcy ends when–as is the case today–the relation is inverted. We call the specific form of competitive practiced by cooperatives ‘competitive cooperation’, which is a powerful antidote to the damage that would be done by positional competition. “(Zamagni, 2010, 4)

A competition to see who can best serve the community is part of a truly free market. Further, a free market also requires an educated consumer. In the cooperative species, this means much more that printing ingredients on labels. For one, it means that the consumer (in the broadest sense), must be able to read and understand that label! It means that the consumer must posses the analytical skills to discern between products and services and the related price. During this election year, we will hear a lot about paying for education and the free market, but we will likely not hear about how they are connected. We can’t have a free market if we don’t have a populace educated to a level that allows them to make informed decisions.

Of course, this is one of the key traits of the Co-operative species as espoused by the 5th Principle: Education, Information and Training. The principle states: “Co-operatives provide education and training for their members, elected representatives, managers, and employees so they can contribute effectively to the development of their co-operatives. They inform the general public – particularly young people and opinion leaders – about the nature and benefits of co-operation.”

Co-operation, not capitalism, embraces the free market. Capitalism uses a vicious form of competition, the type found in nature by parasites, to stifle other actors in the market. The Zamagni’s quote economists Rajan and Zingales’s work Saving Capitalism from Capitalism (2003, University of Chicago Press):

“The worst enemies of capitalism are not union agitators with their corrosive critique of the system, but the managers in pinstriped suits who sing the praises of competitive markets in every speech while they try to suppress them with every action.”

The next time you hear someone trying to red-bait our movement, you could have a lot of fun pointing out that the practice of modern capitalism is much closer to the Kleptocracy of Russia and the party contolled economy of China while the true competitors and champion of the free market are, in fact, co-operatives.

*The only place that I have been able to find an English copy of Cooperative Enterprise has been through Abe’s Books, however, if your local book coop has a good search engine, they might also be able to find it.

January 26, 2011

A Quick Review of “Solidarity”

Filed under: Uncategorized — Tags: , , , — John McNamara @ 9:22 pm

Recently, a post from last fall on the Theft of Labor, brought this comment:

“If the intern or the college athlete feels like they are getting an outstanding deal, is it your job to convince them otherwise?”

My spam filter held it up. At first, I thought it was a rather tricky robot trying to get its url posted, but then thought that this was a real person and, even if the poster isn’t, it still raises a good topic. It speaks to the value of solidarity. Why should we tell people how they should go about making a living? Because we share our world and no one acts in a vacuum.

The short answer is “Yes”. How does the college athlete or intern “know” they are getting a good deal? College athletes are barred from having agents to speak for them. Interns, by definition, are outside of a bargaining group. In addition, these are kids who still do most of their banking at the “Mom and Pop Savings and Loan”.

If it is a really good deal, then it won’t be a theft of labor. Getting a 4 year degree at a quality liberal arts college may be worth playing football for four years (especially if the team isn’t a Division I elite school). I certainly wasn’t arguing that we can only be a cash-basis society. I have no problem with bartering and Time Banking.

However, helping the UW or Miami generate hundreds of millions of dollars for a paltry $20 K a year education benefit (especially if one is a star athlete) seems like exploitation to me.

At the root though is that all of this “free” labor waters down the value of work. A lot of the work of interns might be done just as well (and more efficiently) by administrative assistants earning a living wage and benefits who can then send their kids to college.

Major League Baseball runs its own farm system at its own cost. The NBA and NFL use taxpayer funded colleges and universities to prepare their future employees. That doesn’t pass the smell test to me.

By ignoring this, we only continue the race to the bottom. Solidarity is based on the notion that if we stick together, we can improve society for everyone or, as our founding fathers so aptly noted, “if we don’t hang together, we shall surely hang separately.” If I come in an undercut your salary to get your job, then what is to stop someone else from doing that to me?

We are all in this together and finding short term advantages for individuals does not build a sustainable society.

April 5, 2010

Comments About Union Cab’s Bonus Segment in Michael Moore’s Movie

Filed under: Society — Tags: , , , , — Fred Schepartz @ 6:23 pm

In Michael Moore’s latest film, “Capitalism: A Love Story,” his basic point is that Capitalism is inherently evil. He cites various examples of antidotes to Capitalism, including worker cooperatives. Union Cab, where I’ve worked for 22 years, was one of three worker cooperatives Moore’s film crew spent time with last spring. We didn’t make it into the theatrical cut, but we are included in the bonus features on the DVD that came out last week.

It was gratifying to see my workplace portrayed as a force was positive change in our society. Basically, Moore is saying that Union Cab is everything that is good and wholesome, a workplace that puts people before profits, that is democratic, that sees the community as something to serve, not something to exploit and mine for profit.

More importantly, Moore accurately portrays Union Cab as one of many entities seeking to change society through economic means. There is a zeitgeist regarding worker cooperatives right now, and Moore is out there on the forefront. Amazingly, a great deal has happened in the worker cooperative movement since he started filming last year. In Cleveland, the first of the Evergreen Cooperative‘s opened for business. They are just beginning, but this burgeoning network of cooperatives has been highly touted as “The Cleveland Model.” (http://www.thenation.com/doc/20100301/alperowitz_et_al)

And then last fall, it was announced that United Steelworkers had formed a collaboration with Spanish super cooperative Mondragon to create manufacturing worker cooperatives here in the United States based on the Mondragon model in Spain. (http://www.usw.org/media_center/releases_advisories?id=0234)

One thing I particularly liked is that the bonus features includes an interview with Tom Webb. Webb is on faculty at St. Mary’s University in Canada. St. Mary’s offers a masters program in cooperative studies. In fact, my best friend and fellow Union Cabbie, John McNamara, is graduating from the program this spring. (John set up the interview and the whole visit with Union Cab, but when the time came for the visit, John was out of town visiting family.) The interview is quite useful in terms of putting these various syndicalist elements into perspective and realizing it is all part of a movement, albeit a movement that may or may not realize that it actually exists as a movement.

As far as how Union Cab is portrayed, for the most part I was pleased. There was a great deal of trepidation and anxiety in anticipation of the release of the DVD. I had heard that a couple of our members who were interviewed felt like they were being treated in a bit of a confrontational manner. Our General Manager, Karl Schulte, was a bit upset. He was asked about how much he was paid compared to the lowest paid employee—the ratio is about three or four to one compared to 300 to one for the average corporate CEO. In response to Karl’s answer, the interviewer barked, “What are you, a commie, a hippie?Rebecca Kemble, the other Union Cab member who drove them around, also said she felt they got a bit confrontational with her as well, hence her being a bit defensive when she says on camera, “I don’t think we have any Communists working here,” when she talks about the diversity of our membership, with some Democrats, some Republicans, as well as socialists and anarchists.

While I felt like I was treated with the utmost respect by Basel Hamden and his crew, my nose was certainly bent out of joint by a comment Moore made during a couple interviews when the theatrical cut was released. He said he liked Isthmus Engineering because they all “look like a bunch of Republicans.” He said that kind of cooperative interested him more than some “hippie-dippy food coop.”

But now that many of us have seen our segment on the DVD, I can say that our fears were unfounded. For the most part, it’s just us, speaking for ourselves, and I have to say we do a good job. The segment comes off in a very positive manner.

After a nearly perfect imitation of the opening shots of “Taxi Driver” with me channeling Travis Bickle (actually, it’s not Bickle but former Union Cab driver Steve Fleischman who used the line to shut up some drunk Young Republicans the night Tommy Thompson was elected governor in 1986. John McNamara told me this story.), I talk about seniority pay increases. Rebecca talks about earning roughly $18-27 an hour on a good Saturday night. She also has a nice line about how Union Cab counts among its ranks many of the “walking wounded from corporate America.” Karl, when asked about how much he’s paid, comments that he doesn’t understand how somebody would want more. He’s able to put food on the table. Isn’t that enough?

Now if I were to quibble, I would have to say that I wish there was more in the way of nuts and bolts details to the specifics about what makes Union Cab a special place to work. I get into that some with my description of our institutionalized system of seniority pay increases, a percentage point for every 2500 hours one works. That’s nice, but I wish Moore would have included the other things I said about our structure, that we have a board of directors elected from the membership by the membership, that we do have a management structure, but it is counter-balanced to protect our members from abuse. We give managers the authority to do their jobs, but they are supervised by the board, so they work for us. We have the Worker’s Council where any member can appeal discipline. We have committees that anyone can join that write policy, which may be eventually approved by the board.

I believe all of this is very important. Touchy-feel words don’t make us what we are. It is the structure of our organization and the various entities without our organization along with the energy of our members that makes us special. That is exactly how we are able to provide jobs at a living wage in a democratic and humane work environment.

In our segment, I’m shown for 30 seconds talking about Union Cab. I wish I had been given more time because there’s so much more I said that I wanted people to hear. Also, and forgive me for sounding self-centered and self-serving, I was rather disappointed that Moore didn’t allow me to plug my novel, “Vampire Cabbie.” Frankly, I was surprised that Moore didn’t include any mention of my book. The idea of a cab driver who drives at night who has published a book about a vampire cab driver, that struck me as the sort of thing that would attract Moore like a moth to a flame. If anything, I was worried that Moore might make me look some kind of kook. But, nooooo! No plug! No love!

All kidding aside, what particularly disappointed me about that omission was that while talking about my book, I also talked about how Union Cab attracts and nurtures various artistic types. Within a year of the publication of “Vampire Cabbie,” two of my fellow drivers published books. Last year we had a successful Union Cab art show. There’s always several musicians driving at Union at any given time. In fact, earlier this year, a second Union Cab music CD was released.

As I said to the camera (and to local reporters Doug Moe and Rob Thomas in interviews this week, neither of whom felt the need to quote me on this point), Union Cab does a great job of nurturing artistic types because, first of all, we pay a living wage, which means you don’t have to work a ton of hours to get by, so you have time to devote to your art. Second, Union Cab is not the kind of workplace that sucks out your soul, so that when you’re not working, you still have enough gas in the tank to pursue your artistic endeavors.

Still, all that said, it was an honor to be in a Michael Moore film, even if it was just the bonus features on the DVD. While I felt a bit disappointed by some aspects of the segment, it was a strong, positive portrayal of a worker cooperative that is, in it’s own way, an important part of a bigger movement.

There is one last point I do need to make. I have to take exception with Rebecca’s comment that “we don’t have any Communists working here.” Actually, we do. I know for a fact that we have at least one, and he’d be a bit pissed to hear that comment. Rebecca seems a bit defensive when she makes that remark. I want to be clear that we’ve always had Communists working at Union Cab, and they have, at various times, played an important role and taken leadership positions, but not for power, not because the Central Committee told them to, but because they chose to sacrifice their time for the common good.

Look for us on page two of the bonus features. Our segment is titled, “You Talkin’ To Me? Commie Taxi Drivers in Wisconsin.”

February 23, 2010

Capital? We Don’t Need No Stinkin’ Capital

Filed under: Movement,The Cleveland Model — Tags: , , — Fred Schepartz @ 12:17 pm

Publisher’s Note: this is the second of hopefully several articles about the Cleveland Model Fred Schpartz. Fred publishes Mobius: A Journal of Social Change publisher is a member of Union Cab of Madison Co-operative and authored Vampire Cabbie.

Labor, properly organized, accompanied by sufficient community support equals capital. That is the lesson of the Cleveland Model.

Cleveland, like many Rust Belt cities, is an economic disaster area. Its population has dropped to less than half of what it was in 1950. Glenville, the Cleveland neighborhood where worker-owned Evergreen Cooperative Laundry is based, has a median annual income of roughly $18,000. Yet, in the depths of the worst economic downturn since the Great Depression, something amazing has happened.

Last year, Evergreen Cooperatives was born. Spearheaded by the private, non-profit Cleveland Foundation, grants and loans were secured allowing for the creation of the Evergreen Cooperative Development Fund with the purpose of creating worker-owned cooperatives, starting in the Glenville neighborhood, thus taking advantage of the presence of a university, a hospital and a large medical clinic in the neighborhood and the subsequent demand for a variety of services that previously had been provided by non-local businesses.

Last year, Evergreen Cooperative Laundry and Ohio Cooperative Solar were born. Aside from being worker cooperatives, both businesses are significantly green. Green City Growers, an urban hydroponics greenhouse and Neighborhood Voice, a community newspaper will open their doors later this year.

Taking a cue from Mondragon Cooperative Corporation in the Basque region of Spain, each Evergreen cooperative is obligated to pay 10 percent of pre-tax profits into a cooperative development fund.

The Cleveland Model is a significant development given the devastation wrought by capital abandonment, not just in Cleveland, but all throughout the Rust Belt. Capital abandoned the inner city in favor of the suburbs. Capital abandoned the north in favor of the Right To Work south and west. And when the imposition of neo liberalism in developing nations allowed capital to sidestep local labor and environmental laws and regulations, capital abandoned the United States.

During the current recession, we’ve seen a different variety of capital abandonment. Fearful of financial instability, capital hoards its resources. The financial sector won’t loan money to businesses. The Obama Administration is desperate to launch a new green economy, but capital is unwilling to risk their resources on a new, unproven economic sector.

This points out a significant advantage of the sustainability model versus the profit model. The reluctance of capital to venture into untested waters is understandable, given the financial risk. Obviously, a cooperative wants to turn a profit, but the cooperative is not out to maximize profits. Its board of directors does not demand tribute. There is no CEO demanding an eight or nine figure salary. In addition, risk is spread among more people in a cooperative, so cooperatives are willing to go where capital fears to tread.

Obviously, it takes money to start a worker-owned cooperative business. In the case of the Cleveland Model, this was accomplished through community support, with funding coming from area foundations, locally owned banks and municipal government, along with some federal grants.

When capital abandons a place, the solution is that labor can become capital, if properly organized and with sufficient community support. And given that capital has abandoned a great deal of this country, the Cleveland Model is a solution for Anywhere, USA. We as a nation need not be held hostage by capital.

Workers need to march back to the shuttered factories where they used to work and decide they will resume building goods in those darkened plants. And that effort needs to be supported by the community and by local, state and federal government. The Obama Administration must lead the way by allocating economic stimulus money for the formation of worker-owned cooperatives. Imagine the impact of one billion dollars provided as seed money for worker cooperatives. That’s a little more than one tenth of one percent of the total amount of money allocated for the stimulus. This would be money well spent. Not only would it get people back to work relatively quickly, but it would provide a conduit for long-term economic growth.

Lest I paint too rosy a picture, I should mention that I have heard a critique of the Cleveland Model that it is top down and thus paternalistic. I believe that criticism is fair. I have not visited any of the Evergreen Cooperatives, so I cannot say this with utmost certainty, but it appears that the management and leadership structure is superimposed upon these cooperatives rather than grown organically from the membership. My sense is that the Cleveland Foundation et al probably believes professional leadership is necessary, at least in the beginning, for these cooperatives to survive, that it was absolutely necessary for hired-gun technocrats to be brought in to run things.

While The Nation absolutely gushed about the effort it took to organize these cooperatives and how green these businesses are, there was not a word about what it’s actually like to work in any of these places.

Are these workplaces democratic? Is it a humane work environment? Are workers paid a living wage?

A worker’s cooperative that does not have these things is not much of a cooperative. At Evergreen Cooperative Laundry, there is the hope that workers can accumulate upwards of $65,000 in retained equity within 10 years. This is an admirable goal, but is it realistic or is it pie in the sky? And to achieve that goal, are worker’s paid a substandard wage? I don’t know.

For the Cleveland Model to succeed in a meaningful way, each worker’s cooperative must have self-rule and self-determination. It is imperative that management provides training opportunities so the workers can learn how to run their own business because when it’s all said and done, it’s their business, and no one will know how to run it better than them.

I do sincerely hope a form of the Cleveland Model can be implemented on a national scale. Capital has abdicated its responsibility to the citizens of this country. The Cleveland Model teaches us that together, we can live without capital by essentially generating it ourselves.

A tsunami of new cooperatives could create thousands upon thousands of new jobs and could get America back in the business of building good that the rest of the world wants to buy.

But to make this a truly worthwhile endeavor, the cooperative movement has to be proactive in its efforts to train and organize those who might form these future cooperatives, so these future cooperative members can be best equipped to organize themselves.

February 13, 2010

Another View of the Undercover Boss

Filed under: Society — Tags: , , , — John McNamara @ 10:37 am

The really great people at Labor Notes also noticed this show. Definitely read their take on it.

The Labor Notes essay reminded me of one of the real problems of the show (and the co-operative difference).

The narrative follows a fairly old plot device: The King is bored and feeling insecure about his subject’s love for him so he dons the clothes of a peasant and heads out to the realm to see how life really is. Along the way, he finds corrupt Sheriffs acting in his name, a damsel in distress, and other failures that he never dreamed existed because his royal court kept him sheltered from it all. In the end, he returns to the castle, uplifts the noble peasants who were kind to him, throws down the corrupt, marries the damsel and nestles back into the world of comfort, wealth and power.

That is essentially the plot of this show. Like the ancient narrative that it follows, it ignores reality serving instead to instruct the peasants that it is “hard work” being the decider!

Shakespeare had the most honest version of it in Henry V. Never one to trust the mob, Shakespeare allows his disguised Henry to defend the power of the King and to exonerate the King from the blood of war:

So, if a son that is by his father sent about
merchandise do sinfully miscarry upon the sea, the
imputation of his wickedness by your rule, should be
imposed upon his father that sent him: or if a
servant, under his master’s command transporting a
sum of money, be assailed by robbers and die in
many irreconciled iniquities, you may call the
business of the master the author of the servant’s
damnation: but this is not so: the king is not
bound to answer the particular endings of his
soldiers, the father of his son, nor the master of
his servant; for they purpose not their death, when
they purpose their services. Besides, there is no
king, be his cause never so spotless, if it come to
the arbitrement of swords, can try it out with all
unspotted soldiers: some peradventure have on them
the guilt of premeditated and contrived murder;
some, of beguiling virgins with the broken seals of
perjury; some, making the wars their bulwark, that
have before gored the gentle bosom of peace with
pillage and robbery. Now, if these men have
defeated the law and outrun native punishment,
though they can outstrip men, they have no wings to
fly from God: war is his beadle, war is vengeance;
so that here men are punished for before-breach of
the king’s laws in now the king’s quarrel: where
they feared the death, they have borne life away;
and where they would be safe, they perish: then if
they die unprovided, no more is the king guilty of
their damnation than he was before guilty of those
impieties for the which they are now visited. Every
subject’s duty is the king’s; but every subject’s
soul is his own. Therefore should every soldier in
the wars do as every sick man in his bed, wash every
mote out of his conscience: and dying so, death
is to him advantage; or not dying, the time was
blessedly lost wherein such preparation was gained:
and in him that escapes, it were not sin to think
that, making God so free an offer, He let him
outlive that day to see His greatness and to teach
others how they should prepare.”

So it is with the CEO of modern commerce. They are the Dukes and Kings of our era and act much in the same manner. There decisions are just by the fact that they made them. Any consequences on the people cannot be laid at their feet. People are responsible for themselves, after all. Larry O’Donnell professes safety, but cuts hours without any realization that speed-ups affect safety. His company, according to Labor Notes, is a “safe” workplace where “Waste Management workers are three times more likely to get killed on the job than firemen, and 60 percent more likely than police officers.”

Of course, taking a week off work to see how the plebes survive isn’t the same as being one. At least the kings in the old stories actually risked their lives, but the CEO can jump safely back to the corporate office at any time. Undercover Boss is the modern grim fairy tale of corporatized America. Worker Co-operation is the reality anti-dote.

January 4, 2010

#17 Sovereignty of Labor (Mondragon Priniciples)

The Mondragon principle “Sovereignty of Labor” created departure from the cooperative movement. While the Rochdale Pioneers had good intentions, they abandoned worker cooperation in the 1870’s. The Fabian Socialist moved even further from the ideals of Robert Owen declaring consumerism as the lowest common denominator for human relationships eschewing workers as merely another stakeholder group. Even the French cooperativist Charles Gide turned away from worker associations. Sadly, this act left the labor movement adrift from the cooperative world even as organizations such as the Industrial Workers of the World and the Congress of Industrial Organizations developed worldviews akin to the ideal of cooperation.

In the US, as in most of the Capitalist dominated world, the idea of labor being sovereign is almost non-existent. Business schools spend a lot of money teaching future managers how to manage workers—increase their productivity and the companies profits Except in the more enlightened firms, managers treat workers as errant children. Likewise, the dominant culture makes work something to be avoided and champions obstruction as “fighting the man”. People who do work hard tend to be treated as suck-ups and “upwardly mobile”. We mock the Ragged Dick stories in which “by luck and by pluck and good boy may succeed”. We have been conditioned to hate work and to distrust anyone who suggests that we work hard. The wobblies ran a cartoon called Blockhead who ridiculed the “company man”.

A part of me says, “damn straight!” why should workers gleefully assist the people exploiting them? The life of a worker under capitalism is not any better than it was under feudalism. In some ways, it is worse. The bond between serf and lord was based on land, food and safety. Capitalism replaced those bonds of survival by monetizing them and making currency the commonality of humanity. The chattel slave became the wage slave in the first round of outsourcing that allowed the owner to reduce or eliminate the cost of housing and feeding the workers in their employ.

The Jesuits had a different tradition, thankfully. St. Ignatius, founder of the Jesuit Order, took his vows of celibacy just a few kilometers from Mondragon in the foothills overlooking Onati. The Basque followers of St. Ignatius believed that work could lead to transformation and salvation. In the Spanish Empire they attempted to covert the native Americans of the Tipu-Guarni* through worker collectives known at Jesuit Reductions and immortalized in the movie, The Mission. It was a modern day member of their order, Don José María Arizmendiarreta (DJMA) who would bring that ethic to the small town of Mondragon and teach five young mean the value of cooperation.

The Principles of Mondragon Cooperative Corporation state:

“The Mondragon Cooperative Experience considers that Labour is the principal factor for transforming nature, society and human beings themselves, and therefore:

a) Renounces the systemic contracting of salaried workers

b) Gives labour total primacy in the organization of cooperatives

c) Considers Labour to be worthy, in essence, in the distribution of the wealth created.

d) Manifests its will to extend the options for work to all members of the society.”

There should be a different culture in worker cooperatives, where the workers truly own and control the company. However, waving a magic wand cannot do it. To this end, it is important for worker cooperatives to adopt the notion of the sovereignty of labor. We need to instill a cooperative work ethic in our organizations. Not a work ethic based on enriching others (or even consumers for that matter), but of social transformation or us and our peers based on honesty, openness, and solidarity and caring for others.

Don Jose spoke often on this topic. “Man transforms and makes nature fertile through his labour,” he wrote”, and labour is the greatest asset that the community possesses: to live with dignity, one must embrace work.” Of DJMA, did not mean a mindless embrace of the protestant work ethic to benefit the sputtering Franco economic engine. He meant that workers should own their labor. They should be, as another Jesuit priest from the previous generation argued, “Masters of their Destiny”.

That is the point of this principle. We, as workers, should honor work. We should give to our cooperatives 100% of our effort. When we do this, we begin to transform ourselves and our community creating something of greater value. We must honor all work and recognize that all of those who work as members of our cooperative (or as people who may become members). Sometimes, this work ethic can turn itself on its head and we regard the presence of “management” or “leaders” as we would in the outside world. This is an incorrect understanding of this principle. Sr. Ormaechea denounces the “duplicity of individualism” which might make those of us in the US wince a bit.  However, the sovereignty of labor is in relation to capital not individuals. In the capitalist world, we have learned that managers and leaders tend to be the agents of capital, not labor (sadly this is even true of some labor leaders). The role of the cooperative should be to empower all workers. Management or leaders (as we shall see) come from the workers and belong to them—they are not alien to the work force, but part of it.

We do not invoke this principle by emulating Talyorist strategies or adopting a proprietor’s attitude towards co-workers. Treating our fellow members as our employees is not the correct method of expressing the sovereignty of labor. Instead, we embrace this principle by developing each other as co-leaders in our enterprise. We operationalize this principle by making decisions that enrich the lives of the workers (in terms of safety, education, and health) over the base need for profit. We honor this principle by treating each other as equals and as humans deserving of our respect and love. By doing these things, we change the nature of work from an act of necessity to one of social transformation. We overcome the cultural animosity acquired from being a wage slave to create a new culture of mutual self-help and self-responsibility.

*The currency of Paraguay is the Guarni, which represents the historic measure of wealth in the region (how many Guarni were owned by the Spanish slaveholders)

Next Week: The Instrumental and Subordinate Nature of Capital

December 19, 2009

The Night I Was A Movie Star—Almost

Filed under: Society — Tags: , , — Fred Schepartz @ 6:30 pm

Okay, I admit it. By the beginning of last summer, I was starting to suffer from delusions of grandeur regarding my role in Michael Moore’s new film. The image of me, sitting behind the wheel of my taxicab, would be on the film’s marquee. Something I said on camera would be the movie’s tagline. And suddenly, not only would I be a movie star, but my novel, Vampire Cabbie, would shoot to the top of the New York Times bestseller list.

More about all of this later.

But yes, it is absolutely true. I almost co-starred in Michael Moore’s latest film, Capitalism: A Love Story. Moore wanted to feature worker cooperatives as an antidote to Capitalism. Apparently, Moore had read about Union Cab in Jim Hightower’s recent book, Swim Against The Current, which included a chapter about the worker-owned-and-operated cooperative cab company where I have worked for the past twenty-one years.

There was a lot of talk back and forth between my people and Moore’s people, but finally it was decided that an independent film production crew would come to Madison in early April and would shoot footage and conduct interviews at Union Cab and Isthmus Engineering.

About two weeks before the shoot, I was running a fare when my cell phone rang. I fished the phone out of my hip pocket. My cell phone seldom rings, so when it does, I answer it promptly, assuming that either someone died or that a tsunami has just engulfed most of California.

The call was from John McNamara. John’s my best friend. He’s also our Marketing Manager. Part of his job is handling customer complaints. When I heard his voice on the other end, I immediately thought, “What did I do?”

But no, that was not why John called. Instead, he called to ask me if I would be interesting in driving the film crew around town.

“Would I actually be on camera?” I asked.

“Absolutely,” John replied.

I almost drove the cab off the road. (Well, not really, but that sounds good.)

I was shocked and so, so excited. I immediately shared the news with my passenger, a hip, thirty-something woman who was getting her black-and-white former police car worked on. She thought it was way cool. So did I.

But poor John. He had been the one who had been contacted by Basel Hamdan, the film crew’s producer. He and Basel had been discussing the possibility of Union Cab being included in the movie for a few months. Finally, he got the green light from Basel, but the two days when they would be in town, John would be out of town, visiting his mother in Toledo. John was none too pleased.

But I was excited beyond belief. I told everybody I knew. I’d stop strangers on the street and tell them as well. I was going to be in a Michael Moore movie! I’d be one of the good guys in a Michael Moore movie!

And I could talk about my novel, Vampire Cabbie, on camera. If the final cut included footage of me, talking about my novel, Vampire Cabbie, I would sell lots and lots of books.

The only problem was the anticipation. That may have been the longest week and a half of my life, but I was excited. Frankly, I was not particularly nervous about being filmed, let alone being filmed by Moore’s film crew. The fact that Moore is well known for his in-your-face style of interviewing did not worry me in the least. After all, I was one of the good guys.

Mainly, I wanted to be in the movie, so I wanted to do a good job. It occurred to me that teaching myself to speak in sound bites would maximize my chances of making the final cut. No, I did not sit down and write scripts for myself, but I did put a great deal of thought into what I wanted to say and how I wanted to say it.

Of course, I wanted to talk about my novel, Vampire Cabbie, but I wanted to discuss it in the greater context of how Union Cab, being the special workplace that it is, helped make it possible for me to write the book and is a haven for artists of all kinds. I wanted to talk about the importance of Union Cab providing jobs at a living wage in a humane work environment. And I wanted to talk about how Union Cab is a shining example of what I like to call Neo-Syndicalism.

I thought a great deal about what I actually wanted to say, and I actually practiced my “lines,” struggling to be as concise as possible.

I was ready, but then they threw me a curveball. The day before the shoot, Basel sent me an e-mail:

Hi Fred,

Thanks for the info – very helpful. We’re looking forward to tomorrow night’s shoot.

There are a few things we are looking to accomplish—first, we’d like buildings, restaurants or sights that are unique to Madison. Any landmarks or anything …

Also, and there are some things that we’d like to accomplish cinematically—certain visuals and looks that we’d like to capture that we have been thinking about. We can get into more detail about this tomorrow as this is for our Director of Photography to coordinate, but if you know of any places that have smoke—sewers or building that have smoke coming out of them, it would be helpful to what we are trying to do.

We’ll be in touch tomorrow …

All the best,
Basel

As Basel later explained, they were looking for a Taxi Driver visual motif. Okay, I was willing to do what I could, but understand: Travis Bickle is a bit of a sore subject with any self-respecting taxi driver. Surely, Michael Moore wasn’t going to all this trouble just to make fun of us?

Still, I wanted to be helpful. I got up early that morning and perused the Internet, looking for smoke or steam. I know that the University of Wisconsin–Madison campus has a vast network of steam tunnels, but where might the steam be released? I could not find any answers, but I did find a website largely dedicated to Tunnel Bob, a local character well known for traveling the campus steam tunnels.

Anybody who has lived in Madison for a long time knows who Tunnel Bob is. His appearance is quite distinctive. He is extremely tall and lanky, with long arms, legs and a rather long neck. He is also chronically mentally ill.

Maybe Tunnel Bob could tell me where to find smoke or steam. But how could I find Tunnel Bob?

I did make a few phone calls to places like the UW Physical Plant, but no luck. Well, I tried.

Still, I was excited. I went into work early and selected the newest cab I could find then took it to the carwash. I couldn’t pick up the film crew in a dirty cab.

Ah, but the waiting, the waiting. Basel had told me they’d need me to pick them up around seven PM, but when the appointed time arrived, I did not hear from them. Minutes hung like hours, but still no word, which presented a problem in terms of doing my job and making money. The phone call could come any second! I had to be nearby and not engaged in a long call when they were ready for me.

Finally, Basel called. They were still at Isthmus Engineering. They were running a bit late.

Finally, at around ten Basel called to tell me they were just about ready for me and that I should meet them at their hotel, the venerable Inn on the Park, in about a half hour.

Perfect. I was dropping off on the near Westside, just ten minutes from the Capitol Square. That gave me plenty of time to finish my call and more importantly, go to the bathroom. I was not sure when I would get another chance to relieve myself.

The Open Pantry near the west end of the campus was a mere half-mile from where I dropped off my last passenger. When I emerged from the bathroom, I had a big surprise. Not just a surprise, but Kismet!

Sitting on a stool in the small dining area in the Open Pantry was none other than Tunnel Bob! I could not believe my good fortune.

But there was just one problem. Asking someone who is chronically mentally ill a straight question and getting a straight answer is not as easy as one would think. The question: where might I find smoke or steam? I had to ask him three times before I he told me there just wasn’t any smoke or steam to be had. As I feared, it being April and fairly warm, it just was not likely. January or February, that’s a different story.

Oh, well. I tried. I made every effort.

I arrived at the Inn on the Park shortly after the film crew. Right away, they struck me as very nice. Despite the fact that it already had been a long day for them, they were excited and ready to go, including the intrepid cinematographer who had flown in on a red-eye the night before from Europe. He pretty much was running on little more than adrenalin, having not really slept the night before.

The crew quickly went to work setting up the shoot, while Basel and I chatted. I sadly told him there was no smoke or steam to be had, though I did tell him our head mechanic could make smoke if he wanted. Basel shook his head. “That’s okay,” he said.

He asked me about prominent landmarks and views. I told him about Bascom Hill, State Street, the Capitol Square and a curious optical illusion on the southside of town where, when you pull onto this one street (O’Sheridan off Lakeside), the Capitol looms large at the end on the horizon, but as you move closer, it shrinks.

“Cool,” Basel said.

We talked about the Taxi Driver motif. I remembered a story John McNamara had told me several years ago. We used to have a driver named Steve Fleischman. He was very intelligent, but a bit unbalanced. His nickname was Fleshdog.

As John told me, it was election night 1986, the horrible night when Tommy Thompson, a conservative, small-town Republican, whose nickname from his years in the state assembly was Dr. No, defeated amiable Democrat incumbent Tony Earl.

Apparently, Steve had this cab-load of College Republicans. It was their big night, so they were all drunk and excited about Thompson’s unexpected win.

“Aren’t you excited about our new governor?” one of them asked Steve.

In classic Fleshdog fashion, Steve replied, “You know, I don’t know much about politics. All I know is we need a good hard rain to wash the scum off the streets.”

The passengers started freaking out. Steve quickly reassured them, “It’s just a movie. I was just quoting from a movie.”

Basel liked the story.

“It’s election night, you know,” I said. I repeated Fleshdog’s line.

Basel patted me on the shoulder. “Save it for the filming,” he said.

The crew quickly got to work prepping for the shoot. The sound person slipped a wireless microphone under my black leather biker jacket though the exact placement was a bit delicate. It took a little while to figure out how to set up the mike so it would not pick up took much rustling.

They mounted a camera on the outside of the cab. They put gels on some of the windows to cut down on glare. They did test shots with the hand-held camera inside the cab.

I was quite impressed with the attention to detail. Frankly, I never thought of Michael Moore movies as visually strong. His films don’t look bad, but I’ve never thought they look exceptional. I quickly learned that there’s a great deal of hard work that goes into making the movies look as good and sound as good as they do. It’s not like one can just go out and buy a digital camcorder and shoot a movie like it’s nothing at all. The crew worked hard to make it look easy.

And like I said, the cinematographer was particularly intrepid. At one point, we were driving down State Street, he opened the window and shot footage with his entire torso out the window, Basel hanging on to his belt for dear life, a terrified expression on his face. I thought this only happened in the movies.

Later when we were just about done, I realized I had not shown them the optical illusion of the shrinking Capitol. I told the cinematographer. He was ready to jump back in the cab and grab the shot, but Basel pulled in the reins, claiming the guy needed to finally get some sleep. I’m not sure, but I think Basel had simply had enough.

We were ready. The crew packed into my cab, four of them. The rest followed in a minivan. Normally, four people in my cab is a bit crowded, but with Basel, the sound person, the cinematographer and one other person, it was utterly cramped. Of course, the cinematographer bounced back and forth between my cab and their minivan.

They wanted landmarks. They wanted stunning visuals. Right away, with the minivan following close behind, I nosed the cab up the side of Bascom Hill, the glacial blister that is the epicenter of the UW campus. Atop Bascom Hill sits Bascom Hall, named after John Bascom, the founder of the University. I parked the cab almost right next to the statue of Abraham Lincoln, feeling particularly entitled. As a cab driver, I can drive and park in places where civilians cannot, but with Michael Moore’s film crew in tow, hell, the sky was the limit!

The crew was quite impressed with the view from atop Bascom Hill. There’s a great view of the Capitol, along with a festively lit State Street.

We drove down State Street to the Capitol Square. We drove around the Square and back down State Street. We pretty much drove the circuit for hours, up and around and around and down, turn around and do it all over again.

The cinematographer attempted to recreate one of the more famous shots from Taxi Driver. “Glance toward the rear view mirror,” he said. “Shift your eyes back and forth.”

I tried, but it was hard. Finally, I think we got it.

As we drove, Basel and I talked. I knew I could direct what I said to a large extent. I was wired, so anything I said, they would have and could use, if they chose to do so. Basel interviewed me as well.

“Is the co-op cab company in your novel like Union Cab?” he asked.

Well, there’s a softball I could launch over the fence. I answered yes and discussed Union Cab’s structure.

He asked if Union Cab offers health insurance. John had warned us that they were likely to ask about that, given Moore’s interest in health-care reform. No problem, Union Cab does have a health plan. It’s a good health plan, but it’s too expensive—but that’s not Union Cab’s fault; that’s the fault of our broken health care system.

That was really the only thing approaching a gotcha question. Overall, I felt like they all treated me with a great deal of respect. They didn’t act like it was weird that a cab driver wrote a book about a blood-sucking cab driver.

Interestingly, I found out later that the interviews done the next day were not quite so respectful. Karl Schulte, our general manager, felt downright harassed. When discussing the fact that Karl’s wage is only about four times as high as the lowest-paid employee, Basel asked, “What are you, some kind of hippie?”

Rebecca Kemble, who drove them around the next day, also said she felt a bit badgered, but again, I did not feel disrespected in the least.

At other times, Basel said nothing other than helping to direct the shooting. At one point, we stopped at the campus end of State Street. The crew vacated the cab and climbed into the minivan. They wanted to shoot the side of the cab. Basel remained in the cab and told me to drive very slowly but at a steady speed. The minivan drove alongside of me.

We painstakingly drove the length of State Street and turned onto the Capitol Square. Just then, a squad car approached. I promptly pulled over. The minivan pulled over behind me. The square car pulled over in front of me.

Oddly, the officer did not turn on the lights. Basel and I waited for what seemed like forever. The officer did not approach our vehicle.

Feeling like the crew was my responsibility, I broke one of the chief rules when dealing with police during a traffic stop, but I figured that because I was driving a taxi, it would be okay.

Making sure my hands were visible, I got out of my cab and carefully approached the squad car. “I’m with Michael Moore’s film crew,” I said. “We’re shooting a movie.”

“Return to your vehicle!” the officer snapped.

Asshole.

I sheepishly got back in the cab and described the exchange to Basel.

“You didn’t say we were Michael Moore’s film crew, did you?” Basel asked me, a bit annoyed.

“Hey, you didn’t tell me not to.” Then I made some snide remark about the cop not having any African Americans to pull over, referencing the shameful fact that Dane County has the worst per capita discrepancy of incarceration of African Americans of any county in the country. The bitter joke around here is that DWB is way worse than DWI.

A moment later, four more squads showed up. An officer approached the cab.

“I’ll do the talking this time,” Basel said.

“What’s going on here?” the officer asked politely, if not pleasantly.

“We’re an independent film crew, working on a movie,” Basel replied.

“Oh, cool,” the officer, said with a smile. “We were just wondering what was going on and why that minivan was driving the wrong way down the street.”

And then just like that, the squad cars left us to return to business.

“Wow, that guy was really nice,” Basel said. “They’re usually not that nice in New York.”

I growled softly.

We quickly got back to work. We were on one of the streets that spokes off the Capitol when I decided it was time. The Capitol glowed brightly directly in front of us.

“It’s election night,” I said. “The good guys won. The Wisconsin Supreme Court Chief Justice will keep her job. I guess the corporatists won’t be able to buy themselves another seat on the state supreme court, at least not this time.

“But you know, I don’t know much about politics. All I know is what we need is a good hard rain to wash the scum off the streets.”

Out of the corner of my eye, I could see Basel smiling. Cut and print, as they say.

Basel finally called it a night around three in the morning. Damn! It was well past bartime.

As we unpacked, everyone complimented me on my efforts. One member of the crew even asked me if I had acting experience.

Yet all I could think of was the things I didn’t do, what I didn’t say. For some stupid reason, I had forgotten to bring a copy of my novel, Vampire Cabbie, so there was no shot of me in the cab, holding the book for the camera.

I forgot to talk about Neo-Syndicalism. I never got around to talking about all the artists who work at Union Cab and what it is about the workplace that makes that possible. And when Basel asked me about what makes Union Cab a humane workplace, I badly fumbled. This is a question I should have knocked out of the ballpark. It’s an aspect of Union Cab I truly believe in and truly love. And I actually practiced how I would answer that specific question.

Instead, I babbled incoherently about how a bunch of us are Star Trek and Star Wars fans.

“If a driver sees another driver whose headlights are off, even during the day, we tell the dispatcher. This isn’t to get anybody in trouble, but just so the dispatcher can give a friendly reminder for safety reasons.

“This one dispatcher is a huge Star Trek, Star Wars, Dr. Who, and Battlestar Galactica fan. One time, I spotted a driver driving without the headlights on. Instead of telling the dispatcher the driver’s headlights were off, I said, cab so-and-so has switched off his targeting computer.

“The dispatcher then says, ‘cab so-and-so, you’ve switched off your targeting computer. Is everything all right?’”

God, I’m such a dork.

Still, I did feel pretty good about the whole thing, but that changed a couple months later when Basel e-mailed the following message:

Hey Fred,

I hope you are doing well.

We are in the middle of editing the film and there is one section where we would like to re-record some audio of you. It relates to the evening that we drove around in the cab with you, and there is a part that we need to make sure that we have crisply and cleanly—it is the Taxi Driver line.

Pearl Lieberman from our crew will happen to be in Madison this weekend, so we thought that it would be a good opportunity to record this bit of audio—it will not take much of your time at all—it is just reciting that line a few times in order for us to make sure we have it.

Let me know what your schedule looks like for Saturday and you and Pearl can arrange a time and place to meet.

Also, I’m having trouble getting through to you by cell phone, so please send me the correct number. Also, I’d like to discuss the line with you, as well.

All the best,
Basel

As Basel would later explain, they loved the “wash the scum off the streets” line, but wanted me to add, the words “Wall Street.”

That weekend, I met Pearl and her boyfriend. It turns out that her boyfriend was none other than Bob Wasserman, a guy I’ve known since the early 1980s. In fact, we worked together in the Rathskeller at Memorial Union, and I represented him in the infamous bagel grievance.

As we sat in my sweltering car with the windows closed, to try to keep out the road sounds, Pearl struggled with the small camera Basel had thrust at her literally as she was getting in her cab on the way to the airport. Fortunately, Bob is one of the best sound people in Madison. The camera’s batteries were dead, and there was a problem with the cord, but Bob was able to jury-rig something.

We recorded several takes as I tried to get the flow right, along with the right inflection of the added words. I knew my motivation. I tried to say the words “Wall Streets” as if they tasted like the nastiest things ever.

And then it was done.

And then my delusions of grandeur began. I would be on the film’s marquee! My words would be the film’s tagline! Michael Moore would show up the Madison opening. There’d be a big party at the Orpheum Theater. We’d all be on stage. I’d be right up there with Michael Moore. I’d step up to the microphone and say a few words about the film’s importance and Union Cab’s importance.

“Say it, say it,” the crowd would yell.

“I don’t know much about politics,” I would say with a wry smile. “All I know is all we need is a good hard rain to wash the scum off the streets—Wall Street.”

And the crowd would go wild.

Alas, it was not to be, but maybe we might be in the bonus footage on the DVD.

And now it’s time for me to go to work at Union Cab, sticking it to the man for thirty years.

The Worker’s Cooperative That Should’ve Been In Michael Moore’s Movie

Filed under: Society — Tags: , , , — Fred Schepartz @ 6:29 pm

A disclaimer: Last April, Michael Moore’s film crew spent a couple of days in Madison, Wisconsin, shooting footage and conducting interviews at two local cooperatives, Isthmus Engineering and Union Cab, where I work. I was the night driver who got to drive the crew around town and show them local landmarks that they could shoot. In addition, I was miked the whole time and was interviewed on camera. The final cut of Capitalism: A Love Story included footage from Isthmus Engineering, but no footage from Union Cab. What follows is, to a certain extent, sour grapes.

* * *

When I found out that Union Cab would not be included in Michael Moore’s new film (okay, let’s be truthful; also when I found out that I would not be in Michael Moore’s new film), my nose was bent a bit out of joint. And it certainly didn’t help matters that in two different interviews following the release of Capitalism: A Love Story, Moore commented that what impressed him about Isthmus Engineering was that they all looked like a bunch of Republicans. He said he was more interested in a worker’s cooperative like that than some “hippy, dippy food co-op.”

In response to Moore’s comment, John Kessler, one of the company’s founders, told Wisconsin State Journal business reporter Jane Burns, “If we are going to be a model, that’s who we’re going to have to appeal to. We can’t just appeal to a bunch of long-haired wackoes.”

Ouch!

Okay, I greatly appreciate that Moore portrayed worker cooperatives as an antidote to Capitalism. However, I think his message about worker cooperatives would have been stronger, and I think the movie would have been better if he had included Union Cab.

Union Cab’s mission statement should tell you all you need to know:

The Mission of Union Cab Cooperative shall be to create jobs at a living wage or better in a safe, humane and democratic environment by providing quality transportation services in the greater Madison area.

The mission statement was recently amended to include environmental concerns as well.

So what does this all mean? In terms of the everyday life of our workers, how do these words translate? And what is the impact of these words on our community and the nation as a whole?

Well, I could talk about the hippy-dippy, longhaired weirdo stuff, but I would rather start with the nuts and bolts of it all, the dollars and cents. As my favorite line from The Right Stuff goes, “No bucks, no Buck Rogers.”

We pay our drivers by commission. They start at thirty-six percent. Drivers get a one-percent commission bump for every 2500 hours they drive. There currently is no cap on commission. I have twenty-one years of seniority. My commission is fifty-one percent.

The rawest rookie driver should have no trouble earning an hourly way of $10–12, if not more, which is well within what’s considered a living wage in the Madison area. Myself, I’m usually making somewhere in the neighborhood of $18-20 an hour or more if things are really rocking.

That’s good money, and it’s especially significant because my wife left her job in July of last year and is in grad school. She just started a six-month consulting gig, but for the last year and a half, I’ve been the sole breadwinner. It’s been hard and stressful, and we’ve had to really tighten our belts, but we’ve managed to keep food on the table, take care of the pets and make our mortgage payments. I’ve worked extra hours, but nothing too terribly unreasonable.

My ability to support my household is a tribute to Union Cab.

In addition, Union Cab pays stock dividends to all members following a profit-making year. And when I say all members, what I mean is all current employees who have passed probation.

This is perhaps the most significant aspect of Union Cab, and therein lies why we are an important example for the overall cooperative movement.

And that is why Union Cab is such an excellent antidote to Capitalism.

To become a member of Union Cab Cooperative, one needs to get hired. Once an employee passes probation and buys a share of voting stock for a mere $25, they are a full-fledged member of the cooperative with all the rights and responsibilities of membership.

All employees who pass probation are members of Union Cab Cooperative. Period.

Let me repeat, all employees who pass probation are members of the cooperative.

This is significant beyond significance.

There is no caste system. Structurally, there are no members that are more equal than others. Yes, we have managers, but they have to answer to the board of directors, which is elected from the membership, by the membership. Essentially, management works for the employees though they are given the authority to do their jobs.

And once again, everybody who works at Union Cab who has passed probation is a full-fledged member. Drivers, dispatchers, phone answerers, mechanics, IT staff, accounting staff. Everybody.

Thus everybody receives a dividend when we make a profit. Everybody can set policy by serving on the board of directors. Everybody can participate in what is a truly democratic workplace by serving on committees that hammer out policy for the board to consider. Everybody can appeal discipline to the Worker’s Council.

Everybody has all rights and all responsibilities of membership.

Why am I hammering this point home so vociferously?

A key aspect of Capitalism is the oppression of others. Capitalism is about consolidation. It’s about acquiring more and more wealth, and subsequently, it’s about me taking from you for my own monetary gain.

We’re oppressed on the basis of class, on the basis of gender, on the basis of race, on the basis of being differently abled.

Sad to say, even worker cooperatives are not immune from putting up these kinds of barriers. Some worker cooperatives are more elitist than others. Some worker cooperatives are simply too expensive for most people to join.

For instance, a cooperative cab company could be a federation of owner-operators. These are people who own their own vehicles and pool their resources to hire and manage support staff. Or, a worker cooperative might be more like a professional guild, where the members are more like partners in a law firm.

At Union Cab, there are no artificial barriers to becoming a member. Union Cab is open to anybody and everybody. There is the old joke about PhDs driving for Union and the fact that we are the most over-educated cab company in the country, but a college degree is not a requirement for membership. Our membership consists of people from all different sorts of backgrounds, and that’s because we are completely inclusive. Capitalism is about the few shutting out the many. It’s about exclusion, not inclusion. Union Cab is about inclusion, not exclusion.

Union Cab is about sustainability rather than maximizing profit because our goal is to provide a living wage for everybody, not make the owner rich. Let us remember, there are two ways to maximize profits. You increase revenue or cut costs. In a city with long and well-established taxi service, there are not many untapped sources of revenue. To cut costs, you would need to reduce labor costs. You cannot reduce capital costs because that would mean reducing the size of the fleet, which then impacts revenue.

At Union Cab this makes little sense, especially because any increase in profit goes back to the drivers. Granted, there have been times over the years where drivers have endured temporary pay cuts or surcharges but those measures were instituted to deal with economic hardship. The board of directors made those decisions in a democratic and transparent process.

Consider the example of the other two cab companies in town. Badger Cab is a share-ride, zone-rate service where drivers lease their vehicles instead of getting paid commission. When Badger’s rates go up, generally lease fees go up. Thus Badger drivers seldom see an increase in their rate of pay. In addition, because the owner of the company makes his money simply by putting warm bodies behind the wheel of as many cabs as possible, he has little incentive to beef up infrastructure or do anything else that would increase overhead. In fact, he really does not have much incentive to increase revenue. For instance, when someone calls Union Cab for a ride, we ask for their phone number, and we are more than happy to call them to let them know their taxi is waiting outside. Badger Cab does not provide that service because that would require hiring additional dispatch office staff.

Madison’s third cab company, Madison Taxi, is a metered cab company that pays drivers the same starting commission as Union Cab, thirty-six percent. Commission increases are done in an arbitrary and capricious manner. Commission is capped at forty percent. In addition, Madison Taxi drivers are forced to endure the so-called “Joe Tax,” named after owner Joe Brekke. For every fare a Madison Taxi driver runs, Brekke takes $1.50 off the top.

Union Cab’s model of sustainability translates into a greater ability to serve our community.

A few years ago, there was a movement in the city of Madison to mandate that all three cab companies provide round-the-clock, on-demand accessible taxi service. This service was sorely needed. Previously, people in wheelchairs who were not ambulatory enough to get in and out of their wheelchair and get in and out of a taxi and who did not have access to vans with wheelchair lifts were forced to rely on Madison Metro Plus for rides. Metro Plus rides must be booked in advance, and their hours are limited.

Despite the need for this service, Madison’s cab companies were alarmed because of the expense. Minivans with wheelchair ramps cost around $30,000 apiece. And then there’s the issue of training and additional insurance.

Union Cab stepped into the breach and offered a compromise. In exchange for not mandating that all three cab companies provide round-the-clock, on-demand accessible taxi service, Union Cab offered to voluntarily provide the service. Granted, this was a sound business decision, but it was a gamble as well. Still, Union Cab’s model of sustainability went a long way toward making this work.

It should be noted that Union Cab drivers who service these calls are paid commission for these rides, and some of these rides are quite lucrative. This is important to note because several years ago, Union Cab had created a separate accessible-transit division (along with a bus division). Those drivers were not paid commission, but rather were paid a relatively low hourly wage. This created the kind of caste system among our drivers that runs contrary to everything we stand for.

When grant money dried up, Union Cab liquidated those two divisions, but the lessons learned ensure that drivers who make this new service work are treated fairly and equitably.

Another example of how Union Cab serves the community involves Medical Assistance rides. Starting about ten years ago, Union Cab saw a major increase in the number of rides paid for by medical clinics and organizations. Those clinics and organizations use MA money to pay for rides that transport low-income people to and from medical appointments.

This service is invaluable. As I wrote in my September editorial, access to health care is a major component to keeping our population as healthy as possible. Providing free health care to low-income people is not enough. We need to make sure everyone is able to get to their medical appointments. If that means sending a taxi for someone who doesn’t have a car, who is unable to use public transportation or who lives out of town, that is a small investment with a big payoff.

Since 2000, infant mortality among African Americans in Dane County has decreased dramatically. I firmly believe Union Cab has a lot to do with that.

Union Cab services the vast majority of those MA rides because we provide the most reliable taxi service. Because Badger Cab is a share-ride service, they often have difficulty being on time for time calls. Madison Taxi’s business model is to flood the airport. Their attitude about street calls is, we’ll get to it when we get to it.

Union Cab has specific service goals that are tracked closely on a continual basis. All calls are dispatched in a fair and equitable manner. Quite simply, Union Cab is able to provide the kind of reliable service MA riders need and deserve.

Union Cab further serves the community by providing the safest taxi service in Madison and perhaps anywhere. As I like to say, pun intended, our risk management procedures and protocols take a backseat to no one. Our drivers are well-trained. New hires are required to take an in-house defensive-driving class. Safe drivers are paid bonuses. Any driver who gets into an accident has to face an internal review of the collision. At-fault accidents result in discipline. Unsafe drivers are fired.

On the side of every Union Cab appears the words, “safe, reliable, professional.” These are more than just words. These are concepts we take very seriously.

And then there’s the issue of the humane work environment. Okay, I’ll be honest. Maybe to a certain extent we are the hippy-dippy co-op with the longhaired weirdoes, but, let me be clear, Union Cab is a professional workplace. The inmates do not run the asylum. That said, it is not about riding people’s asses. It is not about micro-managing people to death. It is a fun, sometimes kooky place where creativity and diversity are celebrated.

It is no accident that Union Cab is chock full of writers, artist and musicians. The reasons are simple. First, the emphasis on paying a living wage means drivers do not have to work a zillion hours to make a living. When they leave work, they have the time and energy to pursue their own interests.

Also, because there is the emphasis on maintaining a humane workplace, Union Cab does not suck the soul out of its employees like so many more traditional workplaces. That is another reason why people have enough left in the tank when they’re not working to go out and write that novel or play in a band or paint or do photography or whatever else they want to do.

But what is most important about Union Cab is how it demonstrates that ordinary workers can control their own means of production and be successful. Union Cab does not hire a team of technocrats to run things. We run things. All our managers are people who climbed through the ranks. All members of the board of directors are employees. Union Cab spends a great deal of money every year to train our leaders. This is a wise investment. In addition, Union Cab has been quite innovative in terms of the types of training it has utilized.

I have often written about something I call Neo-Syndicalism, which is the creation of liberated zones within the Capitalist system. Through Neo-Syndicalism, we can transform Capitalism into something more fair and equitable and more humane.

Again, I applaud Michael Moore for recognizing that worker cooperatives provide an antidote to Capitalism. And again, his movie would have been better if he included the example of Union Cab. Hopefully, Union Cab will be included in the bonus footage when the DVD comes out.

Neo-Syndicalism: A Path Toward Reimagining Socialism

Filed under: Movement — Tags: , , , , , , — Fred Schepartz @ 6:27 pm

In Barbara Ehrenreichs groundbreaking essay, “Reimagining Socialism,” which appeared recently in The Nation, she states that we on the Left need a plan, but we don’t have a plan.

Well, I have a plan, albeit a small one.

My plan is something I like to call Neo-Syndicalism. This may sound familiar to longtime Mobius readers; I have written about this before.

Just to quickly review, Neo-Syndicalism, like Classical Syndicalism, is the notion that we can change society through economic means rather than political means. In terms of Classical Syndicalism, this is most elegantly expressed in the old IWW slogan, “one big union, one big strike.”

Neo-Syndicalism takes an updated, more pragmatic, and perhaps more cynical approach in that we acknowledge that perhaps we can’t overthrow the Capitalist system. However, within the Capitalist system we can create liberated zones through organisms like worker cooperatives, collectives, and other forms of worker-owned businesses, along with economic alternatives such as fair trade, community supported agriculture, and, in general, sustainability.

Essentially, this is about building our own economy brick by brick.

The movement, the plan, is out there. It just doesn’t know it, at least not yet. That is why I have given it a name. Giving a movement a name pulls together diffusive elements and helps provide a conduit for people with different interests to work together toward a common goal.

Or to put it another way, if you are involved in an activity that falls under my heading of Neo-Syndicalism, you are doing something greater and more significant than you realize. You should take this understanding, talk to the other members of your group, and discuss your work in this greater context. You should network with other groups that do the same thing your group does. And then you should network with groups you may not have much in common with if these groups share the strategy of Neo-Syndicalism.

It’s about building our own economy brick by brick.

In these desperate times, there’s interesting and radical things going on. Last year in Chicago, workers at Republic Windows and Doors staged a sit-in after the company was forced to close when the bank, which had received TARP funds, refused to extend a line of credit to allow the company to continue production. The worker’s refusal to let the plant close was rewarded. Another company came and in bought the plant thus saving a few hundred jobs.

In Latin America, there have been numerous instances where factories abandoned by the companies that owned them have been taken over by the workers. As one worker commented, the company came into our community, took our subsidies, took our tax breaks and then left. We are claiming ownership.

My favorite story is in France, there have been instances of boss-napping. Of course, the French being the French were rather civilized about the whole thing. While holding bosses as they waited for corporations to consider their demands, they stuffed the bosses with moules et frites.

I remember way back in 1979, when I first moved here to Madison, Wisconsin, to attend the University of Wisconsin. Somebody handed me a copy of the very last issue of the radical newspaper Takeover. I remember the slogan: “Are you going to take orders or are you going to take over?”

Granted, I’ve always found the sentiment a bit simplistic, but in this case, I think it’s quite apt. I look at the shuttered GM plant in Janesville, and all I can think is “are you going to take orders or are you going to take over?”

These corporations are afforded the same rights as individual human beings. We give them tax breaks. We give them tax subsidies. We give them tons and tons of public money so they can come into our communities to provide jobs. In these harsh economic times, we give them stimulus money so they can stay in business and continue to provide jobs.

And then they close. They either simply shut their doors or they move to other countries.

As far as I’m concerned, the GM plant in Janesville belongs to the people of Janesville. They should take over the plant and run it as a worker-owned cooperative or perhaps as a community-owned cooperative of some sort. They could produce anything they want, though perhaps it might make the most sense if they produced cars. Perhaps they could contract with one of the surviving auto companies. Or maybe they could actually start their own auto manufacturing company. Or maybe they could take over Saturn once GM officially discontinues that line.

One might think, automakers designing cars? Ridiculous?

Well, of course they’d hire design engineers and whatever brain power they need, but just imagine what kind of cars such a plant would produce when the workers who produce the vehicles and drive the vehicles actually have a say in the design of the vehicles. Gee, they might actually be vehicles people want to drive!

And yes, I do understand this is a pipe dream without a massive infusion of cash. After all, as a character in The Right Stuff says, “No bucks, no Buck Rogers.”

If the government can bail out the banks and the auto companies, they can provide money to facilitate the formation of worker-owned-and-operated cooperatives at abandoned manufacturing plants. This would comprise a real economic stimulus package. It would save and create jobs. It would be great for the communities that die long, slow, painful deaths when a manufacturing plant closes.

And it would help get us back into the business of building stuff the world wants to buy.

The Obama Administration should call for an initiative to provide grants and low interest loans to abandoned workers who want to form worker cooperatives. In fact, the Obama Administration should encourage abandoned workers to take over shuttered manufacturing plants.

Of course, there’s a chicken/egg aspect to this. Workers should view this tactic strategically, that if more and more workers take over abandoned manufacturing plants, it could be a way to force the Obama Administration to take positive action. We saw this during the FDR Administration, and it’s equally true now: radical change comes from the bottom up. Remember, FDR himself said, “Make me.” Obama has pretty much implied the same thing, urging people to organize, to basically give him political cover to be able to move in stronger directions.

But let’s make one thing perfectly clear: Neo-Syndicalism is not merely a tactic to push government into a more radical direction. It’s a strategy. Again, it’s about rebuilding our economy, brick by brick. It’s about telling the corporatocracy that we will no longer play their little reindeer games, that we can find a path toward a real and lasting prosperity without them.
Neo-Syndicalism is just a term I came up with, but as I’ve said time and time again, words have great power. What we’re talking about is defining a movement that’s out there, working hard and doing good work. By identifying this as a movement, we create a synergy that will make it stronger through greater numbers and more comprehensive exchanges of information and, in general, people power.

October 26, 2009

#8 Honesty-The Lonely Word

Filed under: Human Relations,Identity Statement Series — Tags: — John McNamara @ 11:11 am

The first time that I met Ian MacPherson, one of the key drafters of the Identity Statement, I mentioned how my co-operative, Union Cab, created our core values the same year that the Identity Statement came into existence. Even though we were completely ignorant of the larger movement, we chose many of the same values including that of openness and honesty.

Ian responded that I must be a trouble-maker. If you’ve met him, you know that he has a wicked sense of humor and I think that he uses it to test people that he meets. He went on to tell me that the group discussing the Identity Statement took an entire day (8-10 hours) on the concept of honesty in a co-operative. It dominated the discussion of the “ethical values of co-operatives” which include honesty, openness, social responsibility and caring for others.

Honesty is a lonely word. It creates a series of difficulties for us as humans since we are such social creatures. The concept of honesty and its confusion in society is the primary reason that the neo-liberal economic model fails. For Milton Friedman’s policies to work, every merchant and corporation must be entirely honest. Otherwise, the consumer cannot make a true choice. Capitalism, however, doesn’t encourage honesty. Quite the opposite. So it was, in the days of “pure capitalism” circa 1810 or so, that merchants mixed chalk in with the flour, rocks in with the coal and even today there are the jokes of the butcher with their thumb on the scale. This led to the Rochdale Pioneers championing honest weights and measurement and unadulterated food.

In worker coops, honesty is vital to the organization. We have to be frank with each other. This is true in our dealings with management of the co-operative and in dealings with each other as humans. This can be difficult, especially in co-ops that have traditional hierarchies in their management, however we need to be able to honestly appraise the business decisions and avoid cults-of-personality

The cults of personality in a worker co-op might be the biggest danger. We aspire to a democratic workplace, but can allow personalities to take over. We create “ladders of inference” about people and this precludes our judgement about their proposals and ideas. On the other hand, leaders may act dishonestly to manipulate people in order to maintain a position of authority. The latter situation, in my opinion, is the more dangerous and it can happen anywhere. Even flattened structures run the risk–maybe they are even more inclined to allow it to occur. The Tyranny of Structurelessness is an excellent essay from the ’70′s that explores how in the vacuum of structure, a secret structure takes hold and creates a power dynamic that may be difficult, if not impossible, to expose or challenge.

Of course, I don’t mean to suggest that it is a good practice to tell your manager that their idea is “stupid” even if you add the phrase “just sayin’” to it. We still need to be aware of people’s emotions. However, we should set up structures that encourage honesty at all levels of our organization–to me this means giving people freedom to speak their minds and reducing the ability of any one person to affect the livilihood of another.

It also means creating a strong code of ethics. Sometimes, this might meet resistance and I think it comes from people feeling affronted that they need a code of ethics. I think that we tend to have very high opinions of ourselves, as worker co-operators. As a result, the suggestion that we create a code, that we are honest about relationships that might affect our jobs or the jobs of people under our control, or that we codify in any way our values gets received as a suggestion that we aren’t being honest in the first place.

We have to keep in mind that not everyone comes to co-operation with the identity statement burned into their soul. Many are fleeing the failed economics of capitalism. They are in a state of post-traumatic stress from being a wage slave. Sadly, they may bring the negatives of the larger economic system with them. For example, some otherwise very honest people might not think twice about stealing (or “liberating” as I have heard it called) from the corporation (they get paid so little and the CEO spends millions on luxuries), but in a co-op that assymetrical tactic of labor-management class war can’t be condoned. We can’t assume that honesty is inherent in ourselves or the members. It needs to be supported by our structure.

In co-operation, there is an economic advantage to being honest. In worker co-operatives, it is imperative as a means of building trust and social cohesion among the membership. Worker co-operators depend upon each other as a community to meet our socio-economic needs. Without the trust of honest communication and dealings, that bond will breakdown and lead to the path of internecine strife and the failure of the co-operative.

Next Week: Openness

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