Archived
1
0
This repository has been archived on 2025-03-26. You can view files and clone it, but cannot push or open issues or pull requests.
source-library/worker_ownership/cooperatives.md
2020-05-28 21:37:35 -04:00

63 lines
5.8 KiB
Markdown
Raw Permalink Blame History

This file contains ambiguous Unicode characters

This file contains Unicode characters that might be confused with other characters. If you think that this is intentional, you can safely ignore this warning. Use the Escape button to reveal them.

## Cooperatives
#### Co-ops are more productive, robust, resistant to price shocks, and increase worker pay and engagement (as opposed to a firm organized by a traditional employer-employee framework). Increased employee engagement in decision-making at all levels is consistently associated with better performance.
* [Doucouliagos 95](http://library.uniteddiversity.coop/Cooperatives/Worker_Participation_and_Productivity-Meta_Analysis.pdf)
* **Meta-analysis** of 43 studies comparing various forms of worker participation in business
* Found that “profit sharing, **worker ownership**, and **worker participation in decision making** are all **positively associated with productivity**
* These observed correlations are stronger in worker-managed firms than in traditional capitalist firms
* Bit outdated as its from 1995 and only shows correlation, but still useful
* [Pérotin 15: UK Coop Report](https://www.uk.coop/sites/default/files/uploads/attachments/worker_co-op_report.pdf)
* HUGE analysis of a large quantity of data on worker cooperatives
* Worker cooperatives are found to:
* **be larger** than conventional businesses
* **survive as well or better** than ther businesses
* have more **stable employment**
* Be more **productive** than conventional businesses, with staff working “better and smarter” and production organized more efficiently
* have **workers retain a larger share** of their profits than other business models
* [Pérotin 12](https://www.researchgate.net/publication/285356456_The_performance_of_worker_cooperatives)
* The study found **increased productivity** in the case of:
* Increased **profit sharing** _(note: this may also involve reverse causality, although data on ESOPs seems to thoroughly verify this anyway)_
* A higher proportion of **employees becoming cooperative member**, thus increasing participation in decision-making (in France and Italy)
* A greater proportion of **workers on the board** (in the UK)
* [Williams 07](http://library.uniteddiversity.coop/Cooperatives/The_Cooperative_Movement.pdf)
* After 1 year, 50-60% of corporations fail while **only 10%** of cooperatives do
* After 5 years, **90% of Co-Ops** remain open while only 3-5% of standard corporations do
* [Co-op Law](http://www.co-oplaw.org/special-topics/worker-cooperatives-performance-and-success-factors/)
* Co-ops have been shown multilaterally to be **more resilient** and **less likely to fail** than traditionally-operated businesses
* Coops also face **unique barriers to entry** which might be mitigated through the **transformation of existing enterprises** into workers coops.
* [Burdín & Dean 09](https://sci-hub.tw/https://www.sciencedirect.com/science/article/pii/S0147596709000560)
* Economic analysis of capitalist firms vs worker cooperatives in Uruguay from 1996-2005
* Coops have a greater correspondence between profit increase and **wage increase**
* Employment in coops is **more resistant to price shocks**
* **Employment** has a negative correlation with wages for capitalist firms and a **positive correlation with wages** in worker coops
* [Conte, M. A., & Svejnar, J. 88](https://sci-hub.tw/10.1016/0167-7187(88)90011-2)
* Worker participation in management seems to **increase technical efficiency**.
* [Abell 14](https://democracycollaborative.org/content/worker-cooperatives-pathways-scale)
* Coops make $652 billion in revenue, hold around $3 trillion in assets, and employ nearly one million people in the U.S., showing that **coops are already successfully contributing to the U.S. economy**
* Data shows that worker coops:
* can **increase worker incomes by 70-80%**
* have **9-19% greater levels of productivity**
* have 45% lower turnover rates
* are **30% less likely to fail** in the first few years of operation
* [Craig & Pencavel 95](https://www.brookings.edu/wp-content/uploads/1995/01/1995_bpeamicro_craig.pdf)
* Study of worker coops in the timber industry of Washington state
* “What differences we have found imply that **coops are more efficient than the principal conventional firms by between 6 and 14 percent**
* [Sabatini et al. 12](http://www.eeri.eu/documents/wp/EERI_RP_2012_10.pdf)
* Study based on a 2011 questionnaire in Trento, Italy
* Found that employment in cooperative enterprises **increases trust between workers relative to public and private enterprises**
* 47.5% increase relative to public enterprises
* 36.9% increase relative to private enterprises
* [Park 18](https://www.emerald.com/insight/content/doi/10.1108/ER-06-2017-0137/full/html)
* In conventional firms, there is a **negative relationship between job demands and worker commitment**
* This negative relationship was **not found in worker co-ops**
* [Erdal 12](http://www.oeockent.org/download/cooperatives/journal-of-cooperative-thought-and-practice-vol1-no1.pdf.pdf)
* Study of three Italian towns of similar demographics, income, and geography
* The town with the most worker cooperatives experienced the following:
* **Better mental and physical health**, as well as longer lives
* Children were less likely to skip school and skipped school less
* **Less crime, including less domestic violence** and greater feelings of safety.
* Higher rates of social participation (joining clubs and charities, giving blood, voting)
* **Perception of a more positive society, more supportive personal networks, and more trust in the government**
* Note: this study fails to prove causation, and only establishes a correlation between coop prevalence and community wellbeing