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What is Worker Cooperative Development?

Want more on worker cooperatives, solidarity economies, and the role of organized labor? Join us at the Murphy Institute on December 4th for our upcoming Labor Breakfast Forum, Solidarity Economies: Worker Coops.

This article originally appeared at Grassroots Economic Organizing.

By Christopher Michael

In the 1980s, the British government supported a comprehensive system of local worker cooperative support organizations (CSOs). The first CSO was formed in Scotland in 1976. By 1986, approximately 100 CSOs spotted the country — with higher concentrations in urban areas. About 80 of these CSOs were funded — mostly by local municipalities — with full-time staff at an average of three employees. In tandem, Parliament chartered a national “Co-operative Development Agency” with a 1978 bill — which aided the growth of local CSOs, served as a “safety net” for regions without CSOs, collected statistics, and acted as government liaison with regard to new legislation.

These government-funded support organizations engaged primarily with low-income, ethnic minority, and female entrepreneurs. CSO staff members provided training courses on worker cooperatives, direct technical assistance, and also loan financing at an average of $50,000 (current U.S. dollars) per worker cooperative. This ten-year experiment produced approximately 2,000 new worker cooperatives — and almost none exist today. Continue reading What is Worker Cooperative Development?