Union Coops

Description

Pat Conaty:

"In Not Alone we explored how to bring together co-operative approaches with the additional clout of trade union power. What we found is that such a mission to integrate trade union and co-operative provision is gaining traction in the US with a range of emerging ‘union co-op’ models.

The union co-ops concept has been co-developed under a joint agreement between the US Steelworkers and the Spanish co-op, Mondragon. Today Union Co-ops are being set up in a range of industries and cities from Pittsburgh to Los Angeles. In Cincinnati, Ohio, seven union co-ops are either established or under development including a food hub, a railway manufacturer, a ‘green laundry’ and a jewellery manufacturer.

Crucially, we are seeing union co-ops beating the opposition at its own game. Green Taxis co-op in Denver has expanded its membership in partnership with the Communication Workers of America. This union co-op strategy has led to the development of a highly efficient mobile app. Through the partnership Green Taxis has grown to 800 members, secured 37% of the market in Denver and has rapidly become the largest taxi co-op in the US.

Before Green Taxis was founded as a worker co-op in 2012, most drivers were working for private taxi corporations and paying leasing and other fees to the company of $800 to $1,200 a week. With the help of the trade union, Green Taxi members have co-financed their mobile app and now pay just $80 a week for back office and dispatch services. This represents a 90% plus savings of economic rent otherwise payable to a private corporation.

The success of Green Taxis highlights how worker-owned platforms can be replicated in other cities and for other trades. It is early days but similar union co-op apps for childcare are being jointly developed in Chicago by the ICA Group and Service Employees International Union. A new union co-op app for NursesCan, a home health care service, was launched in south Los Angeles this year.

There is a strategic opportunity to advance the potential for a breakaway play by co-developing union co-op solutions. The ‘cousins’ of the labour movement — trade unions and co-operatives — need to unite their efforts across Europe to unleash economic democracy innovation." (https://www.opendemocracy.net/uk/pat-conaty/not-alone-what-uk-can-learn-from-union-co-ops)