Globalization and The Need for Cooperatives

It can be said with certainty that since the dawn of our history, we have worked in cooperation. Anthropologists point to this first cooperation within our species as the turning point of our development as Homo sapiens. Coming together, in our primitive yet very significant ways, we turned our beasts of prey and the restless inundation of our environment away from us.

As modern scientific theories of evolution began to develop in the West along side the ideas of rugged individualism and capitalism, the bonds of cooperation gradually loosened. The increase of the societal importance of private property- especially in relation to the means of production of goods and services, turned community on its head. Local economies turned into regional ones, regional economies turned to national, and national economies are now moving to global ones. This process started in the 1500's with the development of the medieval cities. Communal craftspeople and artisans were forced to move to the cities; largely due to the mass production capabilities of the machine owners. They laid down their communal tools and took to the cities.

One of the first union laborers recalls this first crucial turn to the global growth of the capitalist economic system, "With the introduction of machinery, large manufacturing establishments were erected in the cities and towns. Articles that were formerly made by hand were turned out in large quantities by machinery, prices were lowered, and those who worked by hand found themselves competing with something that could withstand hunger and cold and not suffer in the least. The village blacksmith's shop was deserted, the tailor left his bench, and altogether these mechanics turned away from their country homes and winded their way to the cities wherein the large factories had been erected. The gates were unlocked in the morning to allow them to enter, and after their daily task was done, the gates were closed after them. They no longer carried the key of the workshop, for workshop tools and keys belonged not to them&emdash;but to their master. Thrown together in this way, in these large hives of industry, they became acquainted with each other and frequently discussed the question of labor's rights and wrongs." (Powderley [exc.])

This incredible observation still throws insight into today's problems associated with globalization. Large international companies and transnational corporations move into communities and undercut local shops and their respective services. Their effects are more than economic, they are also political and social in nature. As fewer and fewer own more and more, and the many own little, democracy is undermined. This effect also aggravates racism, sexism and other forms of social inequality. To compound these problems, consumers, making their hard-earned money go the farthest, purchase goods from these warehouses and inadvertently drive their local friends and families out of business. Within 24 hours, what was once local money flies to another remote location&emdash;never to return again.

This is where the role of the cooperative shines brightly. In solidarity with workers discussing labor's rights, people forged cooperative enterprises. Many believe the Rochdale Cooperative to be the pinnacle of the International Cooperative Movement. Cooperatives, in their modern representation, began as enterprising individuals came together to meet their common needs in their communities. Hard economic times, especially those times where high percentages of national wealth is owned by an extremely small minority, threw workers and craftspeople together to withstand capital shortages. In cooperation, people gathered resources to purchase good food, provide support to families with economic needs, provide shelter for de-advantaged people, and to provide solidarity for workers of a particular trade. These cooperatives developed their respective ideals over the past century, but many central points remain unchanged.

Recently, in 1996, at a conference of the International Cooperative Alliance (ICA), a guiding definition of and principles concerning cooperatives were revised. These revisions were commonly agreed upon to be the backbone of the cooperative philosophy. Cooperatives are, "an autonomous association of persons united voluntarily to meet their common economic, social, and cultural needs and aspirations through jointly-owned and democratically-controlled enterprise. [They] are based on the values of self-help, self-responsibility, democracy, equality, equity and solidarity. In the tradition of their founders, co-operative members believe in the ethical values of honesty, openness, social responsibility and caring for others."

The ICA also created cooperative principles that act as guidelines which can be used to identify cooperatives.

1. Voluntary and Open Membership. "Cooperatives are voluntary organizations, open to all persons able to use their services and willing to accept the responsibilities of membership, without gender, social, racial, political or religious discrimination."

2. Democratic Member Control. "Co-operatives are democratic organizations controlled by their members, who actively participate in setting their policies and making decisions. Men and women serving as elected representatives are accountable to the membership." Commonly, a 'one-member, one-vote' concept and consensus are the prevailing methods to this democracy.

3. Member Economic Participation. "Members contribute equitably to and democratically control, the capital of their co-operative." Members determine how capital flows in its transactions, and often use surplus to benefit the cooperative's goals and missions.

4. Autonomy and Independence. Cooperatives are attempts to locally and economically stand alone to meet the needs of their members, and all transactions are made so as to secure that autonomy and self-subsistence.

5. Education, Training and Information. "Cooperatives 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 public- particularly young people and opinion leaders- about the nature and benefits of co-operation."

6. Co-operation among Co-operatives. "Co-operatives serve their members most effectively and strengthen the co-operative movement by working together through local, national, and international structures."

7. Concern for Community. "Co-operatives work for the sustainable development of their communities through policies approved by their members." This is commonly done through local support for resources where ever possible and through cooperation with other cooperatives which do the same.

To sum up, cooperatives are member-owned, democratically-controlled, locally and regionally-based, enterprises. Today, they take many forms. Some are credit unions and trade unions, some food cooperatives. There are housing and student-based cooperatives. Some are based in agriculture and others for energy. Regardless of their purpose, cooperatives are basically the same the world round.

As a worker of Oryana Food Co-operative, I am particularly suited to show how our cooperative works. It is owned and controlled by its members. Members help guide the decision-making concerning the way money is spent, and they elect a Board of Directors to accomplish their goals. Right now, Oryana is organizing some community-based events designed to provide education and training for workers, members, and the G.T. community. It helps other locally-based cooperatives and their respective communities by purchasing the majority of its own goods from them. As we organize our fall events and through our everyday operations, we attempt to express our gratitude and concern for our community. Many other local credit and trade unions, agricultural and grain co-ops, and energy cooperatives function similarly.

In the spirit of cooperation, we extend an invitation to Oryana's fall Harvest Time Celebration to honor the harvest and the hard work put into the now ripe fruit around us. The celebration is scheduled for the week of October 26 - November 1, 1998. Our Harvest Festival will feature local vendors, musicians, and artists, and will culminate with two main events during the week. The first, on Wednesday, October 28, at the Grand Traverse Civic Center, from 7 pm - 9 pm, will kick-off the beginning of a four-part panel and mediator discussion series on issues related to our community. Our first discussion will be a general one about the nature of community, and panel participants are being selected from the Grand Traverse community. We are very excited about this first panel for its ethnic and social diversity and its diversity of opinion. It will be followed by Q & A from the audience and will end with socializing and refreshments.

Our second event, the Harvest Banquet, November 1, at the TBA Career Tech Center on Parsons Road from Three Mile, from 3 pm - 6 pm, will feature local, organic and natural health fare. We are looking forward to providing our community with the greatest food available anywhere on the planet. The menu is huge and exhausting. Call our store for more information on any of these exciting events.

In the past, cooperation set us in an advantageous position relative to our environment, yet, our social, political and economic environments are our new frontiers. The beasts of prey from days gone by are replaced by such specters as hunger, economic and political inequality, ethnic disharmony, and homelessness. Cooperatives are the height of our united expression for community. They accomplish community through local economic and industrial democracy and exchange. We strongly encourage you to support these locally-based enterprises with your conscientiously-spent money. Good health, good luck, and may our aspirations for a better tomorrow be achieved through the investment of our community today.

REFERENCES

1. For more information about initial scientific theories of cooperation and their contribution to evolution, see, Kropotkin, Peter A. Mutual Aid&emdash;A Factor of Evolution. Oxford Press, London. 1902. Kropotkin, Peter A. The Conquest of Bread. G.P Putnam and Sons, New York and London. 1906.

2. Powderley, Tarence. Excerpt from speech for the Knights of Labor.

3. Cooperative Principles taken from International Cooperative Alliance. It was made available through the University of Wisconsin Center for Cooperatives home page. (www.wisc.edu/uwcc)

RELATED LITERATURE

1. Hoyt, Ann, And Then There Were Seven: Cooperative Principles Updated. From The Cooperative Grocer Jan-Feb, 1996.

Return to the Index of Synapse 45, Fall 1998