Commons and Cooperatives: Greig de Peuter and Nick Dyer-Witheford
Commons and Cooperatives: Greig de Peuter and Nick Dyer-Witheford
Commons and Cooperatives: Greig de Peuter and Nick Dyer-Witheford
Abstract
Greig de Peuter and Nick Dyer-Witheford, “Commons and Cooperatives,” Affinities: A Journal of
Radical Theory, Culture, and Action, Volume 4, Number 1, Summer 2010, pp. 30-56.
31
Commons politics, and the discourse around it, has its limitations. The term
commons has come to cover a proliferation of proposals, some highly radical,
but also some reformist, and others even potentially reactionary. As George
Caffentzis points out, neoliberal capital, confronting the debacle of free-market
policies, is turning to “Plan B”: limited versions of commons--be it carbon trading
models, community development schemes, biotechnology research, and open-
source practices--are introduced as subordinate aspects of a capitalist
economy.5 Here voluntary cooperation does not so much subvert capital as
subsidize it. Just as the original commons were an element within, rather than an
alternative to, a brutally coercive feudal order, so, too, in isolation, today’s
commons experiments may just supplement, not challenge, capitalist
exploitation. In addition, and germane to the focus of this article, while discourse
about commons is popular among environmental, digital, and biotechnological
activists, it is often disconnected from labour politics. Talk of commons less
frequently intersects with the lexicon of unions, solidarity, and strikes. It thus risks
being disassociated from issues of work and wealth, class and poverty--where
what is at stake is, still, capital’s denial of commonality via the private control of
the means of production. It is as an antidote to this rift that this article discusses
the worker cooperative as one form of labour commons.6
Associated labour
Marx viewed the coop factories within a historical dialectic of social forms of
labour: the cooperatives demonstrated to him “that, like slave labour, like serf
labour, hired labour is but a transitory and inferior form, destined to disappear
before associated labour plying its toil with a willing hand, a ready mind, and a
joyous heart.”10
At a broader, strategic level, Marx was circumspect about the value of the
coops. “Excellent in principle” and “useful in practice,” he insisted “cooperative
labour,” confined to a “narrow circle of the casual efforts of private workman,
will never be able to arrest the growth in geometrical progression of monopoly,
to free the masses, nor even to perceptibly lighten the burden of their
miseries.”11 What Marx goes on to say--“To conquer political power has therefore
become the great duty of the working class”--perhaps helps to explain why
relatively few in the Marxian tradition would examine coops in the coming
decades.12 “Restricted to dwarfish forms,” Marx concluded, “the cooperative
system will never transform capitalist societies.”13
There is some dispute about the balance of positive and negative elements in
this complex assessment of coops.14 We will revisit Marx’s comments on the
shortcomings of the worker coop later. For the moment, we return to Marx’s
allusion to “associated labour” as a collective subjectivity animating the
cooperative factories.15 Picking up on a reference by Marx to a “mode of
production of associated labour,” Teinosuke Otani has spoken of “associated
labour” as work that “sheds the alienated guise it has had as wage labour.”16
Associated labour is, suggests Otani, voluntary (i.e. people are no longer forced
to work for a wage in order to exist); communal; consciously planned; on a
sufficient scale to mobilize “social productive power”; scientific (i.e. using
modern technologies); satisfying workers’ needs (i.e. as against the
subordination of those needs to the requirements of capital); and realizing
participants’ “species being,” or, broadly, their interconnection with other
humans.
The at least partial fit between associated labour and the worker cooperative is
noted by Michael Lebowitz. The power of capital, writes Lebowitz, derives from
“captur[ing] the fruits of cooperation.”17 In the capital-labour relation, he goes
on to say, “each wage labourer is an individual, isolated owner of labour-
power.” In contrast, in a worker coop where the business is collectively owned
and controlled, the individual no longer meets capital as an isolated seller of
their labour capacity, but, rather, confronts capital as associated power.
Moreover, rather than capital acting as “mediator for wage-labour,” the worker
cooperative replaces “capital as mediator … in the purchase of labour-
power.”18 As the Canadian Worker Coop Federation puts it: “In a worker coop
capital is the servant of the cooperative.”19 This apparent inversion of the power
relation between labour and capital has implications that extend to workers’
control over the labour process, in that associated cooperative labour also
replaces capital, says Lebowitz, “in the direction and supervision of
production.”20 Not immediately answerable to the managers of capital,
potentially “the whole nature of work can change”:
Workers can cooperate with each other to do their jobs well; they
can apply their knowledge about better ways to produce to
improve production both immediately and in the future; and, they
can end the division in the workplace between those who think and
those who do.21
Although Lebowitz is not dismissive of Marx’s own worry that cooperators can just
the same “become their own capitalist,” he also cites Marx’s more optimistic
view of worker coops as “practical demonstration that capital was not
necessary as mediator in social production,” and, as such, act as an example of
a “‘republican and beneficent system of the association of free and equal
producers.’”22
Assumption of the legal form of the coop made FaSinPat recognizable in the
eye of the state, thus providing some shelter to this enclave of self-management
within a national context in which job creation was a matter of survival. Here we
note that the “key need” to which the worker cooperative is said to respond is
that for “viable and meaningful employment for its members.”24 What is more,
however, is the broader set of principles associated with worker cooperativism,
including those of “self-help, democracy, equality, equity, and solidarity.”25
FaSinPat has been described as a factory put “at the service of the
community.”26 To take just one example, cooperators have directed portions of
their surplus toward the funding of the construction of a local health clinic.
Through acts of solidarity such as this, FaSinPat supports the needs of its
surrounding neighbourhood, the residents of which initially aided workers in the
reclamation of the plant from its former owner. FaSinPat has justifiably become
an icon of the autonomous power of associated labour in the wider currents of
self-management in Argentina today.27
Workplace democracy
cooperative group in the Basque Country with more than 150 coops and 85,000
workers34--each individual coop in the group has its own Governing Council,
and each coop elects delegates who in turn attend an annual meta-MCC
Governing Council assembly.35 Budget allocations, compensation policies, and
expansion plans are among the topics conceivably up for collective voting.
One of the main goals associated with worker cooperatives is said to be that of
“increasing democracy in the workplace.”36 One instance of this pertains to pay
equity. Historically, MCC, for example, has had in place a policy setting limits on
the disparity between the highest and lowest paid in a cooperative.37 Some
worker coops even practice almost complete pay equity despite differences in
skill sets or seniority, such as in many of Argentina’s worker-recuperated
enterprises.38 Where management is concerned, coop managers are generally
expected to take decisions in the light of cooperative principles.39 The broad
point of workplace democracy is, however, that the notion of member control
implies members possess a greater ability to shape the content of their job and
the environment in which it is performed--a commitment to dignity in work. In this
respect, a worker cooperative with a more radical membership might seek to
implement tactics for challenging a rigid division of labour by adopting a version
of what participatory economics theorists Michael Albert and Robin Hahnel term
a “balanced job complex” in which workers would perform a mix of roles so that
rewarding and onerous tasks are more equitably distributed.40
We can see both strengths and limits of worker coops’ self-definition in terms of
democracy by looking at one of the better-known social-democratic arguments
in support of worker-ownership. Against “corporate capitalism,” Robert Dahl’s
Surplus distribution
One of the traits linking the worker coop to commons traditions concerns the
distribution of economic surplus. For George Holyoake, a nineteenth-century
historian of the British cooperative movement, the overriding cooperative
principle is that of the “distribution of profits to all those who had a hand in
generating them, including both consumers and employees.”46 Commitment to
distributive justice is embedded in the cooperative principle of “member
economic participation.”47 Put in Holyoake’s class-conscious terminology,
cooperativism is rooted in a belief that “[i]t is more reasonable and better for
society and progress that men (sic) should own capital than that capital should
own men (sic). Capital is the servant, men (sic) are the masters.”48 The worker
coop is an institution of the labour commons where worker-owners view surplus
as a product of their shared efforts, and, as such, ought to be distributed
equitably and democratically among those who created it.
Remuneration practices in coops vary widely. MCC, for example, uses the term
anticipos, rather than “wages,” to refer to the monies paid out at regular
intervals to individual worker-owners as an advance on anticipated earnings.
Other coops speak of a “draw” account to which dividends are deposited
regularly. In terms of setting compensation levels, some coops might take their
cue from private businesses operating in the same sector, others might adopt a
strict wage-equity policy as with some worker coops in Argentina, and others
still, especially those occupying a competitive industry and employing
managers, might impose a ceiling on the differential between the highest and
lowest paid occupational levels as with Mondragón.
MCC’s success can be attributed in part to the way this coop network has
managed its surpluses. At the meta-governance level of MCC’s General
Council, some time ago cooperators voted to implement policies pertaining to
the administration of the surplus that would counteract the risk to sustainability
posed by individual economic self-interest. Ten percent of MCC’s surplus,
following a Spanish law, is redirected toward charities, education, or culture,
etc. How the remainder is distributed is at the discretion of worker-owners. In the
current MCC model, 70% of the surplus is distributed as a dividend to individual
worker-owners’ individual capital accounts. Although the member can
withdraw the interest earned on the account, the principle amount is
Today MCC is not only one of the ten top-earning corporate groups in Spain but
is increasingly internationalizing production through foreign direct investment in
emerging economies. In countries such as China and Hungary MCC operates
industrial affiliates as conventional capitalist firms--typically run by Basque
managers--in a familiar quest for reduced labour costs and for proximity to their
industrial clients. Relocation has strengthened the core coops’ competitiveness
on the world market. Those who view coop praxis through an anarchist lens of
the coherence of means and ends are, not surprisingly, deeply critical of MCC’s
globalization methods, seeing it as a drift away from cooperative principles.
This brings us to an issue central to our thesis about the need for cooperatives to
connect to other commons initiatives--that of coops’ relation to the wider
economic order. From the perspective of cultivating economic autonomy, the
development of links within the cooperative sector itself is of great significance.
The sixth principle in the Statement of Cooperative Identity is “cooperation
among cooperatives”--an ethos of mutual aid that encourages individual coops
to support one another and contribute to the development of a parallel
economy through practices of inter-cooperation.51 In this way, coops would
reduce their dependence on, and seek to gain autonomy from, conventional
capitalist enterprises; this is the movement-building aspect of cooperativism.
There are also examples of coops and associations based in the North
establishing education programs where groups of people visit the South and aid
communities in setting up coops, as an approach to cooperative international
development. MCC also demonstrates this; its Lanki project establishes links
between the coops in the Basque and small coops in the South:
Practices of cooperation among coops suggest the possibility that within the
overall global system of capital a non-capitalist sub-system might grow its
counter-power, reduce reliance on the primary system, and potentially render it
redundant. In inter-coop cooperation we see at least a nascent possibility of
how the social product of the labour commons can contribute to the expansion
of a new system which seeks to continually enlarge its autonomy. Before
exploring this possibility further, however, we should look at the vexed issue of
worker coops’ relation to state socialist projects.
State support
Marx, as we have seen, saw the cooperatives of the 19th century as important
and inspiring--but ultimately an inadequate strategy for supplanting capitalism.
Revolutionary energies ought to concentrate, he believed, on the taking of
state power. In looking forward to a post-capitalist society, however, Marx spoke
of how “cooperative labour ought to be developed to national dimensions,
and, consequently, to be fostered by national means.”57 This would become a
familiar socialist model in the 20th century: Lenin declared the “growth of
cooperation … identical with the growth of socialism”;58 Stalin insisted on more
direct state involvement in coops, which were regarded as a “school for
communism”;59 Mao made commune membership mandatory; and, next to the
hyper-centralization of the Soviet model, Tito promoted a comparatively
decentralized system of “workers’ self-management” in Yugoslavia in which
each worker belonged to a Basic Organization of Associated Labour.60
The legacy of worker coops in socialist states is controversial. Not least because
political autonomy and voluntary membership are among the longstanding
principles of cooperativism, while socialist models have subordinated these
values to state authority.61 It seems undeniable, however, that the creation,
maintenance, and proliferation of worker coops today depend on the
existence of state support of some kind. At minimum, there must be a legal
framework recognizing the cooperative as a legitimate form of enterprise.
Beyond this, governments may have varying levels of policy commitment to
support the development of cooperatives.62 In this regard, the contemporary
experiment in state-supported cooperativism that attracts most attention is the
“cooperative revolution” in Venezuela.63
Some would regard this line of questioning as naïve. Here it must be noted that
running throughout this paper is a familiar but fundamental point: that, from the
perspective of anti-capitalism, the worker coop is a deeply ambivalent
organizational form. The issue is not only that worker coops are vastly uneven in
terms of the political commitments animating them. Even more basic is the
ambiguity arising from how worker coops operate inside the wider capitalist
economy and therefore escape neither the discipline of the market nor the
hegemony of the commodity form.73 This market containment is one of the
reasons why the radical labour movement and some socialist theorists have
been skeptical of coops as a means to counteract capital.74 We have already
cited Marx’s critique of the tendency of cooperatives within capitalism to
assume “dwarfish forms.” The radical economist Robin Hahnel expands on this
concern:
productive, with more engaged employees.” Reeves is careful to stress that this
is not about “reheated cooperatives,” but rather “the next-generation capitalist
business model.” He refers to this model as “socialism without the state”--or
“capitalism with more capitalists.”76
For worker coops to avert a co-optive fate they must be part of a larger vector
of transformation moving beyond capitalism. The failure of authoritarian state
socialism, the ascendancy of neoliberalism, and, recently, its catastrophic
financial crisis, have prompted a wave of new thinking about the form of such
system-change, such as the schematic models of “life after capitalism” offered
by Michael Albert, or the more fluid conceptualizations of a post-capitalist
politics proposed by Gibson-Graham.77 As a contribution to this discussion, we
propose the concept of “the circulation of the common.”78 It is, again, Marx
who provides our point of reference--not, however, so much as a theorist of the
seizure of state power but rather as an analyst of how modes of production
emerge, grow, and become self-perpetuating.
Within this circuit, there are different kinds of capital. The transformation of
commodities into money (C-M) is the role of mercantile capital; the production
of commodities by means of commodities (P) is conducted by industrial capital,
and the conversion of money capital into productive capital is the ostensible
task of financial capital (M-C). This is the growth mechanism that converts the
cell form of the commodity into what Marx termed more “complex and
composite” forms, an entire capitalist metabolism, the path from capital’s
molecular level to its molar manifestation. If we think of a rotating sphere not
only accelerating in velocity as its speeds its circulatory processes but
expanding in diameter as it fills more and more social and geographic space,
we have the image of global capital.
If the cellular form of capitalism is the commodity, the cellular form of society
beyond capital is, we suggest, the common. A commodity is a good produced
for exchange, a common a good produced to be shared. Exchange
presupposes private owners between whom it occurs. Sharing presupposes
collectivities within which it occurs. The circuit of the common traces how these
Such a circulation of commons can only arise from the circulation of struggles,
that is, from social experiments created in resistance to the expanding
circulation of capital. As we noted at the outset, fights for commons--terrestrial,
networked, labour--are underway. The circulation of the common is a forward
projection of these contests; it is a concept of emergence. If capital is an
immense heap of commodities, commonism, as we envisage it, will be a
multiplication of commons. The idea of the circulation of the commons proposes
a systemic transformation, but starts small, with cellular model of commons and
association that is simple, even rudimentary. It then scales, at levels from the
domestic to the municipal to the planetary. The totality it envisages is a
multiplicitous one--a complex, composite non-capitalist society composed by
an interaction of different kinds of commons with distinct, specific logics.
This is not necessarily a model of changing the world without seizing power. The
role of the state in co-management initiatives, such of those of the Venezuelan
and Brazilian governments we noted earlier, may be vital in allowing the
circulation of commons to attain a critical mass. Our concept does, however,
suggest that growth and interconnection of the commons have to precede
such state interventions, to prefiguratively establish the necessary preconditions.
It must also grow beyond the moment of such direct interventions, in a
proliferation of self-starting components that exceeds centralized control. In this
sense, the idea of the circulation of the commons is a concept from and for the
Marxian tradition of autonomous free association.
Endnotes
commoners and the hidden history of the revolutionary Atlantic. London: Verso.
4 Hardin, G. (1965). The tragedy of the commons. Science, 162, 1343-1348;
55. For an exception to the separation of commons and labour politics, see:
Waterman, P. (2003). All in common: A new/old slogan for international labour
and labor internationalism. The Commoner, 6.
http://www.ainfos.ca/03/jan/ainfos00533.html.
7 Day, R.J.F. (2005). Gramsci is dead: Anarchist currents in the newest social
movements. London and Toronto: Pluto and Between the Lines (p. 210).
8 Fairbairn, B. (1994). The meaning of Rochdale: The Rochdale Pioneers and the
11 Ibid.
12 Ibid.
13 K. Marx, cited in: Gibson-Graham, J.K. (2006). A postcapitalist politics.
http://www.canadianworker.coop.
20 Lebowitz, 2003, pp. 88-89.
21 Lebowitz, M. (2005, October 24). Constructing co-management in Venezuela:
identity. http://www.ica.coop/coop/principles.html.
40 Albert, M. (2004). Parecon: Life after capitalism. London: Verso (pp.103-111);
Hahnel, p. 190.
41 Canadian Worker Coop Federation, n.d., What is a worker coop?
42 Kasmir, S. (1996). The myth of Mondragon: Cooperatives, politics, and working-
class life in a Basque town. New York: State University of New York Press.
43 See: Bell, D. (2006). Worker-owners and unions: Why can’t we just get along?
55 Hahnel, p. 354.
56 Lanki Cooperative Studies Institute. (n.d.). http://www.lanki.coop/home.
57 Marx, 1992, p. 80.
58 Lenin, V.I. (1965). On cooperation. In Collected works, Vol. 3 (pp. 467-75).
Perestroika: The Leninist versus the Stalinist concept. The American Journal of
Comparative Law, 39, 599-609.
60 See: Kuljic, T. (2007). Yugoslavia’s workers’ self-management. In R. Oliver (Ed.),
London: Routledge.
75 Hahnel, p. 249.
76 Reeves, R. (2007, February 19). We love capitalism. The New Statesman.
http://www.newstatesman.com/200702190026.
77 Albert; Gibson-Graham.
http://turbulence.org.uk/turbulence-1/solidarity-economics.
85 The Green Worker Cooperatives Initiative (http://www.greenworker.coop) in
References
Greig de Peuter and Nick Dyer-Witheford, “Commons and Cooperatives,” Affinities: A Journal of
Radical Theory, Culture, and Action, Volume 4, Number 1, Summer 2010, pp. 30-56