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Why cooperative

The document discusses the reasons for forming cooperatives and the principles that guide them. It notes that cooperatives aim to address issues like lack of opportunities, income, education, and inequitable distribution of wealth. It then outlines the seven cooperative principles of democratic member control, member economic participation, autonomy and independence, education/training, cooperation among cooperatives, concern for community, and voluntary open membership. The principles are meant to establish a governance structure and distribute profits in a way that differs from other business types.

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Why Cooperative?
Why do you want to form a cooperative?
Issues in the community: • Lack of job opportunities; • Inadequate income to support the family; • Lack of education/knowledge; • Inequitable distribution of wealth and power; • People are not united “to each his own”; • Peace and order situation.
Build and transform lives thru cooperativism
2020: 10 Largest Cooperative https://www.ica.coop/en/newsroom/news/world-cooperative-monitor-new-ranking- largest-cooperatives-now-available
17.6 million Filipinos who lived below the poverty threshold estimated at PhP 10,727, on average, for a family of five per month in 2018. Subsistence incidence among Filipinos, or the proportion of Filipinos whose income is not enough to meet even the basic food needs, was registered at 5.2 percent in 2018. The monthly food threshold for a family of five was estimated, on average, at PhP 7,528. PSA Reference No.: 2019-209 Release Date: 06 December 2019 109 M population 16.4%
To pursue the 2020 Vision, the document outlines five critical themes to form part of the co-operative sector's agenda, which have been devised by Cliff Mills and Will Davies, Centre for Mutual and Employee-owned Business, University of Oxford, under the guidance of an ICA Planning Work Group. The ICA Blueprint, which was launched in a draft format at the General Assembly last October, sets out a path that envisions co-operatives to be the fastest growing form of enterprise by 2020.
These critical themes are: 1. Elevate participation within membership and governance to a new level 2. Position co-operatives as builders of sustainability 3. Build the co-operative message and secure the co- operative identity 4. Ensure supportive legal frameworks for co-operative growth 5. Secure reliable co-operative capital while guaranteeing member control
ILO Centenary Declaration: Cooperatives call for people-centred business models for a fair, secure, and inclusive Future of Work (2019)
Cooperatives deliver a wide range of goods and services aligned with their members needs. More than half of the world’s cooperatives are estimated to focus on agriculture and food production, while financial cooperatives serve more than 857 million people worldwide, including 78 million people living on less than US$2 a day.
The Global Commission on the Future of Work, set up by ILO recently released its final report entitle” Work for a Brighter Future” where coops aligned themselves as a cooperative business by putting people first before profit. Cooperatives are key actors in achieving the actions proposed. https://www.ica.coop/en/media/news/cooperatives-people-first-approach- proves-effective-social-and-economic-development?page=3
“As people-centered enterprises characterized by democratic control, prioritizing human development and social justice within the workplace. Cooperatives enable communities to own and govern joint economic tools to solve their most central needs (production, employment, housing, health, education, credit, insurance, etc.) through democratic ownership and participation, thus generating inclusive and sustainable growth, and leaving no one behind
ICA 1995: Seven Cooperative Principles Principles are guideposts in the organization and management of cooperatives in which their values are put into practice.
Cooperative Principles Cooperatives differ from other business types in that there is a set of guiding principles for operation. These principles provide a philosophical foundation for the business by establishing a governance structure and the method by which profits are distributed. The original Rochdale Principles have been distilled into the following Cooperative Principles
Universal Values Cultural Values Personal- Ethical Values you Self Reflection
In a co-op, all members are in charge; so individuals must be accountable for their actions, responsibilities, and duties. Thus, a co-op cannot function properly if the members are neglectful of their responsibilities to their job, the co-op, their fellow members, and themselves.
DEMOCRACY Co-ops are controlled, managed and operated by its members. Thus, suggestions are heard and accepted to make the services or products more responsive to their needs. Thus, it empowers members to participate and vote in meetings.
EQUALITY & EQUITY o EQUALITY is about giving everyone access to the same resources and treating them the same. Every member is only entitled to one vote regardless of the amount of his/her contribution. o EQUITY is the concept of providing disadvantaged persons and privileged people with fair accommodation and treatment according to their needs - in order to put them on equivalent ground.
SOLIDARITY This is the value of “fellowship” amongst members of a co-op (worker-owners or member-owners) and more, including: other co-ops, organizations, and individuals who are linked by a shared concern or cause. Thus, it is essential for cooperatives and cooperators to recognize the importance of working together to support others in their struggles, goals, and efforts – and for others to do the same for them.
Honesty Openness Social Respon- sibility Caring for Others HONESTY Truthfulness, fairness and sincerity in all dealings. The dealings may be between the members & the cooperative; among members the themselves; between & among cooperatives
OPENNESS One that promotes collaboration where the members are free to share their views and suggestions with an emphasis on learning s opposed to being right. Characterized by transparency and free access to knowledge and information.
SOCIAL RESPONSIBILITY The economic activities undertaken and decisions made in the co-ops as a business enterprise are balanced by the needs and interests of their members and the community.
CARING FOR OTHERS Co-ops bring people together to meet a shared need through operation of a democratically- controlled business. Co-ops are open to all who can take advantage of their benefits.
AUTONOMY AND INDEPENDENCE EDUCATION, TRAINING & INFORMATION COOPERATION AMONG COOPERATIVES CONCERN FOR COMMUNITY DEMOCRATIC MEMBER CONTROL MEMBER ECONOMIC PARTICIPATION VOLUNTARY AND OPEN MEMBERSHIP SELF-HELP SELF- RESPONSIBILITY EQUALITY HONESTY OPENNESS SOCIAL RESPONSIBILITY DEMOCRACY CARING FOR OTHERS SOLIDARITY CO-OP PRINCIPLES ARE PRACTICAL APPLICATIONS OF CO-OP VALUES CO-OP /ETHICAL VALUES ARE THE FOUNDATION OF THE CO-OP PRINCIPLES EQUITY
Low Income Middle Income High Income DA, DAR, DILG, DTI, TESDA, DSWD, BFAR, LBP, NCIP, LGUS, NGOs How? Convergences, Partnership through a multi-sectoral approach