Aside from sole proprietorships, have you ever worked in an employee owned business or a
workers cooperative? if so, what was your experience like?
Approximately .5% of businesses in the United States are employee owned. Figures are slightly higher in
Europe, and Japan has a program to actively encourage this. Why do you think there are
so few businesses following this model?
Are you familiar with tax laws and other legislation as well as banking practices that might make it difficult for a workers cooperative to get started and sustain itself?
Have you ever worked at a company in which you had no ownership? If so, how might that company have
been different if it were worker owned?
Have you ever worked in a company that was not worker owned but that converted to
being worker owned? If so, how was that transition accomplished and
How did things change in terms of the work atmosphere once it happened?
At the moment, most businesses are extremely hierarchical. Do you think this is necessary for efficiency?
If so, how does hierarchy lead to efficiency in business and
How does democracy impede it?
Do you consider employee ownership and workers cooperatives a form of socialism?
If so, is this a problem for you and why?
Studies have shown that some of the financial advantages for workers in employee owned business are:
*Employees gain a stake in the company's success, often through stock ownership or
profit-sharing mechanisms, which can significantly increase their wealth over time.
*Employee ownership is associated with higher wages and longer
job tenure compared to traditional companies.
*It provides a pathway for building wealth and reducing income inequality, particularly for
historically disadvantaged groups such as Latinx and Black workers.
Do these outcomes align with your own values? If so How?
Can you think of another way of achieving them?
Studies have also shown that there are advantages in terms of productivity in employee owned companies. These include:
*Employee-owned companies tend to be more productive, profitable, and
resilient during economic downturns due to the alignment of employee incentives with company success.
Employees in these companies often perform better, innovate more creatively, and collaborate effectively
because they directly benefit from the organization’s growth.
Can you think of other ways to enhance productivity that would also benefit workers?
Workers cooperatives, a form of employee owned businesses, tend to benefit the community in that
profits are reinvested locally rather than distributed to external investors, fostering economic
growth within communities.
Do you think this could be a counterforce to the destructive effects of globalization?
Cooperatives also make business ownership accessible even for individuals with limited resources, as
expenses are shared among members. How do you think business ownership might enhance someone's sense
of self-worth?
Ultimately, how could this benefit the community?