“Communism,” Lenin once famously declared, “is Soviet power plus electrification.” As the formulation of the socialist project in terms of state-ownership and central planning fades into irrelevance, we might hazard our own definition: “Socialism is social-democratic politics plus co-op conversion.” Our practical politics focuses on an advanced version of regulation and redistribution — goals such as single-payer health care — but we always have at the back of our minds that someday we want a fundamental transfer of control over economic life itself.
Something exciting is stirring in the global Left. People are beginning to look at the “solidarity economy,” the creation of alternative forms of economic activity which place human need before private greed. Networks have been formed at the international, continental, and most recently U.S. levels. Hopefully, this will enable the progressive community to integrate economic restructuring and democratization into the broader struggle for change.
To begin, there is a problem of definition. “Solidarity economy” is defined so broadly that it includes everything from well established alternatives, such as the Mondragón system of Spain and the Israeli kibbutzim, to corner food co-ops and even open-source software production. Hopefully, that lack of specificity will provide a degree of flexibility to proposed alternatives; we can, under the rubric of “solidarity economy,” offer a variety of options to deal with concrete situations; the last thing we need is ideologically-driven rigidity about what exactly qualifies as an SE enterprise.
And there is a lot out there. Europe has some 83,000 worker co-ops, employing 1.3 million people. In Japan, 225,000 households participate in a network of worker and consumer co-ops. In Latin America, alternative economic forms are being developed by the Zapatistas of Chiapas, Mexico, by the Landless Movement of Brazil, and by the “recovered factories” movement in Argentina.
Betsy Bowman and Bob Stone, in “Cooperativization as Alternative to Globalizing Capitalism,” an on-line article on the Grassroots Economic Organizing site (http://www.geo.coop/node/139), discern three “tiers” of an emerging SE movement. The first, or “vanguard,” consists of (1) First-World cooperative enterprises, such as the Mondragón system and the co-ops of the Emilia-Romagna region of Italy; (2) Third-World resistance efforts, such as the Zapatistas of Chiapas and the “recovered factories” of Argentina; and (3) networks of social-change activists creating alternative forms, such as food co-ops. Bowman and Stone’s second tier consists of labor organizations seeking to intervene directly into decision-making through such mechanisms as co-determination and ESOP’s. Their third consists of communities, particularly in less developed areas, that retain communal and socially-owned property as parts of their economies. Bowman and Stone hope to see these three tiers coalesce into a force capable of challenging global capitalism. Their conceptualization is perhaps overly schematic, but they are correct to stress the importance of connecting all the on-going efforts.
It is not yet clear, however, how networks of political activists should relate to what are, ultimately, economic enterprises. The United States Solidarity Economy Network (USSEN), formed at the 2007 U.S. Social Forum in Atalanta, adopted a “mission statement” (http://www.populareconomics.org/ussen/node/17) which was clearly the result of a brainstorming session. The proposed tasks fall into three categories: (1) doing education around SE alternatives; (2) pushing policies supporting those alternatives; and (3) actually building those alternatives.
The first task, doing educational work, could be started immediately. Solidarity economics is, bluntly, not yet “on the radar” of most leftists. How many American progressives are even aware that the old socialist dream of workers seizing factories is actually underway in South America? The U.S. media will not cover that, of course — though it has been reported by the BBC. The scope and variety of the parallel economy would surprise — and gratify — many socialists if they knew what was out there. People also need an honest appraisal of the difficulties SE enterprises face and how those difficulties can be resisted. Educational efforts can be undertaken by the present activist cadre of progressive movements and so could be gotten started quickly. We could start by developing an introductory reading list — what exists now consists mainly of brief introductions and specialist material for training actual SE managers, rather than educating general activists — and setting up a blog or website. Later, we might develop a speakers’ bureau to make presentations at progressive meetings.
The second, working on policy issues, also plays to the strengths of existing political organizations. Alternatives enterprises need legal structures that give them flexibility and protect their democratic character. The ownership shares of worker-members must be protected both from voluntary alienation — this is a problem under our legal system — and from being taken for personal debt or divided in divorce. We will also need procedures for existing entrepreneurial firms to convert themselves into alternative forms — and eventually various forms of pressure to do so. Such initiatives, however, are best guided by the activists of the existing enterprises, who are the best judges of what they need and how proposals are likely to play out. Here we might develop a wiki to give people with specialized knowledge a forum for exchanging ideas and proposals.
The third is actually creating institutions. We will need sources of capitalization which do not compromise the democratic character of SE enterprises, mechanisms for mutual support of enterprises, and support services for enterprises either starting out as democratic or making a transition from traditional forms. These things could be created without first achieving state power. But this will need to be almost entirely the work of professionals from existing enterprises; most political activists simply don’t have the skills. Again, a wiki might help. We could also try to find out what is already out there — to explore possibilities for cooperation and to encourage the growth of services, such as banks (or, better, credit unions) and accounting and law firms that specialize in meeting the needs of SE enterprises.
The last two tasks could be thought of as creating a number of “pathways,” ways that SE enterprises could be created, either new or by reorganization from existing enterprises. Worker co-ops, for example, could be created by groups of workers directly or by organizations such as unions. Alternatively, regular entrepreneurs could create new businesses with the expectation that they would be sold to their employees at an appraised price later. There should also be ways for standard enterprises to convert to co-op forms. There should be multiple pathways to give us flexibility. There will have to be legal forms for the enterprises to assume and institutional support for the creation or conversion.
So our immediate task is to grow a network of people with expertise in building, running, and servicing co-ops and other SE enterprises. They should form a center for developing the pathways, devising concrete alternatives for building or converting SE enterprises. At the same time, the larger progressive community should be educated about the possibilities of a Solidarity Economy, so that they will be ready to support a transition as it become available.
Their first task will be to produce and distribute educational materials for the broader progressive community on the feasibility of building and converting enterprises into democratic, pro-social forms. They will also be charged with developing a concrete picture of how a transition might come about and what legal and institutional changes will be needed to be ready for the day. Later, the transition itself can be integrated into the politics of the progressive community.
We should have faith that at some point — how, exactly, we won’t know until it happens — the social-democratic political project will open a space for a program of economic democratization. So we should try to have a program of conversion ready to go whenever the political situation makes it possible. We’ll need, first, a progressive community aware of the alternatives and primed to make it part of its agenda. Second, we’ll need enabling legislation, either enacted or ready for introduction. And third, we’ll need at least the skeleton of institutions to impose democratic control. That way, when a moment of serious anti-corporate possibility arrives, we can put the alternative in place. We should always have a contingency plan for what happens when the larger political community loses faith in the capitalist system — as it may well do within the next few years.
When that happens, we will have achieved socialism.