The Promotion ofThe Promotion of CooperativesCooperatives

Recommendation No. Recommendation No. 193 193

of the International of the International LabourLabour

OrganizationOrganization

Summary

Rec. 193: Background

Rec. 193: Key provisions

Rec. 193: Promotional activities

Rec. 193: How it can been used

I. Background

The ILO and cooperativesThe ILO and cooperatives

19191919 Albert Thomas, a convinced cooperator, becomes Albert Thomas, a convinced cooperator, becomes ILO’s first Director-GeneralILO’s first Director-General

19201920 Establishment of the Cooperative BranchEstablishment of the Cooperative Branch19601960 Technical cooperation beginsTechnical cooperation begins19661966 Recommendation No. 127 is adoptedRecommendation No. 127 is adopted19981998 The Decent Work paradigmThe Decent Work paradigm20022002 Recommendation No. 193 is adoptedRecommendation No. 193 is adopted20032003 Juan Somavia addresses ICA General AssemblyJuan Somavia addresses ICA General Assembly20042004 ICA and ILO sign Memorandum of UnderstandingICA and ILO sign Memorandum of Understanding

From Rec. 127 to Rec. 193: From Rec. 127 to Rec. 193: Changing ContextChanging Context

GlobalizationGlobalization and local response; and local response;StrongerStronger ccivil ivil ssocietyociety;;Revised cooperative principlesRevised cooperative principlesNew development paradigms (MDGNew development paradigms (MDGss, , PRSP, Decent Work)PRSP, Decent Work)The emancipation of cooperativesThe emancipation of cooperativesRec. 127 limited to developing countriesRec. 127 limited to developing countries

II. Key Provisions

A Recommendation is…A Recommendation is…

……not binding, but Governments shall:not binding, but Governments shall:bbring the text to the attention of relevant ring the text to the attention of relevant national authoritiesnational authoritiesiinform the ILO of the actions taken by these nform the ILO of the actions taken by these authoritiesauthoritieskeepkeep the ILO the ILO up-to-dateup-to-date on the position of law on the position of law and practice regarding the domain addressed and practice regarding the domain addressed by the Recommendationby the Recommendation

Universal Universal RelevanceRelevance

““It is recognized that cooperatives It is recognized that cooperatives operate in all sectors of the operate in all sectors of the economy.economy.This Recommendation applies to all This Recommendation applies to all types and forms of cooperatives.”types and forms of cooperatives.”

ParagrapParagraph 1:h 1:

Universal RelevanceUniversal Relevance

BusinessBusinesscoopscoops

ConsumerConsumercoopscoops

SocialSocialcoopscoops

AgricAgriccoopscoops

HousingHousingcoopscoops

Social objectivesSocial objectivesCommunityCommunityValues and PrinciplesValues and Principles

Economic objectivesEconomic objectivesBusinessBusiness

CompetitivenessCompetitiveness

Principles and ValuesPrinciples and Values

Policy and legal frameworks to be guided by cooperative values and principles

Cooperative autonomy to be respected and encouraged

Common definition with the ICA, values and principles cited, identity statement annexed

Equal TreatmentEqual Treatment

““Cooperatives should be Cooperatives should be treated in accordance with treated in accordance with national law and practice and on national law and practice and on terms no less favourable than terms no less favourable than those accorded to other forms of those accorded to other forms of enterprise and social organization”enterprise and social organization”

Paragraph 7 (2):Paragraph 7 (2):

The role of The role of GovernmentGovernment

Provide a conducive policy and Provide a conducive policy and legal environmentlegal environment

Grant support when justified by Grant support when justified by special circumstancesspecial circumstances

Strengthen cooperative Strengthen cooperative performanceperformance

Develop partnershipsDevelop partnerships

The role of The role of employers’ employers’ organizationsorganizations

Extend membership and provision of services to cooperatives wishing to join

             

 

The role of workers’ The role of workers’ organizationsorganizations

Assist cooperative employees to join Assist cooperative employees to join trade unionstrade unions

Assist trade union members to Assist trade union members to establish cooperativesestablish cooperatives

Participate in setting up cooperatives Participate in setting up cooperatives to create or maintain employmentto create or maintain employment

Promote productivity, equality of Promote productivity, equality of opportunity and rights of worker-opportunity and rights of worker-membersmembers

Undertake education and trainingUndertake education and training

The role of The role of cooperative cooperative organizationsorganizations

Work with social Work with social partnerspartners to create a to create a favourable climate for cooperative favourable climate for cooperative developmentdevelopment

Provide technical, commercial and financial Provide technical, commercial and financial support servicessupport services

Promote the horizontal and vertical Promote the horizontal and vertical integration of cooperativesintegration of cooperatives

Invest in human resource developmentInvest in human resource development

Represent cooperatives at the Represent cooperatives at the international level, and encourage international level, and encourage international collaborationinternational collaboration

III. Promotional Activities

Promotional Material

Text of R. 193 to all ICA member organizations and ILO field offices;Text published on five Internet sites;Background paper and PowerPoint presentation published in three languages on CD-ROM and shared with ILO offices and development partners;Newspaper articles published in 11 countries, and guides produced in six countries;Wall calendar printed (1,000 copies);Courses based on Rec. 192 launched by ITC Turin (March 2003 and September 2004)

Translations of R. 193

ArabicArabic

ChineseChinese

CzechCzech

FrenchFrench

EnglishEnglish

GermanGerman

GreekGreek

HindiHindi

IndonesianIndonesian

ItalianItalian

JapaneseJapanese

MongolianMongolian

NorwegianNorwegian

PolishPolish

PortuguesePortuguese

RomanianRomanian

RussianRussian

SpanishSpanish

SuaheliSuaheli

TurkishTurkish

LithuanianLithuanian

FinnishFinnish

Seven Global meetings

ILO Governing Body members; ICA regional directors; 25 agencies involved in cooperative development; Board meeting of the Committee on the Promotion and

Advancement of Cooperatives; Global cooperative research conference with 54

universities; International Labour Conference 2003; ICA General Assembly Oslo 2003.

18 Regional Meetings

28 National Meetings

18 Advisory Missions

IV. How it can been used

A useful instrument

Cooperatives: to defend their autonomy;Cooperative members: to demand good governance in cooperatives;Governments: to revise cooperative polices and laws;Civil society: to advocate policy changes;Trade unions: to promote cooperatives among members;Employers: to broaden outreach.

Some results

Guinea-Bissau: new cooperative policy formalized; Romania: autonomy of cooperatives maintained; Turkey: right of workers to create consumer coops in large enterprises

has been maintained; South Africa: new cooperative policy and strategy developed; Russia: parliamentary hearing on cooperative development organized

on the basis of Rec. 193; Canada (Québec): New cooperative development strategy makes

explicit reference to Rec. 193; Colombia: Rec. 193 incorporated into the national development plan.

Revival of the cooperative concept in the ILO!

Final wordFinal word

““Cooperatives empower people Cooperatives empower people by enabling even the poorest by enabling even the poorest segments of the population to segments of the population to participate in economic progress; participate in economic progress; they create job opportunities for they create job opportunities for those who have skills but little or no those who have skills but little or no capital; and they provide protection capital; and they provide protection by organizing mutual help in by organizing mutual help in communities”communities”

““Cooperatives Cooperatives empowerempower people people by enabling even the poorest by enabling even the poorest segments of the population to segments of the population to participate in economic progress; participate in economic progress; they create job they create job opportunitiesopportunities for for those who have skills but little or no those who have skills but little or no capital; and they provide capital; and they provide protectionprotection by organizing mutual help in by organizing mutual help in communities”communities”