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Bill Alstrom (MA/Maine/MA)'s avatar

Here is another angle on Mondragon. A typical "New Yorker" magazine deep dive with more than one human angle. https://www.newyorker.com/business/currency/how-mondragon-became-the-worlds-largest-co-op

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Fay Reid's avatar

Thanks Bill, there have been a few businesses which did successfully adopt this style, Polar Fleece, and Publix are two. But there are several (more than 100) employee owned companies. In my opinion Ronald Reagan ushered in the worst of America, GREED, in 1981 and we've gone steadily downhill since.

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James Vander Poel's avatar

Great piece, Bill. I think that 344 figure has been eclipsed in the past couple of years. And I can remember the '50s when tax rates for the wealthy meant they paid their fair share. Sixty-plus years on and we have more billionaires than we can count and more people who can't afford housing. Gordon Gecko was wrong: greed is not good.

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Slartibartfast42's avatar

Bill, Thank you for sharing this information.

Another link in the capitalist chain is the banking system, as described in the documentary « Money as Debt ». https://www.youtube.com/watch?v=2nBPN-MKefA&pp=0gcJCf0Ao7VqN5tD

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Rosemary Siipola's avatar

Refreshing. We will have to do something like this to turn the corner. Hopefully, we can reach the couple in the basement and bring them along.

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Deb Schnackenberg's avatar

Thank you, Bill!

Mondragon is definitely the way more US corporations should be rin. I am reminded a bit of the founder of Chobani Greek yoghurt in upstate NY, not far from where we used to live.

He and his brother are actually from Kurdish area and bought an old dairy/cheese plant and have been so successful, offering their employees 10% ownership of the company as well as generous starting pay of $20/hr and three months parental leave (paid)

From Forbes:

The founder of Chobani, the upstart Greek yogurt maker recently valued at as much as $5 billion, just committed one of the most selfless corporate acts of the year: he’s giving 10% of the company to its 2,000 or so employees. Some long-term workers could receive stock valued at $1 million or more, with stock amounts based on each employee’s seniority.

What he gets in return is employees who outperform others ..

It's a start in the right direction and we should move more towards the Basque company's direction. It is a dream I have and thank these Chobani owners for a positive example ‼️

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Bill Alstrom (MA/Maine/MA)'s avatar

Thanks Deb, always great to hear your comments. Employee Stock Ownership Plans (ESOP) are terrific ways to run a business. I worked at Home Depot during its last "golden years". Before it went to the dark side with new management. Back then everyone of us was a stockholder and that was motivation plus. Powerful stuff.

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Bob Morgan's avatar

Interesting, Bill! And you're right - I don't know Jack. I'd certainly want to help him if I were in a position to do so. My own sons are self-sufficient, for which I'm quite proud, but I think a lot of it is due to the fact that they weren't saddled with debt and made good choices in family planning. We made sure they had no debt coming out of college, and helped them with some pre-inheritance so they could get their foot in the door of home ownership. We aren't wealthy (as I've said, "still working on my first $Billion"), but we were able to do what we did.

The story about Mondragon is interesting too, but I think we may be too far gone. There are some companies that operate in a similar fashion, I think. My insurance company, of all things, seems to be based on a similar concept: Here's what AI has to say about New Jersey Manufacturers (NJM): "NJM operates as a mutual insurance company, meaning it is owned by its policyholders rather than shareholders. This structure allows NJM to prioritize the needs of its customers over maximizing profits, according to NJM. NJM, also known as New Jersey Manufacturers Insurance Company, was founded in 1913 and is licensed and regulated by the New Jersey Department of Banking & Insurance." Maybe it's something to consider for other industries as well.

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Cathy Cohen's avatar

This is fascinating ! Mahalo for sharing !

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Kathleen Weber's avatar

Bill, is Jack's story a composite or based on the experience of a single individual?

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Bill Alstrom (MA/Maine/MA)'s avatar

Jack is a composite. A creation that collects a few of the challenges facing younger generations. The same people that want us to have babies, no matter what, provide so little help. As so many have said: "Pro-life" seems to end at birth.

Something that just sticks in my craw is the lack of support for families. We fight for equal pay and treatment of women in the workplace - but then we seem to set up so many roadblocks. How can women achieve equality if they can't afford child care? Some are lucky enough to have relatives to help. Some are rich enough to pay for good child care. But millions don't have either. It is a conspiracy to keep the wife in the kitchen, me thinks.

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