Adding co-op details
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* Background
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Many software opportunites today are focused on building companies or
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products focused on short-term stock-market gains or raising venture
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funding rounds. This, along with other factors, has lead to precarious
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employment opportunities focused on a person's existing skills, with
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little-to-no emphasis on long term stability and individual growth,
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and long hours and stressful working conditions.
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I desire to work somewhere that focuses more on providing a
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high-quality, stable environment where everyone is able to learn and
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grow and earn an income over the long term. I would also like to work
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somewhere that emphasizes collaboration over command-and-control
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structures.
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My ideal workplace would be one where, eventually, members only need
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to work 3-4 days per week and are able to earn a living wage with a
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stable income over many years and where responsibilities are shared
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across all members equally. This would be somewhere that people learn
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and grow and strives to create a more equal workplace without
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discrimination.
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I have worked at many different companies and held many different
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positions over the years and based on that experience, and the people
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I have worked with along the way, I am convinced that this vision is
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possible. Individually, I have experience in all of skills needed for
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building companies, products, and managing teams, which also gives me
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confidence in this vision and also inspires me to share what I have
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learned with others.
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The realization of this goal is to create a worker owned software
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product cooperative. What follows are my working ideas on how this
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cooperative would be built and function, although I plan to get as
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much feedback on these ideas as possible from potential members!
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* Structure
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- Worker control: 1 worker = 1 vote
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This means that every member of the co-op has equal say in the major
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decisions affecting the co-op. There can be no "bosses" except those
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voted for by the members themselves (who can then also be removed by
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those members). This also means that regardless of how much capital
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a member invests, they will have equal say to all other members.
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** Decision Making
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I envision all major decisions being made by consensus of all members,
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falling back to majority vote only if absolutely needed. The goal
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would be create an environment in which all members are empowered to
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have equal control over their own working environment and the future
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outcomes of the co-op.
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** Capital Investments
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The co-op may opt to correlate end-of-year profits to amount of
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capital investment. The idea is that all members get paid a
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living-wage and provided good benefits via standard W2 employment, but
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any additional money beyond that required to pay its member's salaries
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and run the operations of the company, and that is not elected to be
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re-invested back into the company, would be distributed back to
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members on an annual basis based on their capital
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investments. Effectively, this means that early co-op members, or
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members that invest more direct capital, would be eligible to receive
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a larger proportion of any potential profits under the assumption that
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they may have take on more risk.
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** Formation
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The legal vehicle by which the co-op operates is yet to be
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determined. Likely a lawyer will need to be consulted before any
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decision is made. Possible options:
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- California provides a legal framework for creating, running, and
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operating worker-owned co-operatives.
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This appears to be a decent option with many advantages including it
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is very cost-effective both in terms of corporate fees and tax-pass
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through schemes. The likely big downside is that few companies use
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this structure so the legal environment is less defined. This may
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not matter if outside investment is never considered/desired.
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More resources [[https://cccd.coop/co-op-info/co-op-types/worker-co-ops][here]]
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- Standard Delaware Corp or LLC
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It sounds like some co-ops have been able to form under more
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standard business vehicles. This would provide the advantage of a
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much more developed legal framework and services but may not provide
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the same level of protections for members as a legal regime created
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specifically for co-ops.
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** Positions
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Ideally, members can freely rotate between skilled, unskilled,
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professional, administrative, and managerial roles as desired. My
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experience is that siloing individuals into very specific roles often
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leads to unequal work environments as people are not able to gain the
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experience they need to make good decisions in all areas and people
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can then use their knowledge over people. One option would be to have
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a program that helps all members spend some amount of their time
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involved in all roles at some point, not just solely focused on their
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primary skill.
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** Membership
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As per existing corporation and co-op law: membership would be
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accomplished by buying at least one share in the company. The cost of
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a share would be set by the members. A member could buy more than one
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share but that does not entitle them to any benefits outside of
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potential extra profit earnings. When a member leaves the company, the
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company must reimburse the member for all of the shares they
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own. Shares therefore act as a means of documenting ownership and as a
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vehicle for members to invest capital into the company.
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What should the process be for accepting new members? I think a good
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starting place would be to initially hire people "on probation" for a
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set period of time, maybe 6 months. After the probationary period, the
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members can vote on whether or not to extend a membership
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offer. During the probationary period the person would not be eligible
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to vote with the members but they may be allowed to participate in
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discussions around decisions made by members.
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* Workplace
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My preference would be a "remote-first/virtual" workplace with at
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least two in-person meetups per year. A good starting place may be to
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look at how GitLab organizes their "transparent", "remote-first"
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workplace in their public [[https://handbook.gitlab.com/handbook/][handbook]], specifically their [[https://handbook.gitlab.com/handbook/teamops/][teamops]]
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section.
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* Product
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I strongly believe in the value of all people and in this context that
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includes the co-ops members but also potential users and customers. I
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would want the co-op to always choose to empower its users vs attempt
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to exploit them. This likely means things like:
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- providing high-quality and easy data export options to prevent
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vendor lock-in
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- providing program source to customers (likely under an AGPL license)
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* General Goals
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- worker control: 1 worker = 1 vote
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- long-term, stable sustainable job's for members
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- prioritize less work hours over growth/profit
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- voluntary and open membership
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- no discrimination including:
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- gender
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- social
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- sexuality
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- racial
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- political
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- religious
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- provide a safe and inclusive work environment
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- members must feel safe to make mistakes and voice different
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opinions
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- communication should be direct and specific
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- expectations must be explicitly communicated
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- boundaries must be listened to and respected
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- members must not speak to or cooperate with law enforcement
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- provide opportunities for members to learn and grow
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- remain independent and autonomous
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- outside capital, if any, may not have control
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- cooperate with other cooperatives
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- concern for community
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- actively engage with local communities
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- actively manage environmental impacts
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- seek out, involve, and learn from diverse groups
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** Bylaws
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- Impactful decisions and bylaws can only be made by a vote of all
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members (consensus)
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- Hiring and firing of a member can only be made by a consensus vote
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of all members
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- The co-op and its members may not enter into any agreements that
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would cause the change of worker control
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