Toledo union journal. [volume] (Toledo, Ohio) 1942-current, 1943-10-22

Clayton w. 'ei' - p = '''o
Eourto;r enterprise.
For years
the big-wigs of business had
nothing but scorn for the coop
assault on poverty and injustice,
But now, suddenly. this thorn in
the side of orthodox commerce
has pricked deeply enough to
evoke yell of anguish.
A Central Coordinating. Group,
Incorporated" has been organ
lied in Chicago for the express
purpose of fighting the co-ops.
The objective of this CONNER
cial hatchet crew is to lobby for
taxes on the patronage dividends
paid to those holding stock in the
co-Ops.
CO-OPS NEED LABOR AID
This attac,. on the co-ops is by
no means a private brawl. 1t is to
the interest of labor to roll up its
sleeves and get in a few licks on
the side of the co-ops. The con-
sumers cooperatives and the la
Dor unions are natural allies in
the historic war against privilege
and profiteering
1t behooves the brothers and
sisters of labor, therefore, to get
better acquainted with their fell
low fighters for justice in the
coop camp.
The cooperative movement has
r.uch to teach the organized
workers about sound economic
principles. The basic theory of
the co-ops is that the common
people pay (mostly through the
nose) the entire cost of construct
ing productive and distributive
facilities; and that, therefore,
these same facilities rightfully
belong to the consuming public.
This economic view is. of course,
shared by many in the camp of
social progress. But the co-ops
do more than just dream about
the land of plenty. They sweat
and labor and get their teeth into
samples of the fruits of economic
abundance.
They work at winning the
abundance so many of US merely
talk about
PROFITS TO THE PEOPLE
Instead of weeping in their
beer about the injustice of allow
ing the lions share of profits
always to go to the industrialists,
the bankers and the landlords,
the cooperators reach out and
snatch the profits for themselves.
They save their dimes and dol
lars and pool their funds to buy
a grocery store, gas station or
a coal yard. The going rate of
interest is paid to those who in
vest their funds in the coopera-
tive project, but it may be raised
or lowered by a democratic vote
of the members of the society.
In contrast with the private
business corporation, each stock
holder in a cooperative society
has only one vote.
1t is impossible, therefore, for
those with big holdings of stock
to outvote the one and two-share
members. This insures a vigorous
democratic control of the des-
tinies of the society.
PATRONAGE DIVIDENDS
At the end of specified fiscal
periods, the members of the So
ciety meet to decide what shall
be done with the profits acquired
in operation of the cooperative.
Dividends are paid to members in
direct proportion to the amount
of goods bought by each member.
If a 10 per cent dividend IS
declared the member who bought
500 worth of goods gets a $40
dividend, while the member who
bought $500 worth of goods gets
$50 dividend. These dividends
represent the profits that would
90 to the owner of private
business. A certain portion of
the profits is set aside to finance
educational activity.
Soon the stores pool their re-
sources to buy a wholesale house.
The gas stations unite to buy a
refinery, and then an oil field.
The coal yards combine to buy a
mine. In this fashion the coop
eratives have progressed to the
point where they own their own
factories for manufacturing farm
implements.
There are no capitalists, bank
ers or landlords hogging the in
come of these cooperative enter
prises. The profits go to the
members of the coop.
This is economic democracy in
action.