Worker cooperatives: alternative governance for caring and precarious work

Abstract

PurposePrecarious work, characterized by low wages, unpredictable schedules and hours, physical hazards, and stressful psychosocial conditions, is a significant problem in the twenty-first century US economy. It most harshly affects women, racial/ethnic minorities, and immigrants. Caring labor jobs often involve precarious work and home health aide jobs are among the most precarious of these. With an ageing population creating high demand and a decline in the number of available workers, a societal crisis looms. The purpose of this paper is to discuss a business form that could positively impact the home care work environment.Design/methodology/approachThis paper reviews previous research to call for closer examination of worker cooperatives as a means to reduce precarious work among home health care workers.FindingsWorker cooperatives provide opportunities for economic empowerment for impoverished and marginalized workers. Cooperative Home Care Associates, a worker cooperative in the home care industry, reports better outcomes to workers than similar conventionally governed businesses.Research limitations/implicationsThis paper reviews results of a study comparing three organizational forms in the home health industry. Although there are relatively few worker cooperatives in the USA, future research should investigate this structure both where there is a low-wage labor force, and in general.Practical implicationsBetter outcomes for employees in the worker cooperative suggest that this is a viable business form for workers in precarious work environments.Social implicationsThe paper highlights the features of an organizational form that could help alleviate social ills caused by precarious work.Originality/valueThis paper considers the structure and function of a business form little studied in the management discipline. Based on their unique features and possibilities, worker cooperatives should be of interest to equality, diversity, and inclusion scholars; and to strategy, organizational behavior, and entrepreneurship scholars.