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What is a Demand Coop

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11–20 of 120 posts

Re: What is a Demand Coop

#11
Dumbest idea i've ever seen. Complete misunderstanding of how the tech world works.

The idea is: if sufficient consumers banded together and coordinated their spending power, they can drive decisions in the executive suite of the companies.

Nothing could be further from the truth. It's neither the spending of consumer nor even the spending of business that drive decisions. The only thing that drives decisions at that level is capital allocation - not spending allocation. Wealth drives these decision - not spending.

So if all these tech workers want to band together and do something about it, they would create their own ETF or mutual fund, and put all their wealth into that fund and then have the manager of that fund direct that capital based on their mission.

Of course you will see that this won't work because there just isn't enough capital here to move the market compared to the other capital allocators who are just trying to maximize returns.

Re: What is a Demand Coop

#12

Dumbest idea i've ever seen. Complete misunderstanding of how the tech world works. The idea is: if sufficient consumers banded together and coordinated their spending power, they can drive decisions in the executive suite of the companies. Nothing could be further from the truth. It's neither the spending of consumer nor even the spending of business that drive decisions. The only thing that drives decisions at that…

Also, if you are doing something other than maximising returns then you'll be outcompeted and irrelevant in the long run unless you attract many billions in inflows, or the government tips the scales in your favour e.g. ESG.

Re: What is a Demand Coop

#13

Earlier quoted context omitted.

I wouldn’t mind unions except they get involved in all sorts of political battles that I would get opted into. I would rather they focus on the barebones of negotiation for compensation instead of taking it over like it’s their personal nonprofit.

The cool thing about a union is that you actually can have a say in what political battles they fight You just can't do that if you only want to be a passive member

I don’t want to waste time to fight battles within the union. This is exactly what I’m talking about. If it’s just a political nonprofit with forced donations, I’d rather see them banned than join one.

Re: What is a Demand Coop

#14

Essentially, we need more unions - I'm not sure we have to invent new names for these things. These won't be your parents' unions, or the union boogeyman you may have seen on TV—the union can do exactly what you wish it to do. I've been (unintentionally) part of two union drives in my own life and have seen friends in an unrelated field participate in a third. They make perfect sense in moments like our current one,…

Agreed. The best time to form a union was 20 years ago (Especially because Tech Workers had leverage because they were in demand). The second best time to form a union is today.

Call it an association or guild or something other than a union. Lawyers and doctor have unions but they don't call it that.

Re: What is a Demand Coop

#15

Essentially, we need more unions - I'm not sure we have to invent new names for these things. These won't be your parents' unions, or the union boogeyman you may have seen on TV—the union can do exactly what you wish it to do. I've been (unintentionally) part of two union drives in my own life and have seen friends in an unrelated field participate in a third. They make perfect sense in moments like our current one,…

My only experience with unions was as a low level employee while I was in high school. It consisted of certain employees trying to drum up willingness to unionize through a combination of unrealistic promises and threats of violence. The company I worked for at the time was in trouble and went out of business before the unionization effort came to a vote. I don't know how representative my experience was, but it definitely soured me on unions for a long time.

These days I definitely believe that something needs to take up the role of fighting for the rights of labor, but I remain skeptical that unions, at least as they exist in the US, are the right tool for the job.

Re: What is a Demand Coop

#16
There seem to be a lot of enthusiasts of this kind of idea, and certainly there must be 100 people like this here on this forum in the US. Can they point me to one such one here that is high performance?

Re: What is a Demand Coop

#17

Essentially, we need more unions - I'm not sure we have to invent new names for these things. These won't be your parents' unions, or the union boogeyman you may have seen on TV—the union can do exactly what you wish it to do. I've been (unintentionally) part of two union drives in my own life and have seen friends in an unrelated field participate in a third. They make perfect sense in moments like our current one,…

> the union can do exactly what you wish it to do.

There is no such thing. A problem with a union is that everyone's going the same place, and you're not driving. Maybe that place is better than where you could get to on your own, or maybe not. But one thing that is definitely not true is that your union is going to do exactly what you want.

Re: What is a Demand Coop

#18
post #10
post #9

Earlier quoted context omitted.

It really depends on the union, mine concentrate on less hours for a salary that follow inflation, parental leaves and a gold plated drug insurance. I work 32.5 hours per week in the summer, have 24 days off, 2 personal days and 12 statutory holidays; that's 36 paid days off !

Every time I've ever seen a tech worker's union, it's always some sort of political experiment rather than legitimately advocating for the interests of the workers it nominally aims to represent. E.g. the Google AWU-CWA union just did a bunch of political stunt stuff, no salary negotiation or anything useful to the modal Google worker.

Less open office and more conference rooms.

Re: What is a Demand Coop

#19
post #10
post #9

Earlier quoted context omitted.

It really depends on the union, mine concentrate on less hours for a salary that follow inflation, parental leaves and a gold plated drug insurance. I work 32.5 hours per week in the summer, have 24 days off, 2 personal days and 12 statutory holidays; that's 36 paid days off !

Every time I've ever seen a tech worker's union, it's always some sort of political experiment rather than legitimately advocating for the interests of the workers it nominally aims to represent. E.g. the Google AWU-CWA union just did a bunch of political stunt stuff, no salary negotiation or anything useful to the modal Google worker.

Partly because they couldn't because they didn't organize in a way that let them because... well... one could speculate.

> Alphabet Workers Union (AWU), also informally referred to as the Google Union, is an American trade union of workers employed at Alphabet Inc., Google's parent company, with a membership of over 800, in a company with 130,000 employees, not including temps, contractors, and vendors in the United States. It was announced on January 4, 2021, with an initial membership of over 400, after over a year of secret organizing, and the union includes all types of workers at Alphabet, including full-time, temporary, vendors and contractors of all job types.

It's trying to cover too many different groups with competing interests (FTE, temp, vendor, and contractor).

Hypothetical negotiations that would favor FTEs may disfavor vendor or contractor contracts. That inherent conflict of interest in the negotiations would mean they can't negotiate for any of them on those matters. Also, the less than 1% of the people belonging to the union would mean the union can't represent them in collective salary negotiations either.

Of the represented group (say if they only organized for FTE tech workers), they would then have needed 50% + 1 of the employees in that classification to vote to have a union. It is possible - https://kickstarterunited.org for example (and yes, they are having trouble - but they are negotiating on working conditions and pay).

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Various "we should have a union" strings typically have been people wishing for one that is cross industry that they don't have to do anything. While industry wide union organization can exist (Kickstarter United is OPEIU - https://www.opeiu.org ) it is the local part that people forget... Kickstarter United is OPEIU local 153.

If people want a union, they need to organize at their company and get that 50% + 1 vote there.

When it is easier to switch jobs than it is to spend the several years to organize and negotiate a contract, the power of a union is diminished.

Re: What is a Demand Coop

#20
post #16

There seem to be a lot of enthusiasts of this kind of idea, and certainly there must be 100 people like this here on this forum in the US. Can they point me to one such one here that is high performance?

Plus or minus tiny details, the description from the article:

  A demand co-op is a cooperative that pools and directs the spending power of its members. Demand determines what gets built, who survives, and where wealth flows. Most communities already have enormous spending power, but because that demand is unorganized, the value created from it is captured by outside businesses and investors. A demand co-op coordinates that spending so economic activity can build communal businesses, assets, and long-term ownership instead of constant leakage.
covers a multitude. Eg: CBH from the 1930s onwards has pooled the spending power of grain farmers into building out farmer owned transportation networks (rail, ports, shipping, large scale silo storage) as communal assets and source of jobs for relatives and communities.

* https://en.wikipedia.org/wiki/CBH_Group

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