Worker cooperatives may sound like something out of the 19th century, but they still exist in the age of global capitalism.
In Spain, for instance, the Mondragon Corporation is a huge worker-run cooperative based around 95 collectives – the largest cooperative in the world.
Worker cooperatives produce products or services. But they are run very differently. Workers can become members of the cooperative they work for by buying a share of the business. This gives them a vote in how the business is run and a share of net income, after costs have come out.
Co-ops do not have external shareholders – the profits stay with workers. Rather than bosses deciding and workers carrying out the tasks, worker cooperatives are based on democratic principles. Big decisions are discussed and then voted on, and each member gets one vote. They offer a direct way for workers to control their production and shape the economy.
In Australia, these models peaked in the 1980s. Most are gone, though a few older cooperatives are still running, such as Tasmanian recycling cooperative Resource Work Collective, founded in 1993.
In recent years, there’s been renewed interest in the model. The Earthworker cooperative network focused on Victoria’s Latrobe Valley. The goal: find new types of employment and products in a coal area undergoing transition.
Coal plants in the Latrobe Valley provided jobs for generations of workers. Their closure poses real challenges.
How well does the model work?
Mondragon is the most well-known example. Founded in 1956 in the Basque region of northern Spain, Mondragon grew and became self-sustaining. It has developed supporting institutions such as research and development companies and even a university. It also established a credit union, which attracted capital and provided loans to cooperatives.
While Mondragon is a successful example, these organisations face a number of barriers to their survival.
Critics have argued worker cooperatives tend to fail as workers do not understand the market for their products, but Mondragon undercuts this criticism.
Worker cooperatives can have difficulties raising capital. Some banks can be reluctant to invest as they may lack familiarity or sympathy with the model.
Instead, workers may put some or all of their savings into the organisation to get it started. Taking these kinds of risks means some workers may be focused on getting immediate rewards, rather than investing surplus funds or building up cash reserves.
Workers can sometimes choose to transform a successful cooperative into a capitalist enterprise to achieve greater capital gains.
Surprisingly, trade unions are generally hostile and suspicious of worker cooperatives. Union organisers may fear worker-owners could see little need for trade unions in representing their interests, or that cooperatives could undercut union wages and conditions to remain competitive.
To date, worker cooperatives have had a limited impact in Australia, despite the relatively strong historical position of workers.
Compared to member cooperatives and other types, worker’s cooperatives tend to be short lived in Australia. That’s because most were formed by workers after an industrial dispute or to maintain employment during economic downturns.
In 1987, for instance, workers retrenched by a major communications company decided to form a co-op which became the Electronic Service Centre in Fairfield, New South Wales. A later example is Abrasiflex, a NSW company bought by workers facing retrenchment in 1993. Both cooperatives failed by the early 2000s.
Their popularity peaked in the 1980s, when the model was promoted by state Labor governments. Policymakers saw them as a short term means to resolve unemployment, rather than a long term means to secure economic democracy.
The model lost traction in the early 1990s due to an economic downturn, capital shortfalls and changing political circumstances.
New energy
The idea for Earthworker came from discussions between unionists and environmentalists over job creation and the environment. Earthworker founders were influenced by the Green Bans.
As the project’s website states:
Conflict can occur between environmentalists who want to shut down certain industries, and unionists who want to protect jobs […] we should work together for a “just transition” and create jobs that aren’t just better for the earth, but for workers too.
In this respect, Earthworker has much in common with the Cleveland Model in the United States, which links green business, local economic development and fair labour practices.
Earthworker only formally became a cooperative in 2011, though discussions date back to the late 1990s. In 2016, the network bought a hot water tank manufacturer in Morwell and began making their own tanks and solar hot water systems as the Earthworker Energy Manufacturing Co-operative. The cooperative is aimed at helping the Latrobe Valley’s transition away from coal power jobs.
Morwell and other Latrobe Valley towns are losing coal jobs. But new industries and business models are emerging.
Earthworker promotes the payment of trade union wage rates and conditions. The goal is to build a network of cooperatives supporting each other to build economies of scale.
Their other cooperatives include Earthworker Construction (residential construction, landscaping and maintenance) and Earthworker Smart Energy (improving thermal efficiency and comfort in homes). These cooperatives are generally small, with 10 members or fewer.
Another cooperative, Redgum Cleaning, closed down in 2023. It was not viable due to staff shortages, increased costs and work cancellations during the pandemic. Paying union rates in a competitive industry also assisted its demise.
By contrast, the Earthworker Energy Manufacturing Co-operative has found a way to survive in a competitive market.
Niche or mainstream?
Australian worker cooperatives ensure manufacturing and services remain locally owned and controlled. Could they expand? It’s possible.
Capital remains a major issue for Australian worker cooperatives such as Earthworker. Without capital, it’s hard to scale. Government efforts to expand domestic manufacturing often overlook this model.
The Earthworker network points to one future for Australian worker cooperatives. Despite the failures of the past, Earthworker’s focus on building a network of sustainable businesses rather than a single cooperative is a promising path.
Join seed saver extraordinaire Lloyd Sharp, from Mid Blue Mountains Seed Savers, as we launch the Upper Blue Mountains Seed Saving and Gardening group at the Food Security Fair on Sat 18 October. Lloyd will share some of his extensive seed saving experience, and there will be an opportunity to purchase and share local seeds and plants. Huge thanks to Happy Valley Seeds for donating heirloom seeds and discount cards, and to @thediggersclub for generously donating Vegetable and Flower Sowing Guides and their 2025/2026 Heirloom Seed Annual. There will be one for every attendee! The Food Security Fair is being held at the Blue Mountains Planetary Health Centre 33-39 Acacia St Katoomba and the Seed Saving presentation is at 10.20am. Bookings essential here (link in profile): https://events.humanitix.com/food-security-fair-or-planetary-health-initiative
Nev Sweeney, renowned permaculture teacher and practitioner, from Under the Choko Tree, will be leading a workshop on how to build and use a solar food dehydrator at the Blue Mountains Food Security Fair on Saturday 18 Oct. Nev will talk about why food dehydration is a good idea, some techniques that can be used to dry food, pretreat or not to pretreat, general tips and considerations about food drying, drying fruit and veg, testing for dryness and using dried produce. He will explain how he made a simple direct solar food dryer and a more complex indirect solar food dryer. Reserve your spot here (link in profile): https://events.humanitix.com/food-security-fair-or-planetary-health-initiative
Planetary Health volunteer, American permaculture teacher Susan Krings, has been helping to organise the inaugural Blue Mountains Food Security Fair. If you`d like to learn more about volunteering at the Centre email planetaryhealth@bmcc.nsw.gov.au or ring 0407 437 553
You can purchase tickets for the Food Security Fair in Katoomba on Saturday 18 October here (link in profile): https://events.humanitix.com/food-sec...
The day will include stalls, talks and demos about growing, sourcing, cooking, preserving and enjoying plant based food and protecting habitat for wildlife. The event is part of a series celebrating the centenary of World Animal Day.
The fabulous line up of speakers and workshop tutors includes Dr Milena Bojovic on the Future of Food; Holly Davis, co-founder of Iku and author of `Ferment`; Michael from Good Fat Pastry; Nev Sweeney from Under the Choko Tree on how to build a Solar Powered Food Dehydrator; Lloyd Sharp from Mid Blue Mountains Seed Savers; Marnee Fox from Forage to Feast; Teya Brooks Pribac from Plant Inspired; and Erin Hall on Weaving with Weeds and Manu Prigioni from Farm it Forward.
Stalls will include EarthRising Mushroom Farm, Bibi`s Kitchen, edible native plants, the Planetary Health Cafe and more.
Each session needs to be booked individually as numbers are strictly limited.
This event is being supported by a sEEd grant from the Australian Association for Environmental Education.
At the Food Security Fair on Sat 18th October the inspiring Teya Brooks Pribac, author of ‘Not Just Another Vegan Cookbook’ and founder of Plant Inspired, will be sharing innovative but very simple culinary techniques that can help you make delicious icecream, ‘egg` sandwiches and a wide range of cheeses without any eggs or dairy. Food that’s healthier for you and the planet. You no longer need to worry if the supermarket shelves suddenly don’t have eggs, or if you can’t afford them! There are so many cooking techniques that can help us create our favourite foods, without requiring animal products! The session will end with one of Teya’s fabulous cheese tastings. Bookings essential for this fascinating workshop here (link in profile): https://events.humanitix.com/food-security-fair-or-planetary-health-initiative
This event is one of a series celebrating the centenary of @worldanimalday @ph_alliance
In Marnee Fox’s session on Wild Edibles at the Blue Mountains Food Security Fair on Sat 18 October, she’ll share how to incorporate wild ingredients into your every day diet AND make it delicious. Marnee Fox is a sustainable interior decorator, stylist, foodie and weed convert. She`s also one half of Forage to Feast Australia with husband, renowned environmental educator Diego Bonetto. Building on Diego`s much-loved weed foraging workshops, Marnee takes the food found on the foraging tour to the table. Bookings essential (link in profile): https://events.humanitix.com/food-security-fair-or-planetary-health-initiative
If you haven`t yet tried the deliciousness of Good Fat Pastry you`ll be in for a treat at the Food Security Fair on Sat 18 October! Join Michael, the creative baker producing these mouthwatering plant based (and mostly gluten free) treats for breakfast, where he will inspire you to rethink everything you know about baking:
"Baking is both borne and constrained by convention—as are our expectations. Since Ancient Egypt and Rome, eggs, dairy, and cereals have been used in baked goods for flavour and functionality. The enormity of cakes, pastries, biscuits, and desserts we know and love—and the countless we have no awareness of—have been discovered and created through spontaneity and experimentation. Almost always resting on the magical transformations of these key ingredients under heat and energy.
Yet as the realm of food is one of creativity and sensory inquisitiveness there are inherent possibilities for alternatives—in replicating the familiar as well as creating novelty. This path can follow the complexities of molecular gastronomy or the simple pragmatism of substituting with what`s on hand. Find whatever works for you."
Spaces are limited so bookings essential here (link in profile): https://events.humanitix.com/food-security-fair-or-planetary-health-initiative
One of the highlights of our Food Security Fair on Sat 18th October is our Weaving with Weeds workshop at the Planetary Health Centre in Katoomba. In this relaxing and enjoyable workshop Erin Hall will help you identify common invasive weeds that are ideal for basket making, and teach you the basic skills to weave a range of different objects. At the same time you`ll be removing and repurposing weeds that are destroying habitat for our wildlife! Places are limited so bookings essential here (link in profile): https://events.humanitix.com/food-security-fair-or-planetary-health-initiative
We’re thrilled to announce that tickets are now available for Ferment the Season with Holly Davis at the Blue Mountains Food Security Fair on Saturday 18th October at the Planetary Health Centre in Katoomba. Holly will demonstrate how to ferment the season to create more nutrient rich and digestible food. She is the co-founder of Sydney’s Iku Wholefoods and author of ‘Ferment - A Guide to the Ancient Art of Culturing Food’ and ’Nourish: Sustenance for Body and Soul”. Learn the foundational principles and several techniques for fermenting seasonally abundant produce. Fermentation increases nutrition and eating a little ferment with every meal has unlimited benefits for our overall wellbeing and the planet! Places are limited so book early here (Food Security Fair link in profile for tickets): https://events.humanitix.com/food-security-fair-or-planetary-health-initiative
Thank you to everyone who so generously contributed to our celebration of the centenary of World Animal Day, and our tribute to the life of artist, poet, author, Animal Liberation founder, and animal rights activist, Christine Townend, at the Planetary Health Centre yesterday. At a packed event we feasted on delicious plant-based food, inspiring art and poetry, and memorable conversations, as we shared our love and respect for the extraordinary world of animals of which we are a part. Join us for further celebrations at our Food Security Fair on Saturday 18 October. Register here (link in profile): https://events.humanitix.com/food-security-fair-or-planetary-health-initiative
We`re thrilled to announce that tickets are now on sale for our inaugural Blue Mountains Food Security Fair at the Planetary Health Centre in Katoomba on Saturday 18 October! Register here (link in profile): https://events.humanitix.com/food-security-fair-or-planetary-health-initiative
The day will include stalls, talks and demos about growing, sourcing, cooking, preserving and enjoying plant based food and protecting habitat for wildlife.
Our fabulous line up of speakers and workshop tutors includes Dr Milena Bojovic on the Future of Food; Holly Davis, co-founder of Iku and author of `Ferment`; Michael from Good Fat Pastry; Nev Sweeney from Under the Choko Tree on how to build a Solar Powered Food Dehydrator; Lloyd Sharp from Mid Blue Mountains Seed Savers; Marnee Fox from Forage to Feast; Teya Brooks Pribac from Plant Inspired; and Erin Hall on Weaving with Weeds. Stalls will include EarthRising Mushroom Farm, edible native plants, the Planetary Health Cafe and more. Each session needs to be booked individually as numbers are strictly limited.
This event is being supported by a sEEd grant from the Australian Association for Environmental Education.
This Saturday 4 Oct, on the centenary of World Animal Day, you can meet other people passionate about protecting our wild neighbours, and contribute to restoring habitat for wildlife with them, by coming along and joining our dedicated team of Planetary Health Bushcarers as we regenerate the bushland at the Planetary Health Precinct. Learn more and register to attend (1.30pm) here: (link in profile): https://events.humanitix.com/planetary-health-bushcare-spring-summer-2025
Woohoo! We are so thrilled. Katoomba poet David Brooks has just won the Prime Minister`s Literary Award for Poetry with his book "The Other Side of Daylight: New and Selected Poems". Come and celebrate with us this coming Saturday night when he`ll read from his work for a World Animal Day celebration at the Planetary Health Centre. Bookings here (link in profile): https://events.humanitix.com/world-animal-day-raising-the-bar-for-nature
(apologies for dodgy screenshots ... we`ve been watching the awards streaming on YouTube tonight)
On the 80th anniversary of the bombing of Nagasaki and Hiroshima the Planetary Health Initiative and the Blue Mountains Peace Collective hosted a Peace Symposium and Community Picnic to provide pathways for everyone to take steps for a more peaceful future.
