THIERRY GALANI TIEMENIDARCY DU TOIT

Social Law Project, University of the Western Cape

Domestic workers’ cooperatives:Organisational and regulatory possibilities

Starting premises:• The “formal economy” cannot

absorb the “informal economy”• Traditional (“industrial”) trade

unions are inappropriate for organising workers such as domestic workers

• Cooperatives offer a possible organisational model for domestic workers

Definition:• “an autonomous association of

persons united voluntarily to meet their common economic and social needs and aspirations through a jointly owned and democratically controlled enterprise organised and operated on co-operative principles”

- s 1, Co-operatives Act of 2005

There are many forms of cooperatives – for example • “service cooperatives” (providing

services for members)• “worker cooperatives” (providing

work opportunities for members)… but different forms of cooperatives can be mutually supportive

International precedent shows that worker cooperatives of domestic workers can be successful – e.g.: • Cooperative Home Care

Associates• Owned by 1 700 women• Licensed by NY State

Department of Health• Generates $40m per year

Domestic worker agencies show demand for home care services in South Africa• Range from criminal

organisations to successful formal businesses

• “Marvellous Maids”• Training courses• Customer pays fee

Cooperatives Act provides for establishment of numerous forms of cooperative, including “service”and “worker” cooperatives• Simple to establish but high

level of supervision• Supportive legal environment• Based on commercial model• Sophisticated administrative

and accounting requirements

Domestic workers’ cooperatives would need significant support in getting established, including –• Start-up funding• Initial administrative support• Capacity-building(NB: “social” purpose of cooperative)

Domestic workers’ cooperatives could potentially• Empower members • Offer training (generic qualifications)• Provide services for members (e.g.

financial, child-care, housing….)• Compete with commercial agencies

(be financially sustainable)• Collectively determine conditions of

work (proto-collective bargaining)• Advocate/mobilise for regulatory

reform

The way forward• In-depth research• Support for co-

operatives among domestic workers