Consumers' Cooperative Societies in New York StateConsumers' League of New York City
History
Consumers' Cooperative Societies in New York State
Consumers' League of New York City
Consumer cooperatives --New York (State)
There are fourteen employees in the grocery and bakery. Hitherto they
have received wages higher than those generally prevailing throughout
the city for the same kind of work, but recently on their own initiative
they voted themselves a ten per cent decrease. In a cooperative all
members may know the financial status of the business and the employees
found that, due to the diminishing margin of profit, the business could
not support such a high scale of wages. Their wage cut followed because
as members of the cooperative they were interested not only in their own
wages but in the good of the society as a whole.
The Utica Cooperative Society was organized in 1915 by a group of
Germans. Half a dozen nationalities are now represented, although
Americans predominate. Although they had only ninety-two members and
$1,250 to start, they bought out a private store and began cooperative
business. Their bakery was originally in the cellar under the store. The
former owner was employed as manager. For three or four years they
experienced many difficulties. Within two years two managers proved
inefficient and had to be replaced. Only the tenacious loyalty of a few
kept the society alive. But they had the foresight and determination to
fight through those lean years.
Now for five years they have had the same manager. He insists upon
scrupulous bookkeeping methods, careful buying, close supervision of his
work by the board of fifteen directors, strict regard for the needs and
desires of the membership, and exceptional precautions against waste and
leakage. The president, a man having a private business of his, own, has
an idealism almost religious in quality. These two men cooperate closely
on matters of policy and provide much of the leadership which has
brought success.
The membership is now 380. The capital stock has increased from $1,250
to $27,594. The business in 1921 amounted to $105,598, forty per cent of
which was done by the bakery. Since 1915 the rebates to members on
patronage have totaled $8,207, fluctuating from nothing at all in some
years to eight per cent and ten per cent in other years. During this
period the lump sum saved to purchasers, including rebates, the earnings
on stock shares, and reserve fund, amounted to $12,642. This sum would
have gone into the pockets of private storekeepers except for the
cooperative store.
The Utica Society has succeeded because it has met the prime
requirements for effective cooperation. The greater part of the
membership was loyal during critical times when the easy way would have
been to withdraw and trade at chain stores. The management worked
unceasingly to put the business on an economical basis. Finally they won
out because they put Service over Profit and carried out that rule in
the most practical and businesslike way they could find.
* * * * *
Our Cooperative Cafeteria.
Public-domain text, read in full here on John Shaqi.
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