"The Fogo Island Cooperative "The Fogo Island Cooperative Society and its Workers: Society and its Workers:

Lessons from the Fishery.”Lessons from the Fishery.”Judy Haiven and Larry Haiven,Judy Haiven and Larry Haiven,

Saint Mary’s UniversitySaint Mary’s University

Haiven…Fogo Slide 2

A sense of placeA sense of place

Haiven…Fogo Slide 3

A bit of historyA bit of history

• fishing families establish fishing families establish communities along 17,000 communities along 17,000 km of coastlinekm of coastline

• ““robust folk culture of robust folk culture of egalitarian social relations...”egalitarian social relations...”

• exploitive relationship with exploitive relationship with merchantsmerchants

• search for collective search for collective solutionssolutions

Haiven…Fogo Slide 4

Search for collective solutionsSearch for collective solutions• outport as collective ventureoutport as collective venture• harvesters vs. harvesters vs.

processors/marketersprocessors/marketers• Fishermen’s Protective UnionFishermen’s Protective Union

– 1908-19191908-1919– Port Union & beyondPort Union & beyond

• Fogo tooFogo too

– multiplicity of collective enterprisesmultiplicity of collective enterprises• retail store, salt-fish plant, fleet, railway, retail store, salt-fish plant, fleet, railway,

housing, beverage plant, shops, hotel, housing, beverage plant, shops, hotel, school medical etc.school medical etc.

Haiven…Fogo Slide 5

Origins of Fogo Co-opOrigins of Fogo Co-op

• Smallwood’s “modernization”Smallwood’s “modernization”

• official resettlement programofficial resettlement program

• closing of merchant enterpriseclosing of merchant enterprise

• ““the Fogo Process”the Fogo Process”– film as community econ dev vehiclefilm as community econ dev vehicle– islanders talk to one anotherislanders talk to one another– dialogue with politiciansdialogue with politicians

• founded 1967founded 1967

Haiven…Fogo Slide 6

Fogo Co-op governanceFogo Co-op governance

• producer and worker co-op producer and worker co-op • c. 800 active membersc. 800 active members

– ½ producers; ½ workers½ producers; ½ workers

• 11-person board11-person board– up to 3 workers maximum; rest are producersup to 3 workers maximum; rest are producers– no distinction between large & small no distinction between large & small

producersproducers• but tension existsbut tension exists• domination by large producersdomination by large producers

Haiven…Fogo Slide 7

Decline of the cod fisheryDecline of the cod fishery• overfishing, especially by foreign factory overfishing, especially by foreign factory

trawlerstrawlers• spike in 60s-70s gave false expectationsspike in 60s-70s gave false expectations• northern cod moratorium 1992 – still in northern cod moratorium 1992 – still in

effecteffect• affected 35,000 fishers + workers (+ affected 35,000 fishers + workers (+

adjuncts)adjuncts)• ““tragedy of the commons”tragedy of the commons”

– soluble through co-operatives?soluble through co-operatives?• Fogo Co-op especially agile at post-Fogo Co-op especially agile at post-

moratorium economic developmentmoratorium economic development

Haiven…Fogo Slide 8

Fogo post-moratoriumFogo post-moratorium

• agile at developing new sources of agile at developing new sources of economic activityeconomic activity– primary productsprimary products

• Crab, Shrimp,Turbot, Capelin, Herring, Mackerel, Sea CucumberCrab, Shrimp,Turbot, Capelin, Herring, Mackerel, Sea Cucumber

– ““value-added” productsvalue-added” products• Shrimp Alfredo, Seafood Juliana, Seafood Pizza Topping, Fish Chowder, Seafood Shrimp Alfredo, Seafood Juliana, Seafood Pizza Topping, Fish Chowder, Seafood

Chowder, Seafood Topping & FillingChowder, Seafood Topping & Filling

• poor harvests recently + failing markets + poor harvests recently + failing markets + Cdn. $Cdn. $

• ““fishing down the food chain”fishing down the food chain”– cod cod shrimp & crab shrimp & crab

Haiven…Fogo Slide 9

Labour relations in the fisheryLabour relations in the fishery• fishers not employed fishers not employed not eligible for trade not eligible for trade

union lawunion law– fishers often bosses – “sharemen”fishers often bosses – “sharemen”– but dependent on purchasers/processors but dependent on purchasers/processors

• want to negotiate fish prices with want to negotiate fish prices with processorsprocessors

• NF fishers unique in:NF fishers unique in:– access to EI, Workers’ Compaccess to EI, Workers’ Comp– collective bargaining rightscollective bargaining rights

• Fishing Industry Collective Bargaining Act (1971)Fishing Industry Collective Bargaining Act (1971)– set fish prices through collective bargainingset fish prices through collective bargaining

• arbitration more common now – sets minimum arbitration more common now – sets minimum priceprice

• processors inherently unstable & flightyprocessors inherently unstable & flighty• fishers stable & encumberedfishers stable & encumbered

Haiven…Fogo Slide 10

Food, Fish and Allied Workers UnionFood, Fish and Allied Workers Union• founded 1970 by Cashin & Fr. founded 1970 by Cashin & Fr.

McGrathMcGrath– inspired by Antigonish Movementinspired by Antigonish Movement

• despite collective bargaining act, despite collective bargaining act, tough struggle to establish bargaining tough struggle to establish bargaining rightsrights

• three separate groups of membersthree separate groups of members– offshore trawlermen (employees of offshore trawlermen (employees of

trawlers)trawlers)– fish plant workersfish plant workers– inshore fishersinshore fishers

• union also professional association union also professional association for inshore fishersfor inshore fishers– major political player in NF/Cdn fishing major political player in NF/Cdn fishing

industryindustry

Haiven…Fogo Slide 11

Fogo Co-op unionizationFogo Co-op unionization• left out of initial union drives in 70s – 80sleft out of initial union drives in 70s – 80s

– because of co-op statusbecause of co-op status• in late 90s-2000 union organized Fogoin late 90s-2000 union organized Fogo

– seeking to speak for the whole industryseeking to speak for the whole industry– fishers (no beef w Co-op – for professional fishers (no beef w Co-op – for professional

reasons)reasons)– plant workersplant workers

• precipitated by lack of voice, discontent & several precipitated by lack of voice, discontent & several high-profile incidentshigh-profile incidents

• two bargaining units:two bargaining units:– crab & groundfishcrab & groundfish– shrimpshrimp

• both sides “reverted to type”both sides “reverted to type”– adversarial relationshipadversarial relationship

• bossboss• unionunion

• co-op tries end runs around unionco-op tries end runs around union– loses at labour boardloses at labour board

Haiven…Fogo Slide 12

Problems in Fogo Co-opProblems in Fogo Co-op• fault linesfault lines

– among fishersamong fishers• large vs small boatlarge vs small boat

– fishers vs plant workersfishers vs plant workers• representation on boardrepresentation on board

– between groups of plant workersbetween groups of plant workers• by seniorityby seniority• by geographic regionby geographic region• by affiliation with producersby affiliation with producers

– board vs rest of co-op membersboard vs rest of co-op members– board vs managersboard vs managers– problems of capitalizationproblems of capitalization

• of “the business” i.e. physical plant & equipmentof “the business” i.e. physical plant & equipment• of fishers boats & equipment of fishers boats & equipment

– geographicgeographic• among island communitiesamong island communities

• all exacerbated amid declining resource all exacerbated amid declining resource basebase

Haiven…Fogo Slide 13

Problems in Fogo Co-op IIProblems in Fogo Co-op II• problem of lack of voiceproblem of lack of voice

– disproportion between workers & producers disproportion between workers & producers on boardon board

– growing lack of voice of workers on growing lack of voice of workers on organization of their workorganization of their work• worker representative committeeworker representative committee• captured by special interestscaptured by special interests

• problem of contact with co-op membersproblem of contact with co-op members• problems of invidiousness among co-op problems of invidiousness among co-op

membersmembers– should co-op be part of solution or part of should co-op be part of solution or part of

problemproblem– role of union – rigidifies battle linesrole of union – rigidifies battle lines

Haiven…Fogo Slide 14

Problems in Fogo Co-op IIIProblems in Fogo Co-op III• trying to rationalizetrying to rationalize

– e.g. dockside gradinge.g. dockside grading– single plantsingle plant

• access to workaccess to work– fishers approach co-op for capitalfishers approach co-op for capital

• esp after moratorium – move to crabesp after moratorium – move to crab– some supported, some notsome supported, some not

• some not supported shipped off-islandsome not supported shipped off-island– need to downsize – whom to recall or notneed to downsize – whom to recall or not

• co-op chose to discriminate not on seniority co-op chose to discriminate not on seniority but on family affiliation to fishers (&sharemen) but on family affiliation to fishers (&sharemen) shipping off-islandshipping off-island

• threat of remaining fishers to leave co-opthreat of remaining fishers to leave co-op– human rights case – co-op loseshuman rights case – co-op loses– union certified for plant workersunion certified for plant workers

Haiven…Fogo Slide 15

Lessons to be learned ILessons to be learned I

• unions & co-ops both collective solutions unions & co-ops both collective solutions to problems of capitalismto problems of capitalism– as they professionalize, bureaucratize, they as they professionalize, bureaucratize, they

tread separate pathstread separate paths– if and when they again connect, often find if and when they again connect, often find

selves at loggerheadsselves at loggerheads– need to work together need to work together from the startfrom the start

• unions need to support co-opsunions need to support co-ops• co-ops need to be unionized co-ops need to be unionized from the startfrom the start

Haiven…Fogo Slide 16

Lessons to be learned IILessons to be learned II

• co-ops must reconcile their co-ops must reconcile their business side with the co-operative business side with the co-operative sideside– like binary weaponlike binary weapon– they must support each other or they they must support each other or they

will destroy each otherwill destroy each other

• governance is a keygovernance is a key– either virtuous or vicious circleeither virtuous or vicious circle

• virtuous: members participate virtuous: members participate have confidence in co- have confidence in co-

opop co-op expands member activities co-op expands member activities attracts attracts member participationmember participation

• vicious: members distrust or apathetic to co-op vicious: members distrust or apathetic to co-op governance governance members lose confidence in co-op members lose confidence in co-op governance stagnatesgovernance stagnates

Haiven…Fogo Slide 17

Lessons to be learned IIILessons to be learned III

• Born out of a crisisBorn out of a crisis– Threat of relocation of communityThreat of relocation of community– question of dependence on fisheryquestion of dependence on fishery– Idea of a co-operative based onIdea of a co-operative based on

• Self-help (mutual help)Self-help (mutual help)• Self-management (or governance)Self-management (or governance)

• Managing the fishing cooperative requiresManaging the fishing cooperative requires– Understanding the needs of the fishers and Understanding the needs of the fishers and

the plant workersthe plant workers– Fall back position is always profit-motivated, Fall back position is always profit-motivated,

consumer driveconsumer drive– But in a co-operative the traditional business But in a co-operative the traditional business

model should not apply in the same waymodel should not apply in the same way

Haiven…Fogo Slide 18

Coops: in good times & bad Coops: in good times & bad timestimes

• In good times – paid too little In good times – paid too little attention to cooperative attention to cooperative principles, values and educationprinciples, values and education

• In bad times – not much to fall In bad times – not much to fall back onback on

• Fishers and workers become Fishers and workers become distanced from coopdistanced from coop

• Management becomes Management becomes “traditional”“traditional”