Editor’s note: This commentary is by Rob Miller, the CEO of VSECU. He is a former commissioner of the Vermont Department of Economic Development and senior executive with global asset management and risk consulting companies.
It is an incredible privilege to live in a democracy and enjoy the right to exercise our democratic power on Election Day. Now is an excellent time to reflect on the democratic principles that give us a voice in the process of electing a new president, governor, and national and state representatives. The same principles are utilized in cooperative organizations (co-ops), which have been celebrated over the last month during National Cooperative Month.
Co-ops exist in all sectors of the economy, including agriculture, retail, and health care, but perhaps the most familiar co-ops are in the banking industry in the form of a credit union. Like all co-ops, credit union members own a share of the organization and have a voice in business decisions through the member-elected board of directors. Every member has an equal vote, regardless of their deposit or loan balances.
If you are a member of a co-op or credit union, ask yourself if you have taken full advantage of the benefits available to you.
So, in addition to voting on Nov. 8, consider expanding your democratic power into other areas of your life. Besides the many benefits co-ops offer – including education and training, and commitment to community – they also provide the incalculable value of giving each member an equal, democratic voice in society. Membership also supports locally owned and controlled businesses, which means money is recirculated in the local economy. Members help build strong networks of people who share the same goals, providing a support system that also gives back to the local community.
Over the years, many people have recognized the value of joining cooperatives and credit unions. Because a cooperative is owned by its members and is governed by a democratically elected leadership, made up of its members, the profits are not taken by stockholders. Instead, earnings are re-invested into the co-op and the community through member discounts and community giving programs, for example.
While the benefits of membership are used by many, not all members take an active role in the co-op. Cooperatives operate under seven core principles; the first allows for voluntary and open membership, and the second calls for democratic member control. If you are a member of a co-op or credit union, ask yourself if you have taken full advantage of the benefits available to you. Do you vote? Have you volunteered to serve in a leadership role or on a committee? Do you attend your annual meeting? Similar to our upcoming national and state elections, co-op elections require active participation. If we lack volunteers or our members become complacent and do not exercise their voice, we lose a key value to the democratic nature of our model.
With an engaged membership, we can better support our members and our local community. Your participation in a local co-op has the initial benefit of providing you with a necessary product or service. But perhaps more exciting is the fact that your engagement with this service also supports your neighbors and your vision for your home, community, and the great state of Vermont. That’s what I call a win-win.
Read the story on VTDigger here: Rob Miller: More influence than you realize.