On the Advantages of a System of Labour-Managed Firms

  title={On the Advantages of a System of Labour-Managed Firms},
  author={Bruno Jossa},
  journal={PSN: Democratic Theory (Topic)},
  • B. Jossa
  • Published 27 February 2017
  • Economics
  • PSN: Democratic Theory (Topic)
This paper offers an outline of a large body of economic literature which discusses the advantages of a system of employee-managed firms: the disempowerment of capitalists thanks to the suppression of their right to make decisions in cooperative firms; appreciable efficiency gains from worker involvement in production processes; a softer competitive regime and small risks of insolvency; an end to external firm control and, consequently, to the sway of multinational corporations; reduced… 
2 Citations
Labor Democracy in Digitalizing Industries: Emancipating or “Sandboxing” Participation in Discourses on Technology and New Forms of Work?
Democratic participation is a good example to illuminate the complex reality of digitalization in contemporary industries. Digitalization offers new ways to strengthen democratic processes in


The Viability of Employee-Owned Firms: Evidence from France
This study examines data on French producer cooperatives for the years 1970–79 to test the widely accepted theoretical prediction that employee-owned firms either will fail as commercial undertakings
The life cycle of worker-owned firms in market economies. A theoretical analysis
An empirical test of the theory of the labor-managed firm
Comparative empirical observations on worker-owned and capitalist firms
Cooperation, Productivity, and Profit Sharing
Firm-specific assets generate an ex post bargaining problem over surplus-division, and rational workers may collude to obtain a surplus-share in nonpecuniary form through restriction of effort.
Profit-Maximizing vs. Labor-Managed Firms: A Comparison of Market Structure and Firm Behavior
Recently workers' participation in decision-making and income sharing has received growing attention in academic as well as business and union circles, and has become a major political issue in