The Co-operative principles are guidelines
by which Co-operatives put their values into practice.
Statement on the Co-operative Identity
Definition: A Co-operative is an autonomous
association of persons united voluntarily to meet their
common economic, social, and cultural needs and aspirations
through a jointly-owned and democratically-controlled
enterprise.
Values: Co-operatives are based on the
values of self-help, self-responsibility, democracy, equality,
equity and solidarity. In the tradition of their founders,
Co-operative members believe in the ethical values of
honesty, openness, social responsibility and caring for
others.
Principles
1st Principle: Voluntary and Open Membership
Co-operatives are voluntary organizations, open to all
persons able to use their services and willing to accept
the responsibilities of membership, without gender, social,
racial, political or religious discrimination.
2nd Principle: Democratic Member Control
Co-operatives are democratic organizations controlled
by their members, who actively participate in setting
their policies and making decisions. Men and women serving
as elected representatives are accountable to the membership.
In primary Co-operatives members have equal voting rights
(one member, one vote) and Co-operatives at other levels
are also organised in a democratic manner.
3rd Principle: Member Economic Participation
Members contribute equitably to, and democratically control,
the capital of their Co-operative. At least part of that
capital is usually the common property of the Co-operative.
Members usually receive limited compensation, if any,
on capital subscribed as a condition of membership. Members
allocate surpluses for any or all of the following purposes:
developing their Co-operative, possibly by setting up
reserves, part of which at least would be indivisible;
benefiting members in proportion to their transactions
with the Co-operative; and supporting other activities
approved by the membership.
4th Principle: Autonomy and Independance
Co-operatives are autonomous, self-help organizations
controlled by their members. If they enter to agreements
with other organizations, including governments, or raise
capital from external sources, they do so on terms that
ensure democratic control by their members and maintain
their Co-operative autonomy.
5th Principle: Education, Training and
Information Co-operatives provide education and training
for their members, elected representatives, managers,
and employees so they can contribute effectively to the
development of their Co-operatives. They inform the general
public - particularly young people and opinion leaders
- about the nature and benefits of co-operation.
6th Principle: Co-operation among Co-operatives
Co-operatives serve their members most effectively and
strengthen the Co-operative movement by working together
through local, national, regional and international structures.
7th Principle: Concern for Community
Co-operatives work for the sustainable development of
their communities through policies approved by their members.
Manchester, United Kingdom
September 23, 1995
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