Achieving Reduction in Unemployment and Labour Conflicts: The Cooperative Model

Abstract

This paper examines the instrumentality of the cooperative business model in addressing unemployment and some labour related problems in the African society. The study was necessitated by the incessant occurrence of industrial actions like employees’ demonstrations, picketing, strike actions and employers’ maltreatment, sack, lockout and no-pay in the African Sub region. Considering the nature of these developing nations of the world, there are evidences that availability of job opportunities is short-circuited by corrupt leadership practices. Consequently, unemployment becomes the problem in the environment with its attendant social vices. Where jobs are created, unfair employers’ practices tend to scuffle conducive work atmosphere. As a result, trade unions (Employees’ Association) began to spring up. Their activities here are picketing and strike actions; and employers’ retaliation with sack, lockout and no-pay measures leading to low productivity occasioned by discordant work environment. The worrisome presence of these labour related problems – unemployment, industrial actions, low wage payment, avoidance of unskilled labour – has necessitated a call on the cooperative business model for rescue. The Researchers studied 6 non-institution based cooperatives in 2 LGAs of Imo State. A simple random sampling technique was used to select 45 respondents from each of the LGAs under study. A five point Likert scale questionnaire instrument was formulated for data collection. The various responses collected from the respondents were descriptively scored and added; the mean; mean set; standard deviation and rank order were used to answer the research question, while the hypothesis was tested with a multiple regression model. It was found that cooperatives have the capacity to: create self employment for members, absorb unskilled labour, curtail social vices, reduce economic crises of the members and ultimately eliminate industrial actions. The researchers  recommend the encouragement of the cooperative system of economic activity and industrial relations in all sectors of the African Sub region like Nigeria, as the saying goes; ‘there is strength in unity’.