Labour & Tories battle it out over 'worker co-operatives' plan.

BBC article

The John Lewis Partnership, the UK's largest employee-owned company, welcomed moves towards employee ownership in public service. Chairman Charlie Mayfield said: "We believe that co-ownership can empower front line workers to achieve a high level of customer service."

Tories

Mr Cameron said: "I know that there are millions of public sector workers, that work in our public services. and who frankly today feel demoralised, feel disrespected, feel a lack of recognition.

He assured workers that wage rates, pensions and other benefits would be carried across from the public sector and members would be able to remain in trade unions - and he urged the unions to overcome their "scepticism" about the plan.

He said workers co-operatives had been shown to boost productivity and staff morale and reduce absenteeism.

Labour

The government also aimed to create 200 Co-operative Trust schools by the end of the year - but unlike the Conservatives they preferred to involve the local community and users of services in the management of services, rather than just the staff, she added.

"This announcement would have a little more credibility if the Tories gave any indication at all that they understood what co-operative values mean," she said. "But clearly they don't.

Michael Stephenson, general secretary of the Co-operative Party, which counts 30 Labour MPs including schools secretary Ed Balls among its members, said: "George Osborne's comments show the Tories are completely clueless on co-operatives."

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