Canadian students are struggling. Many cannot afford housing , are struggling with mental health crises and increasing numbers don't have enough money for food .
Authors
- Michelle Stack
Associate Professor, Department of Educational Studies, University of British Columbia
- Caroline Shenaz Hossein
Founder of the DISE Collective & Associate Professor, Global Development & Political Economy, University of Toronto
At the same time, universities are spending time and money chasing media-driven rankings that don't offer tools for responding to these challenges or improve the quality of education or research in Canada.
But there's a proven alternative that generates trillions in the global economy but remains largely invisible in higher education: co-operatives.
Canada's 2025 budget mentions co-operative housing as a way to deal with the housing crisis, but co-ops go beyond housing. They could provide a place for students to practise democratic governance, to have a sense of community , to find dignified work and affordable food and housing - and to make research more accessible.
Co-operatives come in different forms , but they all sign on to key principles, many of which are similar to those espoused by educational institutions.
These include democratic member control, economic participation by members, autonomy and independence, voluntary and open membership, education and training and concern for the community.
Thriving Canadian co-operatives
As university professors, we frequently hear from students who struggle to make ends meet. For many, the first time they learn about co-operatives is in our classes, yet Canada developed a robust system of co-operatives during other periods of hardship , including the Great Depression. Many of these co-ops continue to thrive today .
Some co-ops are huge and others are small. In 2023, it was estimated that the most profitable 300 co-operatives globally made a combined total of USD $2.79 trillion .
Vancity is an example of a financial co-op. It started in 1946 to provide loans for working-class people in the east side of Vancouver. Today, its total assets are $36 billion . Co-operatives in Canada hold $50.5 billion in assets and employ more than 100,000 people .
Co-op innovators are often people who have been excluded or marginalized from systems that measure an individual's economic wealth with success and leave out their contributions to society and sustainability. For example, In 2015, Solid State Communities Industries was founded . It's well known for its success in building a solidarity economy in Surrey, B.C., and is led by racialized communities including students.
Mondragon co-operative
The co-operative Mondragon was founded in the 1950s in the town of the same name in the Basque region of Spain. It started by selling parrafin heaters and expanded to create a range of goods and services providing financial, education and health services, and has inspired many co-operative ventures, including in Winnipeg .
Today, Mondragon employs more than 70,000 people and comprises 92 autonomous co-operatives, including a university with approximately 5,000 students who learn and have opportunities to practise democratic governance throughout their education. Students also have employment opportunities at a Mondragon co-operative.
Mondragon was key to the region during Spain's recession and was able, through co-operation, to minimize harm caused by lost housing, jobs and cuts to social services. Research and innovation is central to the strength of Mondragon.
Co-operatives come in different forms
An often overlooked but important part of the co-operative movement is Rotating Savings and Credit Associations (ROSCAs).
One of the authors of this story, Caroline Shenaz Hossein, chronicles how these work in her book The Banker Ladies: Vanguards of Solidarity Economics and Community-Based Banks . In a ROSCA, a group of people contribute a set amount to a common fund at regular intervals, and each member takes turns receiving the total amount collected.
ROSCAs foster connection, community, trust, mutual support and financial inclusion. ROSCAS show that co-operative principles can thrive in formal organizations and everyday community life, including on university campuses.
Democratic decision-making
Co-operatives are not utopias - they are, after all, run by humans - but they do provide a structure for democratic decision-making, fairness and security. None of us is an island unto ourselves.
We need each other to ensure we all have the necessities of life - and the co-operative structures - to grapple with the existential threats we all face including climate change, the rise of disinformation and authoritarianism .
Co-operatives are a proven model for creating connection and providing affordable housing. They can also provide a means to make knowledge more freely available and to authenticate sources .
Canadian universities could choose to move away from competing over rankings to building a collaborative educational ecosystem that strengthens Canada's ability to create and share knowledge.
As living co-operative labs, universities could connect economic capacity and democratic governance with well-being. That means providing all students opportunities to learn about co-ops and creating government and university policies that support the development of co-operatives on campuses.
The mention of co-ops in the 2025 budget is a start - but we need to do more to connect co-operatives to improving education, access to research and well-being across university campuses.
Caroline Shenaz Hossein receives funding from the Canada Research Chair program.
Michelle Stack does not work for, consult, own shares in or receive funding from any company or organisation that would benefit from this article, and has disclosed no relevant affiliations beyond their academic appointment.
