Co-operate or perish

This is why Labor has talked of assistance as a 'co-investment'.

But arguably there are better forms of 'co-investment' than a straight handout to multinational corporations.

Instead of providing a simple 'bailout' or 'grant' for the multi-national corporation, Coca-Cola Amatil, the Federal Government should make a $25 million genuine long term public co-investment – in tandem with the Victorian State Government, which could provide an additional $25 million. In this way the public could become a genuine stake-holder in SPC-Ardmona – helping to source the investment for the business to modernise and expand.

And crucially: such measures would be taken in partnership with the SPC-Ardmona workers. The Federal Government could provide a low-interest loan to the SPC workers, enabling them to reacquire the assets and the brand collectively, and run the business again as a democratic co-operative. Tax-breaks could also be applied over a transitional period: helping the restored co-op 'find its feet' again.

Potentially growers could also join in as part of this process of re-establishing and re-financing a co-operative enterprise. That is: SPC-Ardmona could form a united workers/farmers co-operative.

All this could be sustainable in a context where current wages and conditions continued to apply, but all dividends were directed for a period towards repaying the loan.

Importantly: As enterprises grow they generally need to source investment externally in order to fund expansion of production. This can be a problem for co-operative enterprise – as it gradually undermines the co-operative and democratic nature of such businesses. But with support from the Federal Government, an SPC-Ardmona co-operative could source passive investment from the public. And the workers affected could enjoy democratic control over their labours, and over the fruits of their labours.

Variants on the 'co-operative/co-investment' model could also apply in other strategically important sectors of the economy – for instance, automobile production.

And perhaps anti-dumping measures might also result in a 'fairer marketplace' for SPC-Ardmona.

But what the government should not do is to demand a grinding down of wages and conditions. Especially for workers already on below average wages. (ie: SPC workers receive in the vicinity of $50,000 a year). Apparently the Conservatives see intensifying exploitation as some kind of 'competitive panacea' to be imposed on us by militant employers.

There are better alternatives than this.