Housecleaning co-op members see income, benefits rise sharply

By Anne Todd
USDA Rural Development

omen’s Action to Gain Economic Security (WAGES), a nonprofit organization based in Oakland, Calif., was formed more than 10 years ago to help empower low-income women, both economically and socially, through cooperative business ownership. WAGES serves the greater San Francisco Bay area and specializes in housecleaning co-ops. Because the majority of housecleaners in California are Hispanic, WAGES focuses on helping Hispanic women. With WAGES' support, Latina women are moving out of poverty and into entrepreneurship.

WAGES was developed by women for women. It is founded on the cooperative model so that women will pool their skills and work together to succeed. A co-op is a business owned and controlled by those who work in it. Members make decisions democratically by giving each person a vote and distributing income equitably to all workers. The co-op business model enables workers to reap more benefits and have a stronger voice in their workplace.

WAGES incorporated in 1994 and opened its first offices in 1995. The first business WAGES helped develop was “Heaven Sent Housecleaning” in Palo Alto. In 1998, the organization began fostering cleaning co-ops in Silicon Valley and, by 2000, it had expanded its efforts throughout the Greater Bay Area.

Today, three WAGES co-ops are thriving: Emma's Eco-Clean in Redwood City, founded in 1999; Eco-Care Professional Housecleaning in Morgan Hill, founded in 1999; and Natural Home Cleaning in Oakland, founded in 2003.

All of the WAGES-sponsored businesses use an EFC™ (Eco-Friendly Cleaning) method as an integral part of their operation. EFC is a environmentally friendly housecleaning system that uses nontoxic, biodegradable cleansers and reusable cleaning tools. This EFC method protects the health of owners/workers, their customers and, ultimately, the environment.

In 2005, WAGES calculated that use of the method by the three co-ops cumulatively prevented the release of 4,000 pounds of hazardous materials in that year alone. Because of the success of this system, other organizations — Eco-Bay Landscaping in Oakland and Eco-Clean in Winnipeg, Canada — have started green co-ops as well, with assistance from WAGES.

WAGES has developed criteria to assess business enterprises before it organizes a new co-op. The business should provide women with a stable, decent income after a two-year period, require minimal investment of time on their part (not more than 100 hours of vocational training), be financially accessible to them (under $100,000 in capitalization requirements) and not harm the environment. WAGES co-ops receive start-up loans through Lenders for Community Development in San Jose, Calif. After three to four years of WAGES support, the co-ops are expected to be self-sufficient and independent.

In the future, WAGES hopes to expand its consulting work and help bring its eco-friendly model to communities in other parts of the country. The organization also plans to expand its Northern California Co-op network by launching new WAGES co-ops.

WAGES has had a significant impact on the Hispanic women who have taken part. Records indicate that co-op members are earning 50 to 100 percent more than they would working at a conventional cleaning company. On average, their household incomes have increased by 40 percent. As the co-ops grow, they are also able to provide health insurance and other benefits for the worker-owners. These benefits typically are not available to lowincome wage earners in conventional service jobs.

Ana Maria Alvarez, owner-worker at Natural Home Cleaning, immigrated to the United States in 2001. Of her experience she says, “It wasn’t easy immigrating here, but I met my current husband and he helped me settle in Northern California. I worked cleaning houses and doing other kinds of domestic work for a Mexican family.”

Regarding WAGES, Alvarez continues, “Today I feel happy. WAGES and Natural Home Cleaning are giving me the opportunity to work and to own my own business. I hope to move ahead and to work with others toward our common and individual goals. For me, the group experience is great because you learn to share with others and you learn things you didn’t know — often, when I don’t know something, my partner does.”

To learn more about WAGES, visit http://www.wagescooperatives.org.




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