We are not the 'useless class'! From Marx to Balaji and Harari

Ever wondered how Marx's "dominant class" idea could mesh with Balaji's "network states"? What if, in Balaji S. 's vision, every class could be on top? Imagine a world without losers or oppressed minorities, where "class struggle" becomes a thing of the past. Do you think people are craving new kinds of unions, maybe decentralized, international 2.0 versions? Could unions be a stepping stone towards forming metastates? What if opposition-minded Russians and Belarusians in exile kicked things off by creating their own "union"?

The term "useless class" was introduced by historian and writer Yuval Noah Harari in his works, especially in the book "Homo Deus: A Brief History of Tomorrow". Harari uses this term to describe a potential future where automation, artificial intelligence, and other technological innovations could lead to a significant portion of the population losing their economic significance and becoming "useless" from the perspective of the market economy. According to Harari, technological developments could create a society where machines perform most of the work previously requiring human participation. This could lead to mass unemployment and a situation where a large part of humanity cannot find a use for their skills and talents, thus becoming the "useless class".?

A Fresh Look at the "Dominant Class" In Marx's world

The "dominant class" holds all the power, controlling production and keeping the working class under their thumb, - but what if we could shake things up with Balaji's concept of "network states"? These states are like digital communities where power and economic activities are spread out more evenly. This could mean a world where:

• Everyone gets a Universal Basic Income (UBI), giving people financial security no matter what.
• We decentralize ownership, letting everyone have a piece of the pie, not just the big guys.
• Digital democracy lets all voices be heard, making sure everyone gets a say in how things are run.
• A sharing economy helps distribute resources and wealth more fairly.
• Continuous learning and digital education platforms help everyone keep up with the changing world.

Mixing these ideas could lead to a society where power and wealth are shared more fairly, reducing the gap between the haves and have-nots. Imagine a world where, through "network states," every class, no matter where or how big, can band together in a metastate. In this world, there's no "losing minority" or oppression. Plus, anyone could choose to be a "citizen" of as many metastates as they like, based on their interests, values, and how much they want to get involved. How cool would that be?

More [tech] workers are starting to unionize: making unions decentralized

In an era where traditional unionizing faces steep challenges, platforms like Unit, Frank, and UniteOnline are leveraging technology to empower workers across various sectors, particularly those historically underserved by conventional unions.?

Unit, launched in December 2020 with $1.4 million in venture capital funding, exemplifies this shift. Billing itself as a toolkit for workers aiming to unionize, Unit provides a comprehensive suite of online tools and advisory services to navigate the complexities of forming a union—from rallying colleagues and signing digital authorization cards to negotiating contracts—all without the direct involvement of established unions. This approach not only democratizes the process but also addresses the logistical and financial barriers that have hindered unionization efforts, particularly in sectors like tech and non-profits. The platform's innovative model has already shown promise. A group of AT&T technicians, frustrated by the lack of engagement from traditional unions, turned to Unit for help in organizing.?

However, the rise of such platforms has not been without controversy. Skeptics question whether for-profit, Silicon Valley-backed startups can truly align with the long-term interests and values of the labor movement. The core concern is whether these platforms can sustain the depth of support and advocacy provided by traditional unions, especially in the face of anti-union campaigns and during contract negotiations. Skeptics worry about the implications of entrusting the future of labor organizing to startups that, while innovative, operate under a fundamentally different set of incentives than traditional unions.

Despite these concerns, the appeal of digital platforms is undeniable. They offer a new pathway for worker empowerment, especially for smaller workplaces and industries where traditional union presence is minimal. The pandemic has only accelerated this trend, as workers increasingly seek to organize for better conditions and protections, often turning to online tools to do so.

Unit's example, along with its peers like Frank and UniteOnline, underscores a broader shift towards a more inclusive and accessible approach to labor organizing. As these platforms continue to evolve, they could potentially reshape the landscape of labor rights and worker empowerment, blending the disruptive ethos of Silicon Valley with the foundational principles of the labor movement. This evolution prompts a crucial reflection on the future of labor organizing.?

A new trend has emerged, marking a significant shift from traditional union organizing methods: digital platforms and mobile apps are now at the forefront, empowering workers to navigate the complexities of unionization with unprecedented ease and efficiency.?

The appeal of platforms like Unit lies not only in their technological sophistication but also in their economic model. Charging only 0.8 percent of income as dues, Unit presents a cost-effective alternative to traditional unions, which often impose higher fees.?

The Digital Union Revolution: How Tech is Redefining Worker Solidarity. Frank and UniteOnline are entering the fray, each offering beyond unionization to include petitions, workplace mapping, and more.?Gone are the days when unionizing was synonymous with picket lines and collective bargaining sessions in stuffy boardrooms. Enter the age of the digital union, where apps and platforms are becoming the new battleground for labor rights. This isn't your grandfather's labor movement; it's leaner, meaner, and tech-savvier.

As stories of digital union drives begin to permeate the tech world, they bring with them a fresh narrative of worker empowerment. It's a narrative punctuated by the voices of platform workers themselves, from delivery drivers to freelance coders, who speak of newfound solidarity and collective power in the face of algorithmic management and precarious employment. Will these digital platforms withstand the onslaught of anti-union tactics and the complex dynamics of labor negotiations? Can they foster long-term community and support among their users, or will they falter in the face of the next disruptive innovation?

One where technology serves not to entrench the power of the few but to empower the many. It's a future where the ethos of solidarity and collective action is encoded not just in the rhetoric of union leaders but in the very algorithms that power our digital lives. It's the story of how technology is rewriting the social contract for the 21st-century worker. In the digital union revolution: the future of work is not just about the jobs we do but about how we come together to defend our rights and dignity in an increasingly digital world.

What if we create a co-op for freelancers hired through platforms like Deel and Papaya Global ? We could unite various freelancers into a co-op. Imagine setting up a pension, worldwide healthcare insurance, unemployment insurance – kind of like "new unions," a new working class. And what about a "union for founders"? Startup founders are forever 'in debt': to investors, employees, the market – nobody 'owes' the founder anything! Founders bear an immense psychological load, risking mental health issues, not to mention the pressure from shareholders. You can even find stories online about founders taking their own lives.

The New Capitalism: International Brotherhood of Teamsters 2.0 for the tech age

A new wave of cooperativism is challenging the very foundations of the gig economy. The narrative, until now, seemed set in stone: digital platforms like Uber, Amazon, and Upwork promised a future where work could be as flexible as the tap of an app, yet this flexibility came at a cost. Workers found themselves navigating a precarious landscape of low wages, uncertain work conditions, and a conspicuous absence of traditional employment protections. Enter the new generation of the co-op movement.

I am inspired here by (Rutger Bregman's optimistic vision of humanity's inherent goodness in "Humankind: A Hopeful History," and) the tangible success of Mondragon, the world's largest cooperative, this movement seeks to rewrite the rules of the digital economy. Mondragon, nestled in the heart of Spain's Basque Country, stands as a testament to what's possible when workers take the reins. Here, the highest-paid executive makes no more than six times the salary of the lowest-paid employee, and crucial decisions are democratically voted on by all members, blurring the lines between management and workforce. It's a system where the welfare of the community trumps individual gain, a stark contrast to the winner-takes-all mentality pervasive in Silicon Valley.

But Mondragon isn't just a feel-good story; it's a formidable economic force, with revenues exceeding eleven billion euros and a global footprint. It challenges the myth that worker-owned enterprises can't scale, offering a compelling alternative to the traditional corporate model.

Yet, challenges remain. The tug-of-war between scalability and staying true to cooperative principles. Furthermore, the digital economy's global nature necessitates a nuanced approach to workers' rights, one that transcends borders and regulatory frameworks. The question that looms large, however, is whether Mondragon's success can be replicated in the digital sphere, where the gig economy's roots run deep. Herein lies the promise of platform cooperativism, a term coined by Trebor Scholz , which merges the ethos of cooperatives with the digital economy's infrastructure. Platform co-ops like Consegne Etiche in Italy and Co-op Ride in New York City are pioneering a path where workers aren't just cogs in a machine but co-owners and decision-makers. These initiatives point to a future where the digital economy can be both innovative and equitable.?

They also underscore the crucial role of policy support and community engagement in nurturing these nascent models. Cities and governments can catalyze the growth of platform co-ops through funding, legislation, and by fostering an ecosystem that values cooperation over competition. As we stand at this crossroads, it's a reminder that in the digital age, our greatest strength lies in our ability to collaborate, to share, and to treat each other with dignity and respect. The lessons from Mondragon provide a blueprint for a more just and sustainable digital economy: it's a call to action for innovators, policymakers, and workers worldwide to reimagine what's possible when we prioritize people over profit.

P.S. Many thanks to my friend Alexey Potemkin from OSOME for our numerous discussions on this topic and for sharing articles.

Also, thanks to Unit 's founder, Jamie Earl White , and Megan McRobert , Unit’s director of organizing and a career labor organizer with stints at SEIU and the Writers Guild of America; founder of Frank , Logan LaHive ; founders of Coworker.org Coworker.org, CEO Sam Marks and Michelle Miller ; founder of UnionBase , Larry Williams Jr. . To the investors who are investing in this sector and providing insightful comments: Siri Srinivas ; Bloomberg Beta's Roy E. Bahat ; Draper Associates, led by Tim Draper . And a special huge thanks to the journalists who have given me so much food for thought and whose articles I have used: Julia Love , Raisa Bruner , Clint Rainey , Natasha Mascarenhas , Megan Rose Dickey , Hamilton Nolan , Lauren Kaori Gurley , Ruby Lott-Lavigna , Tristan Fiedler , Louis Westendarp . Also, thanks for the interesting comments from labor law specialists: Gordon Lafer of the University of Oregon's Labor Education and Research Center, Grace Reckers , the lead northeast organizer at the Office and Professional Employees International Union.

Also, a special thanks to those who are creating the new generation of cooperatives or writing about them! Ander Etxeberria , Mondragon’s director of cooperative dissemination; Fred Freundlich , a professor of organization and cooperative enterprise at Mondragon University; I?igo Ucín , the president of Mondragon; Alberto Gorro?ogoitia Iturbe ; Trebor Scholz , founding director of the Institute for the Cooperative Digital Economy at The New School; Nick Romeo , who teaches in the Graduate School of Journalism at UC Berkeley and is the author of “The Alternative: How to Build a Just Economy” and for the New Yorker; Kristin Toussaint , staff editor for Fast Company.