Worker Cooperatives are businesses which are democratically managed and owned by three or more workers, most commonly in the agricultural sector but also in retail, recreation and more. Cooperatives create safer and happier workplaces that build wealth for the workers and communities who utilize them. They are more resilient during economic downturns. They help small farmers band together and compete. They have 15% turnover rates in comparison to the 40-60% of business norms. For these reasons and more, The United Nations, as well as the City of Philadelphia, declared 2025 The Year of the Cooperative, to encourage nations, states, and cities to invest in building cooperatives.  
 

Under Pennsylvania law, a group of five employees may choose to file as a Cooperative Corporation. In doing so, they receive the correct legal benefits and protections, as well as requirements, for their business. However, many would-be cooperative entrepreneurs have just a few founders when they’re starting out. It is possible to transition later from a typical LLC to a cooperative, but this requires a burdensome re-filing process.  
 

My legislation will lower the required number of workers for a coop from five to three. This is a simple, zero-cost policy shift that will cut red tape and make it easier to get worker and small farmer run businesses off the ground. Please join me in sponsoring this commonsense legislation.