First Minister urged to ‘pivot to social enterprises' in COVID-19 recovery
13th July 2020
A wide-ranging coalition of sixty-four Scottish economists, charities, think tanks, and businesses have sent an open letter to the First Minister to voice concern over the proposed nature of the economic recovery plans of the Scottish Government.
The group calls for a radically fairer Scotland focusing on closing the employment gap for women and disabled people, plus fairer wages and lower carbon.
To do this, the group proposes practical steps for a nationwide pivot towards community-led social enterprises - a Wellbeing Economy. While the letter acknowledges that the First Minster appears to share the same hopes, it also notes that to date there has been not one mention of the social enterprise sector in any of the government's reports, terms of reference or statements on recovery.
Looking to New Zealand and looking at Scotland's own history leading the way in creating social enterprises the challenge is set to move towards 1 in 10 jobs being in these community-led and wellbeing-led workplaces by the end of the recovery, placing Scotland top of international league tables for fair work and equality.
The Letter
The First Minister
The Scottish Government
St Andrew's House
Regent Road
Edinburgh EH1 3DG
9 July 2020
Dear First Minister,
As academics, business leaders, politicians, and community leaders we call for an economic stimulus in Scotland which really places equality, community and wellness first. This means making a disproportionate investment in community, cooperative and social
enterprises in redesigning Scotland's economic stimulus. This in turn will result in closing the employment gap for women and disabled people, plus fairer wages and lower carbon.
The lives of people rich or poor in communities across Scotland have been devastated by Coronavirus, with too many losing loved ones and livelihoods. Rightly, the Government response has been the biggest seen in peacetime. The ongoing economic stimulus
response will be similarly unparalleled in scale. While there are plenty of #BringBackBetter slogans and strong ideas in the recent Economic Recovery Advisory Group report, it is not clear we are heading to a radically fairer Scotland.
Even well-designed tax-cuts, job creation schemes and business investment guarantees will overall favour corporations, business owners, lenders, and the better off. Scotland's stated aim to invest public money in "high growth potential enterprises" such as digital start-ups or technology giants creates jobs, but does it always share the benefits of that growth?
Yet Scotland already has a unique asset. This is the birthplace of alternate business models in which power and wealth can be shared by communities and workers: social enterprises; cooperatives; mutuals and unions; community share issues; development trusts; social firms; rural community businesses; credit unions; and community shops.
Already 1 in 25 workers in Scotland have jobs in social enterprises, although mostly in small or fragile businesses vulnerable to competition from private or multinational corporations. They are far more likely to employ and be led-by women or disabled people
than private businesses and 28% of them focus on green-energy, carbon reduction or circular-economy jobs. This is the economy Scotland needs to bring back even better.
A decade ago, New Zealand looked to us to learn how to build social enterprises; now they surpass us. The Advisory Group report didn’t even mention them. Yet it is reasonable to aspire to 1 in 10 jobs to be in these community- and wellbeing-led workplaces by the
end of this recovery, placing us top of international league tables for fair work and equality.
We should consider the £200m New Deal for Communities proposed by Scottish Community Alliance. Perhaps private businesses needing bailouts could be handing ownership to communities, customers or workers. New public works and regeneration schemes should genuinely advantage contractors who place community ownership first. Vitally, trusting in and investing at a community level must become the default, from rural towns to deprived urban neighbourhoods.
This is the time to harness the power of our communities towards a Wellbeing Economy.
Yours sincerely,
Professor Mike Danson, Professor Emeritus of Enterprise Policy at Heriot-Watt University
Lynn Henderson, Convenor at the Jimmy Reid Foundation
Colin Lee, Chief Executive at CEMVO Scotland
Douglas Westwater, CEO at Community Enterprise
Rodney Stares, Treasurer at Senscot
Robin McAlpine, Director at Common Weal
Etienne d’Aboville, CEO at Glasgow Centre for Inclusive Living
Professor Nick Watson, Centre for Disability Research at University of Glasgow
Alex Cole-Hamilton MSP
Grant Thoms, Social entrepreneur
Pheona Matovu, Director at Radiant and Brighter Community Interest Company
Professor Gregor Gall, Director at the Jimmy Reid Foundation
Jackie Brock, CEO at Children in Scotland
Mark McRitchie, Chair at Glasgow Social Enterprise Network
Liz Gardiner, Cultural planner and social entrepreneur
Pauline Gordon, Director at Social Enterprise Network Scotland
Claire Stevens, Chief Executive at Voluntary Health Scotland
Bridie Ashrowan, Chief Executive at Space & Broomhouse Hub
Alistair Grimes, Former Chair at Responsible Finance
Thomas Fisher, Director at CoDeL
Jenni Inglis, Director at VIE Ltd
Ailsa Clark, Founder at Inspiralba
Julia Morton, Founding Director at The Haven in Stonehaven
Nick Hopkins, Social value consultant
Bob Marshall, Social entrepreneur and Trustee at Queens Park Arena
Robert Calder, Social enterprise supporter
Doug Summers, Creative Director at Bold Studio
Laurence Demarco, Retired community sector leader
Geoff Leask, Trustee at Stirling Community Media
Katy Whitelaw, Social enterprise supporter
David Henderson, Insight Collective
Diane Cameron, West Lothian Social Enterprise Network Coordinator
Stephen McMurray, Social enterprise supporter
Fiona Taylor, Social enterprise adviser
Jane Churchill, Third sector development consultant
Norman Chipakupaku, Social Enterprise Officer at CEMVO
Sophy Green, Chief Executive at Instant Neighbour
Jonny Kinross, CEO at Grassmarket Community Project
Christopher Seely, Social enterprise supporter
Pasna Sallis, Director at Wow Factor CIC
John Halliday, Social entrepreneur
Kaytie Lilley, Founder at Make Do and Grow CIC
Angela Friel, Manager at C.O.J.A.C. Centre
Alex Weir, General Manager at Spruce Carpets
Lisa Duthie, CEO at Community Food Initiatives North East
Neil Lovelock, Project Manager at Glasgow Eco Trust
Gerry Baldwin, CEO at Fuse Youth Cafe Glasgow
Sue Laughlin, Retired health service planner
John Hilton, Executive Director at Move On
Jayne Chappell, Finance and Development Manager at Social Firms Scotland
Angela Moohan, CEO at The Larder
Stephanie Bowring, Edinburgh Remakery
Helen Mill, Executive Director at The Village Storytelling Centre
Mark Langdon, Chair at GMACFILM and North United Communities
Graham Branscombe, Development Officer at East Dunbartonshire Voluntary Action
Alan Ferry, Retired social work lecturer
Kim Wallace, Deputy Director at Social Enterprise Network Scotland
Nicky Thomson, CEO at Good Morning Service
Fariha Thomas, Manager at Youth Community Support Agency
Christopher Gray, Social entrepreneur
Elaine Brown CEO, Edinburgh Remakery
Rick Rijsdijk, Director at Social Value Lab
Micheal Matovu, Director at Radiant and Brighter Community Interest Company
Professor Michael Roy, Professor of Economic Sociology at Glasgow Caledonian University
