ESSENTIALS OF CO-OPERATIVE SOCIETIES BY OSOBA-ENAKALI C. O. (CHAPTER SEVEN)
ESSENTIALS OF CO-OPERATIVE SOCIETIES BY OSOBA-ENAKALI. C. O.
CHAPTER SEVEN
CO-OPERATIVE MEETINGS
After
reading through this chapter, the student would to be able to:
1. Know how meetings are held in
co-operatives.
2. Know the activities that take place
in co-operatives meetings.
3. Understand the functions and procedures
for committee meeting.
The Co-operative Annual
General Meeting
The co-operative usually holds its
annual general meeting once in a year. The purpose of the meeting is for members
to receive and approve the report of the activities of the co-operative during
the yea. Accompanying the report is the financial statement of the
co-operative. This is to enable the house to decide on how to utilize the
surplus generated from the operations of the co-operative.
In addition to the above, the annual
general meeting of the co-operative makes it possible for it to conduct
election of a committee or committees as the case may be, to manage the affairs
of the co-operative in the forth coming year. Each member in attendance is
entitled to only one vote irrespective of his investment in it. At the meeting
also, the election of the Chairman, secretary, and auditors are conducted. A
proposal for the amendment and review of the co-operative bye-laws, upward
review of member’s minimum level of share capital as well as merging the
co-operative with another are also issues that could be discussed at the annual
general meeting.
Strictly speaking, the annual general
meeting of co-operatives is for its members alone. However, auditors are
allowed into the meeting to give explanation to some technical issues. In
addition, a government official of the co-operative unit is also allowed to be
in attendance.
The annual general meeting of
co-operatives, whose activities are seasonal in nature, is held as soon as its business
comes to an end. This situation occurs where the co-operative is concerned with
the production and marketing of a single crop.
When the co-operative is making
progress, it attracts members who are far away from its head office. On the
other hand where the co-operative is not making any appreciable progress, it
affairs become less interesting and this kills interest of its members.
The poor attendance of members at
general meetings results in calling meetings several times before the report of
the co-operative is formally adopted. This nonchalant attitude contributes to a
situation whereby a small minority of co-operative members is involved in the
selection and voting into office of committee members. In this condition the
democratic principle of co-operative is violated. The committee whose
responsibility is to manage the affairs of the society is neither given a solid
foundation nor is it adequately controlled.
As a way of attracting members to the
annual general meetings, speakers in some technical areas are invited to
deliver lectures, film shows are presented even meals are served. The financial
statements and annual reports of the co-operative are well detailed and
informative. However, to enhance the understanding of the ordinary member of
the co-operative, the reports and financial statements and presented in the
most suitable way.
Co-operative District Meeting
In large co-operatives, their general
meetings are broken into series of district meetings. At the district meetings
issues to be discussed at the general meeting are discussed. The vote cast at
each district meeting in favor of candidates for committees is collated to
determine who has been elected. Each district elects one or more committee’s
men to represent its own area. It is at the central delegate meeting that final
decisions are taken and election held to determine those to manage the affairs
of the co-operative in the new business period.
The Functions of Committees
Though subject to the resolution at
the annual general meeting, the committee decides on how the surplus of the
co-operative should be disbursed. It also determines the rate of interest that
should be allowed on loans and deposits.
Reports are made of decided policies
to know how well it is working out. Where the policy is not working out
positively, the committee either gives it more time to improve or brings it to
an end. The audit report that is presented as well as the accounts and balance
sheet of the co-operative are expected to be understood by the committee. Where
the audit report indicates areas of drastic action, the committee is expected
to act accordingly.
The manager of the co-operative
treats issues of dishonesty and insufficiency among its employees. Though the
committee supports the co-operative manager, it does not interfere in its daily
activities. Furthermore, before any co-operative member gives instruction to
its workers the must be duly notified.
It is the ordinary members of the
co-operative that elect the committee and give them the mantle of authority to
manage its affairs. In this regard therefore, the committee owes it as a
responsibility to explain the policy of the co-operative to the ordinary
members at the annual general meeting.
As they share the same interest, the
paid staff and members of the co-operative are expected to operate within the
same policy.
The idea of most respected men in the
district being members of the committee of a co-operative enhances its
reputation as well as attracting new membership.
Procedures for Committee Meetings
In every committee meeting, there
must be minutes of the meeting. In the minutes, a brief description of the
issues discussed and the decisions arrived at are recorded. These recorded
decisions constitute the authority base in which the secretary or the manager
of the co-operative operates. This is to prevent their actions from being
question. On the other hand, it also prevents the committee from denying
responsibility where the decision taken turns out to be unfavorable.
Size of Committee
The larger the size of a committee,
the more the opportunity for more people to share in the interest and
responsibility of co-operating the co-operative.
In large co-operatives, the main
committee is split into sub-committee entrusted with different aspects of the
business such as staff appointment, public relations and finance among others.
This minimizes details in the main committee. In order to be convinced that
co-operative committee members are genuinely interested in the cooperative and
are ready to make some sacrifice of time and energy to serve it, they are not
paid for the services they render. However, where the committee has to give up
a day’s work to attend the meeting, a small out of pocket expenses is paid to
them. Where the executives committee is on full time appointment, salary is
paid to them.
In the case of a small committee it does its work better and
more quickly too. Hence it is said to be more businesslike.
Educating New Committee Members
As a way of enabling new members of a
committee to be properly informed, the operations of the co-operative are
properly explained to them by the chairman of the co-operative, auditor or
government instructors. A one or two day enlightenment lecture could be
organized in this regard by a co-operative department.
Ensuring Continuity of Co-operatives
In some co-operative at the end of
the year, all members of committee resign though qualified for re-election. However,
to promote continuity and to allow the injection of new blood into the co-operative
movement, about half or thereabout of committee members are retired to create
opportunity for others. In fact as a rule, societies maintain that on no
account should a committee member serve for more than two terms in office simultaneously.
SELF EVALUATION QUESTIONS
1.
Why
is the annual general meeting of co-operative important?
2.
What
do you understand by committee in co-operative?
3.
Explain
the conduct of committee meetings in co-operative?
Comments
Post a Comment