This paper analyzes the possibility of creating worker cooperatives in which members are paid not through wages but through dividends calculated on the organization's residual income, as stipulated by the economic theory of the labor-managed firm. It is shown how dividends paid to members can be...

Self-managing organizations, characterized by flat hierarchies and decentralized power, are expected to empower and engage employees. In contrast, critics argue that a lack of structure could cause confusion and increased stress and burnout. However, neither assumption has been quantitatively...