Madrid, 9 April 2025 — Worker Buyouts (WBOs) as a tool for job preservation, strategic resilience and fair transitions, took the spotlight at the recent fi-compass conference on “ESF financial instruments for microfinance and worker buyouts,” co-hosted by the European Investment Bank and the European Commission. CECOP proudly contributed to the conversation with a presentation from Secretary General Diana Dovgan and members from Spain (COCETA), Italy (Legacoop Produzione e Servizi, CFI) and France (CGSCOP), reinforcing the voice of cooperatives in the discussion. Bringing together financial actors, cooperative leaders, and EU institutions, the event offered a compelling look at how business transfers to employees can strengthen resilience, economic sovereignty, and social cohesion in Europe.

 

CECOP’s Secretary General, Diana Dovgan, opened with a strategic overview of WBOs in Europe, emphasizing their historical roots, social value, and systemic potential. “Worker buyouts are not a contingency plan, they are a forward-looking strategy that helps communities retain skills, jobs, and local ownership,” she said. CECOP advocates for WBOs to be fully recognized as a restructuring practice and supported through multilayered ecosystems at EU and national level. Drawing on best practices from leading countries for WBO such as like Italy, France, and Spain, Diana Dovgan emphasized that successful WBOs require a supportive ecosystem coming from national policy makers, cooperatives’ federations and regional authorities.

These multilayered conditions reduce risks for workers and increase the success rate of the WBO.

 

A pivotal contribution to the conference came from the presentation of the fi-compass ESF+ study on worker buyouts, which offered data-driven insights and strategic recommendations for advancing WBOs across Europe. As presented by Miglena Dobreva (EIB) and Cristina Dumitrescu (EIF), the study revealed that WBOs remain largely under-recognized in EU Member States, despite their proven potential to preserve jobs and business continuity. Among the barriers identified were a lack of statistical data, insufficient legal and fiscal frameworks, and limited awareness among entrepreneurs and advisors. The study called for better use of ESF+ resources, not just as financial instruments like guarantees, but as grants for advisory and technical assistance. It also advocated for a continuation and expansion of the EaSI Guarantee and a tailored social window under InvestEU. Most importantly, the report underscored the need for a coherent ecosystem to enable more worker buyouts and scale this resilient business model across the continent​.

 

Alessandro Viola of CFI (IT) provided an in-depth view of how Italy’s long-standing Marcora Law and the role of CFI have shaped a robust financial ecosystem for WBO. Since 1986, CFI has supported over 320 WBOs, preserving approximately 10,000 jobs. CFI operates with strong state backing, 98.6% of its equity is publicly owned, and manages a portfolio of over €185 million, combining equity and subsidized long-term loans. Viola emphasized that while the EaSI Guarantee had significantly increased leverage and investment capacity, the new InvestEU guarantee no longer covers equity, creating a serious funding gap. He called for renewed public instruments to support equity finance, which is often essential in WBO transitions. CFI’s model offers crucial lessons: sustained public-private collaboration, layered financing (equity, loans, quasi-equity), and an adaptive strategy to support coops not just at creation, but throughout their development​.

 

Lucas Álvarez from Cooperative Tafalla (part of the Mondragon Group in Navarra, ES) offered a compelling personal perspective on the long journey from a traditional business to a fully worker-owned cooperative. Originally founded in 1896, the iron foundry joined Mondragon in 1990 and became a "mix-cooperative" in 2008, allowing workers to gradually build capital ownership. By 2023, 100% of the capital belonged to the workers. “When other industries are relocating, we can say that we are a happy industry,” Álvarez noted, emphasizing how the cooperative model enabled them to pivot after external shocks. Their adaptation, shifting production toward new types of procucts, highlights the flexibility and resilience of the worker ownership model. Lorenzo Giornelli from Ceramiche Noi (IT), told the story of how the cooperative was born out of necessity after their former company faced closure, the workers collectively chose to fight for their jobs and future. “Resilience is in our DNA,” he declared. “We are born in a fight, so we can face all the upcoming difficulties and crisis.” Their determination not only preserved employment but contributed to long-term regeneration and shift toward more sustainable production practices. A video shown during the session highlighted a similar story from the cooperative Birra Messina (IT), underlining that WBOs don’t just save jobs, they build hope and continuity across generations.

 

Francesca Montalti from Legacoop Produzione e Servizi (Italy), presented a view of Italy’s cooperative approach to WBOs. Italy has cultivated one of the most mature ecosystems for worker buyouts in Europe, with 69.9% of WBOs set up between 2011 and 2023 operating in the manufacturing sector. Montalti detailed the four-phase operational model that Legacoop follows: from pre-feasibility analysis and business plan development to acquisition and long-term cooperative development. She stressed the importance of legal support, workers training, and the coordination of multiple stakeholders (including trade unions, financial institutions, and public authorities) to ensure successful buyouts. The Italian experience demonstrates that with a structured approach and strong institutional support, WBOs can drive industrial regeneration and sustainable growth.​

 

Pedro Blázquez from COCETA (ES) provided key national context from Spain, noting that over 100 worker cooperatives have been formed as a result of WBOs in recent years. He emphasized that Spain’s legal and cooperative framework, along with regional support, has made it possible for many businesses on the verge of closure to transition into sustainable worker-owned enterprises. Initiatives like those led by Coop57, itself a product of a WBO, demonstrate how social finance institutions can drive large-scale impact. Between 2021 and 2024, Coop57 granted 1,300 loans worth over €100 million, mainly to worker coops and WBO projects.

 

Meryem Yilmaz of the regional cooperative union of Auvergne-Rhône-Alpes brought a regional perspective from France, where the cooperative movement has developed tools and support systems to foster successful WBOs. She highlighted an impressive 90% survival rate for worker cooperatives five years after a business transfer to employees. Since 2010, France has seen a decreasing rate of business succession—a trend WBOs can help address, particularly in peri-urban and rural areas, where 60% of WBOs currently occur. Yilmaz pointed out that WBOs not only preserve direct jobs but also sustain local supply chains and related employment. However, she flagged a gap: while there are many free advisory services for ex-nihilo enterprise creation, similar support is often lacking for business transfers. Her intervention called for equity mechanisms and technical assistance to level the playing field.

 

From the perspective of finance institutions, several impactful models were shared that demonstrate how dedicated financial ecosystems can underpin successful WBO. Raimon Gassiot Ballbè, from COOP57 (ES), emphasized that between 2021 and 2024, COOP57 issued over 1,300 loans totaling €100 million exclusively to social and solidarity economy projects, including WBOs. Their flexible loan offerings, from equity loans to advances on invoices, enable tailored support for diverse cooperative needs. Francesco Gentili of Banca Etica (IT) highlighted their interventions in financing WBOs in Italy, where the bank has committed over €37 million to such projects. He shared how their ethical banking model aligns with the cooperative values of economic democracy. Meanwhile, Aurélien Hiraux of SOCODEN (France) detailed how France’s cooperative network leverages a mix of subordinated loans, guarantees, and quasi-equity, often with the backing of EIF guarantees, to support WBO. However, Hiraux warned that the end of regional equity-matching schemes and limited public bank involvement remain barriers, calling for renewed ESF+ commitments and the creation of a dedicated equity fund​.

 

Throughout the day, speakers underscored the importance of public guarantees (like the EaSI Guarantee), the role of social economy and cooperative finance institutions, and the urgent need for new financial instruments to facilitate progressive worker ownership. The audience heard that while countries like France, Spain, and Italy have robust WBO ecosystems, other regions remain underserved. Slovenia presented as emerging examples showing increasing interest and innovation toward WBO.

 

The path ahead is clear: WBOs are not just a crisis tool, they are a cornerstone for a democratic, resilient, and fair economy. With the right ecosystem in place, more workers across Europe can take the future into their own hands.