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Hannoversche Werkstätten gem. GmbH

A - DESCRIPTION OF THE GOOD PRACTICE

The Hannover Workshops - charitable LLC.

Overview
The Hannover Workshops (Hannoversche Werkstätten gem. GmbH), a charitable limited liability company, was founded in 1997 as the successor company to the Hannover Centre for the Disabled (Behindertenzentrum Hannover, BZH) which had been set up in 1977.

Location
Hannover and Hannover Region, Lower Saxony, Germany

Field of activity
Q Human health and social work activities

Ultimate purpose

  • To improve social cohesion/inclusion
  • To provide educational opportunities
  • To create or conserve employment

Scale
Regional

Start date
1997

End date (if applicable)
ongoing

Short description
Hannoversche Werkstätten create opportunities for people with disabilities to develop their personal and vocational skills within the areas of working, living, and gastronomy. Within the field of vocational training, people with handicap receive vocational qualifications in correspondance to the professions on the general job market. Within the area of assisted living, Hannoversche Werkstätten encourage and support disabled people on leading an independent, self-determined and dignified life.

Key words    
Disabled people
Health and social care
Skills development
Education/learning
Addressing unemployment

Objectives
As stipulated in the Social Security Statute Book (Sozialgesetzbuch SGB IX § 136), the concept and tasks of a workshop for the disabled are:
... for those people with disabilities who due to the nature or severity of the disability cannot or cannot yet be (re-)employed on the general job market ....

  •  to ensure appropriate vocational training and employment,
  • to maintain, develop, improve or regain their ability to work and become employed and thereby to continue developing their personality.
  • It fosters the transition of those who are suited to the general job market with the help of suitable measure ...

The workshop is open to all disabled people (...), if one can expect that after having taken part in vocational training (at the latest) they will yield at least a minimum amount of productive work that can be put to good economic use.           

Activities
With a main workshop venue in Kleefeld, and premises in Hainholz, Kirchrode and Rethen all covering the vocational training area, The Hannover Workshop also provide a domicile for assisted living (the Hannoversche WohnAssistenz) and offer a home for people with autism in Lüdersen. At the main workshop venue in Kleefeld, the activities' range include: wood and metal working, cleaning services, industrial assembly work, textile processing, laundry services, manufacture of brooms & brushes, basket work for chairs, bicycle workshop, car maintenance, electronic scrap recycling; printing & newspaper sales, postal services, administration & office technology; gardening & landscape gardening, floristry, farming, firewood; gastronomic services. Furthermore, according to the individual special needs, the opportunity of different assistance is given: There are groups with extra supervision, groups of people with severe multiple disabilities, and support groups.

Achievements
The institution currently employs roughly 1,000 people in the workshops and about 250 members of staff for group supervision, specialist services and administration.   


Legal/financial exclusion
Positive impacts
Hannoversche Werkstätten make a great contribution towards achieving  social and financial inclusion for people with disabilities. An important legislative basis of the WfbM is the Workshops Directive (Werkstättenverordnung, WVO) in Appendix 18 of the SGB IX. It describes the tasks and obligations of the WfbM in more detail, i.a.:

“The workshop must be run on sound managerial principles.[...]”

“The workshop must strive for economic results in order to be able to pay those disabled people employed in its working area a remuneration appropriate to their productivity, as defined by § 136 para. 1 clause 2 and § 138 of the SGB IX.”

Creation/conservation of local employment
Positive impacts            
The institution currently employs roughly 1,000 people in the workshops and about 250 members of staff for group supervision, specialist services and administration. In a workshop for the disabled one generally finds at work: ca. 70–80% mentally handicapped people, and ca. 10–20% emotionally disturbed people.
In addition, there are also people with severe and multiple disabilities, physically disabled people and people with learning difficulties, provided they cannot be offered better support elsewhere.

Adaptation to new realities
Positive impacts

Cross sectoral working
Positive impacts            
Covering an extremely broad area of training fields and activities, Hannoversche Werkstätten do not only work cross-sector, but also boost the cooperation between for-profit and not-for-profit work. The latter is being ensured e.g. by a number of employees working with business companies like Continental AG (but getting their salary from Hannoversche Werkstätten, however) or by Hannoversche Werkstätten selling their self-manufactured products on the

Enablement of social enterpreneurship
Impacts not known

Amenities for local people
Positive impacts
Helping people with disabilities find employment and leading a life in dignity, Hannoversche Werkstätten also makes a contribution towards boosting the community cohesion.

Educational opportunities
Positive impacts            
It is not only the impressive range of educational opportunities, but also the quality of training, along with the different typed of assistance available, what has made Hannoversche Werkstätten a major actor within the landscape of vocational training and job creation for people with disabilities.

Crisis response
Positive impacts
In times of crisis, supporting vulnerable social groups becomes essential. By their long-lasting experience and magnitude reached since their foundation in 1997, Hannoversche Werkstätten has become a major actor within the landscape of vocational training and job creation for people with disabilities.

Local financial environment for soc ent
Neutral impacts

The funding of the differents activity branches and areas of work are as follows
Hannoversche WohnAssistenz (assisted living): invoicing according to specialist staff hours. Contract partner is the Hannover Region, which conducts negotiations in the name of the local communities concerned.

Vocational training area
Contract partner for agreeing the cost rates for attendance is the State Employment Agency (Bundesagentur für Arbeit, BA), represented by the Regional Purchasing Centre for northern Germany. Cost rates are binding for all funding bodies such as the German Pension Scheme (Deutsche Rentenversicherung; formerly BfA, LVA)

Working area
The remuneration provisions are composed of: basic flat rate, flat rate for the relevant measure, investment contribution, travel costs, contribution to employer’s liability insurance association and economic occupation flat rate. The contract partner is the Lower Saxony Social Welfare Office in Hildesheim (LS Hildesheim)

Contributions to the pension scheme and health and nursing care insurance are deducted from the pay on behalf of the workshop employees.

Local policy environment for soc ent
Neutral impacts

National financial environment for soc ent
Impacts not known

National policy environment for soc ent
Impacts not known


C - PARTNERSHIPS & GOVERNANCE

Inclusive governance?
The beneficiaries are provided with different instruments to make themselves heard, both at individual level and in networks. At individual level for example, Hannoversche Werkstätten runs a radio station (Handicap On Air); at network level, Hannoversche Werkstätten cooperate with various partners, such as: the Association of the Blind and Partially Sighted in Lower Saxony (Blinden- und Sehbehindertenverband Niedersachsen e.V.), a society that offers support to the mentally disabled and those with multiple disabilities in and around Langenhagen (Lebenshilfe für geistig- und mehrfach Behinderte e.V. Langenhagen und Umgebung), and a society for people with physical and multiple disabilities in Hannover (Verein für Körper- und Mehrfachbehinderte Hannover e.V.).

Influence on local / national decision makers
Hannoversche Werkstätten have the legal status of a Workshop for People with Disabilities in accordance with the Social Security Statute Book (Sozialgesetzbuch SGB IX § 142), which means that they are a publicly-owned undertaking.

Partnership work involved
Partners: the Association of the Blind and Partially Sighted in Lower Saxony (Blinden- und Sehbehindertenverband Niedersachsen e.V.), a society that offers support to the mentally disabled and those with multiple disabilities in and around Langenhagen (Lebenshilfe für geistig- und mehrfach Behinderte e.V. Langenhagen und Umgebung), and a society for people with physical and multiple disabilities in Hannover (Verein für Körper- und Mehrfachbehinderte Hannover e.V.).   


D - PR & TRANSFERABILITY

Would this programme work well in another European context?
The programm is likely to be well-suited for transfer to another European context.

Communication of experience and success to the public
At the website of Hannoversche Werkstätten, there is a special section intended for press and media. At the section experience is shared with the public, new developments are announced and success stories are particularly highlighted. Furthermore, the radio station owned by Hannoversche Werkstätten features a programme made by their employees.

Communication with local/national decision makers 
As a publicly-owned undertaking, there is ongoing communication with the public authorities, both at local and at national level.

Elements that would transfer particularly well to other contexts
Hannoversche Werkstätte's quality management system has been certified according to the DIN EN ISO 9001:2008 standard. Thus, operational procedures within all ranges of work are assured to correspond to internationally recognized standards.   


E - RESOURCES AND SUSTAINABILITY

Total income 2011/12
not known

How is this made up?
The funding of the differents areas of work are as follows:    Hannoversche WohnAssistenz (assisted living): invoicing according to specialist staff hours. Contract partner is the Hannover Region, which conducts negotiations in the name of the local communities concerned.

Vocational training area
Contract partner for agreeing the cost rates for attendance is the State Employment Agency (Bundesagentur für Arbeit, BA), represented by the Regional Purchasing Centre for northern Germany. Cost rates are binding for all funding bodies such as the German Pension Scheme (Deutsche Rentenversicherung; formerly BfA, LVA)

Working area
The remuneration provisions are composed of: basic flat rate, flat rate for the relevant measure, investment contribution, travel costs, contribution to employer’s liability insurance association and economic occupation flat rate. The contract partner is the Lower Saxony Social Welfare Office in Hildesheim (LS Hildesheim)

Contributions to the pension scheme and health and nursing care insurance are deducted from the pay on behalf of the workshop employees.

Human resources
The institution currently employs roughly 1,000 people in the workshops and about 250 members of staff for group supervision, specialist services and administration.

Technology
Handicapped accessible machines are available in all activity branches.

Start-up investment
not known

External support
not known

If public funding were withdrawn, could the GP continue to exist?
No.

Strengths, weaknesses, difficulties and lessons learned.
Strengths: Magnitude - Hannoversche Werkstätte is the largest institution in Hannover of its kind, with an extremely broad range of activities -, long-lasting experience and partnership with three other networks of people with disabilities. Difficulties: Competition with other low-wage countries, such as Ukraine.


F - EXECUTIVE BODY AND CONTACT INFORMATION

Who set up the GP?
The Association of the Blind and Partially Sighted in Lower Saxony (Blinden- und Sehbehindertenverband Niedersachsen e.V.), a society that offers support to the mentally disabled and those with multiple disabilities in and around Langenhagen (Lebenshilfe für geistig- und mehrfach Behinderte e.V. Langenhagen und Umgebung), and a society for people with physical and multiple disabilities in Hannover (Verein für Körper- und Mehrfachbehinderte Hannover e.V.).

Who runs the GP?
Local government            
                
Short description
Hannoversche Werkstätten has the legal status of a Workshop for People with Disabilities in accordance with the Social Security Statute Book (Sozialgesetzbuch SGB IX § 142).

Contact name
Ms Vera Neugebauer

Organisation
Hannoversche Werkstätten gem. GmbH            
Lathusenstraße 20
D-30625 Hannover            
Deutschland / Germany

Telephone
0049 511 5305 0            
E-mail    This email address is being protected from spambots. You need JavaScript enabled to view it.            
Website    http://www.hw-hannover.de/   


G - SUPPORTING INFORMATION

 

 

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Arbeitgemeinschaft (AG) Resohelp des Diakonischen Werks, Stadtverband Hannover e.V.

A - DESCRIPTION OF THE GOOD PRACTICE

The Working Partnership Resohelp of Diakonisches Werk, Local Committee Hannover - registered society

Overview    
A well-established contact point for ex-prisoners and in Hannover, Resohelp has been working for more than 40 years on counselling and supporting delinquents, sentenced prisoners, ex-prisoners and their families to gain social rehabilitation and reintegration. Resohelp offers extensive information and support on managing the various issues encountered by the target group, which range from the prevention of detention, flat-hunting, and allowance of claims all the way through debt counselling and other individual problems.

Location    
Hannover, Lower Saxony, Germanylogo diakonisches werk hannover

Field of activity    
Q Human health and social work activities

Ultimate purpose

  • To address legal or financial exclusion
  • To enable adaptation to new realities
  • To improve social cohesion/inclusion

Scale
Local

Start date
1969

End date (if applicable)
ongoing

Short description
Resohelp offers exhaustive advice/counselling for prisoners/offenders and their families.

Key words
Advice/Counselling
Crime/anti-social behaviour
Prisoners/Offenders
Health and social care
Skills Development

Objectives
Helping (ex-)prisoners reintegrate within the community and develop social skills, such as self-responsibility, self-care, and social responsibility

Activities
Advice/counselling, acting as agency for clients and the Public Prosecution Service (e.g. on adjustment of fines), supporting the clients on flat-hunting/cancellation and other legal and administrative formalities

Achievements
In 2012 and 2013, Resohelp has been giving support to about 500 cases/year.


B - IMPACT ON SOCIETY AND ECONOMY

Legal/financial exclusion
Positive impacts
(Ex-)prisoners are extensively informed on their legal situation as well as financial claims, and empowered to submit their claims, apply for jobs, thus step-by-step (re-) assuming full responsibility for their legal and financial situation.

Creation/conservation of local employment
Positive impacts
By giving job service counselling and support for delinquents and ex-prisoners on the one hand, and by hiring their own staff, Resohelp makes a small but significant contribution towards creation/conservation of local employment. At Resohelp, there are currently 3.33 positions for social workers and one position of a professional practical trainee.

Adaptation to new realities
Positive impacts
Resohelp's work helps society understand the issues behind the (ex-)prisoners' legal and financial situations, at the same time supporting the latter while adjusting to today's fast-moving realities.

Cross sectoral working
Positive impacts
Resohelp acts as an interface between the clients and different institutions or persons (e.g. the Public Prosecution Service, the Job Center / Employment Agency, landlords, and many other charities), thus increasing their area of impact. This cross-sectoral work is being ensured by the fact that Resohelp has been founded as a Working Partnership (Arbeitsgemeinschaft) of 8 institutions: the Diakonisches Werk – Local Committee Hannover e. V., the Caritas Association of Hannover e. V., the City of Hannover, Department of Social Affairs, the Prisoner Welfare Association of Hannover, the Head of the Correctional Facility of the City of Hannover, the Catholic Church Office of the Correctional Facility of the City of Hannover, the Association of City Churches of Hannover, and the Job Center of Hannover Region.

Enablement of social enterpreneurship
Impacts not known

Amenities for local people
Neutral impacts
Helping delinquents and former prisoners reintegrate within their social communities, Resohelp brings benefits not only to the target group, who gradually achieve social rehabilitation, but also to the communities themselves.

Educational opportunities
Positive impacts
Resohelp's work makes a good contribution to help (ex-)prisoners and offenders develop their social skills, including self-esteem, self-responsability and self-care, but also taking on social responsibility.

Crisis response
Positive impacts
In times of crisis, supporting vulnerable social groups becomes essential. By their decades of experience as well as by their long-standing partners, the Working Partnership Resohelp holds all the instruments necessary for supporting the target group from being excluded from community life and from society.

Local financial environment for soc ent
Neutral impacts

Local policy environment for soc ent
Neutral impacts

National financial environment for soc ent
Impacts not known

National policy environment for soc ent
Impacts not known


C - PARTNERSHIPS & GOVERNANCE

Inclusive governance?
More than half of Resohelp's funding is provided by the Federal State of Lower Saxony. It is this fact, along with the good, long-standing working partnership mentioned above, which ensures the continual dialog between the state government and the beneficiaries of Resohelp.

Influence on local / national decision makers
See above.

Partnership work involved
Resohelp has been established as a Working Partnership (AG) consisting of following partners: the Diakonisches Werk – Local Committee Hannover e. V., the Caritas Association of Hannover e. V., the City of Hannover, Department of Social Affairs, the Prisoner Welfare Association of Hannover, the Head of the Correctional Facility of the City of Hannover, the Catholic Church Office of the Correctional Facility of the City of Hannover, the Association of City Churches of Hannover, and the Job Center of Hannover Region.
It is these members along with the Federal State of Lower Saxony (Ministry of Justice) and the Hannover Region who provide the necessary funding to run the Working Partnership Resohelp.


D - PR & TRANSFERABILITY

Would this programme work well in another European context?
The programm might be well suited to be transferred to another European context.

Communication of experience and success to the public
There is regular reporting done at the general meetings of all members. Yearly reports as well as other information and communication material are published on the website of the managing partner, the Diakonisches Werk – Local Committee Hannover e. V.: http://www.diakonisches-werk-hannover.de/resohelp_hilfe_fuer_haftentlassene.html.

Communication with local/national decision makers
Communication with local decision makers takes place at both formal and informal level, e.g. at the general meetings, or within other partner networks.

Elements that would transfer particularly well to other contexts
Creating a working partnership to ensure the long-term success proves a particularly good idea to be tested for transfer to other contexts.


E - RESOURCES AND SUSTAINABILITY

Total income 2013
not known

How is this made up?
The Federal State of Lower Saxony: 51%, the Job Center of Hannover Region: 19%, the Hannover Region: 15%, the Protestant Church: 12%, the City of Hannover: 1%, the Caritas Association of Hannover e. V.: 1%, the Catholic Church Office of the Correctional Facility of the City of Hannover: 1%.

Human resources
3.3 positions of social workers, 1 position of practical trainee

Technology
not known

Start-up investment
not known

External support
not known

If public funding were withdrawn, could the GP continue to exist?
No.

Strengths, weaknesses, difficulties and lessons learned.
Strengths: Long-standing experience as a Working Partnership. Difficulties: Creating the necessary acceptance for the target group within the involved communities.


F - EXECUTIVE BODY AND CONTACT INFORMATION

Who set up the GP?
Charities representatives in cooperation with the Ministry of Justice of the Federal State of Lower Saxony and the City of Hannover in 1969.

Who runs the GP?
The Diakonisches Werk – Local Committee Hannover e. V.

Short description
The Working Partnership Resohelp offers exhaustive advice/counselling for prisoners/offenders and their families. The Diakonisches Werk – Local Committee Hannover e. V. has set the foundation for, and plays therefore the leading part, in the Working Partnership Resohelp. They are what is called a registered society according to German law. A registered society works not-for-profit and is therefore tax-privileged. It may, but not necessarily must have employers; the work can be done by volunteers.
    
Contact name
Mr Peter Thomsen

Organisation
Arbeitsgemeinschaft Resohelp
Hagenstr. 36
D-30161 Hannover
Deutschland /Germany

Telephone
0049 511 99040 23
E-mail    This email address is being protected from spambots. You need JavaScript enabled to view it.
Website    http://www.diakonisches-werk-hannover.de/resohelp_hilfe_fuer_haftentlassene.html


G - SUPPORTING INFORMATION

 

 

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Fair trade Department Store - Social Cooperation

A - DESCRIPTION OF THE GOOD PRACTICE

FairKauf e.G.        
Fair Trade Department Store - registered co-operative

Overview    
FairKauf was established in 2006 as an experiment, positively received by customers, the press and the media. In collaboration with the public employment agency in Hannover, FairKauf is offering employment to unemployed people with a long-term perspective of being integrated into the first labour market.

Location    
Hannover and Hannover Region, Lower Saxony, Germanyfairkauf

Field of activity    
S Other service activities

Ultimate purpose    
To create or conserve employment    
To provide educational opportunities    
To improve social cohesion/inclusion   

Scale    
Regional

Start date
19 July 2007

End date (if applicable)    
ongoing   

Short description    
Established as a second-hand store pursuing in fact social objectives, FairKauf define themselves as what is called a 'rara avis'. In times of growing social problems, it is important to open new perspectives for disadvantaged people. FairKauf does this by selling used goods at reasonably cheap prices rather than giving them away as gifts. In this way, people in need are not receiving alms but preserve their dignity and are invited to participate in social life rather than being excluded.
The concept of FairKauf follows the model of social department stores, which exist in Germany in many forms, following different concepts. However, the idea of FairKauf, implemented in a liberal market economy, is living from trade. Everyone buying in FairKauf contributes to making the idea sustainable, as a lasting enrichment of the City of Hannover.
Nevertheless, FairKauf's main objective remains to create the opportunities for, and offer, employment to unemployed people with a long-term perspective of being integrated into the first labour market.in collaboration with the public employment agency in Hannover. FairKauf's legal form is that of a non-commercial (not-for-profit) registered cooperative. Due to the steady economic growth FairKauf has been continually achieving since their foundation in 2006, there has never been a need for public subsidies. Instead, rather the opposite has been the case: with a constantly growing number of employees (currently to sum up 220), FairKauf has been further expanding, aiming to be represented at overall five facilities within the next five years.

Key words    
Education/learning    
Entrepreneurship    
Training/mentoring    
Community cohesion    
Skills development

Objectives    

  1. Social objectives:  In collaboration with the public employment agency in Hannover, FairKauf is offering vocational training / employment to unemployed people with a long-term perspective of being integrated into the first labour market.
  2. Business oriented objectives: living from trading pre-owned goods, which means being able to cover all costs and investing the surplus in further vocational training of disadvantaged groups, such as long-term unemployed, people with disabilities, etc.

Activities   

  • Selling second-hand goods (e.g. furniture, clothing, household goods, and books), donated by those who do not need them anymore, to people with limited means at affordable prices;
  • To the same end, offering other services, e.g. collection and delivery of goods, dissolving households and collecting salvage.
  • Refurbishing the pre-owned goods, thus contributing to saving natural resources;   
  • Offering vocational training / apprenticeships in retail trade, logistics and administration. This is done in collaboration with the public agency for employment. Unemployed people are offered temporary or permanent, part-time or full-time jobs. Moreover, members of the co-operative society agree to participate as volunteers (for several hours or days per month), working for civil society in different fields.   

Achievements    
A continuously growing number of employees (from 7 in 2008 up to 220 in 2013) are a good sign of success. A large number of volunteers experience day-to-day work in FairKauf and see this as a positive experience. FairKauf has become a trade-mark. According to a survey, 55 percent of the population of Hannover know FairKauf. From the beginning there were signs of success. The project won several prices, such as the Citizen Participation of Niedersachsen 2008, and the CSR-Seal of 2009 of Germany – Land of Ideas.
Success criteria were good Public Relations and a steadily growing number of customers. FairKauf is becoming a prosperous and growing enterprise, starting in a time when many other department stores are closing.


B - IMPACT ON SOCIETY AND ECONOMY

B1 - How has the GP impacted on the following?

Legal/financial exclusion    
Highly positive impacts    
FairKauf will be socially sustainable not as a 'give-away shop' or 'soup kitchen'. It is not designed to react to immediate emergencies but to offer lasting solutions, e. g. employment and qualification. In this regard, FairKauf does not fight poverty but offers lasting ways and means to overcome poverty. Fighting against financial exclusion is reached by selling second-hand goods to people with limited means at affordable prices: furniture, clothing, household goods and books – donated by those who do not need them anymore. This social cooperative does not need any special public subsidies

Creation/conservation of local employment    
Highly positive impacts    
Employment creation means that FairKauf generates employment by profitmaking. It is more than a social institution. It aims at making profit in part of its operations as a successful business. Strong service and customer orientation are the central elements of economic sustainability around second-hand goods. Further services are collection and delivery of goods, dissolving households and collecting salvage. FairKauf introduces new conditions of work.

Enablement of social enterpreneurship
Positive impacts    
Members of the co-operative society agree to participate as volunteers (for several hours or days per month), working for civil society in different fields. For them FairKauf is a meeting place of different groups. In this way FairKauf combines work, money and used goods.

Amenities for local people    
Positive impacts    
All goals FairKauf is pursuing have direct positive impacts on local people: offering exclusively second-hand goods at fair prices to all citizens, offering qualification to disadvantaged groups (thus, contributing to social cohesion and strengthening the community), re-use of pre-owned goos, reduction of garbage and refuse, sustainable development.

Educational opportunities    
Highly positive impacts    
FairKauf provides for qualification and employment by offering high-quality vocational training / apprenticeships in retail trade, logistics and administration. This is done in collaboration with the public agency for employment. Unemployed people are offered temporary or permanent, part-time or full-time jobs.   

Crisis response
Positive impacts    
FairKauf does not aim at protecting the needy or saving victims of the financial crisis. It carries out ordinary business. Customers do not have to prove that they are needy. Instead of one helping the other, all are customers, all pay the same prices. FairKauf has to make attractive offers for the needy and for others. It is a place for redistribution of abundance, by using goods several times, bringing them back into the economic cycle. Interestingly, even during the times of crisis FairKauf has been steadily growing, constantly increasing their numbers of employees, while many other businesses were forced to reduce their numbers or even close their doors. In this light, all the more noteworthy appears the fact that FairKauf has never received public subsidies or any other form of public funding.  

Local financial environment for social enterprise   
Impacts not known    
The new idea in FairKauf is economisation of social work, not being a department store for the poor, but a department store as an enterprise for qualification with mainly social objectives, aiming at inclusion of the poor into the labour market and society. Classification as charity is avoided, because charity leads to dependence and loss of dignity. An entrepreneurial approach allows financial independence by earning surplus (excess of income over expenditure) covering cost. Financial independence means building a stable base, by combining variable equity capital (contributions by members) and indivisible reserves. This might prove a useful model for other social enterprises to take on.   

Local policy environment for social enterprise   
Impacts not known    
For FairKauf the choice was registered co-operative society (eG), which allows to reach all economic and social objectives of a social department store, with competent leaders accompanying people, encouraging and qualifying them and enabling them to find employment in the labour market. Furthermore, the self-financed eG is immune against hostile take-over. It allows limited liability, easy entry and withdrawal of members, integrating partners of different size or strength in a democratic internal structure, low capital contributions and accumulation of indivisible reserves from undistributed surplus. This might prove a useful model for local policy-makers to support and advance.

National financial environment for social enterprise 
Impacts not known

National policy environment for social enterprise 
Impacts not known


C - PARTNERSHIPS & GOVERNANCE

Inclusive governance?    See below.

Influence on local / national decision makers    
The team of leaders of FairKauf includes a former bank director with high professional qualification and social engagement working as the honorary general manager. Other qualified and motivated members form a planning group, communicating with politicians, economic leaders and non-governmental organisations (NGOs). They look for ways how to combine the economic and the social.    
        
Partnership work involved    
As a multi-stakeholder co-operative, FairKauf eG has a mixed membership (individuals, firms, private and public institutions, foundations) and mixed customers. It is a ‘normal’ department store open for all, in a good location, registered as a co-operative society and affiliated to professional associations (chamber of commerce) and a co-operative auditing federation.  


D - PR & TRANSFERABILITY

Would this programme work well in another European context?    
FairKauf's clear-cut concept proves not only well-suited, but highly recommended for transfer to other European contexts, since:

  1. FairKauf does not work outside the market,
  2. FairKauf sees themselves primarily as an enterprise and only in the second instance (or, in order to be) as a social institution. It contributes both to stabilise economic life and society,
  3. FairKauf's economic concept follows the rules of offer and demand,
  4. aiming to offer sustainable solutions and not short-term, stop-gap measures,
  5. aiming to benefit all, offering more than benefits in the economic meaning of the term.    

Communication of experience and success to the public    
Communication of concept, recent developments, and success remains quintessential to FairKauf. It is to some considerable extent due to their PR that the large department store has become the trade-mark that it is today. In 2012, 55 % of the population in Hannover said to know FairKauf.

FairKauf's PR activities range from continually updating their website www.fairkauf-hannover.de, holding events in co-operation with different partners (e.g. schools), sales promotion, and instore advertising, all the way through word-of-mouth recommendation. FairKauf prouds themselves to  have happy employees, a success criterium that many other companies seem to have forgotten of recently, and customers, while connecting people, regardless of age, cultural background, gender, or education.    

Communication with local/national decision makers    
Not only the founding members, which include socially committed individuals as well as representatives of walfare organisations, such as the Diakonisches Werk, Local Committee Hannover e.V., the Caritas Association of Hannover, and Werkheim e.V., but also the members of the Steering Committee and of the Supervisory Board are affiliated to various bodies and play an active part in different networks and panels involved with both society and economic issues.     

Elements that would transfer particularly well to other contexts    
The idea of the economisation of social work along with the motto 'Earn money to do good' (instead of rather 'Do good to earn money'), the clear-cut concept and well defined objectives, and a managing board consisting of (former) business professionals are only few of the elements that appear best-suited for transfer to other contexts.


E - RESOURCES AND SUSTAINABILITY

Total income 2011/12    
€ 1,874,000   

How is this made up?    
All by retail.   

Human resources    
There were 79 regular employees at the end of 2013 (permanent positions, full-time and part-time, apprentices and trainees).   

Technology    
Technology necessary within the fields of retail trade, logistics, and administration.   

Start-up investment    
not known   

External support    
not known

If public funding were withdrawn, could the GP continue to exist?    
Yes, since FairKauf is independent from public funding.    
        
Strengths, weaknesses, difficulties and lessons learned.    
Strengths: Located in the very middle of the city centre in Hannover - right at the heart of Hannover's shopping mile - and stretching over 5 floors totaling a area of 1,000 qm, FairKauf has become a significant actor within the city landscape. Another particular strength lies with FairKauf's legal form as a registered co-operative society, as well as with the business professional managing board.

Social department stores are located on a continuum of forms between the extremes of “give-away” shops and charities on the one side and professionally managed commercial department stores on the other. They have a choice of legal frameworks between association / ‘registered society’ (e.V.), limited company recognised as common benefit / charitable  organisation (gGmbH) and co-operative society (eG).

For FairKauf the choice was registered co-operative society (eG), which allows to reach all economic and social objectives of a social department store, with competent leaders accompanying people, encouraging and qualifying them and enabling them to find employment in the labour market. Furthermore, the self-financed eG is immune against hostile take-over. It allows limited liability, easy entry and withdrawal of members, integrating partners of different size or strength in a democratic internal structure, low capital contributions and accumulation of indivisible reserves from undistributed surplus. The democratic internal structure is being ensured, among other things, by each 'shareholder' having a single vote, independent of the size of their share.

Difficulties are to expect - and overcome - while expanding to other locations across the city. Lessons learned are that good PR mechanisms remain essential.   


F - EXECUTIVE BODY AND CONTACT INFORMATION

Who set up the GP?    
6 socially committed individuals + representatives of the Diakonisches Werk, Local Committee Hannover e.V., the Caritas Association of Hannover, and Werkheim e.V.    
        
Who runs the GP?    
A Steering Committee as executive body / managing board, which is being controlled by a Supervisory Board. Head of the Steering Committee is Mr Reinhold Falbusch.    
        
Contact name    
Mr. Reinhold Fahlbusch

Organisation
FairKauf e.G.    
Limburgstr. 1
30159 Hannover    
Germany   

Telephone  
0049 511 35 76 59 0    
E-mail    This email address is being protected from spambots. You need JavaScript enabled to view it.    
Website    http://www.fairkauf-hannover.de/

Any other contact people    
Ms. Nicola Barke

 


G - SUPPORTING INFORMATION

Sources    
‘Co-operative Entrepreneurship – Profit for Everyone; Which 'principles' should be followed to become a good co-operative entrepreneur?’ - Paper presented by Hans-H. Münkner, Marburg/Germany at the conference of the Flemish Government in Gent on 19 June 2012
Walter Lampe, Ed (2009): FairKauf – the social department store, Hannover;
Weber, Thomas (2009): The social department store FairKauf in the social urban landscape of Hannover;     
FairKauf Hannover - A Second Life for Your Good Values' - Company presentation held by Detlef Klein and Jörg Matthaei at MESSE meeting in Hannover on 4 February 2014 at the CVJM Hotel