Cooperatives Department aims to facilitate the formation and working of cooperative societies for the promotion of thrift, self-help and mutual aid.
Cooperatives is a provincial subject. Punjab is a role model for all the other provinces of the country and performing a leading role in cooperative sector with successful achievements. The affairs of the cooperative societies are regulated under Cooperative Societies Act, 1925 and Cooperative Societies Rules, 1927.
How are We Different
A Cooperative Society is distinct from traditional corporations and partnerships in a number of different ways.
A trade organization is formed by the strong parties with a view to establish a monopoly, while a cooperative society is an association of weak individuals who try to lift themselves through mutual aid.
Cooperatives is not a form of charity organization, it is the needy themselves who cooperate to help each other but in a charity organization, the donors help the needy people through donations. A cooperative society makes people stand on their own legs, while charity makes them lean on others.
In co-partnership arrangement, workers are allowed to share an agreed proportion of profit, whereas in a cooperative society the entire capital and management passes off in the hands of workers.
Joint Stock Company
Joint Stock Company is a union of capital, for purposes of joint trading but cooperative society is a union of persons for the purpose of joint trading. It does not mean that a cooperative does not makes use of capital, but the difference between the two is that in case of cooperative society, the leading role is of MEN and in case of a Joint Stock Company, MONEY plays the leading role.