30 years of co-determination

In a critical review, Nikolaus Piper sums up 30 years of co-determination in Germany. "For exactly thirty years, German employees have had (almost) equal representation on the boards of directors of joint-stock companies with more than 2,000 employees. This level of worker participation is unique in Europe; in 14 of the 25 EU countries, trade unions have absolutely no established position in the decision-making bodies of enterprises, in the rest the regulations are much weaker than in Germany... Studies on the effects of co-determination in company boardrooms are contradictory. Some claim that unpleasant decisions are made with less opposition and strikes in Germany than in other places. Others say that the costs of co-determination are too high and that it slows down decision-making. This has made some firms want to relocate abroad. But the pressure does not seem great enough to make politicians or officials from the employers' side blaspheme against this symbol of German corporatism and risk the wrath of the trade unions."

» full article (external link, German)
More from the press review on the subject » Corporations, » Germany
All available articles from » Nikolaus Piper

» To the complete press review of Thursday, August 31, 2006