Whilst there is widespread agreement among decision makers that fostering innovation should be a priority, there is far less consensus on how to achieve this objective. Given the fact that the effects of new technologies are often unknown, in the early stages of technological development, there...

This paper argues that firm efficiency and stability, as well as workers' satisfaction, can be achieved through participatory decision-making rules. It offers theoretical rationales and empirical illustrations based on the framing and operation of European works councils. Employees should take...