We give an overview of the "German model" of industrial relations. We organize our review by focusing on the two pillars of the model: sectoral collective bargaining and firm-level codetermination. Relative to the United States, Germany outsources collective bargaining to the sectoral level,...

While works councils provide a highly developed mechanism to promote workplace democracy, research on their consequences has been dominated by economic aspects. This study brings a new perspective to the understanding of works councils by examining their influence on workers political behavior....

We define worker representation, identify the factors that determine demand for it among workers and employers, discuss difficulties in supplying worker representation, and reflect on the implications of worker representation for worker welfare and the behavior and performance of employers

Using cross-country data from the European Company Survey, we investigate the relationship between workplace employee representation and five behavioral outcomes: strike incidence, the climate of industrial relations, sickness/absenteeism, employee motivation, and staff retention. The evidence...

A shortfall in employee voice attendant upon union decline has long been forewarned. Data from the third European Company Survey is used to establish perceived shortfalls in employee involvement based on the responses of employee representatives in establishments where formal workplace employee...

This paper investigates the role of works councils in job satisfaction. Using the recently developed Linked Personnel Panel, we consider both the direct and indirect impact via further training. Basic estimates on an individual level do not reveal clearly direct effects, but on an establishment...

Using new, rich data on a representative sample of British workers, we examine the relationship between joint consultation systems at the workplace and employee satisfaction, accounting for possible interactions with union and management-led high-commitment strategies. We focus on non-union...

We estimate the effects of worker voice on job quality and separations. We leverage the 1991 introduction of worker representation on boards of Finnish firms with at least 150 employees. In contrast to exit-voice theory, our difference-in-differences design reveals no effects on voluntary job...

Since there is scant evidence on the role of industrial relations in wage cyclicality, this paper analyzes the effect of collective wage contracts and of works councils on real wage growth. Using linked employer-employee data for western Germany, we find that works councils affect wage growth...

This paper investigates trends in collective bargaining and worker representation in Germany from 2000 to 2008. It seeks to update and widen earlier analyses pointing to a decline in collective bargaining, while providing more information on the dual system as a whole. Using data from the IAB...