This paper provides the first full examination of the effect of German works councils on wages using matched employer-employee data (specifically, the LIAB for 2001). We find that works councils are associated with higher earnings. The wage premium is around 11 percent (and is higher under...

"German employment relations are characterized by a distinct dual system: First, working conditions and wages are determined by industry level collective bargaining agreements. Second, on the establishment level the works council is responsible for employer-employee negotiations. But since the...

Der Beitrag widmet sich den Vertretungsinstitutionen jenseits des Betriebsverfassungsgesetzes. Auf Grundlage des IAB-Betriebspanels wird zunaechst die Verbreitung und Entwicklung solcher alternativer Vertretungsorgane beschrieben, bevor deren Schicksal auf einzelbetrieblicher Ebene nachgegangen...