Recent studies on the economic effects of works councils in Germany using the European Company Survey estimate a significant negative effect of works councils on establishment productivity and profitability. These results are in stark contrast to studies using the IAB Establishment Panel...

This chapter reviews the economic effects of employee representation with statutory consultation and information rights at the workplace, the works councils. The chapter summarises the international literature which is heavily skewed towards the German case. This review focuses, first, on the...

Recent studies on the economic effects of works councils in Germany using the European Company Survey estimate a significant negative effect of works councils on establishment productivity and profitability. These results are in stark contrast to studies using the IAB Establishment Panel...