CO-DETERMINATION RIGHTS OF THE WORKS COUNCIL
| GERMANY |
| MITBESTIMMUNGSRECHTE DES BETRIEBSRATS CO-DETERMINATION RIGHTS OF THE WORKS COUNCIL |
The most far-reaching form of the participation rights of the works council . With the establishment of general collective rules as its objective, co-determination covers participation in arrangements on health and safety at work, voluntary and obligatory co-determination and the formal adoption of a reconcilement of interests and a "social plan " in the event of a substantial alteration to the establishment (Works Constitution Act && 87 ff., 111 ff.). The works council's co-determination rights also include the involvement of the council in deciding on the design of staff application forms, methods of appraisal and guidelines for personnel selection , in-service training and individual staff measures (engagement, grading and re-grading, transfer, dismissal) (&& 94 f., 96 ff., 99, 102). As a general principle, the right of co-determination is exercised through a works agreement or semi-formal works agreement in the case of collective measures, and through a corresponding decision by the works council in the case of matters relating to individual staff. In individual matters, a decision by the courts may take the place of the council's assent. The works council's co-determination rights must be observed even in urgent cases.
The area of obligatory collective co-determination encompasses matters connected with: works rules ; working time in the establishment, including breaks , short-time working and overtime ; the method of payment used for remuneration ; the arrangement of general principles on annual holidays and the preparation of the holiday roster; the introduction and use of technical devices for monitoring employees' conduct and performance; accident prevention and health protection; the form, structure and administration of fringe benefits; the provision and withdrawal of company-owned housing; matters connected with remuneration arrangements in the establishment and principles and methods of remuneration; the fixing of performance-related rates of pay; and the principles underlying the company suggestions scheme for employees' suggestions for improvements . On these matters, the employer cannot take any action without the agreement of the works council, and indeed either side can take the initiative in such matters. Consequently, the works council can even require the company to accept rules on these matters by referring to the establishment-level arbitration committee . In collective matters, the decision of this arbitration committee can take the place of voluntary agreement between employer and works council. As a rule, the co-determination rights of the works council are confined to formal regulatory conditions of employment and, as regards company fringe benefits and performance-related rates of pay, to participating in the "how" after the employer has made a decision on the "whether". This restriction of the council's rights of co-determination is a result of the fact that statutes and collective agreements take precedence over the exercise of these rights.
With the introduction of new production technologies and new production concepts , and terms in collective agreements which assign the practical implementation of regulations on working hours to the parties at establishment level, the co-determination rights of the works council have steadily increased in importance. These rights can be extended by collective agreement.
Please note: the European industrial relations glossaries were compiled between 1991 and 2003 and are not updated. For current material see the European industrial relations dictionary.
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