The German Model of Industrial Relations: (Where) Does It Still Exist?

Michael Oberfichtner and Claus Schnabel

Journal of Economics and Statistics (Jahrbuecher fuer Nationaloekonomie und Statistik), 2019, vol. 239, issue 1, 5-37

Abstract: Using data from the representative IAB Establishment Panel, this paper charts changes in the two main pillars of the German IR model over the last 20 years. It shows that collective bargaining coverage and worker representation via works councils have substantially fallen outside the public sector. Less formalized and weaker institutions such as voluntary orientation of uncovered firms towards sectoral agreements and alternative forms of employee representation at the work-place have partly attenuated the overall erosion in coverage. Multivariate analyses indicate that the traditional German IR model (with both collective agreements and works councils) is more likely found in larger and older plants, and it is less likely in plants managed by the owner, in single and foreign-owned plants, in individually-owned firms or partnerships, and in exporting plants. In contrast, more than 60 % of German plants did not exhibit bargaining coverage or orientation or any kind of worker representation in 2015. Such an absence of the main institutional features of the German IR model is mainly found in small and medium-sized plants, in particular in the service sector and in eastern Germany, and its extent is increasing dramatically.

Keywords: collective bargaining; bargaining coverage; works council; industrial relations; worker representation (search for similar items in EconPapers)
Date: 2019
References: Add references at CitEc
Citations: View citations in EconPapers (43)

Downloads: (external link)
https://doi.org/10.1515/jbnst-2018-0158 (text/html)

Related works:
Working Paper: The German Model of Industrial Relations: (Where) Does It Still Exist? (2017)
Working Paper: The German model of industrial relations: (Where) does it still exist? (2017)
Working Paper: The German model of industrial relations: (Where) does it still exist? (2017)
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:jns:jbstat:v:239:y:2019:i:1:p:5-37:n:4

DOI: 10.1515/jbnst-2018-0158

Access Statistics for this article

Journal of Economics and Statistics (Jahrbuecher fuer Nationaloekonomie und Statistik) is currently edited by Peter Winker

More articles in Journal of Economics and Statistics (Jahrbuecher fuer Nationaloekonomie und Statistik) from De Gruyter
Bibliographic data for series maintained by Peter Golla ().