Development of the Codetermination System

Toshio Yamazaki
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Toshio Yamazaki: Ritsumeikan University

Chapter Chapter 4 in German Business Management, 2013, pp 55-70 from Springer

Abstract: Abstract Postwar Germany built a systematic framework for labor relations based on the Codetermination Act. A new framework for labor relations in the codetermination system provided an alternative to the US model, and was an important element that regulated Germany’s “Rheinland Model of capitalism” or the “coordinated market economy.” Therefore, this chapter discusses post WWII changes in labor relations under the codetermination system. First, it views characteristics of postwar labor relations in Japan, then considers the new framework for labor relations in Germany called the “dual system,” followed by the mechanism of corporate governance based on the codetermination system. On the basis of these discussions, this chapter examines the codetermination system’s significance from the perspectives of improvement in the flow of information between labor and management, promotion of cooperative and stable labor–capital relations, and safety net functions.

Keywords: Codetermination; Corporate governance; Labor relations; Safety net; Works council (search for similar items in EconPapers)
Date: 2013
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Persistent link: https://EconPapers.repec.org/RePEc:spr:sprchp:978-4-431-54303-9_4

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DOI: 10.1007/978-4-431-54303-9_4

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