Working Time Flexibility in the German Employment Relations System: Implications for Germany and Lessons for the United States

Competitive conditions are leading to much experimentation within and decentralization of the German employment relations system. In this aritcle, I show how flexible working time is an integral part of the German employment relations system and how flexible working time arrangements are contributing to its transformation. In addition, I discuss the implications for employers and employees of flexible working time, and the lessons the German experience with flexible working time has for the United States. Flexible working time contributes to the decentralization of German employment relations on multiple levels, particularly within the enterprise. The benefits to employers of flexible working time take many forms and are generally positive, whereas the implications for employees are more mixed. The main lesson for the United States is that labor market insitutions still matter in developing flexible working time models that can meet both employer and employee needs.