Purpose: A growing number of econometric examinations show that works councils substantially shape the personnel policy of firms in Germany. Firms with works councils make greater use of various human resource management (HRM) practices. This gives rise to the question of whether employers view...

Summary Empirical studies on establishment-level codetermination usually focus on the impact of works councils on firm performance. Using data from the German Socio-Economic Panel, this is the first systematic research to examine the relationship between works councils and job satisfaction. It...

Summary Using data from the German Socioeconomic Panel (GSOEP), the study analyzes the direct and indirect effects of parental background on employees' earnings. To examine indirect effects we estimate the determinants of the employees' years of schooling. In a second step, we run wage...