"German employment relations are characterized by a distinct dual system: First, working conditions and wages are determined by industry level collective bargaining agreements. Second, on the establishment level the works council is responsible for employer-employee negotiations. But since the...

"German employment relations are characterized by a distinct dual system: First, working conditions and wages are determined by industry level collective bargaining agreements. Second, on the establishment level the works council is responsible for employer-employee negotiations. But since the...

German employment relations are characterized by a distinct dual system: First, working conditions and wages are determined by industry level collective bargaining agreements. Second, on the establishment level the works council is responsible for employer-employee negotiations. But since the...

In order to reduce unemployment, it is often recommended that industry-levelwage bargaining in Germany should be replaced by a more decentralized system.This paper provides a critical assessment of the current wage bargaininginstitutions and reexamines the case for a more decentralized system....