In public discussion in Germany it is often argued that jobs are mainly created in small and medium-sized firms (i.e. the Mittelstandʺ), whereas large firms tend to reduce their number of jobs. An empirical analysis for the period 1999 to 2005 with data of all western and eastern German firms...

Although works councils are a core element of the German system of industrial relations, there is little reliable information on their incidence and coverage. This paper uses data from the nationally representative IAB establishment panel to fill this gap. We examine the frequency of works...

Eine Auswertung repräsentativer Daten des IAB-Betriebspanels zeigt, dass im Jahr 2000 knapp die Hälfte der westdeutschen, aber nur gut ein Viertel der ostdeutschen Betriebe durch Flächen- oder Firmentarifverträge gebunden waren, wobei die Flächentarifbindung in den letzten Jahren...

Using comprehensive data for West Germany, this paper investigates the determinants of establishment exit. We find that between 1975 and 2006 the average exit rate has risen considerably. In order to test various “liabilities” of establishment survival identified in the literature, we...

According to the German Works Constitution Act, establishments above certain thresholds defined by the number of employees must release members of their works councils from work and enable them to do a full-time job as works councilors. Using a full sample of all establishments affected, we...

In Germany, many labour laws and regulations apply only in establishments above a critical size, and usually these thresholds are defined by the number of employees. The existing 160 thresholds are complex and defined inconsistently, making it difficult for firms to obey the law. Moreover,...