The German dual system of interest representation is set on two pillars. One comprises industry-wide regional collective agreements between trade unions and employer associations. The second consists of works councils, legally-based bodies representing the employees of an establishment. Legally the two institutions are independent but in practice there are manifold interdependencies.
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15. January 2026 | Labour Market Policy
Minimum wage and job reallocation: The hidden role of financial constraints
The introduction of Germany’s minimum wage in 2015 did not cause substantial changes to overall employment; rather, it triggered large shifts in the composition and allocation of types of ...read more
9. December 2025 | Labour Market Policy
Investment tax incentives can boost employment
When firms face lower investment costs, it not only encourages them to purchase new machinery and equipment but also helps secure and create jobs. An analysis of the German investment tax credit ...read more