Sets the legal grounds for establishing works councils and defines the status of trade unions and employers’ associations. Defines the term “employees”. Contains some provisions about works councils, works meetings, central works councils and combined works councils (election of members). Provides for representation of young employees and trainees. Provides for collaboration by employees and codetermination (creation of conciliation committee, right to make complaints, etc.). Works councils are endowed with far-reaching information, consultation and codetermination rights, in addition to their role in implementing sectoral agreements.