Owner-Managers and the Failure of Newly Adopted Work Councils

Authors: Mohrenweiser, J. and Jirjahn, U

Journal: British Journal of Industrial Relations

Volume: 54

Issue: 4

Pages: 815-845

ISSN: 1467-8543

DOI: 10.1111/bjir.12148

http://eprints.bournemouth.ac.uk/22622/

Source: Manual

Owner-Managers and the Failure of Newly Adopted Work Councils

Authors: Mohrenweiser, J. and Jirjahn, U.

Journal: British Journal of Industrial Relations

Volume: 54

Issue: 4

Pages: 815-845

ISSN: 1467-8543

Abstract:

Using representative data from the IAB Establishment Panel, we show that the managerial environment has a strong influence on the introduction and survival of works councils. Employees in owner-managed establishments are less likely to introduce a works council. Moreover, in case of an introduction, the new works council is less likely to survive if the establishment is owner-managed. The pattern of results even holds in situations that involve positive economic effects of works councils. This suggests that owner-managers oppose works councils not primarily for economic reasons. Our findings are rather consistent with the hypothesis that owner-managers oppose co-determination because it reduces the utility they gain from being the ultimate bosses within the establishment.

http://eprints.bournemouth.ac.uk/22622/

Source: BURO EPrints