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What is codetermination in industrial relations?

What is codetermination in industrial relations?

In corporate governance, codetermination (also “copartnership” or “worker participation”) is a practice where workers of an enterprise have the right to vote for representatives on the board of directors in a company. It also refers to staff having binding rights in work councils on issues in their workplace.

What are the two channels of codetermination in Germany and what does each do?

There are two levels through which employees are given codetermination rights to participate in a firm’s decision making: the work council (“Betriebsrat”,establishment or “shop-floor” level) and the supervisory board (“Aufsichtsrat”,company level).

What is codetermination in Germany?

German codetermination (“Mitbestimmung”) Codetermination in Germany defines a set of rights that give employees the possibility to actively participate in shaping their working environment.

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What countries have codetermination?

Countries with codetermination laws, such as Germany, Norway, and Sweden, also have very widespread firm-level union representation and have strong collective bargaining agreements negotiated at the industry level that set standards for wages and working conditions.

What is the principle of codetermination?

This constitutional and legal right is the basis of the principle of co-determination where the employees are given the right to co-determine or share the responsibility of formulating certain policies that affect their rights, benefits and welfare.

What are the two channels of co-determination in Germany?

Co-determination is rooted in the industrial relations traditions of a number of EU Member States. In Germany, for example, there are two distinct levels of co-determination: at the establishment level (via the works council) and at the enterprise level (such as on the supervisory board of a company).

What is the role of codetermination in German organizations?

Codetermination aims principally to give workers a voice in the company decisions. This means matters on organisation of the business, the conditions of work and the management of personal and economic decisions affecting the future of the company and jobs.

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What are the benefits of the codetermination principle?

By balancing the interests of shareholders and workers, codetermination helps check myopic corporate action and ensures that decisions reflect the needs of all stakeholders.

How should a board of directors be involved in the executive leadership of an organization?

The board of directors selects and hires the executive director, writes the job description and duties, and assesses the individual’s performance. The board must make sure that the executive director is running the organization well and within the purpose and mission of the entity.

What law governs employment practices and labor relations in the Philippines?

The Labor Code of the Philippines stands as the law governing employment practices and labor relations in the Philippines. It was enacted on Labor day of 1974 by President Ferdinand Marcos, in the exercise of his then extant legislative powers.

What is the meaning of prerogative management?

11 March 2007. Management (or managerial) prerogative refers to the right of management to take and act upon decisions affecting the business or organisation.

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Why is codetermination important?

Another study found that codetermination can keep income inequality low across an entire country, presumably by keeping executive pay at reasonable levels and putting that money either in the hands of workers or back into the company. Countries with more codetermination also see fewer strikes.

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