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On 18 June 2021 the Works Council Modernisation Act has come into force. Just before the end of the legislative period, an important part of the coalition agreement has been implemented. The law is intended to facilitate the establishment of works councils and thus the number of works councils in companies in Germany.
The number of work council bodies has continued to decline in the past. Only 10% of the companies in Germany still have a works council. Further, the working methods of works councils are to be adapted to modern working conditions and the protection of works council members and employees, who participated in the establishment of a works council is to be extended.
In detail, the law contains the following relevant changes:
Conclusion
After amendments of the Works Constitution Act were initially to be made through the “Works Council Strengthening Act”, the amendments have now been passed by the Bundestag through the “Works Council Modernisation Act”. However, the law has not necessarily brought the necessary modernisation. The election process has not really been simplified, because also the so called “simplified procedure” is a complex procedure. Only the number of employees has been adjusted. Also the new right to co-determination on „mobile work” in art. 14 of para 87 of the German Works Constitution Act (BetrVG) was more about the political goal of the Ministry of Labour to at least focus on home office through the right to co-determine, after the introduction of a right to work at home has failed. The employer’s decision to introduce mobile working or not is also not influenced by the new co-determination provisions. Related regulations on working hours, health protection and technical equipment were already subject to enforceable co-determination right in the past. Unfortunately, the pandemic-related temporary transitional regulation for holding virtual arbitration meetings has not been permanently incorporated in the German Works Constitution Act (BetrVG), so that, according to the prevailing opinion, these have to be carried out in presence again since 1 July 2021.
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