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Decentralising Wage Bargaining in Germany – A Way to Increase Employment?

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  • Wolfgang Ochel

Abstract

The area-wide wage agreement is at the centre of Germany’s system of collective bargaining. In recent years, however, there has been a tendency towards the decentralisation of collective bargaining. Individual wage agreements have led to more moderate wage developments, whilst wage agreements with individual firms, and agreements at the production unit level have not had this moderating effect. On the other hand, collective bargaining has become more flexible. The further decentralisation of collective bargaining gives rise to objections based in constitutional law and to the resistance of employees and (in part) also of employers.

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  • Wolfgang Ochel, 2003. "Decentralising Wage Bargaining in Germany – A Way to Increase Employment?," CESifo Working Paper Series 1069, CESifo Group Munich.
  • Handle: RePEc:ces:ceswps:_1069
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    References listed on IDEAS

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    Cited by:

    1. John T. Addison & Alex Bryson & Paulino Teixeira & André Pahnke & Lutz Bellmann, 2013. "The Extent of Collective Bargaining and Workplace Representation: Transitions between States and their Determinants. A Comparative Analysis of Germany and Great Britain," Scottish Journal of Political Economy, Scottish Economic Society, vol. 60(2), pages 182-209, May.
    2. repec:ces:ifodic:v:1:y:2003:i:4:p:14567881 is not listed on IDEAS
    3. Gürtzgen, Nicole, 2005. "Rent-sharing : Does the Bargaining Regime Make a Difference? Theory and Empirical Evidence," ZEW Discussion Papers 05-15, ZEW - Zentrum für Europäische Wirtschaftsforschung / Center for European Economic Research.
    4. Wolfgang Ochel, 2003. "National Institutional Systems in Global Competition and the Inertia of German Labour Market Institutions," ifo DICE Report, ifo Institute - Leibniz Institute for Economic Research at the University of Munich, vol. 1(4), pages 33-38, 02.

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