The works council in companies

Definition and role of the Betriebsrat in German companies

The Betriebsrat (works council) is an employee representative body within companies, regulated by the Works Constitution Act (Betriebsverfassungsgesetz – BetrVG). Its purpose is to protect employees’ interests and to ensure their effective participation in decisions that affect their working conditions and terms of employment (betriebsrat.de, Wikipedia).

1. Structure and elections

The size of the works council is determined in § 9 BetrVG according to the number of employees eligible to vote (wahlberechtigte Arbeitnehmer) in the company:

  • 5–20 employees ⇒ 1 member,

  • 21–50 ⇒ 3 members,

  • 51–100 ⇒ 5 members,

and the number of members increases step by step with each higher employee bracket (Gesetze im Internet, Dejure).

Eligibility to vote and stand for election:
All employees aged 18 and over who have been employed in the company for more than three months are generally entitled to vote and to stand as candidates (§§ 7–8 BetrVG) (buzer.de).

Term of office:
The regular term of office is four years, after which new elections are held on a regular cycle (§ 13 BetrVG) (Wikipedia).

2. Core tasks (§ 80 BetrVG)

The work of the Betriebsrat revolves around four main areas:

  • Monitoring tasks (Überwachungsaufgaben):
    The works council monitors the employer’s compliance with legal provisions, such as the Working Hours Act (Arbeitszeitgesetz), maternity protection rules, and accident prevention regulations (brwahl.de).

  • Shaping and co-design tasks (Gestaltungsaufgaben):
    It negotiates in-house works agreements (Betriebsvereinbarungen) and works to improve working conditions, for example through flexible working hours or home office arrangements (Dr. Kluge Seminare).

  • Protective tasks (Schutzaufgaben):
    It protects employees against unfair dismissal and ensures the implementation of occupational health and safety measures (Arbeitsschutzgesetz) (betriebsrat.de).

  • Promotional tasks (Förderungsaufgaben):
    It organises training courses, supports the professional integration of trainees and new employees, and encourages skill development (Wikipedia).

3. Powers and participation rights

  • Right to information (Informationsrecht):
    The employer must provide the works council with all information and data necessary for it to perform its duties (§ 80 (2) BetrVG) (brwahl.de).

  • Right to be consulted (Anhörungsrecht):
    The works council must be consulted before major decisions are taken, such as restructuring, transfers or collective changes in working conditions (§ 102 BetrVG) (brwahl.de).

  • Right of co-determination (Mitbestimmungsrecht):
    In social matters – for example variable pay systems or the distribution of working hours – the works council has full co-determination rights. The employer cannot implement such measures effectively without the council’s consent (§ 87 BetrVG) (brwahl.de).

  • Right to conclude works agreements:
    By concluding Betriebsvereinbarungen (§ 77 BetrVG), the works council and employer can adopt binding internal rules on the use of technology, working time schemes, bonus systems, and similar topics (Arbeiterkammer).

4. How the works council operates

  • Regular meetings:
    The works council holds regular meetings; their frequency depends on the size of the company and the number of issues to be dealt with. Minutes are taken and kept on record.

  • Sub-committees:
    Specialised committees (e.g. for health and safety, training, or crisis management) may be set up to address specific topics in more depth.

  • Training and qualification:
    Every member has the right to attend necessary training courses at the employer’s expense in order to perform council duties competently (§ 37 BetrVG) (Wikipedia).

5. Relationship with management and trade unions

  • Cooperation with management:
    The works council cooperates with the company’s management (Geschäftsführung) to resolve problems and jointly shape internal policies.

  • Coordination with trade unions (Gewerkschaften):
    Works councils often work closely with trade unions, especially on major issues such as strikes, collective bargaining and restructuring.

  • Dispute resolution:
    If negotiations fail, disputes can be referred to the conciliation committee or taken to the Labour Court (Arbeitsgericht) for a binding decision.

6. Benefits of having a Betriebsrat

  • It strengthens transparency and trust between employees and management.

  • It contributes to better working conditions and can help increase productivity.

  • It provides additional legal protection for employees against unlawful or arbitrary measures.

Conclusion

The Betriebsrat is a cornerstone of the German system of industrial relations. Through its information, consultation and co-determination rights, it balances the interests of employees and employers and makes participation legally binding. Understanding its role enables both staff and management to build a cooperative, productive and sustainable partnership within the company.

The editorial team of the website strives to provide accurate information based on thorough research and the evaluation of multiple sources. However, mistakes may still occur or some details may not yet be fully confirmed. For this reason, the information in these articles should be regarded as an initial point of reference; for binding and up-to-date information, please always contact the competent authorities and official bodies.


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