Works councils, collective bargaining and apprenticeship training

Arbeitspapier

In this paper, we investigate the effects of works councils on apprenticeship training in Germany. The German law attributes works councils substantial information and co-determination rights to training-related issues. Thus, works councils may also have an impact on the cost-benefit relation of workplace training. Using detailed firm-level data containing information on the costs and benefits of apprenticeship training, we find that firms with works councils make a significantly higher net investment in training compared with firms without such an institution. We also find that the fraction of former trainees still employed with the same firm five years after training is significantly higher in the presence of works councils, thus enabling firms to recoup training investments over a longer time horizon. Furthermore, all works council effects are much more pronounced for firms covered by collective bargaining agreements.

Object Details

• Language: Englisch

References and Relationships

• Bibliographic citation: Series: IZA Discussion Papers ; No. 6497

Classification and Topics

• Classification: Wirtschaft ; Human Capital; Skills; Occupational Choice; Labor Productivity ; Labor-Management Relations, Trade Unions, and Collective Bargaining: General ; Personnel Economics: Training
• Subject: works councils ; collective bargaining agreement ; apprenticeship training ; firm-sponsored training ; Betriebsrat ; Betriebliche Ausbildung ; Kosten-Nutzen-Analyse ; Deutschland

Contributors, Places and Time

• Event: Geistige Schöpfung
• (who): Kriechel, Ben ; Mühlemann, Samuel ; Pfeifer, Harald ; Schuette, Miriam
• Event: Veröffentlichung
• (who): Institute for the Study of Labor (IZA)
• (where): Bonn
• (when): 2012

Further information

• Handle: http://hdl.handle.net/10419/58990
• URN: urn:nbn:de:101:1-2012080812413
• Last update: 10.03.2025, 11:43 AM CET