Arbeitspapier

The Role of Works Councils for Severance Payments

Using representative German employee data, we analyse the role of works councils for the incidence of severance payments subsequent to dismissals. While there is a positive relation with severance payments after those dismissals which stem from plant closings, the incidence of a works council is negatively associated with severance pay subsequent to individual layoffs. In both cases, we find a negative moderating effect of individuals' higher reemployment chances. We also explore gender differences and differences between the types of previously held jobs.

Language
Englisch

Bibliographic citation
Series: IZA Discussion Papers ; No. 10750

Classification
Wirtschaft
Labor-Management Relations; Industrial Jurisprudence
Labor Turnover; Vacancies; Layoffs
Unemployment Insurance; Severance Pay; Plant Closings
Subject
dismissals
layoffs
plant closings
severance pay
works councils

Event
Geistige Schöpfung
(who)
Grund, Christian
Martin, Johannes
Event
Veröffentlichung
(who)
Institute of Labor Economics (IZA)
(where)
Bonn
(when)
2017

Handle
Last update
10.03.2025, 11:42 AM CET

Data provider

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Object type

  • Arbeitspapier

Associated

  • Grund, Christian
  • Martin, Johannes
  • Institute of Labor Economics (IZA)

Time of origin

  • 2017

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