Group Works Council
A Group Works Council also called a Combine Works Council (German: Konzernbetriebsrat; KBR) can optionally be established by any Central Works Council belonging to the corporate group headquartered in Germany according to BetrVG § 54(1). Sections § 54-59a of the Works Constitution Act (BetrVG) directly pertain to Group Works Councils.
Structure
[edit | edit source]If two or more Central Works Councils exist within the same corporate group that is headquartered in Germany, a Group Works Council can optionally be formed. This is contrasts with Central Works Councils, which are mandatory to establish.[1]: 14 One or more Central Works Councils must approve through resolution, the establishment of a Group Works Council. They must represent at least 50% of all employees of the entire group.[2]: 54
Every Central Works Council sends 2 of its members to the Group Works Council per BetrVG § 55(1). The size of the Central Works Council can optionally deviate through a Group Works Agreement and or collective agreement per BetrVG § 3. In the case of 40 plus members, a Group Works Agreement between the Group Works Council and the employer is mandatory.[1]: 28
Competence
[edit | edit source]According to BetrVG § 58, the Group Works Council has "original competence" over issues that affect two or more subsidiaries cannot be solved by any individual Central Works Councils. This also includes establishments without a central works council. Additionally, a Central Works Council may refer an issue to the Group Works Council.[1]: 32–34
Further reading
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References
[edit | edit source]External
[edit | edit source]- Works Constitution Act legal text (English)