Addison, John T. Bryson, Alex Teixeira, Paulino Pahnke, André Bellmann, Lutz
Year of Publication:
Discussion paper series // Forschungsinstitut zur Zukunft der Arbeit 5030
This paper investigates trends in collective bargaining and worker representation in Germany from 2000 to 2008. It seeks to update and widen earlier analyses pointing to a decline in collective bargaining, while providing more information on the dual system as a whole. Using data from the IAB Employment Panel and the German Employment Register, we report evidence of a systematic and continuing erosion of the dual system. Not unnaturally the decline is led by developments in western Germany. Arguably, the path of erosion will continue until rough and ready convergence is reached with eastern Germany. Expressed differently, if the process of decentralization underpinning these developments once was 'regulated' it no longer appears to be so.
Erosion of the dual system collective bargaining/works council coverage eastern and western Germany institutional transitions permanent stayers newly-founded firms closing/failing firms