Stinnes Legien Agreement Summary
6. The working conditions of all male and female workers are regulated in each occupation by collective agreements with workers` unions. These measures must begin without delay and be completed without delay. 12. These agreements come into force on the day of their signing and, unless replaced by another law, remain in force until further notice, with a three-month withdrawal period. The current labour market situation in Germany, the recent Deutsche Bahn collective agreement and the centenary of the Stinnes-Legien agreement are the main themes of this article. This country reports on the latest developments in working life in Germany in the fourth quarter of 2018. The first two also discouraged companies from being bound by sectoral agreements, from participating in collective agreements. In light of these findings, the researchers believe that government interventions to strengthen coverage of collective agreements are unfavourable, as the social partners do not appear to have exhausted all opportunities to strengthen the collective bargaining system from within. More attractive pay and working time clauses could prove to be a good place to start, as companies still value collective agreements for their ability to ensure smooth production cycles or reduce transaction costs. The debate on how to improve coverage of the negotiations and future cooperation between the social partners will continue in 2019, both of which are essential to Germany`s economic success. The decline in wage-setting has given rise to a political and academic debate on the future of the German collective bargaining system and how best to deal with this decline, including through state intervention. For example, the DGB calls for the removal of so-called OT membership in employers` organizations (i.e.
affiliation that does not bind the employer to the collective agreement of the branch of its organization). The Confederation of Trade Unions also proposes to use enlargement mechanisms more frequently. Employers` organisations such as the BDA reject requests for state intervention and stress the importance of independent (wage) negotiation.