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Vertical Disintegration and the Disorganization of German Industrial Relations1

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  • Virginia Doellgast
  • Ian Greer

Abstract

Drawing on case studies from the telecommunications and auto industries, the authors argue that the vertical disintegration of major German employers is contributing to the disorganization of Germany’s dual system of in‐plant and sectoral negotiations. Subcontractors, subsidiaries and temporary agencies often have no collective bargaining institutions or are covered by different firm‐level and sectoral agreements. As core employers move jobs to these firms, they introduce new organizational boundaries across the production chain and disrupt traditional bargaining structures. Worker representatives are developing new campaign approaches and using residual power at large firms to establish representation in new firms and sectors, but these have not been successful at rebuilding co‐ordinated bargaining.

Suggested Citation

  • Virginia Doellgast & Ian Greer, 2007. "Vertical Disintegration and the Disorganization of German Industrial Relations1," British Journal of Industrial Relations, London School of Economics, vol. 45(1), pages 55-76, March.
    • Handle: RePEc:bla:brjirl:v:45:y:2007:i:1:p:55-76
    DOI: 10.1111/j.1467-8543.2007.00602.x
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    1. Streeck, Wolfgang, 2001. "The transformation of corporate organization in Europe: An overview," MPIfG Working Paper 01/8, Max Planck Institute for the Study of Societies.
    2. Jürgens, Ulrich, 2004. "Gibt es einen europaspezifischen Entwicklungsweg in der Automobilindustrie?," Discussion Papers, Research Unit: Knowledge, Production Systems and Work SP III 2004-301, WZB Berlin Social Science Center.
    3. Rehder, Britta, 2003. "Betriebliche Bündnisse für Arbeit in Deutschland: Mitbestimmung und Flächentarif im Wandel," Schriften aus dem Max-Planck-Institut für Gesellschaftsforschung Köln, Max Planck Institute for the Study of Societies, volume 48, number 48.
    4. Höpner, Martin, 2003. "Wer beherrscht die Unternehmen? Shareholder Value, Managerherrschaft und Mitbestimmung in Deutschland," Schriften aus dem Max-Planck-Institut für Gesellschaftsforschung Köln, Max Planck Institute for the Study of Societies, volume 46, number 46.
    5. Hassel, Anke & Rehder, Britta, 2001. "Institutional change in the German wage bargaining system: The role of big companies," MPIfG Working Paper 01/9, Max Planck Institute for the Study of Societies.
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