European Works Councils and Industrial Restructuring in the European Motor Industry

Abstract

This article discusses the role of European Works Councils (EWCs) in industrial restructuring in the European car industry. It reviews a series of recent company agreements on local employment and investment guarantees, and concludes that the industrial relations system in the industry is increasingly marked by competition between establishments over wages and secondary working conditions. In order to explain why EWCs have been unable to counter this development, the article draws on a survey which indicates that, in the new competitive regime in the industry, EWCs are used by local trade unionists primarily as a means to further local interests.