What Is a Works Council and Why Does It Matter When Expanding Into the EU?

In this Globig Podcast, we’re discussing Works Councils in the EU, what they are and why the matter much more than most companies are prepared for when entering into foreign markets, especially the EU and countries such as Germany, UK, Belgium, Italy, Luxembourg, Austria, France and Spain .

Our guest expert is Nathan North, the Director of Global Payroll at Global Upside. Nathan oversees payroll processing for over 5000 employees from different clients across 45 countries.

Some of the important discussion topics we cover and questions we answer in this podcast include:

1. What exactly is a works council and how are they different from a trade union?
2. What are the areas of business that Works Councils will influence?
3. What are some of the hardest aspects for companies to comply with?
4. What are the benefits for having Works Councils?
5. For companies considering going into Germany, there is a concept called co-determination or ‘Mitbestimmung’, which is an even more robust version of typical Works Councils. What is it and how does it apply?
6. How important is having a good working relationship with work councils for a company expanding abroad?
7. Are all companies required to participate in Works Councils? Can companies choose not to participate in works councils? What are the requirements?
8. What are the costs for a company associated with running works councils and the participation of their employees?