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A Group Works Council also called a Combine Works Council (; ''KBR'') can optionally be established by any
Central Works Council A Central Works Council also called a General Works Council (; ''GBR'') must be established in German companies where two or more Works Councils exist within the same legal entity per BetrVG § 47(1). Sections § 47-53 of the Works Constitution A ...
belonging to the
corporate group A corporate group or group of companies is a collection of parent and subsidiary corporations that function as a single economic entity through a common source of control. These types of groups are often managed by an account manager. The concept ...
headquartered in Germany according to BetrVG § 54(1). Sections § 54-59a of the Works Constitution Act (BetrVG) directly pertain to Group Works Councils.


Structure

If two or more Central Works Councils exist within the same
corporate group A corporate group or group of companies is a collection of parent and subsidiary corporations that function as a single economic entity through a common source of control. These types of groups are often managed by an account manager. The concept ...
that is headquartered in Germany, a Group Works Council can optionally be formed. This is contrasts with Central Works Councils, which are mandatory to establish. One or more Central Works Councils must approve through resolution, the establishment of a Group Works Council. They must represent at least 50% of all employees of the entire group. Every Central Works Council sends 2 of its members to the Group Works Council per BetrVG § 55(1). The size of the Central Works Council can optionally deviate through a Group
Works Agreement A works agreement (; plural: ; BV) is a special type of agreement in German labour law between a works council and the employer, described in §77 of the Works Constitution Act. It is distinct from collective agreements negotiated by trade union ...
and or
collective agreement A collective agreement, collective labour agreement (CLA) or collective bargaining agreement (CBA) is a written contract negotiated through collective bargaining for employees by one or more trade unions with the management of a company (or with ...
per BetrVG § 3. In the case of 40 plus members, a Group Works Agreement between the Group Works Council and the employer is mandatory.


Competence

According to BetrV
§ 58
the Group Works Council has "original competence" over issues that affect two or more subsidiaries cannot be solved by any individual Central Works Councils. This also includes establishments without a central works council. Additionally, a Central Works Council may refer an issue to the Group Works Council.


References

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External



(English) Works council (Germany) Supraorganizations