ABSTRACT

This chapter explores how the new industrial relations actors were established in the east, and how did the workplace relations develop. It answers these describing the institutional transfer of unions and works councils, together with the transformation of management in east Germany after 1989. The chapter further deals with the emerging workplace practices by focusing on the works council, its institutionalisation and its effectiveness in representing workers' interests. After a short and failed attempt at self-rescue and reform, the socialist state union (FDGB) formally dissolved and the west German unions moved eastwards, taking over the socialist union infrastructure. The chapter discusses the various approaches to understanding the take-over of the socialist unions, the changes in personnel management styles, the establishment of works councils and their subsequent problems. Industrial democracy is not seen to be the reason for establishing the worker councils.