ABSTRACT
The globalisation of markets, the concentration of capital, the European integration, the technological revolution and lean management set the productive forces free and led to an enormous increase of productivity on the one hand and to a redistribution of productive forces around the globe on the other hand. Through bad government, not only the Eastern European states, but all Western states as well are in heavy financial crisis. The answer to this is a severe rationalisation policy with the reduction of state employment. “Competitivity” has become the central item within the economic relations between companies as well as between nations, especially within the triad North America - Japan - Europe. Europe, as in the rest of the world, has longstanding traditions in these fields - though culturally differentiated. The directive for the introduction of European works councils is one example of new forms of industrial relations. Unionists in Europe must face this issue now with the European Works Councils.
