ABSTRACT
Stable relations of mutual recognition, institutionalised co-operation and regulated conflict between organised labour, organised business and government were core elements of the post-war political economy of West Germany. Social partnership came to its peak in the Modell Deutschland of the 1970s, with unions strengthened by the worker revolt of 1969 and by favourable legislation on workplace participation. Employers accommodated union strength by investing in skills, advanced technology and quality-competitive products. The socialliberal government depended on union co-operation in keeping the national economy competitive.
