Decentralized Wage Bargaining in Germany Boosts Employment Prospects
Decentralizing wage bargaining in Germany by moving towards individual wage agreements has made pay increases more reasonable. This shift has led to more flexible collective bargaining, allowing for different pay levels. However, agreements with individual firms or at the production unit level haven't controlled wages as well. Experts suggest continuing this decentralization, but some people don't agree because of legal concerns and opposition from workers and bosses.