Abstract
Faced by the advent of neo-liberal market forces, epitomized by the austerity character of EMU (Buda, 1998; Ferner and Hyman, 1998), Germany like other European Member States is having to contend with a radically new macroeconomic regime (Grahl and Teague, 2003).With the advance of European economic ‘integration’, a byword for production transparency, low unit costs and labour flexibility, governments and corporate interests are increasingly committed to improving economic performance by promoting a deregulation of labour markets (Marginson and Sisson, 2001; Lane, 2003). The following chapter contends that the aforementioned neo-liberal agenda is having far reaching repercussions on the dual system of employee representation, the heart
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