Quick Answer: What Is a Works Council?
A works council is an elected body of employee representatives that has the right to be informed and consulted on workplace matters, and in some countries, to codetermine certain decisions with the employer. Works councils exist separately from trade unions and represent all employees in the workplace, not just union members.
| Aspect | Description |
|---|---|
| Legal basis | EU Directive 2002/14/EC (national information and consultation) and Directive 2009/38/EC (European Works Councils) |
| Scope | Employee representation at establishment or company level |
| Rights | Information, consultation, and in some countries codetermination |
| Threshold | Varies by country (typically 5-50+ employees) |
| Election | By and from the workforce, for fixed terms |
EU Legal Framework
Directive 2002/14/EC: National Information and Consultation
This directive establishes a general framework for informing and consulting employees in the EU. It requires member states to ensure that employees in undertakings with at least 50 employees (or establishments with at least 20) have the right to be informed and consulted on:
- The recent and probable development of the undertaking's activities and economic situation
- The situation, structure, and probable development of employment, including any threats to employment
- Decisions likely to lead to substantial changes in work organisation or contractual relations (including redundancies and transfers)
Directive 2009/38/EC: European Works Councils (Recast)
The European Works Council (EWC) Directive applies to Community-scale undertakings -- those with at least 1,000 employees across the EU/EEA and at least 150 employees in each of two or more member states. Key provisions:
- Management must negotiate with a Special Negotiating Body (SNB) of employee representatives to establish an EWC
- The EWC must be informed and consulted on transnational matters affecting employees
- If negotiations fail after 3 years, subsidiary requirements (a default EWC structure set out in the directive's annex) apply automatically
- The EWC must meet at least once per year with central management
- Extraordinary meetings must be held when exceptional circumstances affect employees' interests (e.g., relocations, closures, collective redundancies)
As of 2026, there are approximately 1,000 active EWCs across the EU, covering around 18 million employees.
Country-by-Country Guide
Germany: Betriebsrat
Germany has the most extensive works council system in the EU, governed by the Works Constitution Act (Betriebsverfassungsgesetz, BetrVG).
Threshold: Any establishment (Betrieb) with 5 or more permanent employees (at least 3 eligible to be elected) can form a Betriebsrat. The employer cannot initiate or prevent its creation.
Size and composition:
| Employees | Council Members |
|---|---|
| 5-20 | 1 |
| 21-50 | 3 |
| 51-100 | 5 |
| 101-200 | 7 |
| 201-400 | 9 |
| 401-700 | 11 |
| 701-1,000 | 13 |
| 1,001-1,500 | 15 |
Rights -- three tiers:
- Information rights: The employer must inform the Betriebsrat about economic matters, workforce planning, and proposed changes
- Consultation rights: The Betriebsrat must be consulted before dismissals (Section 102 BetrVG -- a dismissal without prior consultation is void), collective redundancies, and business transfers
- Codetermination rights (Mitbestimmung): The employer cannot act without the Betriebsrat's agreement on matters including working hours and schedules, overtime arrangements, holiday schedules, introduction of technical monitoring equipment, pay structures and bonus schemes, health and safety measures, and social facilities
If the Betriebsrat and employer cannot agree on a codetermination matter, either party can refer the dispute to an arbitration committee (Einigungsstelle) whose decision is binding.
France: Comite Social et Economique (CSE)
The CSE (created by the Macron Ordinances of September 2017) replaced the previous three bodies (CE, DP, CHSCT) with a single unified body. Governed by the Labour Code (Code du travail).
Threshold: Any enterprise with 11 or more employees (maintained for 12 consecutive months) must establish a CSE.
Structure by size:
| Size | CSE Composition | Key Rights |
|---|---|---|
| 11-49 employees | Employee delegates only | Individual and collective grievances, health and safety |
| 50+ employees | Elected members + employer as chair | Full information, consultation, and expertise rights |
| 300+ employees | Additional specialist commissions required | Health/safety/working conditions commission mandatory |
Consultation rights (50+ employees):
- Strategic direction of the company (annual)
- Economic and financial situation (annual)
- Social policy, working conditions, and employment (annual)
- Any project involving significant organisational change
- Collective redundancies (must follow the Livre IV/V procedure)
The CSE can appoint an expert (paid by the employer) for economic consultations, major projects, and health/safety matters.
Netherlands: Ondernemingsraad (OR)
Governed by the Works Councils Act (Wet op de ondernemingsraden, WOR).
Threshold: Any enterprise with 50 or more employees must establish an OR. Enterprises with 10-50 employees must establish a personeelsvertegenwoordiging (PVT) -- a smaller employee representation body.
Rights of the OR:
-
Right of consent (instemmingsrecht): The employer cannot implement certain decisions without OR consent, including changes to pension schemes, working hours, holiday arrangements, remuneration systems, health and safety policy, and performance evaluation systems. If the OR refuses consent, the employer may apply to a subdistrict court for a substitute decision.
-
Right of advice (adviesrecht): The OR must be asked for advice on major business decisions including transfers, mergers, closures, major investments, significant organisational changes, and mass redundancies. The employer can proceed against the OR's advice but must explain why and allow a 1-month cooling-off period during which the OR can challenge the decision before the Enterprise Chamber of the Amsterdam Court of Appeal.
-
Right of initiative: The OR can submit proposals on any matter relating to the enterprise. The employer must respond in writing within a set timeframe.
Belgium: Works Council (Ondernemingsraad / Conseil d'entreprise)
Governed by the Act on the Organisation of the Economy and various Royal Decrees.
Threshold: Enterprises with 100+ employees must establish a Works Council. Enterprises with 50+ employees must establish a Committee for Prevention and Protection at Work (CPBW/CPPT).
Key rights:
- Information on economic and financial matters, employment, and social policy
- Consultation on work rules, holiday schedules, redundancy criteria
- Decision-making authority on certain welfare matters
- The Works Council must approve or be consulted on changes to work regulations (arbeidsreglement/reglement de travail)
Social elections are held every 4 years (most recently May 2024) across all qualifying Belgian enterprises simultaneously.
Austria: Betriebsrat
Governed by the Labour Constitution Act (Arbeitsverfassungsgesetz, ArbVG).
Threshold: Any establishment with 5 or more permanent employees can form a Betriebsrat.
Key rights:
- Consent required for: monitoring systems, personnel questionnaires, general salary schemes, social plans in case of restructuring
- Consultation on: dismissals (the Betriebsrat can object within 1 week; if it does, the employer can still proceed but the employee can challenge the dismissal in court)
- Information on: economic situation, staffing plans, planned changes to operations
Other EU Countries
| Country | Body | Threshold | Key Feature |
|---|---|---|---|
| Spain | Comite de empresa | 50+ employees (delegates from 6+) | Consultation on redundancies, working conditions |
| Italy | Rappresentanza Sindacale Unitaria (RSU) | 15+ employees | Elected in workplaces; linked to collective bargaining |
| Sweden | No formal works council | N/A | Strong union representation under the Codetermination Act (MBL); employer must negotiate with unions before major decisions |
| Denmark | Samarbejdsudvalg (cooperation committee) | 35+ employees | Joint employer-employee committee under national agreement |
| Poland | Rada pracownikow | 50+ employees | Information and consultation rights |
| Czech Republic | Works council possible where no union | 3+ employees can request | Consultation and information rights |
| Finland | Cooperation committees under YT Act | 20+ employees (cooperation procedure); 150+ (cooperation committee) | Negotiation obligation before changes affecting staff |
| Portugal | Comissao de trabalhadores | Any size can form; 200+ for consultative rights | Constitutional right; consultation on restructuring |
Consultation vs Codetermination: Understanding the Difference
| Level | Definition | Employer Obligation |
|---|---|---|
| Information | Employer provides data and analysis to the works council | Must provide in good time; no response required |
| Consultation | Employer presents plans and seeks the works council's opinion | Must consider the opinion before deciding; may proceed regardless |
| Codetermination | Employer and works council must reach agreement | Cannot implement the decision without works council consent; disputes go to arbitration |
The level of rights varies dramatically. Germany and the Netherlands have the strongest codetermination systems. France and Belgium have robust consultation rights. Southern and Eastern European countries generally have lighter consultation-only frameworks.
Practical Guide: Setting Up a Works Council
Step 1: Determine Your Obligation
Check headcount thresholds in each country where you have employees. Remember that thresholds are usually measured at the establishment level (individual workplace), not the company level.
Step 2: Initiate or Respond to an Employee Request
In most countries, the employer does not initiate the works council -- employees do. However, the employer must:
- Not obstruct the process
- Provide resources (meeting space, time off for council members)
- Bear the costs of elections and council operations
Step 3: Conduct Elections
Elections must follow national procedures regarding notice periods, candidate eligibility, voting processes, and result certification. In Germany, a detailed election procedure (Wahlordnung) must be followed.
Step 4: Establish Working Arrangements
- Schedule regular meetings (typically monthly)
- Agree on information-sharing processes
- Define confidentiality rules for business-sensitive information
- Allocate time off for council members (in Germany, works council members are entitled to paid time off for council duties and training)
Step 5: Ongoing Compliance
- Inform and/or consult the works council before relevant decisions
- Document consultations and outcomes
- Respect confidentiality obligations
- Hold new elections at the end of each term (typically 4 years)
How Grove HR Supports Works Council Compliance
Grove HR helps multinational employers manage works council obligations:
- Country-specific consultation workflows triggered automatically when relevant changes are proposed
- Document sharing with works council members through secure, audited channels
- Headcount tracking that alerts you when thresholds are approached in any country
- Election management tools for scheduling, tracking candidates, and recording results
- Meeting records for documenting information, consultation, and codetermination discussions
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Rachel Richardson
Head of Growth & Marketing, Grove HR
Rachel leads growth and marketing at Grove HR, with over a decade of experience in UK HR technology. She writes practical guides to help small businesses navigate employment law and build better workplaces.
Frequently Asked Questions
What is a works council and when is it required?
A works council is an elected body representing all employees at a workplace. It is required by law once employee thresholds are met: 5+ employees in Germany and Austria, 11+ in France, 50+ in the Netherlands, Belgium (CPBW), and Poland. The EU Information and Consultation Directive (2002/14/EC) sets a general threshold of 50 employees.
What is the difference between consultation and codetermination?
Consultation means the employer must present plans and consider the works council opinion before deciding, but may proceed regardless. Codetermination means the employer cannot implement the decision without the works council agreement. Germany and the Netherlands have the strongest codetermination rights in the EU.
What is a European Works Council (EWC)?
An EWC is a transnational employee representation body required under Directive 2009/38/EC for companies with 1,000+ employees across the EU/EEA and 150+ employees in at least two member states. It must be informed and consulted on cross-border matters. There are approximately 1,000 active EWCs as of 2026.
Can an employer prevent employees from forming a works council?
No. In countries where works councils are legally mandated, employers cannot prevent their creation. In Germany, obstructing works council elections or activities is a criminal offence under Section 119 of the Works Constitution Act, punishable by a fine or up to one year of imprisonment.
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