Works Councils Foster Better Management
Works Councils contribute to wiser management decisions by assessing the mood on the shop floor and discussing the needs and concerns of the company’s employees. Effective information exchange during consultations with management leads to more informed decisions that benefit the company as a whole. While the management retains ultimate responsibility for the final decision, the input from the Works Council is crucial.
The Dutch Works Councils Act
Both the Works Council and management have rights and responsibilities in their joint consultations, as outlined in the Dutch Works Councils Act. The Works Council plays a significant role in decision-making within the organisation by exercising its rights to advise, approve, and propose changes. Furthermore, both parties can agree on procedures to facilitate the consultation process.
Elections
In the Netherlands, any organisation with 50 or more employees is legally required to establish a Works Council. Every three years, employees elect representatives to sit on the Works Council. Any permanent member of the company’s workforce is eligible to stand for election, but management members are excluded from taking part in the election process.