Guide · Remuneration

Remuneration in the conciliation committee

Pay structures, performance and bonus systems directly engage co-determination. This guide gives a neutral overview of the pay-related subjects and the role of the conciliation committee.

Legal framework: Section 87(1) nos. 10 and 11 BetrVG

Subject to co-determination are the principles of company pay, in particular the setting of pay principles and the introduction of new pay methods (no. 10) and the fixing of performance-based pay (no. 11). The absolute level of pay is not co-determined. If no agreement is reached, the conciliation committee decides.

What is regulated

Typical content

  • Pay structures & principles
  • Performance pay & appraisal systems
  • Bonus & incentive schemes
  • Allowances, supplements & hardship pay
  • Commission systems
  • Overtime / additional-hours pay
  • Digital pay systems / HR software
  • Special payments
  • Travel expenses & reimbursement
The committee's role

If no agreement is reached

Pay rules must be transparent, consistent and legally sound. As chair, I ensure pay arrangements that endure rather than opening follow-on disputes.

This page provides neutral information on the legal situation. As chair of a conciliation committee I represent neither side – I guide employer and works council jointly to a balanced, legally sound arrangement.
FAQ

Briefly answered

No. The principles and logic of pay are co-determined (Section 87(1) nos. 10 and 11 BetrVG), not the absolute level of pay.

In particular pay principles, performance, incentive and bonus systems as well as allowances and their calculation.

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A conciliation committee on remuneration?

As a neutral chair I guide the parties to transparent, legally sound pay arrangements – across Germany.