General Discussion
In reply to the discussion: Now They Want to Take Away the 8-Hour Day and 40-Hour Week [View all]OnyxCollie
(9,958 posts)German law requires corporations to have a two-tier board structure composed of 50
percent ownership interests and 50 percent worker interests (Gedajlovic & Shapiro, 1998;
Tuschke and Sanders, 2003). It is based on a principle known as co-determination (Tuschke
and Sanders, 2003). The two tiers are the supervisory board (Aufsichtsrat), similar to the board of
directors at U.S. firms, and the management board (Vorstand), similar to top management teams
at U.S. firms (Tuschke and Sanders, 2003). The management board is in charge of corporate
operations and reports to the supervisory board (Tuschke and Sanders, 2003). Charkham (1994,
as cited in Gedajlovic & Shapiro, 1998) shows a clear distinction between executive and nonexecutive
(monitoring) functions in Germany.