The new Company Modernisation Act at a glance

The Works Constitution Act has changed. On 18 June 2021, the Works Council Modernisation Act (Betriebsrätemodernisierungsgesetz – BReModG) i came into force. The Act significantly changes the framework conditions for works council work. These include a new right of co-determination on mobile working, the permanent possibility of online works council meetings and better protection against dismissal in works council elections. Also new is the lowering of the voting age for the election.

Here is an overview:

• Workers are now allowed to vote in works council elections when they reach the age of 16.
• Workers who are committed to setting up a works council and make initial preparations for this in the company are now subject to protection against dismissal much earlier.
• The simplified election procedure for works council elections is mandatory for companies with up to 100 employees; between 101 and 200 employees, the employer and works council can agree on the simplified election procedure.
• Works council meetings can be held by video or telephone conference to a limited extent if rules of procedure of the works council lay down the framework conditions while respecting the priority of face-to-face meetings.
• A new section 79a of the Works Council Constitution Act (BetrVG) now clarifies that responsibility under data protection law always lies with the employer, even if the works council processes employees’ personal data. However, the works council must also ensure data security. The data protection officer now has a dual function, but must keep any insights into the works council’s opinion formation to himself or herself (section 79a sentence 4 BetrVG).
• If “mobile work” is introduced in the company, the works council must have a say in its design (“how”). The decision itself (“whether”) remains with the employer.