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Board-level Representation

Employee representation at board level is widespread in Austria, with the works council choosing a third of the members of the supervisory board from its own ranks.

The works council has the right to choose one third of the representatives of the supervisory board of all stock corporationscompanies which take the form of a public limited company (AGs) and most limited companies (GmbH) with at least 300 employees. (Austrian companies have supervisory boards which oversee the action of the executive board which runs the business on a day to day basis.) There are estimated to be 1,500 companies with employee representatives on supervisory boards, employing 400,000 people, around 12% of all employees.1

These employee representatives on the board are chosen by the works council and must be works council members and employees of the business. They have the same rights and duties as other supervisory board members, although they are not paid for this work.

L. Fulton (2015) Worker representation in Europe. Labour Research Department and ETUI. Produced with the assistance of the SEEurope Network, online publication available at http://www.worker-participation.eu/National-Industrial-Relations.