Fair Management by Heinz Siebenbrock

Author:Heinz Siebenbrock
Language: deu
Format: epub
ISBN: 9783828876217
Publisher: Tectum Wissenschaftsverlag
Published: 2021-03-16T00:00:00+00:00

Complaints about temporary work mainly stem from the problem of protection against dismissal, which is over-regulated in Germany compared to other countries. The mechanics of it are quite simple: the stricter the regulations on dismissal are, the less willing companies are to offer permanent positions.

The consequences of the strict regulations on dismissal are not only ending up with too many temporary workers, most of whom are underpaid, but also temporary contracts, which are not particularly popular. So in this case less is more: in my opinion, employees and employers would equally benefit from a relaxation of the regulations on dismissal.

Finally, the fixed work contracts which have been a topic of discussion in the context of the corona crisis can also be classified as a variation of keeping wages low in many cases. In a fixed work contract, the contractor undertakes to carry out a certain activity (= the ‘work’), often on the client’s premises. The length of time it takes is not important.

Catholic priest Peter Kossen has had his sights on the meat industry long before corona: ‘For years we have seen…the massive and growing exploitation of labour through the abuse of fixed work contracts’. One example is ‘ripping off’ migrant workers with ‘extortionate rent’ for ‘mouldy hovels’ or ‘slum-like accommodation on campsites’. ‘The worker is often no more than a factor of production and a cost item’, Kossen complains. Labour done on fixed work contracts and temporary work are both charged as material costs, not as personnel costs. ‘Behind it is a highly problematic view of humanity!’198

Unfortunately, in some industries the issue of low wages is hardly something companies can get under control by themselves. Competitors with a low wage policy have a cost advantage over companies that pay a decent wage and force them out of the market. In view of this, appealing to politics to take further action against low wages seems justified. For example, actually banning fixed work contracts is currently being discussed in Germany, even in conservative political circles.199

Companies that do pay a decent wage are nonetheless free to point this out to the public and to customers and suppliers. It is known from fair trade circles that customers are certainly willing to pay more for products and services that are produced under fair conditions.

Decent pay creates benefit.

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