Codetermination
Codetermination gives employees formal participation in specified organisational decisions under the relevant governance arrangements. It can involve board representation or other participation mechanisms, depending on the framework. It is not a universal rule that every business must give employees board seats, nor does employee representation remove duties attached to the role.
Worked example
Under a stated governance arrangement, employees elect representatives to a supervisory board. The board still needs suitable information, competence and clear responsibilities to perform its oversight role.
Common mistake
Treating all employee consultation as board-level codetermination or applying one country’s thresholds and membership rules to every organisation.
Where it appears in your exams
| Qualification | Exam | Relationship | Period |
|---|---|---|---|
| ACCA | SBL | Supporting | September 2026–June 2027 |