In practice, works councils frequently seek to co-determine in matters of data protection, particularly in the context of introducing new IT systems. This can lead to significant delays in implementation and, consequently, considerable costs for the employer. However, there is no enforceable co-determination right of the works council in data protection matters.
Proceedings before the Hesse Regional Labour Court
In a decision by the Hesse Regional Labour Court (LAG) dated 5 December 2024 (Decision 5 TaBV 4/24), the court ruled on the validity of an arbitration committee's decision. The matter concerned a works agreement regarding the introduction of a new personnel management system. The agreement included various provisions, such as those relating to the software's functionalities and the conditions under which performance and behavioural monitoring via log data would be permissible. While it contained individual provisions on data protection law, it lacked a comprehensive framework. The works council challenged the validity of the decision, citing deficiencies in data protection and inadequate provisions concerning the processing of employee data, particularly in the United States.
LAG Hesse: No Enforceable Co-Determination Right of the Works Council in Data Protection Matters
The LAG upheld the decision of the Labour Court Fulda, confirming the validity of the arbitration committee's ruling. The arbitration committee's mandate is limited to matters in which the works...
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