history Archives - Page 17 of 26

Do it yourself! (DIY)

Geh’ nicht zu Deinem Fürst, wenn Du nicht gerufen wirst – Do not go to your ruler, if you have not been summoned – this is nothing more than an order not to ride your boss’s coat-tails.

Selbst ist der Mann – Do it yourself! Only those who think for themselves can act for themselves, too. And he who is capable of thinking and acting independently is also ‘master of the situation’ – and has ‘everything under control’.

To be one’s own master – which Germans value very highly. The how? Please, no spoon-feeding!

Mitbestimmung is Controversial

Although Mitbestimmung – codetermination: the legal right of workers to be represented at the highest levels of management – is foundational to the German social market economy, its merits are debated constantly.

Business (companies and their associations) believes that Mitbestimmung has been taken too far. The many different interests represented makes it too difficult to find consensus. It is an inefficient way to run profitable companies.

In October 2004 Germany’s two largest chambers of commerce (BDI and BDA) demanded reform of the Mitbestimmung. Their main argument was the pressures due to increasing internationalization of their companies. They referred to Mitbestimmung as an historical mistake.

There exists in Germany, however, a cultural and political consensus favoring Mitbestimmung. Germans believe that it provides for stability in companies. Employees identify themselves with them. Productivity is kept at high levels.

An historical mistake?

The Allies and Mitbestimmung

“Herewith the establishment of works councils is permitted within all of Germany.”

German Mitbestimmung – co-determination, employee participation in high-level company decision making – is a tradition, law and an institution which most certainly is a source of headaches for American business partners and investors. At the same time the works councils are a source of great pride and self-understanding for all German labor unions as well as for many German citizens.

And although German Mitbestimmung had had a long tradition in Germany, it was the Western Allies, primarily the Americans and the British, who insisted immediately after World War II that the newly established West German state reinstitute it.

After their takeover of power in January 1933 the National Socialists had outlawed the Mitbestimmung, and forced all labor unions to be unified within the so-called Deutsche Arbeitsfront – literally German Workers Front. The goal was to prevent any potential resistance to the regime from among the working class.

With strikes in 1905 in the coal mining Ruhr region the unions had won the right to establish works councils. In the years thereafter the councils gain increasing influence. During the Weimar Republic these gains were written into law.

The works councils represented the economic and social interests of the workers over and against management. It was no surprise, therefore, that the Nazis saw in them potential opposition to their demand for absolute power. In 1934 the Nazis banned all independent unions and works councils.

It was no surprise, therefore, that what had been a thorn in the side of the Nazis was reinstated by the Allies. Kontrollratsgesetz Nr. 22 – Allied Law No. 22 – in the Spring of 1946 put works councils back in business.

Since then there has been no better instrument to prevent total control by management. Those who pick a fight with a works council go against the self-understanding and pride of the German movement for worker rights.

“Teutonic Obsession“?

The British newspaper The Telegraph published an article by Jeremy Warner about the geopolitics of the European Central Bank and the Euro-Crisis. The fact that the bank had only now started the process of quantitative easing was in large part due to Germany’s previous efforts to resist this.

However, the German’s resistance against these measures taken by the ECB was not due to the German’s experiences with hyperinflation during the time of the Weimar Republic, but rather traces back to much profounder factors found deep within the German psyche: the ancient Teutonic obsession with legality and rules.

Could this also be the reason why the German response to proposals for money-saving measures, bail-outs, and troika made by the Greeks is a always the same resounding statement: “The Greeks must stick to the rules”?

But where do rules become necessary, in order to assure reliability, stability and continuity, and where must one deviate from them due to changes in circumstance? Does not every change in strategy incorporate breaking the rules of a time gone-by?

Is Jeremy Warner’s statement about a so-called ancient Teutonic obsession with legality and rules even historically accurate?

Ultima ratio

German workers do not like to strike. It is considered the ultima ratio – weapon of last resort – used only when negotiations about wages and worker‘s rights have completely broken down.

In 2002, when the German government passed painful but necessary social and employment reforms, there were strikes in 938 companies. In 2000 there was not a single strike. 2001 saw only 48 strikes. A decade later, in 2011, there were 158. On average only three days a year are lost due to strikes in Germany.

Ultima ratio. Latin ultimus, the last, final, the furthest away. ratio: reason, reasonable thoughts; the last possible solution, the final remaining path out of a conflict.

Friedenspflicht. Literally peace obligation or obligation to keep the peace. When German employers and employees enter into wage negotiations they are obligated for the first ten days to refrain from strikes or lockouts.

The Friedenspflicht is anchored in §74 of the Betriebsverfassungsgesetzes, the law governing the relations between employers and employees:

The employer and the works council (a kind of white collar union) should meet at a minimum once per month in order to discuss potential conflicts and to propose in good faith recommendations on how to resolve them. The employer and the works council are obligated to refrain from methods of pressure – strikes, lockouts, etc. – which could disrupt company operations.

In 1923, during the politically unstable Weimar Republic, the Stresemann government passed laws requiring a mediator to resolve conflicts between employers and labor. Should companies and labor unions not come to agreement on wages and other benefits, the government had the power – and the obligation – to engage an arbitrator, whose decisions were legally binding.

German schools train both students and teachers to anticipate and prevent potential conflicts, as well as to mediate those which have been escalated.

The Prussian military instituted a rule informally called the Prussian Night, which obligated conflict parties to not escalate their problems within the first 24 hours of the conflict. Those in conflict should first „sleep over it“, then decide how to proceed.

New media – New political parties

Before the Internet offered new ways to communicate, small political parties in Germany had barely a chance to make it into the Bundestag, or parliament. By law they have to receive at least 5% of the vote.

Each and every political party receives government subsidies to finance their election campaigns, but based on how many votes they get. The more votes received, the more money to run campaigns. The problem for new parties is that they have to first finance their campaigns out of their own pocket in order to gain any degree of name recognition.

Traditional modes of political advertising are simply too expensive for start-up parties. They can never get enough voter momentum to receive significant amounts of money from the government. A catch-22 situation, or chicken and egg situation.

The rules of the game have changed, however, with the Internet: Facebook, Twitter, and other kinds of social media. Now small, unknown parties like the Piratenpartei, literally Pirate Party, are able to compete with the major, long-established political parties: Christian Democrats, Social Democrats, Free Democrats, Green Party.

A German strength

Bonn served as the capital of West Germany from 1949 until 1990 and was the seat of government for reunified Germany until 1999, when the government relocated to Berlin. The city holds historical significance as the birthplace of Germany’s current constitution, the Basic Law.

Founded in the 1st century BC as a settlement of the Ubii and later part of the Roman province Germania Inferior, Bonn is among Germany’s oldest cities. It was the capital city of the Electorate of Cologne from 1597 to 1794 and served as the residence of the Archbishops and Prince-electors of Cologne. The period during which Bonn was the capital of West Germany is often referred to by historians as the Bonn Republic.

Made in Germany

England in 1887 required all products imported from Germany to be labeled „Made in Germany.“ At the time German products were considered to be of substandard quality. Germany was a late-comer to the industrial revolution, much later than England. A famous German engineer admitted that German products were “cheap and nasty.”

Many were enraged, but it led to a national discussion and a quality offensive. At the beginning of the 20th Century, and especially in the post-World War II era, „Made in Germany“ took on a new meaning: high quality, newest technology. It became synonymous with West Germany‘s economic miracle of the 1950s.

The Germans recognized the importance of such a label, of the reputation of their products. They became particularly proud of their technical and economic achievements. Germans continue to view their products as having high quality, often as being the best in the world. From the early 1980s until recently Germany was the world‘s leading exporter.

The label “Made in Germany” is used less today than in the past, however. A minimum amount of a product’s parts must be produced in Germany before it can boast “Made in Germany.”

Modern German industrial and technology companies, however, have segmented their supply chains to include manufacturing sites and suppliers in many parts of the world. Nonetheless, the label “Made in Germany” remains a key, positive element in the self-understanding of every German.

“Patience is the strongest of weapons”

Max Weber described politics as “slowly drilling through the thickest boards”, meaning it demands patience and perseverance to reach one’s goals.

Konrad Adenauer – West German chancellor form 1949 until 1963 – had the same thought in mind when in 1946 he said:

“Patience is the strongest of weapons, of a defeated people laid so low.” Germany after the Second World War lay in ruins. And due to the crimes committed by its Nazi-regime was an occupied pariah state.

Because Adenauer knew it would be many years before Germany would be reunited, he stressed patience and perseverance not only to the West Germans, but also to the Western Allies – the occupying forces.

Adenauer referred time and again to German history, to the two world wars and the centuries further back. His approach, his long-term perspective, his stamina, proved to be right. Twenty years after his Adenauer’s death the two Germanies were reunited and has become one of the great forces for stability in and for Europe.

Revanchism

Revanchism, from French revanche or revenge, is a term used since the 1870s to describe the desire to reverse territorial losses by a country after losing a war. Revanchist politics rely on the identification of a nation, of a people, with a nation-state. This mobilizes ethnic nationalism, claiming territories outside of the state where members of the ethnic group live.

See the strong desire during the French Third Republic to regain Alsace-Lorraine from Germany after defeat in the Franco-Prussian War of 1870-71. French Emperor Napoleon III had declared and lost the war. In the Treaty of Frankfurt, France lost Alsace-Lorraine, which France under King Louis XIV had previously annexed from Germany in the 17th century.

French revanchism was one of the forces behind the Treaty of Versailles, which ended World War I. Alsace-Lorraine went back to France. Blame for the outbreak of the the Great War was pinned solely on Germany. Huge reparations were extracted from the Germans.

The United States Congress rejected the Versailles Treaty, citing its harsh, unfair and one-sided punishment of Germany, and warning against the inevitable development of German revanchism.

Alsace-Lorraine. Just one piece of territory in dispute between two neighbors. One of many examples in European history. Their experience as a people, their historical consciousness, has taught the Germans to seek lasting resolutions to conflicts. Acceptance, freely chosen, is the foundation.