Multiple voting rights in works council elections

The recent decision by the Federal Labour Court (BAG) (decision of 22 May 2025, ref. 7 ABR 28/24) on multiple voting rights for employees in works council elections has far-reaching consequences for companies. Companies with complex organisational structures, such as matrix organisations, in particular, must prepare for new challenges. The ruling, the written reasoning for which is still pending, clarifies that employees – including managers who are eligible to vote – may be eligible to vote in several establishments of a company, provided that they are integrated into the organisation of these establishments. But what does this mean in concrete terms for companies? And how can they prepare for it?

Background: The BAG decision

In the underlying case, a company that provides IT services and sells IT products had created five organisational units through a general works agreement (GBV). A works council was elected in each of these units. The company's work organisation follows a matrix structure in which employees work across departments and are managed by so-called matrix managers. These managers are not senior executives within the meaning of the Works Constitution Act.

In the works council election in the ‘Southern Region’ part of the company, matrix managers who are supervisors of employees belonging to the company were also considered eligible to vote. The employer contested the election, arguing that these managers did not belong to the ‘Southern Region’ part of the company and were therefore not eligible to vote. The lower courts declared the election invalid because they ruled out multiple voting rights.

However, the BAG overturned this decision and clarified that multiple voting rights are possible in principle.

Recommendations for companies

The BAG's decision on multiple voting rights in works council elections leads to increased organisational complexity, potential risks of challenges in front of the labour courts, the need for clear assignments of employees to sites and a review of existing general works agreements. In order to minimise the risks and implement the requirements of the decision, companies are well advised to take the following measures:

Review and documentation of company structures

Companies should review and clearly document their internal structures and the assignment of employees to sites. Clear assignment is particularly important for matrix managers and employees who work across different departments.

Revision of general works agreements

Companies should ensure that deviating regulations on the works council structure are legally effective and comply with the provisions of the Works Constitution Act. Existing agreements should be adapted if necessary.

Training for election committees

Election committees should be comprehensively trained to meet the new requirements for organising works council elections and to avoid mistakes.

Seeking legal advice

In view of the pending judgment, it is advisable to seek legal advice in order to minimise uncertainties and be prepared for possible changes.

Proactive communication with works councils

Companies should seek dialogue with works councils at an early stage in order to avoid potential conflicts and find an amicable solution for the organisation of works council elections.

Create an election guide

Companies could create an internal guide for organising works council elections that takes the new requirements into account and serves as a reference for election committees.

Monitor further case law

Companies should closely follow the publication of the grounds for the ruling and any further decisions by the Federal Labour Court in order to adapt their processes if necessary.

Conclusion

The BAG's decision on multiple voting rights in works council elections marks a turning point in the organisation of works council structures. For companies, this means greater co-determination and flexibility on the one hand, but also increased organisational requirements and potential legal uncertainties on the other. Companies should use the time until the reasoning behind the ruling is published to review their internal structures, seek legal advice and prepare for the new requirements. With a proactive approach, companies can minimise risks and implement the requirements of the ruling in a legally compliant manner.