That's fascinating. I can see both the positives of it and the downsides. I recently (around two years ago) worked for a startup which grew too quickly and made some really bad hiring decisions which left them with a lot of loud, disgruntled employees - these works council right's would've crippled the company instead of just setting it back a few years.

On the other side I've worked for a larger financial services company more than a few years ago which would've really benefited from this sort of setup as the management was pretty callous in regards to when it got rid of employees or changed incentives at last second or diluted them severely.