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After the Fall of the WallLife Courses in the Transformation of East Germany$
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Martin Diewald, Anne Goedicke, and Karl Ulrich Mayer

Print publication date: 2006

Print ISBN-13: 9780804752084

Published to Stanford Scholarship Online: June 2013

DOI: 10.11126/stanford/9780804752084.001.0001

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Firms and Fortune: The Consequences of Privatization and Reorganization

Firms and Fortune: The Consequences of Privatization and Reorganization

(p.89) Chapter Five Firms and Fortune: The Consequences of Privatization and Reorganization
After the Fall of the Wall
Anne Goedicke
Stanford University Press

This chapter focuses on one of the most important mechanisms of change, the closings, privatization, and restructuring of firms. Most of what happened to East Germans after 1989 happened as a consequence of the fortunes of their work organizations and of new personnel strategies of employers. Most of the restructuring of the East German economy was achieved by reconfiguring working lives, predominantly by involuntary shifts between firms and job loss. Early privatization helped the remaining workers in the firms concerned to keep their employment, in contrast to employees of firms that were privatized later. Under the perspective of firmbound labor markets, the East German transformation led to cumulative processes of exclusion brought about by reshuffling and shedding of labor.

Keywords:   privatization, firm restructuring, East German transformation, East Germany economy

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