"...the very quality that renders employees problematic from an efficiency perspective—namely the broad range of different interests they bring to bear— enhances their potential as guardians of our democracy."

"Moreover, codetermination also deconcentrates power in a more substantive sense in that it gives power to a group — employees — with highly diverse interests. Employees have interests that differ from those of other stakeholders. But unlike shareholders, who generally pursue the common goal of maximizing the return on their investments, employees as a group also tend to have highly heterogenous preferences regarding their firm’s policies. Typically, employees’ interests vary depending on their geographical location, age group, and income. For example, employees from different regions or jurisdictions may have very different ideas about where the corporation should expand or cut back its business activities. Such a diversity of preferences generally renders it more difficult for employees to agree on particular business strategies. But it also makes it more difficult to unite employees behind a business strategy that undermines democratic institutions. In other words, the very quality that renders employees problematic from an efficiency perspective — namely the broad range of different interests they bring to bear — enhances their potential as guardians of our democracy."

theoretical