Government Decree No. 132 / 1965 Coll.

Government Regulation on the organisation of production units and their statutes

Valid Effective from 01.01.1966
132
GOVERNMENT REGULATION
of 24 November 1965
on the organisation and status of production units
The Government of the Czechoslovak Socialist Republic orders pursuant to § 46 paragraph 1 of Economic Code No. 109 / 1964 Coll.:
Preliminary provisions
§ 1
(1) Industrial and construction production centrally managed is organised in production units. The production unit includes a comprehensive part of the manufacturing technical base of industry (construction), including research, development and design, and carries out other professional activities, in particular sales and supply activities. The costs of the production unit shall in principle be borne by the revenue generated by the activities of the organisations forming the production unit.
(2) Separate economic organisations (special-purpose organisations) may be set up in production units to carry out professional activities.
§ 2
(1) The forms of production units are:
(a) a branch undertaking; exceptionally, one or more national undertakings or, where appropriate, special-purpose organisations may be associated with the branch;
(b) the trust of undertakings, consisting of the branch (General) Directorate-General for Trust, hereinafter referred to as "the branch Directorate for Trust," and its subordinate national undertakings and special-purpose organisations.
(2) The Government may also identify other forms of production units as necessary.
(3) The organisation of the production technical base to production units in each industry and construction sector is determined by the competent minister or other head of the central authority (hereinafter referred to as "the Minister"); as regards the production technical base in Slovakia, it does so in agreement with the relevant management bodies of the Slovak National Council.
§ 3
Trade firms, trust branches, national enterprises and special-purpose organisations are state economic organisations. Unless otherwise provided for in this Regulation, the provisions of paragraphs 42 to 50 of the Economic Code shall apply to their establishment and legal status; regulations on the establishment of research and development institutes and organisations also apply to the single system of scientific research and development centres. *)
§ 4
(1) The Head of the branch of trust and business is the Director-General, appointed and dismissed by the Minister responsible after the trade union has expressed its views. The Director of National Enterprises and special purpose organisations subordinate to the branch of trust or associated with the branch undertaking shall appoint and remove from office the Director-General, after the competent trade union body has expressed its views, unless the Minister has exercised this power.
(2) The basic issues of the management and development of the production unit are examined by its Administrative Committee. The establishment, composition and competence of the Administrative Committee shall, in accordance with the principles laid down by the Government, regulate the status of the production unit and, if it is a branch undertaking without associated organisations, its organisational rules (Section 6 (1)).
§ 5
The Minister responsible may entrust the Director-General with the establishment, merger, division and abolition of state economic organisations subordinate to the branch of trust or associated with the branch.
§ 6
(1) The organisation of individual production units and the management relationship between the branch of trust and subordinate organisations (the branch undertaking and its associated organisations) are governed by the Statute. The status of the production unit shall be issued by the Director General after approval by the Minister and after consultation with the competent authority of the Revolutionary Trade Union Movement. For a branch undertaking without associated organisations, only the organisational rules shall be issued.
(2) The status of the production unit may provide that the Director-General is entitled, in certain cases, to act on behalf of organisations subordinate to the branch of trust (branch).
Management relationships in production units
§ 7
The branch headquarters of the trust shall manage the activity and development of the entire production unit to the extent and in the manner laid down, on the one hand, in specific regulations and in the status of the production unit.
§ 8
If the relationship between the trust branch and subordinate organisations is not regulated by specific regulations, the trust status shall be regulated by:
(a) the manner and scope of the imposition of binding tasks and limits;
(b) the way in which contributions are made and the way in which subsidies are granted;
(c) the way in which centralised financial resources are created, their use and the way in which the sectoral funds are managed and the sectoral directorates (in particular its workers' fund);
(d) the way in which transfers and changes to production programmes are carried out;
(e) the scope and method of concentrating joint activities in the branch or in a subordinate organisation;
(f) other cases where subordinate organisations may be subject to any obligation or restriction;
(g) the period for which the measures to be applied in the long term and the conditions for amending them before their expiry;
(h) the way in which disagreements between trust organisations are discussed in advance.
§ 9
Paragraphs 7 and 8 shall apply mutatis mutandis where one or more national undertakings (special-purpose organisations) are affiliated to the branch.
Common provisions
§ 10
(1) The internal organisation of individual national economic organisations is determined by their rules of organisation issued by the management organisation. The principles of the internal organisation of state economic organisations forming a production unit may be laid down in the Statute.
(2) The organisational arrangements shall lay down the principles governing the expression of the results of the management of each in-house unit. In addition, it must be determined by which authority and by which principles within the organisation decide on the property payments between the internal services and on the allocation of the property damage suffered by the organisation by the payment of property sanctions, damages, etc., to individual internal services.
§ 11
If it is appropriate for a particular professional activity to be procured jointly for several production units, the Minister responsible may establish a special purpose organisation directly subordinate to the Ministry, either as an economic or budgetary organisation.
§ 12
The provisions of this Regulation shall apply mutatis mutandis to the organisation of economic sectors, other than industrial and construction sectors, which are not subject to specific rules; the relevant ministers may provide for the necessary derogations due to the nature of these sectors.
§ 13
This Regulation shall enter into force on 1 January 1966.
Lenárt v. r.
*) Act No. 55 / 1963 Coll., on a unified system of scientific research and development centres (scientific research and development base).

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Regulation Information

CitationGovernment Decree No. 132 / 1965 Coll., on the organisation of production units and their statutes
Regulation Type-
Author-
CollectionCode of Laws
Date of Promulgation16.12.1965
Effective from01.01.1966
Effective until-
Status Valid
The regulation text is for informational purposes only.
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