MORE FREEDOM IN JUGOSLAVIA

Press, Volume LXXXVII, Issue 26510, 27 August 1951, Page 7

MORE FREEDOM IN JUGOSLAVIA

Economic Charter For Industry

(Rec. 9.30 p.m.) BELGRADE, Aug. 25. A sweeping new Jugoslav economic charter plans to reduce controls on industry and let the law of supply and demand govern prices more freely. Under the plan, workers will get a share in profits, and private enterprises will be given greater freedom in deciding the type and volume of their production. The charter was released to-day for public discussion, but it is not scheduled to operate until January, 1952. The charter foreshadows the decentralisation of economic planning. It says the authorities will not interfere in price fixing, except in cases which might jeopardise the living standards of the population. The Government will stipulate only a general planning skeleton tor production, leaving the details to firms. However, the Jugoslav Federal Government will prescribe what is termed the obligatory minimum on plant capacities, the value of basic investments, the total wages fund, the average rate of accumulating reserves, and contributions to Federal and Republican institutions. All other policies will be determined by the Governments of the six Republics comprising the Jugoslav Federation, by local authorities, and by managements. Wages will consist of basic pay and bonuses varying according to the profits made by plants. The basic pay will be based on the worker’s education and skill, the nature of the work, and individual efficiency. The State will levy a tax of a fixed percentage of profits for its expenditure. The remaining profits will be left to individual enterprises for development, workers’ bonuses, and the improvement of working and living conditions,