OCR
XsAe12. August 52. - page three Intensification of production and collectivization. In recent years, heavy pressure had been put on East German economy. This trend will be further intensified in months to come; declarations heard at the Berlin Party Congress and action that followed immediatbhy leave no doubt that a greater productive effort and that increased nationalizations and collectivization will be imposed. Such intensified planning will not merely affect heavy industries and mines, but also trade, independent smaller business and agriculturee Industry and mines. - Mr.Ulbricht and other leading figures at the Party rally hinted at responsibilities involved in the production processe Puch words contained an unmistakable warning, directed at the regional and local administration and more still at the leadership of the official Workers' Union, the FDGB ("Freier Deutscher Gewerkschaftsbund"). For the latter it meant a threatening | purge, in case that the present campaiga of "collective bargaining® would not show the results expected. ihe system works as follows. In each factory, Direction and Labor : Union - both designated by the Party - agree annually on the collective labor contract and establish the official morm that will have validity for a years This norm includes a minimum of time, material, energy and quality to be foreseen for the output of a certain works It is calculated on the basis of a record production reached by the ®stakhanov" or “kabor bero® in the groupe Salaries are paid according to each worker's output in comparison to the norm. Gradually, from year to year (in certain cases even from month to month) the norm is increased, as a new "hero" breaks the previous production records with it the wages of average workers are threatened by corresponding diminutione " Il most factories, the summer weeks are the time of such crisis. Agent. of the central Berlin offices come for inspection; the norms are being controled; the collective labor contracts renewed ee. Anyone in © Eastern Germany knows therefore what it means, if officials at a Party Gongress - especially at this time of the year - discuss responsibilities for higher production and further encouragement and privileges to be given to stakhanovists. Trade and independent business. - An Eastern German People' Democracy is on its way: the Party, Congress has pledged its@lf to a . program of full-scale socialism. This means an ultimate death sentence for whatever private enterprise remainse.. lvér since the Party of Unity took over in the East, this policy has been pursued. The first phase - the “socialization program" - was officially fulfilled in 1948: no heavy industry remained in private hands. At present the action has been broadened; it is called “reorganization of enterprises". Plants, shops, trade, restaurants, cinemas and whatever independent business might exist, is gradually taken over into public property, Its administration is either assumed by the large national enterprises, the SAG, or by the local economic direction, the KWU ("Kommunale Wirtschaftsunternehmung"). Tie goal should be reached G9. i