7 percent
employed no more than 500 workers per unit. One collective enterprise,
nevertheless, employed between 2,000 and 3,000 workers.

Employment in construction totaled 648,000 persons in 1969. Information
on the number and organization of construction enterprises is not
available.

The internal management structure of state enterprises has undergone a
transformation. By decision of the party's Central Committee in April
1968, amplified by another decision in May 1970, the principle of
collective management replaced that of one-man management in all
enterprises and state economic organizations. Management committees are
chaired by enterprise directors and consist of the following members:
the managerial personnel, appointed by the ministry; the chairmen of the
trade union, as legal representatives of the enterprise trade union
committees; the secretaries of the party committees and of the communist
youth organizations in the enterprises; and a number of employee
representatives.

The secretaries of the two party organizations were given full
membership in May 1970 in a move to strengthen the control by the party.
Before that date the secretaries of the party committees merely
participated in the discussions, and the secretaries of the communist
youth organizations played no role at all. County and municipal party
organs also provide direction for the management committees' work.

According to party decisions, the management committees are deliberative
organs with powers to make decisions concerning the conduct of the
technical, economic, and social activities of the enterprise. Two-thirds
of the membership constitutes a quorum, and decisions can be adopted by
a simple majority of those present. In cases of disagreement between the
committee chairman (the enterprise director) and a majority of the
management committee, the matter is submitted for resolution to the
higher administrative body.

A lack of legislation to legalize the institution of the management
committees and conflict of the new party directive with earlier
legislation that established the principle of one-man management
hampered the introduction of the new management system. No clear-cut
guidelines were provided for the scope of the management committees'
competence or the numerical strength of employee representation. The
function of the management committees was also undermined by higher
administrative echelons through continued imposition of