Industrial labor discipline has been a subject of continuing concern to
party and government. Both labor turnover and absenteeism have been
high. During the first nine months of 1969 almost 455,000 workers left
their jobs in centrally administered enterprises, in many instances
without the requisite official permission. During the same period
worktime losses from absenteeism amounted to about 12 million man-hours.
Abuse of the provision for leave without pay and loafing on the job have
also contributed significantly to losses of worktime. For centrally
administered industry as a whole, the loss of worktime from all causes,
including stoppages caused by deficiencies of the supply and
distribution system, amounted to almost 47 million man-hours in the
third quarter of 1969--the equivalent of about 74,400 workers.
Poor labor discipline was officially blamed on the failure of the
prevailing wage system to provide adequate work incentives. After some
experimentation in the food-processing industry during 1968 and 1969 a
new wage system was introduced throughout industry on March 1, 1970,
still on an experimental basis. Some of the changes brought about by the
highly complex new system included: a reduction in the spread between
wage rates in different industry sectors and between the upper and lower
limits within certain wage categories; the establishment of in-grade
wage differentials depending upon the personal achievement of the
worker; a rise in the proportion of basic wages to total pay (which also
includes bonuses); and a tightening of the provisions concerning the
payment of bonuses. Provision was also made for withholding a portion of
the pay in the event that production targets are not fulfilled.
Downgrading the importance of bonuses was intended to stimulate the
raising of skill levels by making higher earnings dependent primarily
upon promotion to higher wage categories, based on qualification rather
than on surpassing quantitative production norms. As a means of reducing
labor turnover, a seniority system was introduced, with wage increases
based on length of service in the same unit. The reform of the wage
system was accompanied by a general rise in wages averaging 12.3
percent.
A further increase in wages is planned for the 1971-75 period. The
minimum wage of 800 lei (for value of leu, see Glossary) is to be raised
to 1,000 lei in September 1972 and to 1,100 lei in 1975. The average
wage is scheduled to reach almost 1,500 lei in 1972 and 1,805 lei at the
end of the five-year period. In accordance with past policy, the rise in
wages will be kept well below the increase in productivity (see ch. 14).
Public-domain text, read in full here on John Shaqi.
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