ACTA JURIDICA - A MTA Jogtudományi Közleményei Tom. 9 (1967)

1967 / 1-2. sz. - WELTNER A.: Structure of the Socialist Economic System

2 A. Weltner b) It should be emphasized that the proprietary functions of the State are also carried out in the system of democratic centralism. As a result of this, part of the use of the said functions is transferred to the bodies of the economic system. Within the frames of the said transfer the employees and workers of enterprises participate in planning, organizing, directing, and controlling the activity of indi­vidual enterprises and works, mainly through the intermediary of the trade unions. c) As regards the individual features of partownership, it is manifested in the forming of individual subjective rights of new type such as the right to work, to employment, to adequate organizational and technical conditions, etc. Viewing the functioning of administration and management related to ownership from the point of view of the participation of individual citizens, an organizational and legal division is seen between the accomplishment of the tasks, the use of rights, and the carrying out of liabilities within the unity of the system of democratic centralism. On the other hand, a unity as seen from a higher level is formed between individuals and power and administrative organs of the State, units of the economic system, including the relations between the internal organs and the members thereof. II. Analysing the structure of the economic system, following conclusions are drawn in the paper concerning the characteristic features of the socialist economic system as opposed to capitalist accumulations: 1. There is no antagonistic conflict between the owner of the means of production and employees within the frame of the economic system. On the con­trary, the economic system represents a unity between the means and assets of companies and the communities of employees and workers also from sociological and legal points of view. The frames of the structure of companies comprise the individual employees and workers, the trade union, as well as various internal organs charged with direction. 2. The activity of the elements enumerated above means no external re­striction of the rights resulting from ownership and employer status. On the con­trary, it is directed towards the utilization thereof, that is to say, to realize partici­pation in operative management. 3. As to the legal status of citizens within the framework of the economic system, it is characterized by a unity between relations bearing on the accomplish­ment of work, on division and organization. 4. A particular status is conferred on directors as supreme administrative instances, heading the units of the economic system but, at the same time, within the framework of the individual units, and characterized by the special rights, obligations, and responsibilities of one-man management. Hence, the legal status of the director is of double character. On the basis of the legal relation existing with the State, the director has to fulfil his/her duties toward the State as obligations bind­ing any employee. The accomplishment of the said obligations appears, however, also as a right conferred on an employee. On the other hand, the director as repré­sentant of the management of the economic system, is ent itled and simultaneously obliged to use and fulfil respectively, the rights and liabilities of the employer with which the units of the economic system are vested and charged. The said rights and obligations are used and fulfilled towards the members of the relevant community at the supreme level of direction, organization, and control in the form of rights and obligations as seen from the employer's side. I. l.The course of the division of labour and co-operation in the simple forms of economic cooperation, in craftsmanship, and then in capitalist big industry, the appearance and development of the capitalist organization of labour and, within this point, that of the structure of capitalist companies were revealed by Acta Juridica Acadcmiae Scientiarum Ilungaricae Tomus 9, (1967)

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