DISTRIBUTION OF SOVIET WORKERS AND EMPLOYEES BY ECONOMIC SECTOR 1951-55

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Document Number (FOIA) /ESDN (CREST): 
CIA-RDP79-01093A000800080004-9
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RIPPUB
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S
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16
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December 12, 2016
Document Release Date: 
February 5, 2002
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4
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Publication Date: 
February 21, 1955
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IR
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Approved For Release 2002 05 9-01093A000800080004-9 rn PROVISIONAL INTELLIGENCE REPORT DISTRIBUTION OF SOVIET WORKERS AND EMPLOYEES BY ECONOMIC SECTOR 1951-55 NOT RELEASABLE TO FOREIGN NATIONALS CIA/RR PR-101 21 February 1955 NOTICE The data and conclusions contained in this report do not necessarily represent the final position of ORR and should be regarded as provisional only and subject to revision. Comments and data which may be available to the user are solicited. WARNING THIS MATERIAL CONTAINS INFORMATION AFFECTING THE NATIONAL DEFENSE OF THE UNITED STATES WITHIN THE MEANING OF THE ESPIONAGE LAWS, TITLE 18, USC, SECS" 793 AND 79)+, THE TRANSMISSION OR REVELATION OF WHICH IN ANY MANNER TO AN UNAUTHORIZED PERSON IS PROHIBITED BY LAW. CENTRAL INTELLIGENCE AGENCY Office of Research and Reports NOT RELEASABLE TO FOREIGN NATIONALS CONFIDENTIAL DOCUMENTNG. NO CHANGE IN CLASS. C] 0 DECLASSIFIED CLASS. CHANGED TO: NEXT REVIEW DATE: AUTH: HR 70-2 DATE:f_ 2 FIEVIEWER; 006514 Approved For Release 2002/05/20 : CIA-RDP79-01093A000800080004-9 Approved For Release 2002/05/20: CIA-RD 79-01093A000800080004-9 CONFIDENTIAL FOREWORD Modifications of Soviet production plans since the death of Stalin have caused changes in the distribution of the working force, particu- larly in the direction of expanding employment in agriculture and consumer goods industries. The figures presented in this report are the result of several calculations designed to bring earlier figures down to date and refine the occupational distribution. Figures for the grand total of workers and employees, as well as the estimates of the number of those employed in industry and in education and health, are comparatively firm down to 1 January 1955 because periodic Soviet announcements either quote these figures directly or state percentages of increase over figures for previous perio.s from which 1955 estimates can be accurately computed. The breakdowns of employment~in state agriculture and of employment in the subcategories within industry and in the service occupations are subject to greater error. The original effort by CIA to refine these categories was published in April 1952 (CIA/HR PR-14, The Distribution of Workers in the USSR). In this report the initial projection to 1951 of employment as reported in the 1941 Plan was undertaken. This publication, in common with the 1941 Plan, suffered because the reporting of number of workers was by ministries rather than by employment in the production of specific products. In addition, the total employment in industry was only partially distributed, leaving a residual which was composed of employees in the adminis- trative organs of government, the concealed defense industries, and some small miscellaneous categories. In the following year, further extension and refinement of the estimates were facilitated by a stul-,q the early operations of the Fifth Five Year Plan (1951-55) and by'"a,nanalysis of ancillary reports. The results were included in the materials contributed to NIP, 65 and published separately in May 1953 (CI/RR PR-32, Postwar Trends in Manpower in the USSR and European Satellites). These estimates were subject to the same weaknesses as the 1951 analysis, although to a lesser degree. CONFIDENTIAL Approved For Release 2002/05/20 : CIA-RDP79-01093A000800080004-9 Approved For Release 2002/05/20 : CIA-RDP79-01093A000800080004-9 corogWN#iaL Further refinement of the estimates made during 1953 was made possible by additional announcements of p1.9p fulfillments and by extensive additional research in which considerable progress was made in associating employment with specific groups of products rather than with ministerial administration. The range of products analyzed in this study was not complete, and gaps in the information remained. At the same time, the composition of the agricultural labor force was analyzed more closely, making it possible to secure a better estimate of employment in state agriculture. Finally, the relation between production and productivity data was reviewed in CIA/RR PR-68o The revisions made as a'result of these studies and an analysis of the newly emerging trends in expansion of the production 'of consumer gods are presented in this report. Approved Fore MNJAQL~ ~IA-RDP79-01093A000800080004-9 III Approved For Release 2002/05/20 : CIA-RDP79-01093A000800080004-9 CONFIDENTIAL CONTENTS Page 1. Total Employment in the National Economy . . . . 1 2. Employment in State Agriculture . . . . . . . . . . . 2 3. Employment in Industry . . . . . . . . . . . . . . . . 2 4. Employment in Service Occupations . . . . . . . . . . . 3 5? Changes in Distribution of Employment . . . . . . . . . 3 Appendixes Appendix A. Gaps in Intelligence . . . . . . . . . . . . . 9 Appendix B. Sources . . . . . . . . . . . . . . . . . . . 0 11 Tables 1. Estimated Employment of Soviet Workers and Employees by Sector?As of. 1,:LTanua ?y 1951-55- 4 2. Comparison of 1951 and 1955 Est-imates of Employment of Soviet Workers and Employees by Sector o . . . . . 8 1n CONFIDENTIAL Approved For Release 2002/05/20 : CIA-RDP79-01093A000800080004-9 Approved For Release 2002/05/20 : CIA-RDP79-01-093A000800080004-9 CONFIDENTIAL =/M m4bi (ORR Proje'lt 45.548) DISTRIBUTION OF SOVIET WORKERS AND EMPLOYEES BY ECONOMIC SECTOR* 1951?55 1. Total Employment in the National Economy. The Fifth Five Year Plan (1951-55), as originally announced, provided for only a modest increase in workers and employees** through 1955. The number was to grow by 5.8 million, or 15 percent. l/*** During the first 4 years of the Plan, however, the increase was 7.8 million, or 20 percent. In other words,as shown in Table 1,**** the whole expansion planned for 5 years was exceeded in 4 years. The increase of 7.8 million in 4 years was possible because of an increase of about 10 million in the population in the age group from 15 through 69 years of age, 2/ because of the transfers of large numbers of amnestied forced laborers into the "free", labor force, and because of the transfers of many collective farmers into the Machine Tractor Stations (MTS's). J By utilization of these resources, the USSR was able to maintain a rate of increase in workers and employees greater than that planned and, at the same time, to keep a fairly constant labor force on collective farms and continue to expand school enrollment. * The estimates and conclusions contained in this report represent the best judgment of ORR as of 1 January 1955. ** "Workers and employees" is a technical term used by the Soviet government. It includes workers in heavy and light industries; workers in state agriculture; and workers in such other nonindustrial services as transportation, construction, trade, communications, education, health, and art, as well'as employees of state and public institutions. The term does not include workers on the collective farms (kolkhozy), members of the armed services, workers in forced- labor camps, or independent artisans. *** Footnote references in arabic numerals are to sources listed in Appendix B. **** Table 1 follows on p. 4, CONFIDENTIAL Approved For Release 2002/05/20 : CIA-RDP79-01093A000800080004-9 Approved For Release 2002/05/20 : CIA-RDP79-01093A000800080004-9 -S E-C-R-E-T 2. Employment in State Agriculture. This change in labor policy is reflected in the distribution of workers and employees in a number of ways. The most notable shift has been into state agriculture, where there was an increase in employment of 2.5 million from 1951 to 1955. Part of this increase was in accord with original plans, but the major influence was the wholesale trans- fer of collective farmers, not classified as workers and employees, to the MTS's, where labor is so classified.' There were also transfers from other industries into the MTS's. These trends are expected to continue through 1955, when the program of opening new land should be about complete. 3. Employment in Industry. Employment in industry and mining,which was originally planned to expand by 1.8 million, or 1.3.3 percent, L/ had, at the beginning of 1955, increased 1.9 million over 1951. The originally announced Five Year Plan was predicated on a small increase in industrial employment, 13 percent, and a large increase in industrial productivity, 50 per- cent (8.5 percent compounded annually). 5/ The reverse has taken place. Increases in productivity have been slower than expected and increases in employment faster. Part of the lag in productivity is attributable to the shift of production in the direction of lower valued consumer goods, 6/ and part is attributable to the dis- organization following the death of Stalin and the difficulty in adjusting unexpectedly large numbers of employees to new jobs. Table 2* shows that within industry employment in the heavy- industry category increased by only 12 percent as against an increase in light industry of )+l percent. It is recognized that the light-industry category is inadequately represented by the two groups included (textiles and food processing) and that many products of light manufacture are produced along with machines, but the spread is considered indicative of the genuinely increased interest in consumer goods. The machine-building industry maintained a faster rate than heavy industry as a whole, but its increase was offset by slower, increases in timber and mining. Table 2 follows on p. 8 S-E-C-R-E-T Approved For Release 2002/05/20 : CIA-RDP79-01093A000800080004-9 Approved For Release 2002/05/20 : CIA-RDP79-01093A000800080004-9 S-E=C E=E-T By 1 January 1955, Soviet employment in mining and manufacturing (heavy and light industry combined) was estimated to be 16,550,000. As compared with a US figure of 18.2 million in similar categories in 1953 7/ It is probable that by 1 January 1956 Soviet employment in mining and manufacturing will approach that of the US, although total nonagricultural employment will be somewhat smaller in the USSR. 4. Employment in Service Occupations. The 4-year increase in employment in the service occupations (9 percent) was slower than the total worker and employee increase (see Table 2), but the increases in the social services (health, education, and art) amounted to over 18 percent, or nearly the same increase as for the total workers and employees. Since the popu- lation increased only by about 7 percent, it appears that a sub- stantial advance in per capita expenditure for health and education services was accomplished. 5. Changes in Distribution of Employment. The net effect of the changes described in the preceding sections is given in Table 2, which shows the changes in distribution between broad sectors of the economy. S EAC-R-E-T Approved For Release 2002/05/20 : CIA-RDP79-01093A000800080004-9 Approved For Release 2002/05/3 9I- F Ii 79-O1093A000800080004-9 Estimated Emplpyment of Soviet Workers and Employees by Sector As, of 1 January 1951-55 1951 1952 1953 1954 Total workers'and employees J 39,200 40,800 41,700 44,8oo 47,000 Industrial 13,700 9/ 14,400 lo/ 14,900 a/* 15;700 a/ 16,550 a/ Total heavy industry b 19,600 10,000 l0,40o 10,500 10,750 Coal (and peat) c/ 1,267 1,28o 1,317 1,355 11390 Electric power d7 330 330 330 330 330 Petroleum e/ 189 195 208 224 20 Nonferrous metals f/ 341 348 371 392 412 Ferrous metals g/ 472 496 514 529 543 Chemicals h 330 3.33 339 346 352 Timber, 1 woodworking, paper 1,203 1,295 .1,324 1,342 1,302 Machine construction 3,950 4,16o 4,400 4,655 4,888 Heavy industry (not elsewhere classified) k/ 1;518 1563 1 597 l 327 l 293 Total.light industry J 4,loo 4,400 4,5o0 5,200 5,800 Textiles and allied m/ 1,900 2,000- 2,100 2,200 2,450 Food and allied n 2,200 2,400 2,400 3,000 3,350 Nonindustrial o 25,600 26,400 26,800 29,100 30,450 State agriculture 23 2,900 3,000 3,100 4,500 5,400 Railroad transport 1,760 1,730 1,760 1,776 1,776 . Water transport q/ 640 673 706 741 778 Other transport.r~ 3,150 3,180 3,210 3,240 3,280 Footnotes for Table 1 follow on p. 5. - 4 - S-E-C-R-E-T Approved For Release 2002/05/20 : CIA-RDP79-01093A000800080004-9 Approved For Release 2002/05120 : CIA-RDP79-01093A000800080004-9 5-E-C-R-E-T Estimated Employment of Sovi-et Morke-rs and Employees by Sector As of 1 January 1951-55. (Continued) Thousand Workers 1951 1952 19.53 19 1955 Voaindustriai' o/ (Continued) 3,925 4,000 4,075 4,075 4,100 Construction-, LS/ 800 2 900 2 2,950 3,000 3,083 Trade`~ , 600 , 600 boo 600 600 counu.ications,I_// 3 200 3,400 3,465 3,b65 3,865 Education , 1 500 1.550 1,600 1,700 1,800 Health , 250 250 250 250 250 Art public :institutions -and services State and p 4775 117 5 5,084 5,553 5,518 (not elsewhere classified)yJ , , Estimated from index of employment derived from indexes of production andw s?70cpercent of b. Based on-Mal-enkov announcement that employment in heavy industry in 1953 all industrial employment-1.2 This relationship was assumed to have been relatively stable in 1-951-52. Estimates for 195V--55-were based an increases planned in light industry subtracted from total industry increment, c, Estimate for 1952 was derived by calculating the number of production workers from estimates of production and output per worker. 13 Employment figures were expanded to include non- production workers by relationship in 1941 Plan. Estimates for 1951 and 1953-55 were calculated from production and productivity increases announced in the respective annual reports of plan fulfillment. (Probably includes some forced labor.) d. Held level because of lack of basis for estimatingrate-crude oil extraction, which were e. Estimate for 1952 calculated from employment figures based on estimates of production and output per worker. 14 Estimates for 1951 and 1953-55 were calculated from production and productivity increases announced in the-respective annual reports of plan fulfillment. calculated from production f. Employment for 1952 estimated. Figures for 1951 and 1953-55 were and productivity increases announced in the respective annual reports of plan fulfillment. Approved For Release 2002/05/20 I 7 . ~1-93A000800080004-9 Approved For Release 2002/05Mi-CAA-PDP79-01093A000800080004-9 Estimated Employment of Soviet Workers and.Employees by Sector As of 1 January 1951-55 (Continued) g. Estimate for 1952 was derived from estimates of production and output per worker. 15 Estimates for 1951 and 1953-55 were calculated from production and productivity increases announced in the respective annual reports of plan fulfillment. h. Employment for 1952 calculated from estimates of output per worker, 16 production index, and 1941 Plan employment. i. Logging employment calculated from estimates of output per worker on the basis of 283 days per annum, and the production of industrial round wood per annum. 18 (Probably includes some forced labor). j. Estimates- rer-e calculated from production and productivity increases announced in the respective annual reports of plan fulfillment. 19/ k. Residual within the category of heavy industry. Probably includes 550,000 workers in the construction materials industry (from 1941 Plan employment plus increases calculated from pro- duction and productivity increases-announced in the annual reports of plan fulfillment 20/). 1. Residual, Total industry minus heavy industry. m. Calculated from production and productivity increases announced in. the annual reports of plan fulfillme-nt. 21 n. Calculated from production and productivity increases announced in the annual reports of ~ plan 1 fU11 u f it11,1.CfLejlt ? G nnG/l o. Residual. Total workers and employees minus industry. p. Estimated from output per worker and ton-kilometers. 24 q. Rate of increase of employment estimated at one-half the rate of increase of ton-kilometers. 25 r. Motor vehicle transport employment based on estimate of number of motor vehicles in 1951 (at 50 percent in operation) and service and driver ratios (4 per vehicle). 26 s. Calculated from production and productivity increases. announced in the annual reports of plan fulfillment. &7/ t. Employment in 1954 announced. 28 Employment estimates for 1955 based on planned increments. 29 Employment reported to be 2.5 million in 1948. 30 Employment for 1951-53 interpolated. -6_ S-E-C-R-E-T Approved For Release 2002/05/20 : CIIA-RDP79-01093A000800080004-9 Approved For Release 2002/05/20 : CIA-RDP79-01093A000800080004-9 S-E-C-R-E-T Table 1 Estimated Employment of Sovie=t-Workers and Employees by-Sector As of 1 January 1951-55 (Continued) u. No basis for estimating changes. v. 1952--estimated. V1 Other years calculated from.employment increases announced in the annual reports of plan fulfillment. w. 1952 estimated . 32/ Other yeara.c.alculated from,emplo wentincreasesannounced'in the annual reports of plan fulfillment. X. 1952 estimated. 33 Other years calculated from. employment increases announced. in the annual reports of plan fulfillment. y. Residual. -7- Approved For Release 2002/05/2 .*l V 9-01093A000800080004-9 Approved For Release 2002/05/20 : CIA-RDP79-01093A000800080004-9 S-E-C-R-E-T Table 2 Comparison of 1951 and 1955 Estimates of Employment of Soviet Workers and Employees by Sector W 1951 1955 Change Sector Number (Millions) Percent Number (Millions) Percent in Percent of Total Heavy industry 9.6 24 10.8 23 -1 Light industry 4.1 10 5.8 12-.1 +2 State agriculture 2.9 7 5.4 11.5 +4 Economic services 12.9 33 13.6 29.0 -4 Social services 5.0 13 5.9 12w6 Negligible Other 4.8 12 5.5 11.7 Negligible! a. Derived from Table 1. b. As of 1 January. S-E-C-R-E-T Approved For Release 2002/05/20 : CIA-RDP79-01093A000800080004-9 Approved For Release 2002/05/20 : CIA-RDP79-01093A000800080004-9 S E-C-R-E T APPENDIX A GAPS IN INTELLIGENCE The Soviet sources cited are for the most part plan-fulfillment announcements and official speeches. Some of these cited precise figures and some gave increases in production and productivity from which employment could be estimated with some accuracy. Inasmuch as the 1941 Plan was the point of departure for calculating sub- sequent increases, and inasmuch as this Plan was assumed with minor adjustments to represent 1940, some errors have arisen. Still other error is involved in the listing of figures as of 1 January each year. This date is convenient to use because announcements of the plan resultA relate to that date. If., however, the figures are derived from production-productivity increases, the announcements presumably refer to a full year of operation. The derived labor figure , ib'i .therefore, more of an annual average of man-years rather than employment at any specific date. Estimates for 1 January were derived by averaging two of the successive man- year requirement figures. Thus seasonal fluctuations, part-time employment, and unemployment during transfer periods are not sufficiently accounted for. Total employment in the critical defense industries is still largely concealed in the "machine building" and "not elsewhere classified" groups. At the present time, not enough information is at hand to make it possible to break down the large groups classed in '"Machine building." k - 9 - S-E-C-R-E-T Approved For Release 2002/05/20 : CIA-RDP79-01093A000800080004-9 Approved For Release 2002/05/20 : CIA-RDP79-01093A000800080004-9 S-E-C-R-E-T The Soviet system of administering and reporting construction activity is so complex that the estimate for employment in construction is subject to a wide range of error. This uncertainty is further aggravated by the lack of information as to how much construction activity is carried on by slave labor rather than by workers and employees. As pointed out in the text, the manufacture of consumer goods is i-iadequately represented by only two industries, textiles and food. Information is lacking on which to base separate estimates for boots and shoes, household furnishings, and household equipment. - 10 - S-E-C R-E-T Approved For Release 2002/05/20: CIA-RDP79- 9 - 25X1 Approved For Release 2002/05/20 : CIA-RDP79-01093A000800080004-9 Next 2 Page(s) In Document Exempt Approved For Release 2002/05/20 : CIA-RDP79-01093A000800080004-9 Approved For Release 2002/05/20 : CIA-RDP79-01093A000800080004-9 CONFIDENTIAL Approved For Release 2002/05/20 : CIA-RDP79-01093A000800080004-9