CHANGES DISMISSALS OF EMPLOYEES AND PRODUCTION STATUS OF PLANTS UNDER THE MINISTRY FOR MACHINE CONSTRUCTION

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP80-00810A006700590001-6
• Release Decision: RIPPUB
• Original Classification: S
• Document Page Count: 4
• Document Creation Date: December 21, 2016
• Document Release Date: October 3, 2008
• Sequence Number: 1
• Publication Date: May 19, 1955
• Content Type: REPORT

Approved For Release 2008/10/03: CIA-RDP80-0081 OA006700590001-6
CLASSIFICATION. S-E-C-R-E-T
CENTRAL INTELLIGENCE AGENCY REPORT
INFORMATION REPORT
COUNTRY East Germany
SUBJECT
PLACE
ACQUIRED
DATE OF
IN Fn
Changes, Dismissals of Employees and
Production Status of Plants under the
MLnistry for Machine Construction
THIS DOCUMENT CONTAINS INFORMATION AFFECTING THE NATIONAL DEFENSE
OF THE UNITED STATES, WITHIN THE MEANING OF TITLE IS. SECTIONS 7GS
AND 794. OF THE U. S. CODE. AS AMENDED. ITS TRANSMISSION OR REVEL-
ATION OF ITS CONTENTS TO OR RECEIPT BY AN UNAUTHORIZED PBRBOM
15 PROHIBITED BY LAW THE REPRODUCTION OF THIS FORM IS PRGm,SkED.
it. He
that the ove"taffed conditions of the plants
He stated
ss
,
.
.
Ministry for Machine Construction would necessitate a shift
,!?1
employees. He anphasized that the plants were not allowed to discuss
f
or
but that they were compelled to procure
hed or overstaffed offices equal jobs at other
0 M*
n 14 and 15 January 1955 in which one thousand
cipated# Minister Heinrich Rau delivered the
otors who do not comply with ons
to disciplinary punishment. To' nt,
9mple the punishment of Fritz A : r of
VL'17 ruiLC~r?cyn ,..~.. ........., ..
because he had dismissed two hundred of his empl ' * J 1955.
2. Rau tYAs mired into particulars about wage policy, .,;high he called
ups Sw the future. He said that wages have risen considerably
rr the production output, a condition which no economy can
It w also apparent, he continued, that wages have been
d
en, unaer
16-I-1 on a large scale. It is therefore forbid
for workmen to fill out their own wage or working hour
a* =e been accustomed to do.
I%* sooban" extra pay for working on poor f
the taAk of w4 -
materials merely in stock, but of having hoarded
that there will be a standardization control for
period. There would be, therefore, no question
has reached the plant, but has Wen used wi
alone. Rau said that the saitlla4
to 67 milli= DUE to 1A -& in
Rau c o nt inuAi, IM a rt'uU
u t' y P
accounted fR in a vyftea 0s'6
declares in writing that potion would cea
better material could be pjred and when th$
Exceptions may be made when the materials pr
of
CD NO.
DATE DISTR. 19 May 1955
NO. OF PAGES 1 2
NO. OF ENCLS.
SUPPLEMENT TO
REPORT NO.
THIS IS UNEVALUATED INFORMATION
echnik)
if it
production.
g placed the
announced further
material consumption,
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very lightly. He instructed that greatest economy be made in
overhead.
4. Rau criticized HV RFT very sharply. He mentioned particularly the
production displacements ordered by Scheffler (fnu), the production
manager of HV RFT, which had cost the economy a very
large sum. Production displacements may now be carried out only
with the explicit permission of the Minister. Rau stated that the
Ministry for Machine Construction had practically no investment funds
at its disposal. The existing small investment funds would be
utilized by agriculture and heavy industry. The plants were advised
to procure the necessary funds on credit.
5. Rau is of the opinion that the general eontreet a ste,e is not yet.-
handled correctly. Penalty Oehould be imposed upon all who exceed
the deadline of their contract. The cancellationlties
as well as their postponement is illegal.
6. Rau was specially concerned with the production of '
commodities and he mentioned, for example, the f%j*6 11WOO"ANI
motor scooter, PITTY. He said that the developmet%
scooter has now lasted over three years and stil1&4WO14 TT96Al
completed. At first, the vehicle received a motor tc fE* ~'10
move it. After two more years of work, it received
enough for a racing car, but completely useless foi *MOW Meer.
Care must be taken that such things are not repea It ;lase at ot
7. Rau found fault with the East German industry whichf.ii
enough good use'of Russian progressive methods. !Fbr this reason,
the Ministry for Machine Construction obligated all plants under its
command to use these progressive methods immediately. Rau named the
improvement in technological research of the plants and the training
of skilled workers as being of the greatest importance. He also
announced the introduction of so-called comparisons of plants. In
order to find the most economic method, costs of the same or similar
plants would be compared.
8. In conclusion, Rau declared that the export plan had been poorly fulfilled
by some industries, especially by the shipyards.
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very lightly. He instructed that greatest economy be made in
ov~.;head.
4. Rau criticized HVkiFT very sharply. He mentioned particularly the
:production displacements ordered by Scheffler (fnu)s the production
manager of IIV R.FT, which had cost the economy a very
large sums Production displacements may now be carried out only
::.ith the exp cit permission of the Minister. Rau stated that the
Minzstry for Machine Construction had practically no investment fun:+_s
at tts disposal. The existing small investment funds would be
ut:i'.ized by agriculture and heavy industry. The plants were advised
to procure the necessary funds on credit.
5. Rau is of the opinion that the general contract system is not yet
handled correctly. P3nalty should be imposed upon all who exceed
the deadline of their contract. The cancellation of con act pen:.:l t _ e:
as well as their postionement is illegal.
L, R:u as specially concerned with the production of eut1sumer
commodities and ho mentioned, for example, the first rir-st German
motor scooter, WITTY? He said that the development of the motor
scooter has now lasted over three years and still has not been
com:.leted. At first, the vehicle received a motor too weak to
move it. After two more years of work, it received a riotor strong
enough for a racing car, 'jut completely useless for a motor scooter,
Care must be taken that such things are not repeated. he said.,
If'
Rau fc.and fault with the East German industry which has not male
enough good use cf Russian progressive methods. far this reason,
he Yi.n stry for Machine Construction obligated all plants under it,
eosr::and to use these progressive methods immediately. Rau named the
-_mnrove^..ent in technological research of the plants and the training
of .killed workers as being of the greatest importance, He also
snlc:anced the introduction of so-called comparisons of plants. In
order to find the most economic method, costs of the same or similar
p.Lvits would be compared;,
'n cc-nc usion Ra.: declared that the export plan had been poorly fulfilled
by :;ome industries, especially by the shipyards
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