THE WAGE FUND FOR PAYMENT OF GOVERNMENT EMPLOYEES

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP82-00046R000400180005-3
• Release Decision: RIPPUB
• Original Classification: C
• Document Page Count: 3
• Document Creation Date: December 27, 2016
• Document Release Date: June 17, 2013
• Sequence Number: 5
• Publication Date: November 19, 1954
• Content Type: REPORT

Declassified in Part - Sanitized Copy Approved for Release @ 50-Yr 2013/06/17: CIA-RDP82-00046R000400180005-3
CENTRAL INTELLIGENCE AGENCY
INFORMATION REPORT
This material contains information affecting the Na-
tional Defense of the United States within the mean-
ing of the Espionage Laws, Title 18, U.S.C. Secs. 793
and 794, the transmission or revelation of which in
any manner to an unauthorized person is prohibited
bylaw.
CONFIDENTIAL
50X1
COUNTRY Czechoslovakia REPORT NO.
SUBJECT The Wage Fund for Payment of Government DATE DISTR.
19 November 1954.
Employees
50X1
NO. OF PAGES
3
DATE OF INFO.
REQUIREMENT NO.
50X1
PLACE ACQUIRED
REFERENCES
50X1
THE SOURCE EVALUATIONS IN THIS REPORT ARE DEFINITIVE.
THE APPRAISAL OF CONTENT IS TENTATIVE.
(FOR KEY SEE REVERSE)
LIBRARY SUBJECT AND AREA CODES
3-02-6406
103.9
762.308
771.3
103.67
.-,,CONFtDENTIAL
1/54
2.11L
27M
27M ,,.
27M
STATE
#x
ARMY
NAVY
#x I AIR 1#1C I FE" I AEC
(NOTE: Washington distribution indicated by "X"; Field clistr;birtion by
Declassified in Part - Sanitized Copy Approved for Release @ 50-Yr 2013/06/17: CIA-RDP82-00046R000400180005-3
Declassified in Part - Sanitized Copy Approved for Release @ 50-Yr 2013/06/17: CIA-RDP82-00046R000400180005-3
50X1
CONFIDENTIAL
COUNTRY Czechoslovakia
SUBJECT
The Wage Fund for Payment of Government
Employees
DATE OF INFORMATION
PLACE ACQUIRED
50X1
50X1
50X1
THIS IS UNEVALUATED INFORMATION
REPORT NO.
50X1
DATE DISTP ;`.2(::T.1.:, ? -1.(f5,..
NO. OF PAGES 2
REFERENCES:
Te Wage Fundjproviding for personnel expenditures for government and
national enterprise employees, was established at the end of 1951 in
conjunction with the liquidation of the Standardized System (Systemisace
Mist) of government employment. This,system had established the exact
number of employees, the individual paitions, and the salary grades
in each government office; further, it provided an automatic promotion
scale so that it was possible to anticipate changes in personnel status
and thus, changes in salaries. With the liquidation of the Standardized
System, the automatic promotion policy was substantially modified; it
applied only to employees, with less that 20 years of service in the
lowest eight of the nine salary grouPs. All other regular employees
were slotted in Grade 9 and their positions and salaries were deter-
mined individually.
2. The Wage Fund was a part of the National Budget. The fund was
divided into two categories: -- expenditures for regular personnel
and contract employees (osobni a nedsobni fond). In determining
the total amount for the salaries of all regular government employees,
the theoretical supposition was that each ministry and central
government office's share was a sum which equalled the number of ,
employees (as rstated in the approved Plan of Labor) multipliedy
the average salary (approved by the Government. Wage Commissibn, direct-
ly under the Presidium of the government). This sum, however, was
usually slightly higher than the exact average salary in order to
provide for changes in salaries and allotments.
3. The other category of the Wage Fund was for contract employees
(so-called third persons, tketi osoby), i.e., those who were con-
treidteilto perform certain talcks only and who were not included in
the Plan of Labor. The total amount of this category; as well as
the amount for each ministry or central government office, was
based on a detailed survey of potential expenditures of this kind.
CONFIDENTIAL
nna-Inecifiarl in Part - Sanitized Com/ Approved for Release @ 50-Yr 2013/06/17: CIA-RDP82-00046R000400180005-3
Declassified in Part - Sanitized Copy Approved for Release @ 50-Yr 2013/06/17: CIA-RDP82-00046R000400180005-3
50X1
CONFIPENTIAL
2
In no case, however, could this fund be used to provide compensation
for tasks which, by theirnature, fell into the category of responsi-
bilities of he regularemployees. This was true regardless of
whether the tasks were actually performed by a regular or contraot
employee.
The Wage Fund, in spite of the fact that it was included in the
approved budget of the Ministry of Agriculture, as Was #114e Of
other government ministries and in4epen4ent agenoiesidid not repre-
sent an actual source of money from Which the Ministry was authoriz-
ed to draw freely. As a matter of fact, the Ministry had to obtain
approval frail the Ministryof Finance and '6he government Wage Com-
mission for the total amount ot monthly salaries and allotments
every three months: In order o obtain approval the Ministry had
to submit the number of employees, their positions, Aitaaayergae
ialarvl
his had to be -redetermined every three months. Before
being approved, the adequacy of the number of employees and their
respective pollitiOns as well as the average salary were checked,
(In the case of national enterprises, the amount of monthly wages
approved wad'alito dependent upon the percentage of their fulfillment
of the production plan.) The Ministry of Finance reported the
current monthly gaount approved for each ministry or agency to the
State Bank each month; the State Bank credited only this amount,
plus two per cent, tothe Ministry whether or not a larger amount
was provided In'the-budget. The additional two per cent was to
cover irrtgular; unpredictable expenditures during the period. If
the two per 'cet or any-part of it spent was not approved later by
the Ministrl-of*Finance, it was deducted from the credit for the
following Mronth. Money for contract employees was handled in a
similar manner.
These administrative procedures required very precise numerical data
and were so complicated that they often produced inaccuracy.
CONFIDENTIAL
Declassified in Part - Sanitized Copy Approved for Release @ 50-Yr 2013/06/17: CIA-RDP82-00046R000400180005-3