Issue 2
ALL-RUSSIAN CENTRAL EXECUTIVE COMMITTEE
COUNCIL OF PEOPLE'S COMMISSARS OF THE R.S.F.S.R.
RESOLUTION
of December 22, 1924
ON ENTERPRISES AND COLLECTIVES ORGANIZED BY LABOR EXCHANGE COMMITTEES TO PROVIDE LABOR ASSISTANCE TO THE UNEMPLOYED
The All-Russian Central Executive Committee and the Council of People's Commissars of the R.S.F.S.R. resolve:
1. For the purpose of providing labor assistance to unemployed persons registered with the placement bodies of the NKT, labor exchange committees, by agreement with the relevant trade unions, are granted the right to organize industrial and commercial enterprises, as well as labor collectives composed of unemployed persons.
2. Enterprises and collectives under the administration of a single labor exchange committee constitute one association, headed by a board appointed by the labor exchange committee in agreement with the provincial trade-union council.
3. The management of individual enterprises and collectives forming part of the association is entrusted to authorized representatives appointed by the committees in agreement with the relevant trade unions. Authorized representatives act on the basis of powers of attorney issued by the board of the association (Art. 2).
4. An association of enterprises and collectives under the administration of a single labor exchange committee, upon registration of its regulations with the relevant provincial labor department, enjoys all the rights of a legal entity.
5. In those cities where there is only one enterprise or one collective, the latter, upon registration of its regulations with the provincial labor department, is granted the rights of a legal entity.
Note. Associations of enterprises and collectives, as well as those collectives which, pursuant to Art. 5, enjoy the rights of a legal entity, when participating in bidding for state contracts and supplies are equated with state bodies.
6. The funds of enterprises and collectives consist of: (a) sums received from the operation of enterprises and the work of collectives, (b) nationwide and local subsidies, (c) other receipts.
7. Net profit derived from the operation of enterprises and the work of collectives is placed at the disposal of labor exchange committees and is used exclusively to expand labor assistance to the unemployed.
8. The area of activity of enterprises and collectives is determined by the area of activity of the corresponding labor exchange committee.
9. Associations of enterprises and collectives, as well as enterprises and collectives enjoying the rights of legal entities (Art. 5), are liable exclusively with the property belonging to them under Art. 6. Members of collectives bear no material liability for the obligations of the collective.
10. Labor exchange committees are granted the right to transfer enterprises that have become economically robust to economic bodies by agreement with the latter.
11. Enterprises and collectives organized under this Resolution, for the period during which they are under the administration of labor exchange committees, enjoy the following privileges:
(a) for six months from the time of organization they are exempt from payment of the business (trade) tax and income tax;
(b) after the above period, with respect to payment of the business (trade) tax and income tax, they are equated with cooperative organizations (pursuant to the Resolution of the Central Executive Committee and the Council of People's Commissars of the U.S.S.R. of December 7, 1923 on tax benefits for cooperative organizations (Collection of Laws, 1924, No. 16, Art. 150));
(c) with respect to payment of other taxes and fees, as well as payment for premises made available to them and for коммунальные services, they are equated with state bodies financed from the state budget;
(d) they are exempt from payment of social insurance contributions, and members of collectives enjoy all the rights of insured persons under all types of insurance.
12. The limits of application of the Labor Code to members of collectives, as well as to persons servicing enterprises, are determined by resolutions of the People's Commissariat of Labor of the R.S.F.S.R., by agreement with the All-Union Central Council of Trade Unions.
The procedure for implementing this Resolution is determined by circulars and instructions of the People's Commissariat of Labor of the R.S.F.S.R.
1 Kopeck.
Buffet Trading Collective. Kerch Association of Enterprises and Collectives under the Labor Exchange Committee.
