2. The technical director appoints technical employees and gives all orders regarding the technical administration of the undertaking. The factory committee may, however, complain regarding these appointments and orders to the Commissioner of the Central Administration, and then to the Central Administration itself; but only the Commissioner and Central Administration may stop the appointments and order of the technical director.
3. In connection with the Administrative Director there is an Economic Administrative Council, consisting of delegates from laborers, employees, and engineers of the undertaking. The Council examines the estimates of the undertaking, the plan of its works, the rules of internal distribution, complaints, the material and moral conditions of the work and life of the workmen and employees, and likewise all questions regarding the progress of the undertaking.
4. On questions of a technical character relating to the enterprise the Council has only a consultative voice, but on other questions a decisive voice, on condition, however, that the Administrative Director appointed by the Central Administration has the right to appeal from the orders of the Council to the Commissioner of the Central Administration.
5. The duty of acting upon decisions of the Economic Administrative Council belongs to the Administrative Director.
6. The Council of the enterprise has the right to make representation to the Central Administration regarding a change of the directors of the enterprise, and to present its own candidates.
7. Depending on the size and importance of the enterprise, the Central Administration may appoint several technical and administrative directors.
8. The composition of the Economic Administrative Council of the enterprise consists of (a) a representative of the workmen of the undertaking; (b) a representative of the other employees; (c) a representative of the highest technical and commercial personnel; (d) the directors of the undertaking, appointed by the Central Administration; (e) representatives of the local or regional council of professional unions, of the people’s economic council, of the council of workmen’s deputies, and to the professional council of that branch of industry to which the given enterprise belongs; (f) a representative of the workmen’s co-operative council; and (g) a representative of the Soviet of peasants’ deputies of the corresponding region.
9. In the composition of the Economic Administrative Council of the enterprise, representatives of workmen and other employees, as mentioned in points (a) and (b) of Article VIII, may furnish only half of the number of members.
10. The workmen’s control of nationalized undertakings is realized by leaving all declarations and orders of the factory committee, or of the controlling commission, to the judgment and decision of the Economic Administrative Council of the enterprise.
11. The workmen, employees, and highest technical and commercial personnel of nationalized undertakings are in duty bound before the Russian Soviet Republic to observe industrial discipline and to carry out conscientiously and accurately the work assigned to them. To the Economic Administrative Council are given judicial rights, including that of dismissal without notice for longer or shorter periods, together with the declaration of a boycott for non-proletariat recognition of their rights and duties.