Idea by Belgrade City Mayor – politicians out of public enterprises

Idea by Belgrade City Mayor
Djilas working on law – politicians out of public enterprises

Belgrade City Mayor and also the DS Deputy President Dragan Djilas sent to Serbia President Boris Tadic and members of that party’s Main Board proposal of the law the adoption of which might be the first step towards decentralization of public enterprises. Djilas is proposing suspension that supervising boards are introduced instead of the present management board and their election as per very strict criteria.

Belgrade City Mayor Dragan Djilas

Djilas’s proposal does not forbid party officials lead public enterprises but conditions for election of people in them shall be so rigorous to allow only experts occupy executive posts. Instead of management boards, Djilas suggests supervising boards.

Their members can be highly educated individuals only, i.e. experts. They would be appointed by Serbia Government for the period of four years. Such procedure should also prevent conflict of interest. A general director of a state company also has to meet strict criteria.

Thus a general director can be someone who fulfils criteria for supervising board, who has working experience of at least five years in one or several spheres of business to be dealt with. Important innovation in relation to the actual Law on Public Enterprises is introduction of a new body – a specialized subject authorized by Serbia Government to carry out election procedure of a director
If Serbia Parliament would adopt this proposal, the founding documents and statutes of public enterprises would have to be brought in accordance with the new law within thirty days from the date of its coming in force. Serbia Government would have thirty days to pass necessary decrees while supervising boards would be appointed 45 days after adoption of new regulations.