The Procedure of Distribution of 20% from the Sale of Socially Owned Enterprises

Abstract

Distribution process of 20% from the sale of Socially Owned Enterprises (SOE) is one of the most sensitive processes of Kosovo’s society. This process has begun in 2003 and continues today. The largest number of protests that occurred in Kosovo are due to disappointment in the slow process of distribution of 20% from the sale of SOEs. The aim of the work presented in this paper is to analyse the distribution of the 20% from the sale of SOEs, changes to this process and the impact on former employees of privatized SOEs. In order to understand these aspects, the available data were analysed qualitatively and quantitatively. In addition, I have used several methods of analysis, including empirical and normative methods, and analysis of legal provisions. Results of the data analysis show that changes in the legal framework have not affected the shape and dynamics of the distribution process. However, a pragmatic solution that was applied by Privatization Agency of Kosovo (PAK), a solution that is not provided within legal provisions, has made it possible to accelerate this process. This solution consists of the following formula: the 20% from the sale of the SOE is calculated in two parts; the first part is related to the number of SOE workers without claims, and the second part is related to the number of SOE workers with claims submitted in Special Chamber of Supreme Court (SCSC). The first part is distributed to SOE workers, while the second part, is distributed after the final decision of the SCSC. However, despite this solution, when the decisions of the SCSC on matters of Privatization Agency of Kosovo are analysed, it results that there are still further possibilities for this process to be accelerated and to be simplified even more.

DOI: 10.5901/ajis.2015.v4n1s2p53