June 29, 2006
Government plans to have 1,000 social production businesses

(El Universal) - "There are 595 social production companies (EPS) at the present time, and the number is expected to hit 1,000 ending this year, Vice-Minister of Industries Elio Colmenares said.

Government estimates show that the businesses have created 16,000 new direct jobs and 75,000 indirect jobs.

'Before becoming social production companies, these industries provided just 5,000 direct jobs. Now they are employment multipliers,' Colmenares stated in a TV show.

The corporate background is that traditional owners transfer up to 60 or 70 percent of their shares to employees.

EPS are production centers that operate with raw materials of Venezuelan Guayana Corporation (CVG) and turn them into high value-added goods. Social Production Fund (FPS), formerly Guayana Regional Fund, provides funding at preferential interest rates".