812.5045/686
The Ambassador in Mexico (Daniels) to the Secretary of State
[Received March 16.]
Sir: In my weekly call at the Foreign Office yesterday I expressed to General Hay my earnest hope that a way would be found to prevent the threatened impasse between the oil producers and the workers in the oil fields. He said his Government had done everything it could do consistent with the sovereign rights of his country and he was sure no independent, self-respecting country could do more. He thinks [Page 724] the President went a long way toward adjustment when he guaranteed to the oil producers that the increase in wages would under no circumstances exceed the 26,300,000 pesos and that a Mixed Commission would decide upon the administrative points to which the operators objected.
I expressed the opinion, as I had done often before, that an impasse would not only be bad for the oil producers and the oil workers, but that it would be injurious to the stable conditions in Mexico and disturbing to relations with other countries. He replied: “It is not our fault. We have done everything we could consistent with our sovereignty.”
Respectfully yours,