811F.504/175a: Telegram
The Secretary of State to the Ambassador in Panama ( Dawson )
6. From the Under Secretary. There will be introduced into the Congress early next week, with the approval of the Administration, a bill providing the necessary authorization for the appropriation required to undertake the construction of the third set of locks. This bill, like the legislation passed in the last session of Congress,45 will not contain a provision making it possible for citizens of the Republic of Panama to be employed on a basis of equality with citizens of the United States. The Secretary of War has explained to the Secretary and myself that the War Department considers it urgent to get this legislation enacted so as to make it possible to obtain bids from contractors for the work involved by February 7, and that if the amendment making it possible for citizens of the Republic of Panama to be placed on a basis of equality with citizens of the United States were inserted in the present bill, there would be protracted discussion resulting from opposition on the part of the labor unions, which would delay inordinately the enactment of the legislation. The Secretary of War, however, has stated that immediately after the enactment of the legislation referred to there will be introduced a bill amending both the act [Page 1102] passed at the last session of the Congress as well as the act which is now to be passed so as to place Panamanian citizens on a par with American citizens, thus providing for strict compliance with the terms of the notes exchanged at the time of the signing of the treaty of 1936.46
Please inform the Minister of Foreign Affairs confidentially of the above so that there may be no misunderstanding and assure him that this Government will press in every appropriate manner for the speedy enactment of this amendatory legislation. [Welles.]