740.00119 EW/2–2747: Telegram

The Acting Political Adviser for Germany (Muccio) to the Secretary of State

secret

482. Manpower and Reparations Directorates86 have been considering communication from IARA dated October 18, 1946, relative to recruitment of labor in Germany for work abroad for purposes of re-erecting plants allocated to member countries of IARA, and in particular to request from Yugoslav Military Mission. In Labor Allocations Committee of Manpower Directorate US, UK, and French members agreed to recruitment, subject to following conditions:

(a)
The prior permission of the zone commander concerned must be obtained.
(b)
Recruitment must be effected through or in collaboration with the German labor authorities unless the zone commander decides otherwise.
(c)
Every individual recruited must be given a copy of the contract of service before his departure.

Soviet member agreed to these conditions but objected to stating these as policy and insisted that these be applied to Yugoslavia. Requests from other countries to be answered on merit of individual case.

Matter being referred to Manpower Directorate, which has asked our guidance. Wish to point out that proposed reply avoids decision as to use German labor for reparations. It permits only recruitment. Presumably this could be done by or through German authorities under provision German authorities pay workers in marks and recipient country obtains service as reparations. If recipient country was to pay workers it would be export German service and entail payment foreign exchange. Department’s views urgently needed toward use German labor for such purposes in general and by Yugoslavia in particular.

Sent to Department as 482; repeated to Brussels as 18.

Muccio
  1. Directorates of the Allied Control Authority for Germany. For additional documentation on the participation of the United States in the work of the Allied Control Authority, see pp. 831 ff.