740.00119 FEAC/10–3149: Telegram

The Secretary of State to the Acting Political Adviser in Japan (Sebald)

confidential

551. Mtg Steering Comite, Oct 25, canceled.

Fol is Summary FEC Mtg, Oct 27, 1949.

Mr. Butterworth presided as Chairman in Gen McCoy’s absence.

Level of Econ Life in Jap ( FEC 242/32, FEC 297/10)

USSR member asked that Sov proposals be discussed. No comment from other members.

Jap Participation in Internatl Relations ( FEC 339)

US member urged that subcomite considering this item press forward its work as rapidly as possible.

Labor Policy in Jap ( FEC 318/20)

USSR member made fol statement:

“In the statements of the Sov Del on the question of labor policy in Jap there have been adduced sufficient examples showing that the revised labor laws were in contradiction with the policy decisions of the FEC.

“By these examples the Sov Del proved the fultility of the attempts made by the US Del to deny indisputable facts. The Sov Del believes that as a result of the lengthy discussion on this Subj all the Dels had opportunity to convince themselves that the labor policy which is being carried out by the US occupation authorities and the Jap Govt as expressed in the revision of the Natl Public Service Law, the adoption [Page 888] of the Public Corporations Labor Relations law and the revision of the Labor Union and Labor Relations Adjustment Laws is in contradiction with the Potsdam Declaration and the policy decisions of the FEC.

“Recent reports from Jap show that the Jap Govt has not confined itself to the anti-labor measures already adopted. It is known, for instance, that by means of mass discharges of workers the Jap auths are removing from enterprises and institutions first of all leaders and active members of trade unions. Thus, for example, under the disguise of reducing the public payroll there were dismissed the progressive leaders of the railway workers union, the communication workers union, the Ministry of Agri and Forestry Union and other trade unions of Govt workers. On Sep 17 the Jap Govt published a new decision according to which the workers of Govt and public utility enterprises and institutions are prohibited from engaging in polit activities.

“By means of this new decision the Jap Govt has deprived workers of Govt and public utility enterprises of their elementary polit rights, having thus openly violated the Potsdam Declaration and the policy decisions of the FEC on the democratization of Jap.

“These examples do not in any way cover all the measures directed towards the suppression of legal activities of the Jap trade unions and the depriving of Jap workers of their elementary democratic rights. Unfortunately, the FEC has not up till now been able to adopt a decision on this question.

“The Sov Del considers that the FEC, being confronted with undeniable evidence that the revised labor laws are in contradiction with the Potsdam Declaration and the policy decisions of the FEC, cannot permit such a situation in which its policy descisions directed towards the democratization of Jap wld be ignored and not fulfilled.

“I express the hope that the members of the FEC will approach the proposal of the Sov Del on this matter as set forth in FEC 318/22 with due attention and will support this proposal.”

No further discussion on this subj.

Dept requests your comments on above statement as basis for possible rebuttal of USSR criticism in FEC.

Under other Business. Sov member reiterated request for info on deconcentration measures in Jap. US member pointed out that US still in process of obtaining info. Re Sov inquiry on conservation of fisheries, US member stated that he wld give to SYG for circulation reply received from SCAP.

Acheson