Foreign Relations of the United States, 1949, The Far East: China, Volume VIII

102.22/6–1549: Telegram

The Consul General at Shanghai (Cabot) to the Secretary of State

Shanghai, June 15, 1949—7 p. m.
[Received June 15—10 a. m.]

2284. ReDeptel 1172, 10th. Assume Department received ComNavPortFacs 100428Z replying ConGentel 2153, 8th, and 130546Z replying ConGentel 2205, June 10.⁴⁹

Although reftels make clear Navy position, ConGen’s opinion this position unrealistic in light factual situation.

Tentative representations by group employees indicate probably valid claims certain employees for 2 weeks’ termination pay in lieu notice which apparently provided civilian personnel instructions USNavPortFac chapter III B article 12 page 7 irrespective temporary or permanent appointments. These representations also contend chapter V2B7 also provides final payment effected only upon surrender badge and identification by final separation notice neither of which accomplished; hence claim still employees USN entitled regular pay to date plus separation bonus.…

ConGen obviously placed very difficult position. Estimated 400–600 ex-employees including NOB Glenline, BOQ⁵⁰ race course, Lunghwa Airfield holding meetings. Contacts reported to have been made with Foreign Affairs Bureau for permission stage mass demonstration Glenline. Permission reportedly given on basis ConGen is private individual. Numerous other large American and local business organizations facing same difficulty with threat mob action. Request for 6 months’ separation pay, supported by local authorities in at least one instance involving officer British ConGen.

ConGen urgently requests Navy reconsideration of demands from standpoint law and equity in order prevent present relatively fluid situation developing into complete and disagreeable impasse.

Present legitimate employees or claimants unknown to ConGen account lack Navy employment records which evacuated. Separation notices mailed 13 May never received. Therefore urgently reiterate request for telegraphic list and funds outlined last paragraph ConGentel 2205, 10th. Upon receipt this information funds and authority to act ConGen might forestall much adverse public criticism American Government and anti-American sentiment. Otherwise most embarrassing consequences may result.

Cabot

49. Nos. 100428Z and 130546Z not printed; the Navy position was that employees were hired on temporary basis and no payment was due above wages and pay for accrual leave (102.22/6–1049 and 102.22/6–1549, respectively).
50. Bachelor Officers Quarters.