102.22/8–1949: Telegram
The Consul at Shanghai (McConaughy) to the Secretary of State
[Received August 19—6:26 a. m.]
3333. Usually reliable intelligence sources indicate possibility imminent new invasion ConGen for collection severance pay for approximately 150 ex-US Navy employees retained after departure Navy for varying short periods to guard valuable abandoned Navy property pending its disposition. Department will recall funds provided by CNO this purpose (Deptel 789, April 2848) upon urgent request ConGen were utilized retain security guard force, drivers, skilled laborers, et cetera, until after returned Navy mission team had completed property disposal approximately mid-May.
Although these employees were also included in list given USN severance pay last week, they reportedly now claim separate bonus due account separate ConGen employment.
I propose have Thomas take up matter with General Labor Union mediator pointing out absurdity double bonus claim and suggesting applicability waiver signed by each individual ex-Navy employee when paid bonus last week.
Matter further complicated by persistent representations 13 Sikh guards who employed temporarily for occupied ConGen residences during approximately 2-week period just before and during Commie takeover. These Sikhs who also included in Navy security force claim they entitled bonus account danger to lives, separation from families and loss of other employment during period temporary employment ConGen. Indian CG49 who asked intervene admits helplessness and suggests only way to end trouble is to meet negotiated demands this group. Since these 13 also among principal agitators group described above and account doubtful support Labor Union our position, urgently request special allotment US dollars 500 for payment special bonus this group. Would represent as double time payment special risks involved and not as separation bonus.
Department pass for information to CNO and ComSeventhTaskFlt.
Sent Department, repeated Nanking 1798.