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DECLASSIFIED SECRET E.O. 11652, Sec. 3(E) and 5(D) or (E) APPEND: IX 19 Dept. of State letter, Au 4-10-74 BIRLING NARS Date 6.30.75 MEMORANDUM reparation consideration rearuitment Mr. E. W. Pauley TO: substitute Mr. R. G. Sproul, for Committee #1 in TPCOG FROM: consent to SUBJECT: Labor Reparations. The present directive on the subject of labor reparation as contained in IPCOG 2/2 provides that "Compulsory labor service (outside Germany) should be required only from those judicially convicted as war criminals, including individuals determined to be members of European Axis organizations, official or unofficial, which themselves have been adjudicated to be criminal in purpose or activities. The restrictions contained in the foregoing directive would make it impossible to obtain an amount of German labor reasonably adequate for European reconstruction. The total number of laborers subject to recruitment under the directive has been estimated to be under two million. Of these, many will be unfit for work and many others will never be apprehended. It would be extremely difficult to obtain voluntary labor to serve in the USSR, and, unless conditions in Germany become nuch worse than they have been until now, the same may be true with regard to other countries. As compared with the million or 1 1/2 million laborers that probably could be obtained under the IPCOG formula, unofficial estimates suggest that the total demand for German labor for reconstruction purposes may run to 6 or 7 million and possibly more. Under these circumstances, the IPCOG formula on labor will undoubtedly be completely unacceptable to the major reparation claimants, and especially the USSR, and insistence upon it by the United States representative on the ACR is certain to lead to an impasse. It is believed, furthermore, that the rapid reconstruction of Europe, which is a major United States objective, requires the use of a greater amount of German labor than is possible under the present instructions. : ARCHIVES CHATIONAL SERVICE" KICORDS AND SECRET

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    "ocrText": "DECLASSIFIED\nSECRET\nE.O. 11652, Sec. 3(E) and 5(D) or (E)\nAPPEND: IX 19\nDept. of State letter, Au 4-10-74\nBIRLING NARS Date 6.30.75\nMEMORANDUM\nreparation\nconsideration\nrearuitment\nMr. E. W. Pauley\nTO:\nsubstitute\nMr. R. G. Sproul, for Committee #1\nin TPCOG\nFROM:\nconsent\nto\nSUBJECT:\nLabor Reparations.\nThe present directive on the subject of labor\nreparation as contained in IPCOG 2/2 provides that\n\"Compulsory labor service (outside Germany)\nshould be required only from those judicially\nconvicted as war criminals, including individuals\ndetermined\nto be members of European\nAxis organizations, official or unofficial, which\nthemselves have been adjudicated to be criminal\nin purpose or activities.\nThe restrictions contained in the foregoing directive\nwould make it impossible to obtain an amount of German\nlabor reasonably adequate for European reconstruction. The\ntotal number of laborers subject to recruitment under the\ndirective has been estimated to be under two million. Of\nthese, many will be unfit for work and many others will never\nbe apprehended. It would be extremely difficult to obtain\nvoluntary labor to serve in the USSR, and, unless conditions\nin Germany become nuch worse than they have been until now,\nthe same may be true with regard to other countries.\nAs compared with the million or 1 1/2 million laborers\nthat probably could be obtained under the IPCOG formula,\nunofficial estimates suggest that the total demand for German\nlabor for reconstruction purposes may run to 6 or 7 million\nand possibly more.\nUnder these circumstances, the IPCOG formula on labor\nwill undoubtedly be completely unacceptable to the major\nreparation claimants, and especially the USSR, and insistence\nupon it by the United States representative on the ACR is\ncertain to lead to an impasse. It is believed, furthermore,\nthat the rapid reconstruction of Europe, which is a major\nUnited States objective, requires the use of a greater amount\nof German labor than is possible under the present instructions.\n: ARCHIVES CHATIONAL SERVICE\" KICORDS AND\nSECRET"
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