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Organisation.
China's financial contribution had been assessed at 3% of the ILO's Budget but she had never paid her fees. So far, China had only promised to study the question of her membership of the ILO and to let the Organisation know her ultimate decision.
Gibraltar
11. Mr Jones referred to the mention of Gibraltar in the TUC's note. He had a special concern because the Transport and General Workers' Union had members in Gibraltar. Mr Callaghan observed that HMG's thinking was in line with that contained in the TUC note. We would never enter into any arrangements by which the people of Gibraltar passed under the sovereignty of another State against their freely expressed wishes. But we were condemned regularly by the General Assembly and the UN exhorted us to enter into discussions with Spain. This we did at intervals. Talks were held between officials at Madrid between 9 and 11 September and Gibraltar was amongst the subjects he discussed when he met the Spanish Foreign Minister in New York on 23 September. After every discussion we repeated our pledges to the people of Gibraltar but we also took the opportunity of explaining to Spain that they would have more chance of winning support among the Gibraltarians if they opened the frontier and let the two peoples mingle. Any significant changes were unlikely, especially in the light of the recent pledge by Juan Carlos "to recover the sacred soil of Spain".
Spain
12. Mr Jones revealed that in TUC discussions with the Spanish Ambassador in London prior to the death of General Franco, the impression had been gained that the new King would be inclined towards democratic reforms. Events since the General's death had not led the TUC to have confidence in the way that things were going (i.e. that Spain would spontaneously turn towards democracy) and they considered that HMG should do all in its power to influence the Spanish authorities towards moving in a democratic direction. In the meantime, HMG should ensure that no concessions were made to Spain in terms of Common Market or other trading concessions which would encourage that country to continue in its present undemocratic ways. Mr Callaghan had been encouraged by some actions of the new Spanish regime, such as the release of Marcelino Camacho, but the latter had now been returned to detention and he now had doubts about Spain's adoption of greater democracy. He had asked the recently appointed Labour Attaché to establish contacts with the Spanish labour unions and with political parties and his reports would be made available to the TUC. He wondered if the TUC were developing their own links inside Spain and whether they wished the Labour Attaché to report on any particular subjects. Mr Jones expressed the hope that the Labour Attaché would concentrate on reporting efforts to establish the right of trade unions to exist as independent democratic organisations. The TUC had contacts with people inside Spain through the ICPTU and the Spanish Socialist Party. In Spain there had been signs of a slight easement in the situation in that individuals appeared to have more
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/freedom
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