TNAG-0186-FCO40-222-Special-branch-reports-on-Communist-activities-1969 — Page 19

Despite its problems, the communist labour movement still

comprises the major organised union structure in Hong Kong;

its experienced leaders have reasserted their control and

have resumed attempts to dominate selected industrial

disputes as well as to initiate recruiting drives for new

union members;

The expansion programme in communist schools has resumed

with an increase of 7,000 students during the year;

(h)

Morale is high in communist education circles and students

are being used increasingly in United Front work;

(i)

34.

(j)

(k)

Communist propaganda organisations have been beset by

financial and staffing problems for which at present they

have no apparent solution. Some progress has been made

only in press circles which continue to provide the

communists with a channel for the dissemination of

propaganda, reaching a large section of the population;

Communist commercial, banking and insurance establishments

have achieved some measure of success in their attempts to

regain the business lost last year and most recent evidence

indicates an upward trend which may continue with the

maintenance of stable conditions in China.

Communist organisations are increasing their capacity to

use cultural channels as a means of United Front work and

resuscitation of various cultural groups, music and other

associations is now underway.

The local communist movement has not yet recovered from the damage

it suffered last year and it does not have the capability at present to

stage a major prolonged confrontation with Government on the ground or to

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