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trade with South Africa had diminished.

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The decrease had been

taken up by Japanese and West German exports. It was significant that despite all the arguments Britain still provided 30 per cent of the funds for the Commonwealth Secretariat budget compared with Canada (16 per cent) and Australia (2 per cent) with equally small percentages from the other Commonwealth countries. It was helpful that Britain's tand on South Africa had subsequently been supported by the

ited States Secretary of State, Mr Baker, and by a number of other Governments.

be Cabinet

Took note.

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COMMUNITY AFFAIRS

Social

Charter

The

4. THE SECRETARY OF STATE FOR EMPLOYMENT said that the Social Affairs Couns 30 October would consider a revised version of the Socialer produced by the French Presidency following discussion at official level. He recalled that in June the United Kingdom had opposed the Commission's proposal for a Charter which had been accepted in principle by the other eleven member states The subject had been discussed again in the European Council drid, which had set guidelines for further discussion.

tention was to have the Charter adopted at the meeting e European Council on 8-9 December. The revised text included helpful changes: it stated that job creation was a top priorit that the primary responsibility for implementation would rest with national governments; and that there was neintention of extending the Community's competence. But ma

But major problems remained: the text referred to the need to set an table wage'; implied the regulation of hours of work and holidays for workers; embodied a right to strike and rights for Trade Unions to negotiate collective agreements; included a right of access to training for all workers; and set out special provisions for work by young people. There was a danger that he ext could be used to justify the extension of Community coetense into the whole social security area, including pensions and the treatment of the disabled. The Commission were preparing action plan to implement the Charter, but this would not be taped at the 30 October Council and it was even doubtful whether would be

Would available at the European Council meeting in December He would continue to take the line that the United Kinggan favoured a social dimension for the internal market, especialy the creation of employment. But the Charter in its present form was unacceptable: far from creating jobs, the regulatio wages and conditions of work would destroy them. Some member states, for example Ireland and Denmark, shared our concern about Community competence and Portugal was worried about t

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