CAB80-13 — Page 205

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LABOUR:

From the outbreak of the war the Germans tackled

the labour problem with great chorgy, thoir policy being

to release the maximum number of workurs from civil employment and to transfer them to the armament industries, supplemented by dilution with female labour.

32.

In spite of the considerable increase thus achieved in the number of workers in the war industries, there is clearly a shortage of skilled labour, which has necessitated very severe conditions of work.

33. The exhaustion of labour thus resulting is reducing the output per head and in some cases the total output. It is doubtful whether food supplies have, as yet seriously affected output, at least in the heavy industries, nor does mobilisation seem to have been allowed to affect the productive capacity of, at any rate, the key factories. While there is little evidence of any serious labour troubles, some significant concessions have had to be made in regard to working conditions.

340

The principal quantitative shortage of labour is in agriculture - Large numbers of Poles have been transferred to the Reich but these are of low standard of efficiency. With the entry of Italy into the war it seems doubtful if the former help from this quarter will be forthcoming this year. Some skilled industrial labour has been obtained from the Protectorate but its political unreliability limits its sphere of employment.

35. If the total number of men in the armed forces is to be maintained at 7.6illions, the man-power available to maintain this force, to provide for essential civil needs and for minimum exports, should be forthcoming. The strain on the industrial population will, however, be very great and any further large requirements in man power for the armed forces, either for expansion or to replace casualties, could only be achieved by cutting to a dangerous extent the provision for civil life.

15

Made up as follows:

Army

Navy

6,300,000 83,000

Air Force, indluding Anti-

aircraft and civilian

ground personnel

1,250,000

Total.

7,633,000

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