The New York herald. [volume] (New York, N.Y.) 1920-1924, 1921-03-26
GERMANY'S OFFER
TO PAY in LABOR
GAINING SUPPORT
Depression Over French
Budget Swings Views
to Proposal.
REFERENDUM LIKELY
Federation Urges Joint
Plan in Devastated
Regions.
BANK DEPOSITS GROWING
Exports Also Exceed Imports,
but National Economy Is
Demanded.
BANK DEPOSITS GROWING
BY LAURENCE HILLS.

BY LAURENCE HILLS.
Special Gable 10 THE NEW YoxK HERALD
Copyright, 1877. oy THE NEW YosK HERALD.
New York Herald Bureau,
Paris, March Is. !
The discussion of the French budget
in the Senate, with it's revelations that
frightful financial abyss is yawnins
before the country, is affecting all
classes here with a feeling Of de-
| preston if not desperation. Occur
ring simultaneously with Germany
refusal 10 meet the latest demand OF
the Preparations Commission it is
naturally leading to much extreme
talk like the seizure of all the Reichs-
bank gold, the taking over OF all of
Germany's natural wealth for the
| French account and allied control Of
all Germany's commercial exploitation.
Those suggestions have been mads
\ In some of the most conservative
papers. which point to a new crisis
approaching. Yet the situation Is not
without it's hopeful signs. Most sig
nificant among these is the rapid
change taking place in the French
sentiment consequent upon the non
settlement Of the reparations oues-
| ton III favor Of acceptance of the
| principle that Germany shall pay in
part by her own labor in tho de-
vastated regions. In this lies really
the most hopeful sign of an eventual
settlement of the Preparations question.
Although Alexandra Ribot, former
Premier. said In the Senate that he
favored using Austrian workmen and
paying them in German marks TO
using the Germans themselves for thu
work several other Senators had the
boldness TO approve the German plan,
while in the Chamber Deputy Hen
nessey's project, which calls for it's
adoption. is gaining support slowly
/ but surely.
Acceptance Probablc.--...s =.
But while many politicians and pub
.icists privately admit that IL must be
accepted soon, they are yet fearful OF
advocating IL publicly on account or the
unemployment mere What has given
the movement its greatest momentum.
however, Is the action a few days ago
OF the French General Federation OF
Labor. which, even in the face OF this
unemployment. came out boldly In advo-
cacy OF q Joint cooperative plan for
using German and French workmen In
rebuilding France.
That most surprising development, in
dicating a complete about face of the
labor chiefs. may change the whole sit
ration completely. Not only have the
,abor chiefs decided TO meet the Ger
nan iabormcn at Amsterdam 10 discuss
tire matter, but they have made ii one
u the objects OF the coming May Day
concentration against capitalism, con-
| tending that the cspitaiistic govern
nents having done nothing It is now
Up to labor in both countries to repair
France.
Despite the extreme talk heard every
where Il is significant that In diplomatic
circles the present time is considered
as a waiting period only preliminary
20 new negotiations wherein rcconstruc-
ton work by German worlSmen with
German materials and under the man
agemcnt OF German industrial captains
will again assume cardinal Importance
and eventually will De accepted That
was the German plan originally. and IL
was tentatively renewed at Sps. the
Germans having brought there an
elaborate plan whereby materials would
lie furnished by a consortilm of German
worlrmen TO be concentrated in camps.
the whole job being undertaken BY Ger
many which would give the Germans
the advantage OF paying both for labor
and materials in paper marks instead
OF footing the bill OF French workmen
ana materials in francs.
Premier Lloyd George al the Paris
conference indicated with some regret
that France did not caro- TO accept this
kind OF payment as in his opinion IL
was more sure than either money or
goods. While Premier BRAND has re-
fused as yet to commit himself on the
project. he is evidently waiting to learn
the sentiment in the devastated dis
trlcts themselves. Ia this connection
several newspapers ALREADY have begun
taking polls Of the influential citizens
in these localities showing that op-
position 10 such a plan mas greatly
diminished.
A poll published this morning showed
that the majority Of the members OF
the chambers or commerce of tho Aisne
Department actually are In favor of II,
tho opposition being confined 10 in
fiuential politicians.
The Mayor OF Senlis, for example,.
who was Interviewed to-day regarding
ghe use 81 German .abor. said: ''If the
Germans should come here by order Of
the French Government as agents
charged with restoring that which they
regret having destroyed 7 believe the
Z popula lon here would receive with sat
isfaction this solution, which il better
than none az all"
Usferendum Ia Favored,
\ The Mayors OF Rheims and Lens also
favor the plan. although, like the Mayor
Of Senlis. they insist that the popula-
/ ton OF the devastated regions should
| first be consulted BY referendum,
which seems likely 20 be held. M. Franc
| member OF the economic council. esti-
/ mates that the reconstruction work
which France is now doing at a cost %
\ $3.50. 000,0 900 annually. which she IL adj
vsncing and charging TO Germany the
4 Germans could do for $3.50. zoe 900 II
paying for their owp workrnen and ma
tsria's IN paper markt. Even the French
woikipsmeu are BEGINNING To see that
/ acceptance ~ THIS ~ an equivalent 81
( gold viii 10 that extent help the French
budget which now threatens TO over
Y waclm them with new taxes and tho
burden OF bearing new loads.
| The budget as reported to thu Senate
/ and discussed Tor the last three days, ap-
pears ~ . fsntasy VI figures which ~.
"a