1. Committee 3 yesterday adopted its report on the Economic and
Social Council for submission to the Executive Committee.

2. Most of the report was drafted by the Australian representative
and retains our essential points. The title 'Economic and
Employment Commission' with a subordinate 'Employment Committee'
was retained by a majority vote and the American alternative
proposal was defeated. Terms of reference of the Commission
include 'Promotion of world wide full employment' as well as co-
ordination of full employment.

3. The report states that the Commissions are the minimum
requirements for immediate establishment by the Council at its
first session and that it has been assumed that there will be
specialised agencies dealing with specific fields such as monetary
policy and trade policy. We raised no objection to the acceptance
of this assumption, as the alternative would have been a proposal
by the United States and United Kingdom for a Trade Policy
Commission with functions which would probably have weakened the
overall authority of the Economic and Employment Commission [1]
within the Council structure. If a trade agency should not be set
up next year, the proposal for a Commission will be revised but by
then the Economic and Employment Commission will be well
established.

4. We did not succeed in having the term of office of the
President made shorter than one year.

5. The Social Commission is to be a temporary Commission to review
the organizational requirements in the social field and to deal
with urgent problems pending the mapping out of a more permanent
structure. In view of the decision to limit recommendations to
minimum requirements and because of the limited time of this
Committee, we did not press for a Housing and Town Planning
Commission, but there will be appointment at the Preparatory
Commission. The final report as adopted by the Executive Committee
might be referred to Departments such as Health for their comments
on prospects for specific subjects.

The Provisional agenda for the Council provides for discussion of
urgent economic and social problems and invites the Preparatory
Commission to add specific items. The Australian Delegation at the
Preparatory Commission should be instructed on this point.

The Executive Committee is expected to discuss the report on
Tuesday.