The Politics of Neutrality -

    If there is a unifying element of national identity it must rest on the twin pillars of neutrality
in foreign affairs and on military preparedness.These have been the driving force of external politics for the past 100 years.
   As mentioned earlier, a statute of neutrality for Switzerland was agreed to by the European powers after the French-European wars when the national boundries were again rearranged throughout Europe. Actually, the concept of neutrality arose as early as 1515 when cantons joined in the war (and were defeated) between Italy and France. At the famous Vienna conference in 1815 it was agreed by all the surrounding nations that neutrality - an armed neutrality - was the only way to avoid territorial incursions through this centrally situated country. In fact, this concept was again agreed to in 1920 at the League of Nations conference following the First World War.
    It must be emphasized that the neutrality was granted - but not guaranteed. This important difference is the basis for the defense policy and the  high level of military preparedness which continues to the present day . The details are presented on the page about Defense.

    It is clear that the use of this active neutrality has spared Switzerland the suffering and  destruction of two world wars but it can be debated if the postwar and present application
has not been an opportunistic attempt to play on all sides. Many commen tators feel it is defunct in the modern world and is played up now by a political caste as a legal dogma to
cover the latent nationalism which exists in a large group of the population (located in the German speaking region). A recent poll showed however, that fully 70% of the population was
in favor of neutrality in foreign affairs in some form or other.
   This is particularily evident now in the discussion concerning joining the EU and coordinating some military functions with the NATO. Some political elements are once again using the argument that the country will be drawn into actions which are not compatible with a strict neutrality. The ideal of neutrality is perhaps noble but the application in the real world can be very complicated. It does not simply mean that the country is not required to chose between - say, fascism and democracy or between communism or democracy or is excused from joining international sanctions on rogue countries.
    Actually, behind the scenes the country has been on the "correct" side each time but the officially and publicly proclaimed neutrality dogma needed for the internal politics has often confused and disappointed outside observers who do not have the full story of how it has been used. This is especially true for the period before and during the Second World War. An impression has remained that the country aided Germany and became rich on the misery of  a ruined Europe - not to mention the money left in the banks by the victims of the concentration camps. The story though is not so simple and it is necessary to recall the situation Switzerland found itself in as the groundwork for WW II was being laid during the 1930`s.

        Neutrality and World War II -

   Swiss industry was active in supplying high quality armements to both Germany and
the allied nations, especially England, until 1940 when France was attacked and the
country was surrounded by the Axis powers. Beginning in 1939 there was a national
mobilization which eventually placed a 600,000 man army on the borders for almost
five years. Total population at that time was 4.3 million. Also a crash program was
started for selfsufficiency in food where every free area was planted - even the city
parks - and all young people were required to help on farms during planting and
harvesting. Strict rationing of all goods was necessary since all routes were controlled
by German and Italien forces.
   Output of military products for Germany rose until late 1944 and they were paid for in coal and oil - and gold, some of which was from the banks of the conquered countries.
The subject of this stolen gold has been reopened in the present debate about political
actions by the government and the refugee problem - which will be detailed later.
It is now known that several plans were drawn up to invade Switzerland. The most
extensive was in 1943 when large Nazi forces were placed along the border in three
strategic areas. Throughout the war Switzerland profited from conflicting opinions
within the German government about its usefullness. It was a valuable supplier of
goods and the Swiss franc was the only freely convertible currency accepted by all
nations involved in the war. By changing gold for Francs it was possible to buy
strategic goods on the world markets. Also, diplomatic contacts were kept open
through the international organizations based in Switzerland.
   It was a personal wish of Hitler that this small democratic country, sitting in the
middle of a Fascist Europe, be crushed without delay and this would have certainly happened had the Russian offensive succeeded.
   It was recognized that any invasion would be very long and costly. A large program
had been completed to expand and stock the extensive fortifications in the Alps -
sufficient for a two year defense. The strategic position of the country controlled the
several rail lines through the Alps - the fastest route to Italy. Any attack would mean
the destruction of the tunnels and restrict rail movements to the longer route through France and Austria which were already coming under increasing aerial attacks.
After several weeks on alert it was decided that the troops and equipment were
needed on the Russian front. A partial demobilization of Swiss border forces was
begun in 1944 but the strict policy concerning refugees was continued.

   After the war the Allies, lead by the US, demanded that Switzerland aid in rebuilding Europe and account for the gold which had passed into the national bank. After a
long conference in Washington in 1946 it was agreed that $250 million (some $2
billion today) would be paid. No record was found of the tons of gold which had been
remelted and mixed with stocks of other nations. In any case, in 1946 Switzerland was
the only country in Europe with a functioning industry and a financial system and a
currency literally backed by gold. And from this basis it has developed the wealth seen today.
   In the past year the policy of neutrality  and the handling of the refugees, especially
the endangered Jewish refugees, has been under examination by a number of organ-
izations and historical commitees.

      The (Jewish) Refugee Problem -

   After the war attention in Europe turned to rebuilding and confronting the Communist
threat. Individual efforts were made by numerous families to secure information about
bank accounts of relatives who had disappeared in the concentration camps. The
Swiss banks were very uncooperative - even going so far as to demand death
certifiates for Auschwitz victims. Speculation about the dormant accounts and the bad
publicity about mafia money passing into protected Swiss accounts reached the
boiling point in 1999. Jewish organizations took up the call for compensation of the Holocaust survivors while there was still time. The campaign hit the banks in their most sensitive point  - their wallets. Large financial and government agencies threatened to
bar them from financial transactions in the American marketplace.
  A first search of the dormant accounts yielded $38 million and a second independent accounting disclosed some $100 million - not the billions speculated on in the media.
In order to close the issue and show good faith the Swiss banks have agreed to pay
$1.2 billion into a fund to be distributed to deserving parties by the various Jewish organizations.

   The refugee problem in Europe became serious in 1936 as ever increasing
numbers of political and Jewish opponents of the Nazi regime were forced to flee
Germany and Austria. A visa requirement was introduced in 1938 and the Jewish
refugees were singled out by a J stamp in their passport. These Jewish people were
only allowed to enter the country if they were in transit or had proof that they would
be supported in full by a Jewish organization, ie. Jews were not granted normal
refugee status even when later their lives were in mortal danger. In fact, in the critical
period of 1942-1943 the borders were completely closed and there were many
cases of people who had succeeded  in crossing secretly but were arrested and 
handed over to the Nazi police or army. It is not known how many were "repatriated"
on government orders - since the official files were (accidentally?) destroyed in the
1950`s. In general though, there was a feeling of "the boat is full" even though the
number of foreigners never exceeded 12%.

   The shaming thing about this is not so much what happened in Switzerland, but
how the refugees were treated by other countries, including the US. It is not well
known, or perhaps conveniently forgotten, that no country at that time was ready to
help the Jews.
   Antisemitism was rampant - even in the US. In 1938 there was an international
conference of 32 countries in France which attempted to organize the refugee
question. Besides speeches there was no decision - simply no country was willing
to accept Jewish refugees. The US position was that this was a European problem. Perhaps no one even at that late date could really  imagine what would happen in
the next few years. But the actions were supported by the general public in all of
the countries.
   There was even an active antisemitic policy by the US State Department ( Under-
Secretary Breckenridge Long) which resulted in only some 22,000 Jewish refugees
being admitted into the US up to 1944 - many less than the 50,000 admitted
(30,000 remained for the whole war) by Switzerland which was suffering severe
rationing.

   There was a strong isolationist sentiment in the US before it was dragged into the
war by Japan on Dec. 7, 1941. This was seen in the treatment of the ship, the
St. Louis, which left Hamburg with 900 Jewish refugees in 1940. It was refused  
entry into a US port (also other ports like Cuba) and eventually returned to Germany
a few weeks before war began. Most of the passengers died later in the death
camps. Also in 1939, a bill was discussed in Congress to allow the entry of 20,000
Jewish children (all expenses paid) but it was refused.
   Some other sobering facts about the times are that a survey in 1939 in the US
showed that 53% of Americans felt that Jews should be restricted in a variety of
business and social occupations and as late as 1942 only 9% were willing to support
an easing of the immigration laws - another example of the "boat is full mentality" -but
this time by a country not isolated from the outside world. And finally of course, what
happened to the citizens of Japanese descent beginning in 1942 is not a glorious example of American political policy. I won`t even get into the subject of what life was
like for the black citizens even in the 1940`s - just though point out that they were
placed in segregated units within the US Army.

   Perhaps we can be optimistic about the future after all when we see how far the
world has progressed in the last two generations in the question of race and religion.
The daily dose of these problems in the television and newspapers must be taken
with the knowledge that  today things are really better than ever before.