The compulsory labor law envisaged the employment of conscripts not liable to or desired for military service on work supplementary to the military effort. The virtually general mobilization has resulted in a large reservoir of such labor which is composed entirely or in large measure of Jews since their number permitted in military units is restricted to 10% of the complements, and includes persons high in commercial, industrial and professional life who previously had performed no manual labor as well as former army officers of Jewish extraction, many of high rank.

They are organized in labor camps under strict military control, receive no pay or clothing and live in a condition bordering on servitude. Most of the labor presently performed by them appears to have no connection with defense measures. [...]

Unavailing protests by prominent persons have been made to the Prime Minister and it is generally considered that the persecution of the Jews will increase either at German instigation or in an effort to indicate Hungarian union with the Axis.