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Dáil Éireann debate -
Wednesday, 2 Feb 1938

Vol. 70 No. 1

Committee on Finance. - Vote 69—Employment Schemes.

Mr. Boland

I move:—

Go ndeontar suim Bhreise ná raghaidh thar £10 chun íoctha an Mhuirir a thiocfaidh chun bheith iníoctha i rith na bliana dar críoch an 31adh lá de Mhárta, 1938, chun Scéimeanna chun Fostaíocht do chur ar fáil agus chun Fóirithin ar Ghátar, maraon le costas riaracháin.

That a Supplementary sum not exceeding £10 be granted to defray the Charge which will come in course of payment during the year ending 31st March, 1938, for schemes for the Provision of Employment and the Relief of Distress, including cost of administration.

The purpose of this Estimate at the moment is rather formal. It is not really brought before the House to raise the whole question of employment; it is merely to enable us to give the House certain information which Deputies would be entitled to have in relation to the practice. It is a rather technical question. The practice in connection with the Vote for employment schemes has hitherto been to sanction within the financial year, schemes representing in cost not more than the total provision in the Vote, with the result that there is always a considerable carry-forward in respect of schemes sanctioned but not completed within the financial year for which the money was provided. The necessity for carrying forward a considerable part of the Vote into the succeeding year arises from a number of causes:—

(1) Owing to the incidence of the Employment Periods Order the great bulk of the new works are sanctioned for the winter programme; and as both the commencement and the completion of the programme are gradual processes, the interval of four-and-a-half months from mid-November to the 31st March is much too limited for practical purposes;

(2) Owing to unavoidable difficulties in arranging with local authorities, and for other reasons, a considerable number of schemes are invariably held up to a late period of the financial year, with the result that in many cases works cannot actually be put in hands until close on 31st March. In addition allocations are sometimes declined by local authorities, and this means either reallocation at a very late stage or perhaps the surrender of the amounts.

From the foregoing, it should be clear that in order to spend a given sum on employment schemes within a financial year, it would be necessary to sanction at an early date in that year works costing from 20 per cent. to 25 per cent. in excess of the sum which is required to be spent. Proper financial procedure would not permit of the taking of a Vote in any financial year for a sum which would be needed merely to allow commitments to be undertaken and the Supplementary Estimate for a nominal sum of £10 is, therefore, designed as a means of indicating to the Dáil the Government's general proposals in regard to employment schemes so that no difficulties in the matter of anticipating the authority of the Dáil in respect of the advance framing of continuous programmes of schemes would in future arise.

In any year in which an active attempt is made to spend the whole of the money voted by the Dáil for the purpose of unemployment relief, two cases in practice will occur: (1) that the whole of the money must be allocated before the end of the year to specific works, and (2) that certain works for which the money has been allocated will not, in fact, have been fully carried out. The total amount of money for which we must be authorised to make commitments must, therefore, in all cases exceed the amount of money which can, in fact, be spent. Moneys unspent as above have in the past appeared as a re-Vote and are in effect a reduction of the apparent amount available for spending in the current year. As this money will, in fact, be spent in the next year, and found out of Budget or other provisions, it may be regarded as belonging to that year's commitments.

It is proposed in this and in future years, in relation to portion of money which is voted and which obviously cannot be spent in relation to uncompleted works which will have to be completed in another year, to use such portion of that money as would, in practice, appear as a re-Vote for the purpose of financing other works which can, in fact, be started before the end of the financial year. If, for instance, there was a particular work to which £12,000 had been allocated and we found that that work could not possibly come into that year, under the present arrangement that £12,000, not having been spent, would be barred. What we are trying to do now is: We are informing the Dáil — that is the whole purpose of bringing forward this Vote — that we intend to use that money to take up other alternative works. That is being done. Schemes representing a total cost of £120,000 in excess of moneys actually voted by the Dáil for the current financial year have been sanctioned and put in hands and, in addition, it is proposed to ask local authorities to contribute to the cost of employment schemes to be carried out during the spring and early summer, the total cost involved being approximately £140,000 — State contribution only. If the local contributions are to be provided for out of the current year's rates, it is necessary that the local authorities should be informed of the offers at a very early date in February, as their rates meetings begin from that time.

I think the House will understand the difficulty which we have been in; the fact that we have had to make this sort of provision; the generosity of the Minister for Finance in allowing us to take this particular way of dealing with it; and the fact that we are discharging our duty to the Dáil in telling them in advance what we are proposing to do. Technically, I think on this Vote it would be possible for anyone to raise questions on the general employment policy and all the rest of it, but that is a matter for the Dáil. I do not propose to raise those matters at all unless they are raised by somebody else. I am here to discharge an obligation; that obligation has been discharged.

I think the attitude of the Ministry on this question this year is very commendable. Last year the public bodies were notified only in March, I think, that a certain amount of money would be available for them, provided they were prepared to put up a contribution, but they were told very specifically that they would have to raise a certain rate. Unfortunately certain bodies had struck their rate, and they were left in an awkward position. I do not know if the question which I am about to raise will be ruled out. Do minor relief schemes come under this Vote?

As a matter of fact minor relief votes are financed out of the central fund. There is no contribution to them. Therefore, they would not come under it from the point of view of informing the authorities in advance, but they may come under it in the sense of our having to make arrangements and commitments in regard to them.

I should be obliged if the Parliamentary Secretary would listen to the case I am going to make.

Certainly.

Some time ago, when we were complaining of the low wages being paid on minor relief schemes, the Parliamentary Secretary indicated that in his opinion the work they were doing on minor relief schemes was analogous to what would be done by agricultural labourers. We endeavoured to persuade him to increase the rates to the rate prevailing for county council workers in the area. His answer to that was that the work they were doing was not at all equivalent to the work being done by county council workers. I know a case in County Wexford where men who were supposed to be working on minor relief schemes were breaking stones by hand in a quarry. I submit that that is work similar to that carried out by county council workers, and that they should at least be given the county council rate. I am not complaining about the Government at all in this matter. I consider that the minor relief schemes have been abused by the county council in permitting that to be done. The work suggested by the Parliamentary Secretary in the last debate was work similar to that done by farm labourers, and I should like to have his views on that question. I do not think those men should be used for breaking stones by hand at 24/- a week. Some of them are on three days a week, for which they get 12/-, minus insurance. Prior to being employed on minor relief schemes some of them had been drawing 12/6. They are, therefore, in a worse position than when they were drawing unemployment assistance. I should like the Parliamentary Secretary to take that matter up, and to see that they are employed on work which he considers proper to a minor relief scheme. That is the only matter I want to raise.

Unfortunately, I had not an opportunity of listening to the whole of the Parliamentary Secretary's statement, but I understand first of all that he introduced this Vote primarily for the purpose of giving local authorities an opportunity of making provision for whatever their contribution will be towards the expenses of minor relief schemes in the coming year. Secondly, he stated that in regard to any works which would remain unfinished at the end of the financial year, the money for them would be transferred to some other work — probably some work which would be finished by the end of the financial year. I should like to know something about drainage schemes. I understand that portion of this money will be spent on small drainage schemes of one kind or another. What is the Parliamentary Secretary's arrangement in such circumstances? Will he come to the Dáil again for the purpose of getting the authority of the Dáil to spend that money after the end of the financial year, or what other provision will he make to ensure that small drainage schemes are carried out in various parts of the country? I myself recommended a few small drainage schemes in my own particular county some few years ago, and, although engineers were sent to report on them, no work has since been done in connection with them, in spite of the fact that the work is of very great importance, and that a very big number of men would be employed. There is also another point which I should like to raise. I know perfectly well that the Parliamentary Secretary cannot give me a reply to-day. When local authorities are obliged to make a contribution towards the cost of carrying out minor relief works, it is only just that those local authorities should have the right at least of recommending schemes to be undertaken by the Board of Works.

They have.

That is not generally understood

We find the Department very reasonable in that matter.

The Deputy may take it that any person whomsoever can recommend a work, and then it is purely and simply a question of the merits.

As far as I know they are nearly always accepted.

It is definitely and distinctly stated now that local authorities have a right to recommend any works which they consider suitable?

Any person has the right.

And in 19 cases out of 20 they are accepted.

The trouble about the expenditure of this money is that it is confined to the areas where there is the greatest unemployment, with the result of course that, in each county, works are done in the same area year after year. There are other areas in the county where it is necessary to do works just as important, but they cannot very well be done because of the small number of unemployed in the particular areas. I do think it is not desired by the Parliamentary Secretary or the Board of Works to go on spending money indefinitely in the same areas. I suggest to the Parliamentary Secretary that he should give some consideration also to those other areas where the number of unemployed is very small, in fact negligible, so that he might be able to devise some ways and means of meeting that situation. I think the local authorities, on the whole, are anxious to co-operate with the Parliamentary Secretary in giving effect to this scheme, but I think also it is the duty of the Parliamentary Secretary to meet the objections and susceptibilities of local authorities in regard to the areas in which the works are carried out. There is no question about the fact that the condition laid down in regard to spending the money in areas where there is the greatest unemployment does not suit in certain counties, and I do think the Parliamentary Secretary should at least examine the point, so that some other means might be devised for meeting the local authorities in that respect. I am particularly anxious to get some reply about the drainage schemes.

Will the local authorities be notified as to the commitments right away?

Our object was to be able to do so.

Most of them are considering their estimates now.

There are just a few points which I want to make on this Vote. First of all, I want to point out to the Parliamentary Secretary that a good deal of hardship is occasioned by, shall I call it, the system of recruitment of labour for some of those schemes. Although I represent South East Cork, I know a good deal about Cork City. I have known men in Cork City whose wives happen to be dead, and who have large families — families of eight or nine or ten — but because they are not drawing the full amount of unemployment assistance, due to the fact that the wives are not living, they have not got the work that they would ordinarily get on those schemes if the wives were living. I have known of some cases of very severe hardship being occasioned in that way, although probably the responsibilities and commitments of a man with eight or nine children would be greater, and probably his circumstances would require greater consideration, than, say, those of a man with a wife and five children. At the same time, the amount of unemployment assistance is taken as the criterion of these people's necessities. I think some means should be devised whereby the circumstances of a man and the number of people dependent on him, apart from the actual amount he draws in unemployment assistance, should be the standard by which employment should be given where employment is limited.

I take it that the question that was raised here previously on an Adjournment Debate on a question raised by me with regard to unemployed men on Spangle Hill will be dealt with and that these people will be eligible now for employment in city relief schemes. They were debarred under the conditions of the city schemes because they happened to live just outside the city boundary, and some of them were provided with work which was not suitable for them because they had no experience of the county council relief schemes. There is another matter upon which I should like to get information, and that is in connection with the aerodrome that was to have been erected in Midleton. I do not know whether this is premature, or whether it is a matter that probably should not be discussed, but it comes directly under the ægis of the unemployment relief schemes because a certain amount of money was to be allocated for the erection of this aerodrome. A certain amount of money was to be provided by the Cork County Council and Cork Corporation. I should like to know from the Parliamentary Secretary how far the preliminaries with regard to this work have gone, and whether the allocation that was made, I think, last year will be allowed to continue on into the coming year. These are some of the points on which I should like to have information.

I shall try to deal with the few points which have been raised. As far as minor relief works are concerned, it is the nature of the works which are done which governs the matter. No money is spent on minor relief works in which the work is done for a county road. Take the question of the stones which are used. For instance, we are now finding quite definitely, in relation to certain bog roads and so on, that they are being used for other purposes than those for which they were originally built. I came across a couple of cases in Kerry the other day, for example, where peat, wheat, and beet schemes have combined to throw on to roads which were built merely as bog accommodation roads to be used by carts and so on, the traffic of lorries, and heavy traffic of that kind, and it may be that some of these roads, which are built purely and simply for agricultural purposes, may have to be built in the future more soundly. Broadly speaking, however, the Deputy can take it that minor relief money is not spent upon county roads or anything of that kind. It is spent on boreens and so on, and if stones have to be broken for them, there is no reason why they should not be broken for them, and all I can say to the Deputy is that in the places where we do most of these works the people are more than anxious and willing to do anything which is required for the purpose of these particular roads. To some extent, the carrying out of minor relief schemes at all in places like Wexford, Wicklow and Meath, and so on, was one of my own indiscretions. Minor relief works had not hitherto been done at all in those areas. They were completely neglected, and it is quite possible to put such obstructions in the way as to make it very difficult to do them again. Some of the obstructions that were put in the way, undoubtedly, have prevented us from doing some very useful work in the eastern counties which we should like to do. The House, however, can take it that my intention is to carry out minor relief works in the spirit of minor relief works so far as it is humanly possible. While mistakes may be made; that is the intention.

I am not quite clear with regard to Deputy Roddy's point in relation to drainage schemes. The Deputy knows that these schemes are of three kinds — big bears, little bears, and very small bears, so to speak.

I was thinking about the small bears.

The Deputy is thinking of the little bears. Those are the schemes done out of minor relief moneys. To the extent to which any of those are in course of operation they are being carried out, and a considerable number of them are being carried out. Our experience has been that, while they were probably the most valuable of all the minor relief works that could be done, in an area in which they were most useful the period at which they were carried out most economically might be the wrong period for the purpose of employment and the relief of distress. We have recognised that by experience, and last year we outraged all our previous views on the matter by concentrating on periods in which they ought to be done for value and by making an exception for the little bears. Some 400 minor drainage schemes of one kind or another were done during the spring and summer of last year. I think we spent about £40,000 on that, and it is intended this year to continue that policy of doing minor drainage schemes during the summer. I am quite satisfied that we got altogether better value and that a good many schemes which were technically impracticable in the winter have become easy and economic and useful when carried out in the summer. I think that our experience of last year has confirmed the policy of doing very minor drainage works in the summer.

Now, there is no difficulty in the summer or at other times in doing works in poverty areas. That is where we come to the issue of the whole question. This money is not voted specifically for the purpose of doing works as such. It is money voted by the Dáil for the provision of employment and relieving distress due to poverty and unemployment, and the works which are done are merely the machinery through which the purpose of the Dáil is carried out. It is for that reason that schemes are done largely in the poverty areas. As a result, we have done many thousands of works, such as bog roads, little bridges which enable children to go to school, roads to lands, roads to creameries and roads down the faces of cliffs to enable people to get up seaweed. All sorts of minor human adjustments in relation to the lives of very poor people have been done in connection with this Vote, and some of them are of almost inexpressible value in relation to the individual lives of those whom they benefit. I have seen works which have made all the difference between living and not living in the district concerned, and some of them have been works of a very small but very critical character. Now, the effect of that has been to improve the amenities of life in many ways among very poor people. The people in those districts, therefore, have got the benefit of the expenditure and the benefit of the works.

The appeal which has been made to me, not merely by Deputy Roddy, but also by all sorts of people in all parts of the country — made very strongly and, in my opinion, a well-founded appeal — is in relation to people who say that because they are not in poverty areas they are deprived both of the money which goes for the relief of unemployment and of the amenities which are created in the expenditure of that money. I think there is something in that case. There are many small works of very high social value which cannot at the present moment be done out of this fund. I am not entitled to use this money except for the provision of employment and the relief of distress amongst the poor. The specific purpose of this expenditure is that it shall be for the provision of employment and for the benefit of poor people, and that it shall go eventually for sustenance and things of that kind. Therefore, I am bound to turn my back on many works, irrespective of the high utility value they may have, if the expenditure on them does not discharge the purpose of this Vote unless, of course, where we find it necessary to experiment to find a suitable medium for expenditure. I think that that is agreed.

The only question is that people do feel that there might be some arrangement made for the purpose of providing those amenities in non-poverty areas which are to-day being provided in poverty areas. It is a question of who should provide them, whether they should be provided by the local authority or by the central authority. The difficulty, so far as the local authorities are concerned, is that there are little schemes which might be very desirable but which, as conditions stand, they cannot do — they are not allowed to do. Broadly speaking, the local authority cannot legally do any road unless it is prepared to take over that road and maintain it. There are, for instance, roads into little villages and, while the general feeling of the county council might be to do something to them, they find they cannot. As to the method of dealing with that in non-poverty areas, I am not now in a position to say. It seems to be a case that is well founded. It is being examined and I hope some solution will be found.

Deputy Hurley raised the question of men being kept out of participation in employment schemes, due to the fact that their unemployment assistance qualification was lower than that of other people. He rather suggested that some new standard should be taken by which the number of dependents of a single man should be taken into account rather than his unemployment assistance qualification. Deputy Hurley may not be aware of the fact that the whole of a man's dependents, in so far as they can be ascertained, are taken into account in setting his unemployment assistance provision. The purpose of the Act is to examine into every man's state of dependency, the income which he has apart from wages, and to make that up to a standard during the period in which he is unemployed. A single man who has dependants gets full credit in his unemployment assistance qualification for his state of dependency. Originally, the employment was confined to married men. A very strong and well-founded pressure was put to include single men in the employment qualification—this was before the Unemployment Assistance Act. We did include 25 per cent. of single men, as such. I have checked up statistically in certain rural areas and now when we are ignoring altogether the distinction between married and single, as such, and concentrating on the unemployment assistance qualification, we find that a higher percentage of single men are being employed than when we gave the single men a specific allocation of 25 per cent. Whatever the state of a man's dependency is, it is supposed to be taken into account in his unemployment assistance qualification. If it is not, he has the right of appeal to the umpire to revise it.

Another point the Deputy had in mind was the fact that men who are on schemes of this kind, and who are first employed, are the men who have the 23/- down perhaps to 16/-, U.A. rates. What used to happen, he said, was that men with a low qualification did not get any advantage. That was what happened last year, and last year, as you know, was merely an experimental period in relation to this matter. This year the arrangement is so made that men, having been employed for a certain period on a scheme in an urban area are replaced by another body of men having the next lower qualification for unemployment assistance, and this is carried on until, as we hope, this year two-thirds of the people on the register will receive some benefit, instead of the benefit being concentrated on the top end of the register. Men in a city like Cork, for instance, where the work was previously confined to those receiving 20/-, may now get their share of the work, although their qualification may be as low as 15/-, 14/-, and possibly lower.

In the rural areas the position is even better. I examined some time sheets on schemes in Mayo and Galway last week, in which I found hundreds of men with 3/-, 2/-, and even 1/- qualifications being employed. In the areas in which minor relief schemes, where the 4/- per day wage is operative, are being carried out, practically every man on the register is being employed. So far as Deputy Hurley's questions are concerned, the position is that dependency is taken into account in setting the unemployment assistance standard which decides the period at which a man would be employed; work on relief schemes in the boroughs is not now confined to men on the top end of the register, but will gradually spread until we have covered, we hope, two-thirds of the people on the register; and in the rural areas the people on very low qualifications are receiving access to work on schemes of this kind.

I think the only other question is the question of the aerodrome. Provision was arranged for the Cork aerodrome, subject to certain contributions by the local authorities towards an aerodrome costing a certain amount. Plans in relation to that have been altered by those who were originally responsible for the plans, and the result is that a new element has been introduced. As and when we know definitely what the new plans are, and the commitments they will involve, the question will be taken up again. There will be no difficulty in the matter.

Is the Parliamentary Secretary aware that the rural road schemes did not work out as anticipated? In several rural areas the number of unemployed assistance men who were to be absorbed in these schemes were not absorbed, and, therefore, in a good many districts in our county, men have not been employed either on the minor relief schemes or on the rural road schemes. These things have occurred, not through anybody's fault, but simply because the money allotted was not sufficient. Through the overlapping which resulted between the minor relief schemes and the other schemes, large numbers of men were left over. Steps should be taken in these areas, which can be pointed out by the county surveyor, to see that some assistance is given to those who are in great need of it.

I think there is something in what Deputy Flynn has said and we are very glad to have it brought up to us. As the Dáil knows, rural areas were previously dealt with entirely by minor relief schemes. These were merely bog roads averaging roughly from £100 to £200 each. These were peppered over the country in order to meet the actual position. They have very high labour content. Practically the whole of it is labour content. This and last year it was desired to expend in the rural areas very considerably larger sums than had at any time previously been spent there. To confine the amount which you would like to spend in the rural areas on minor relief works and to find enough schemes to keep that up is impossible. For that reason, we turned to certain county roads and tried to fit in the two kinds of scheme in order to cover those areas. The difficulty is, of course, that you cannot distribute as well. In the first year we used the roads rural schemes very much as we used the minor relief schemes. The number of small works that you could distribute over roads of the latter kind would rapidly run out. This year we had to do the larger schemes. The effect of that has been undoubtedly to make it more difficult to distribute the works where they would suit the people who are actually needing employment. In addition to that the roads rural schemes have a lower labour content than the minor relief schemes. Deputy Flynn may take it that we have in mind the whole question as to how this should best be dealt with. The real problem is not going to be the providing of the money for the relief schemes. Assuming that that was all granted, to find that number of schemes for the distribution of relief all over the country bringing the work to all requiring it, in the places they require it and in proportion to their needs, will be a very difficult matter, but Deputy Flynn may take it that we are dealing with that matter. The position has been reported to us in relation to parts of Donegal, Kerry, Mayo and other counties where the blank spots have developed. We are doing everything we possibly can to reach those blank spots and one of the reasons why we have come here to the Dáil with this £10 Estimate is to tell them that we have certain devices prepared to do that.

Vote put and agreed to.
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