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Dáil Éireann debate -
Thursday, 10 Mar 1977

Vol. 297 No. 9

Ceisteanna—Questions. Oral Answers. - Labour Intensive Industries.

5.

asked the Minister for Industry and Commerce if he has received a memorandum from the Confederation of Irish Industry clothing and footwear section pointing out, inter alia, how budget provisions intended to operate as employment incentives are ineffective as far as weaker industries are concerned; and if he will make a statement on the proposals in the CII submission.

I have received copies of submissions which the confederation has made to my colleagues, the Ministers for Finance and Labour, on the effect of the budget proposals on labour intensive industries. These submissions are under consideration in the Departments concerned and it would not be appropriate for me to make any statement on the submissions.

Will the Parliamentary Secretary agree in regard to the statement about the supposed incentives in the budget in relation to corporation tax and employment premiums, that these are of no benefit to those industries which most need assistance, industries striving to hold on to the nucleus of staff they have at present? Industries such as hosiery, footwear, clothing, wool, textiles, furniture, leather and many others that are really in trouble will in no way benefit by anything in the budget— does the Parliamentary Secretary agree?

In what way will anything in the budget help industries striving to retain a nucleus of a staff to keep the industry going while their profits are dropping?

Clearly the range of incentives contained in the budget will be of benefit to all forms of productive industry including small industries and industries of the type mentioned by the Deputy. I do not think it would be proper for me to become involved in specific comment on the terms of the CII submission in this matter or, more particularly, on the construction the Deputy seems to put on what the CII have said. This is being considered by the Minister for Finance and other Ministers.

Is the Parliamentary Secretary aware that the CII have explicitly indicated that the incentives, which are countered by the increase in insurance contribution, the corporation tax relief and the employment premiums, are of no benefit whatever to these industries which are in a staggering condition?

We are having repetition.

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