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Dáil Éireann debate -
Wednesday, 13 Dec 1978

Vol. 310 No. 8

Ceisteanna—Questions. Oral Answers. - Job Creation.

9.

asked the Minister for Economic Planning and Development, with reference to the Government's job targets for 1979 and 1980, if it is intended to make any proposals to private industry to increase the number of new jobs becoming available in manufacturing industry.

10.

asked the Minister for Economic Planning and Development if he is satisfied that the rate of new job creation in manufacturing industry in 1978 affords a basis of confidence for the attainment of the Government's job targets for 1979 and 1980.

With the permission of the Ceann Comhairle I would like to take Questions Nos. 9 and 10 together.

The latest available data on employment in manufacturing industry relates to June 1978 when the increase in employment over the corresponding period of last year was 4,700. This was a significant improvement on the outturn in March 1978. The year-on-year increase at the end of 1978 is expected to be about 7,000. While this is less than previous expectations it compares favourably with past experience and has made a significant contribution to meeting the overall job requirements. As such it forms a firm base for achieving an increased level of job creation in the manufacturing sector in 1979 and 1980.

The policy measures taken by the Government have led to a sharp increase in overall economic activity in 1978 and this has created an economic environment favourable to the expansion of private industry. This should form the basis for a greater contribution from the manufacturing sector to the overall job targets in 1979 and 1980. Moreover, the high level of job approvals by the IDA in recent years is expected to lead to a significant increase in the number of jobs created in new projects in coming years.

The forthcoming White Paper on National Development will review the potential and outline the Government's policies for future development in the industrial sector.

Did the Minister himself not say in print, in the bulletin of the Department of Foreign Affairs, that the substantially improved industrial production figures were attributable in part to the favourable wage agreements achieved in 1976 and 1977—in other words, under the Minister's predecessor?

Yes. It has always been a continuing theme of Government policies and statements that the healthy development of our industrial sector requires the maintenance of price competitiveness, that is the ability of Irish products to match in price terms the products of our competitors and that therefore an appropriate level of wage restraint is an important factor in that context.

As regards the targets for 1979 and 1980 is it the intention of the Minister or the Government to propose specific targets which the Government believe could be achieved by the private sector in view of Government policy since they came into office?

Well, I think it is correct to say that target figures were indicated this year and that we will continue that practice in future years if at all possible. I would say, yes; I do not see why not. Obviously the ability of the private sector to achieve any given level of target must depend not only on the nature of the Government's policies at work but also on the operation of other factors, such as the ones to which Deputy Kelly referred in his previous supplementary. May I point out in that area also that we had no quarrel with wage restraint. One of our points about those previous years is that the previous Government had the unique experience of negotiating two successive agreements which were to produce reductions in the actual living standards of workers, not increases——

That is not true.

——whereas we have argued that what is a more satisfactory long-term basis for development is one which identifies a sustainable increase in real wages, and that that is the appropriate policy to pursue.

The 1976 and 1977 settlements were achieved because the trade union movement had confidence in the Government then and it was not the victim of divisive Government policies such as those with which the present Minister is associated.

But it was a purely temporary phenomenon which could not have been sustained. No trade union movement in their right mind can continue to vote for agreements which reduce the living standards of their members.

There were no cartoons showing our Taoiseach arm in arm with international bankers.

I think we are on questions No. 8 and 9, a Cheann Comhairle.

Numbers 9 and 10.

Question No. 9 specifically suggests targets for 1979 and 1980. In view of the fact that the Minister has already conceded that the targets for the private sector were not reached this year but that they were nevertheless reasonably satisfactory—if I quote him correctly—does he propose to revise downwards the targets for 1979 and 1980? Is he in a position to actually give us some numbers instead of opinions with regard to targets?

I have already indicated in my reply that the forthcoming White Paper will deal with these questions.

Sir, this specific question is here now. Might I ask the Minister finally—in an attempt to use his phrase that the function at this particular time is to elicit information—is he in a position to actually give us specific numbers in relation to this question of which he has notice, or are we simply going to have to be content with opinions?

Since I have been accused previously of not quite answering questions that were asked, might I first ask a supplementary: where in the question does it ask for numbers for 1979 and 1980?

In the question there is the phrase: "with reference to the Government's job targets for 1979 and 1980," I am assuming that they are actual numbers.

I have answered the question in reference to the Government's job targets.

I do not wish to be truculent. I am simply trying to ask the following question—perhaps I am not expressing myself clearly—the Minister, in reply to the basic question, stated that the achievement in terms of job creation in the private sector this year was less than had been anticipated originally. Am I correct in that?

That is correct.

Presumably, since the Minister's assessment for this year was wrong, the possibility, albeit the possibility, might be that he could be wrong for 1979 and 1980 as well. Therefore, with reference to those targets for those two years, is the Minister now in a position to give the House figures relating to revised targets, on the basis of the fact that he got it wrong for 1978?

I have already indicated that I do not propose to give targets for future years at this juncture, that they will be contained in the forthcoming White Paper——

But——

Patience, patience; time for everything.

I have a job, I do not have to wait, but there are other people who do not have jobs who do have to wait. It is in marked contrast to the promises——

And there has been more of an improvement in their situation this year——

The Minister is now telling the unemployed, for patience sake——

——than in any previous year in our history. We had Deputy Dr. FitzGerald here this morning referring to the——

(Interruptions.)

Well you might say "patience, patience". The Minister should go down to Werburgh Street and say "patience, patience". The arrogance of it. I asked the Minister for targets; either he knows or he does not know.

(Interruptions.)

——the record level of unemployment. He proposed to do nothing about it and the Deputy is going to support him. That is the marvellous condition in which they left the country.

Could the Minister not conduct himself, a Cheann Comhairle?

This is leading to a debate. It is through allowing too many supplementary questions which are not calculated to elicit information. Question No. 11.

They have not been answered anyway.

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