I move:
That Dáil Éireann takes note of the present state of industrial relations in the public sector and supports the Government's efforts to ensure that disputes in this sector are processed in accordance with negotiated and agreed procedures instead of being made the subject of industrial action.
This motion is being moved in response to a strong request by the Opposition for time to debate the question of industrial relations in the public sector.
While there might possibly be room for disagreement on whether this is the most useful time for a debate of this kind given the danger of exacerbating the position in some disputes currently in progress, no one, I think, would question the importance of the subject. Everyone of us is vitally concerned, whether he likes it or not, with the state of industrial relations in the public sector—and that for two main reasons.
First, the public sector provides the majority of those services which are essential to the day-to-day life of the community. Electricity supply, public transport, postal and telephone services, water supply, hospitals and sanitary services spring readily to mind, but there are many others besides these where an interruption of services can bring widespread inconvenience or downright hardship to individual citizens—and particularly to the weakest and most vulnerable groups—apart altogether from the economic damage it inflicts on the community at large.
Second, each one of us is concerned as taxpayer or consumer with the size of the paybill in the public sector for we have to find the money for it either through taxes or through charges. Increases in that paybill have to be paid for by the ordinary citizen and he is, therefore, deeply concerned that increases given should be fully justified. He is entitled to ask for an assurance that this is so particularly when regard is had to the relatively sheltered nature of the greater part of public sector employment.
In our election manifesto we underlined our special concern for the promotion of good industrial relations, not only in the public sector but throughout the economy. We are committed to doing all in our power to bring about harmony and co-operation between workers and their employers. Every step we have taken in the industrial relations area since forming the Government has been directed towards the attainment of these objectives We believe that they are attainable. Indeed we are convinced that the achievement of industrial peace is crucial to the realisation of our main economic targets. In particular the target of full employment within five years will not be capable of being met unless there is a marked improvement in the industrial relations climate.
To anyone who devotes serious consideration to our problems in the industrial relations area, not merely in the public sector but in the private sector as well, it must be clear that the improvement which is required cannot be brought about by Government action alone. The Government are determined, however, for their part to take every possible step, consistent with our commitment to achieving full employment and to bringing the rate of inflation within reasonable bounds, to improve the climate of industrial relations. The national understanding gives the clearest expression to the Government's concern. It also serves to highlight the extent to which the achievement of industrial peace depends upon an unreserved commitment by all parties, the Government, the employers and the trade union movement, to an acceptance of certain essential constraints upon their freedom of action.
I believe that all parties in this House appreciate the importance to the nation of having the national understanding implemented. I believe the entire community share our aspirations for an end to the war of attrition between workers and employers which has gone on for too long in this country. I feel that the message should go forth to the trade union movement and to the employer organisations that this House expects them, in the national interest, in the interest of every section of the community and, in particular, of those who are most deprived and, therefore, most vulnerable to the injury that is inflicted by industrial action on the community as a whole, to accept the national understanding and to give this great experiment in economic and social development a fair trial.
I give this pledge on behalf of the Government. If the national understanding is accepted, the Government will not shirk in any way the obligations which will be imposed on them—and I may say that these obligations are heavy and involve a substantial burden on the Exchequer. In turn the Government will expect the other parties to the understanding to honour their obligations in full.
In the words of the understanding the realisation of the targets for continuing economic growth and social improvement depend on active co-operation and agreement between all sectors of the community. The success of the understanding depends on parallel contributions from all three parties involved. Above all else the understanding recognises that the achievement of the main central objective of economic and social policy, the creation of more employment, requires the contribution and effort of all sections of the community. There is no surer way of putting that objective in jeopardy than for the level of industrial unrest to continue unabated, placing existing jobs at risk and casting a blight over the prospects of creating additional jobs. All parties to the proposed understanding are agreed that priority must be given to the creation and maintenance of employment. In all earnestness I would suggest that, recognising the national importance of the creation of further employment, and the extent to which this may be jeopardised by industrial action, the House should leave no room for doubt in anyone's mind that it expects differences both in public and private sectors to be resolved through negotiation and agreed procedures and without any action which runs counter to the obligations freely assumed under these procedures.
This motion emphasises the importance which we in Government attach to the orderly processing of claims on behalf of groups of workers. I would emphasise further the obligation which must be assumed by both employer and employee interests to agree upon orderly procedures. In the public sector, by and large, such procedures are generally in operation. The basic framework of conciliation and independent adjudication —whether by way of separate arbitration or of recourse to the Labour Court —is available throughout the public sector to almost all groups of employees for the resolution of their grievances about pay. To a greater extent than may apply in the private sector it is accepted by all employer interests in the public sector that the findings resulting from adjudication must be honoured.
While there may be some residual disagreement about matters which may be the subject of adjudication—and I am not averse to the introduction of such further improvements as may be desirable by way of agreement, on the basis of orderly negotiation, with employee interests to meet their reasonable expectations in this area —there is full scope for the settlement under existing procedures of all claims relating to pay and conditions of service.
The use of the strike weapon, or any form of industrial action, in defiance of the agreed procedures is clearly unacceptable. I would expect that point to be endorsed on all sides of this House. I would go further. I feel that where it is clearly understood that the findings resulting from independent adjudication will be accepted, and implemented fully, by the employer side, it is not asking too much of the employee side that they should likewise feel constrained to abide by such findings. That is the only sure way, the only sane way, to industrial peace and harmony. It has been recognised as such in the national understanding in which, as part of the policy on pay, it is laid down that a union is precluded from "taking any form of industrial action in relation to the matters covered except where an employer refuses to act in accordance with the policy". I congratulate the representatives of the Irish Congress of Trade Unions and of the employer and industry organisations which subscribed to the draft understanding, on their perception of what is required to bring about the necessary improvement in industrial relations.
This Government's concern to bring about an improvement in industrial relations was evidenced at an early stage when the Minister for Labour announced his intention to set up a Commission on Industrial Relations with the responsibility of carrying out a fundamental review of our system of collective bargaining. The commission was set up in May of last year and has since been engaged, as I understand, in hearing the views of the various interests concerned in the operation of the system. I am hopeful that the product of their investigation will contribute in large measure to the inauguration of a new era in industrial relations in this country, an era which will see a marked reduction in, if not an end to, the dislocation of the economy as a result of industrial action instead of following agreed procedures for the peaceful resolution of disputes.
In my Department's submission to the commission the main stress was placed, and quite rightly so, on procedures for the settlement of disputes, on the need for both employer and employee interests to act strictly in accordance with such agreed procedures, and on the desirability of accepting the outcome of independent adjudication. Where reasonable and equitable procedures have been adopted by agreement there should be no occasion for any action in breach of these procedures. Indeed where such action takes place the question does arise as to whether it should be condoned by the community or by the Government of the day who have the obligation of protecting the community and defending their interests.
The essence of any code of justice is that justice not only be done but be seen to be done. I would hold that whether employers and employees agree upon negotiation procedures it is clearly unjust, and should be recognised to be unjust, to take action contrary to these procedures. There is no room for shilly-shallying in this area. When due provision has been made to protect the interests of employers and employees, the community are entitled to expect that both parties should, in turn, observe these provisions and refrain from action designed to further their separate aims in defiance of these provisions. It must be evident that, for the most part, such action is the outcome of a selfish and selfcentred attitude which places the interest of the party concerned above all other considerations and refuses to accept the need for give-and-take which is essential in these kinds of situations.
What then is the position of industrial relations in the public sector over the past year or two? First to look at the statistics. Strike figures for recent years—to the end December 1978—indicate that about one-quarter of all strikes took place in the public sector. Strikes in the public sector account for roughly one-third of all man-days lost through strikes. These figures are broadly in line with the public sector's share of employees in the labour force. About one in every four persons at work in Ireland works in the public sector and, as there are many persons who are selfemployed, the public sector accounts for about one-third of all employees in the labour force.
In recent years two-thirds of all strikes—both in the public and the private sectors—have been unofficial. In other words, two-thirds of all strikes have occurred in contravention of the rules and regulations which are laid down by each trade union for the orderly conduct of its own business. Many of these strikes have taken place with little or no notice being given to unions, to employers and to the public. The inconvenience, hardship and often financial loss caused, particularly to the poor and the aged, who are usually not in a position to make alternative arrangements, are often out of all proportion to the grievance, whether real or imagined, suffered by the worker or workers involved in the dispute. This has happened despite the fact that procedures are available in every area of the public sector for dealing with grievances and ensuring that justice is done. In these circumstances there is no justification whatsoever for unofficial or wild-cat strikes. Those who engage in this type of action show complete disregard for the welfare of the public at large and damage the solidarity of the trade union movement.
Official strikes generally account for three-quarters of all days lost. They tend to be much longer in duration and involve a far greater number of workers than unofficial strikes. Here again roughly three-quarters of official strikes occur in the private sector and one-quarter in the public sector.
There are, of course, large areas of the public sector in which staff use the procedures available for settling disputes and in which, happily, strikes are virtually unknown. The main areas in which strikes have occurred have been those concerned with the supply of power, transport, communications and local authority services. Because of the very nature of these services any breakdown immediately affects the public. Most of the strikes in the private sector have a much more indirect impact on the public and do not loom large in public consciousness, except when they affect essential public needs such as fuel or banking.
Whatever about the statistics, the fact is that there has, in recent times, been a succession of cases of serious industrial action in the public sector which, if it is not halted, would effectively frustrate our hopes of achieving the targets which the Government have set out for social and economic development.
In any consideration of the public sector it should be borne in mind that most of the public sector organisations which have been seriously affected by strikes are very large employments with a wide geographical spread, requiring an extended range of job skills and employing large numbers of workers in different grades and categories. In many cases they operate on a shift basis providing a broad range of services to the public. Some operate in areas where rapid technological change places new demands on workers and requires a significant degree of re-education and retraining. In these circumstances negotiating procedures in most public sector organisations have to cope with a large volume and a wide range of industrial relations problems. Change inevitably involves discussions between unions and managements and often between unions themselves with a view to reaching mutually satisfactory working arrangements. These discussions can be enormously complicated and, in some cases, completely frustrated when many different unions acting in an uncoordinated manner exist in the employment and when, on occasion, conflicting claims can be presented. Difficulty in reconciling claims does not, of itself, however, excuse recourse to industrial action in breach of agreed procedures. Rather does it point to the need for reviewing the existing machinery for discussion and negotiation on industrial relations problems.
There are a number of features about the major disputes which have taken place in recent years in the public sector and, indeed in the private sector, to which attention should be drawn. Many of the disputes have involved workers whose pay rates and earnings cannot be regarded by any standard as being depressed. Indeed, some of them are generally regarded by other workers as being the wage leaders in their particular skill or discipline. Notwithstanding their present rates they submit claims—often for completely exorbitant increases —and are not prepared to use the agreed machinery to process these claims. Alternatively, when the claims are processed under national agreements to adjudication, they may reject completely the results of that adjudication.
This attitude to agreed procedures shows a complete and savage disregard for the community at large which, in the case of the public sector, is the ultimate employer. It sometimes appears that in these areas a minority of workers have abandoned the traditional trade union approach of presenting and supporting their claims with reasoned arguments and appropriate comparisons in favour of tactics which inflict the maximum amount of damage, suffering and loss on the most vulnerable—and with public services that usually means the poor and the old—resulting often in a clamour for restoration of the services at whatever the cost.
One of the primary objectives of the national agreements which have been negotiated between employers and the trade unions over the past decade has been the achievement of industrial peace. It has been accepted on all sides that industrial peace is essential to economic progress which, in the long term, means more employment and a higher standard of living for everyone in the country. It is a matter for regret that workers and unions in some public sector employments have ignored the agreements which have been negotiated on their behalf and have taken action in breach of these agreements.
I think it is fair to say that there is growing awareness among the public at large of the seriousness of the issues involved and of the dangerous consequences likely to flow from treating agreements in these areas as something that can be ignored and thrown aside whenever a particular party feels it in its immediate interest to do so.
The conciliation and arbitration scheme for the civil service has come in for a certain amount of criticism of late. It is implied that the Government are too concerned with procedures and that if they showed a bit of flexibility there would be no problem. It is even implied that the Government's attitude has contributed to disruption rather than prevented it.
I wish to make the Government's position in this regard quite clear. We have no wish to adhere to procedures merely for the sake of doing so. Neither have we any dogmatic attachment to any one set of procedures as against others for the resolution of claims for improvements in pay and conditions made by civil servants. If it is felt that present procedures need to be changed or modified in any way we will consider any proposals for change with an open mind.
What we are concerned about, however, is that once procedures are agreed in the interests of all, once both sides have committed themselves to them, then they should be honoured. Neither party to the deal should have the liberty to use the system when it suits them and to disregard it when it proves inconvenient.
Problems may be solved in the short term by ad-hoc deviations but in the long run this approach would only lead to instability and chaos. Bearing in mind the large numbers of grades in the service and the wide range of items which are made the subject of claims, an accepted orderly arrangement for the processing of these claims is essential from the point of view of the various interests among the staff, the State as employer, and the public, for the service of whom the staff are employed.
What the Government is determined to ensure, by means of arrangements agreed with the civil service unions, is an orderly pattern of negotiations on claims for improvements in pay and conditions of service in the civil service which, firstly, results in fair and equitable pay determination and, secondly, protects the public from continuous disruption of the essential services which the civil service provides.
The Government consider that the present civil service scheme, which provides for conciliation, mediation and arbitration, meets these needs if it is operated as it should be. Let me repeat again that if the staff want to negotiate changes in an existing scheme or negotiate a different scheme, we will co-operate to the best of our abilities. Meanwhile, however, the existing agreed scheme applies and it is in the interests of all to protect it.
We must not lose sight of the fact that, for more than a quarter of a century in which the scheme has been operating, the record of industrial peace in the civil service, which is the largest and most complex organisation in the State, has been remarkable by any standards. The present postal dispute may obscure that fact so it is no harm to bear in mind that since the scheme came into being thousands of claims have been satisfactorily resolved.
I should like, in the interests of the ordinary citizen, to speak quite bluntly. It seems to me that, in the whole area of industrial relations whether in the public or private sector, serious moral issues arise which are critical to our future development. Are agreements once made to be adhered to or are they to be jettisoned unilaterally when found inconvenient or inhibiting by one of the parties? Though important in every area, this is of particular importance in the public sector where there is a greater concentration of essential services and where, in general, employees have greater security than elsewhere. There is, I would suggest, a major moral obligation on public sector staff to honour agreements made and, once they have peaceful means open to them for processing claims, to refrain from industrial action which, in the nature of the case, depends for its effectiveness not on the financial damage it causes to the employer but on the hardship and disruption it inflicts on the community. In so far as there may be a growing tendency to resort to this kind of action, it is important that it should receive no encouragement from anything said in this House. On the contrary, it should be made clear that such a development would be seen as entirely unacceptable to the House—as it is to the Government.
Having discussed the situation in regard to the conciliation and arbitration scheme in the civil service, I have to confess that there is evidence of a certain lack of acceptance of the scheme in certain quarters at the moment. There are a number of factors that may contribute to this but there is one very important factor that I cannot overlook. I do not raise this matter in a purely partisan spirit but because it is a recognised fact. It is that the previous government, the Coalition, for reasons which seemed quite good to them at the time, imposed an embargo on special increases in the public sector in 1975-76. It could be said, in one sense, that by doing so they placed a time bomb in the industrial relations structure in the public service. This is not just my view on the situation. The fact is that the previous Government, in doing what they did, realised some of the problems that would be created later.
There are memoranda in existence which came before the previous Government in which this very danger is adverted to. One is dated 12 November 1975, another is 9 September 1976 and a third is 26 November 1976. The then Government realised and adverted to the dangers to the whole industrial relations structure in the public service of what they were doing. I am not commenting on the reasons for which they imposed the embargo or whether they were right or wrong. That is past history. I am saying that what was done had, as a consequence, a considerable deleterious effect on the whole industrial relations structure in the public service. I am saying also that this is not something which I am producing out of a hat. It is something which that Government was aware of and adverted to in the memoranda on the dates I mentioned.
I am aware of this trouble. That embargo was lifted and there has been a number of substantial special increases in the public sector since this Government came into office. Perhaps it can be said that the embargo and what went with it was accepted, perhaps reluctantly, at the time because of the economic situation. I am not commenting on the responsibility for the economic situation at the moment but more is clearly expected from this Government and we have done a great deal more. The embargo has been lifted and we have done everything in our power to restore confidence in the procedures of conciliation and arbitration. We cannot remedy overnight the problems which arose over quite a number of years under the previous Government. We have, in our actions and in our whole approach, demonstrated our willingness to meet the problems that are arising and to meet all reasonable claims through agreed procedures. There is no reason on earth why any part of the public sector should have any lack of confidence now in the agreed procedures or in the willingness of the Government to honour all adjudications arrived at through agreed procedures.
It is also relevant, in consideration of the whole public relations scene in the public sector and, to some extent, in the private sector, to bear in mind something that might not be widely known, and that is, that now in many areas, and even in the case of average industrial earnings, they are higher than they are in Britain. The person on average industrial earnings pays considerably less tax than the person in Britain. That is a relevant factor in considering some of the claims which are at present being made.
I also think that we should not allow disputes and the consequences that grow from them to obscure the essential fact that excessive claims, if granted, serve only to divert scarce resources from the fundamental task facing us of creating employment and, in particular, that excessive claims are an attempt by those making them, whether they are aware of it or not, to divert resources from the creation of jobs especially for young people into the pockets of those who have jobs, in many cases secure jobs which by reasonable comparison are not badly paid. This is a fact that we should drive home. We should see some of the claims that are made in perspective and this House should make it clear that it does not and will not condone that kind of approach because if it does we revert to the situation where it is a question of who can exercise most muscle. If we revert to that situation no Government worthy of the name can abdicate its responsibility and if agreed procedures carefully worked out are to be jettisoned the alternatives available are the law of the jungle or control of the whole situation by the Government.
The stance of this party has always been in favour of free collective bargaining and that is still our stance. Similarly, we have always made it clear that we are not prepared to abdicate our responsibility and leave the settlement of the future progress of the country in the hands of those who fortuitously can exercise the greatest degree of industrial muscle.
In conclusion, I ask all Deputies to address themselves to the real issues in this matter. It is not a time for partisan politics. I believe that with patience and a low-key approach on all sides we can foresee a reasonably early end to the labour troubles which are afflicting many parts of the public sector. So much hardship has been caused by these disputes that I am certain that the desirability of trying to solve them by strikes and other forms of industrial action will be reconsidered. If, as I hope, the proposed National Understanding for Economic and Social Development is agreed, I believe it will open up new paths to industrial peace not merely in the public sector but also in the private sector. I am optimistic enough to believe that what we have been experiencing is an exceptional period of industrial unrest and that the signs for the future are more favourable. Whether those signs are ultimately borne out depends to a great degree on public opinion and in particular on its articulation by the public's elected representatives. I urge that nothing should be done or said by any public representative which would give aid or comfort to those who seek, for whatever reason, to jettison agreed procedures in order to push excessive claims with the consequences I have outlined for the future for the young people who have no vote in these matters of the national understanding or of strikes, but whose future is at stake. I suggest that nothing should be said or done to abet people whose actions are, whether they wish it or not, going to produce this kind of result and are in breach of agreed procedures. The key to good industrial relations, the key to the avoidance of damaging disputes is in adhering to agreed procedures.