I move:
That a sum not exceeding £33,710,000 be granted to defray the charge which will come in course of payment during the year ending on the 31st day of December, 1979 for the salaries and expenses of the Office of the Minister for Labour, including certain services administered by that Office, and for payment of certain grants-in-aid.
The White Paper "Programme for National Development 1978-1981" indicated that it was the Government's primary objective to achieve the maximum possible increase in employment and suggested that employment increases of 25,000 a year over the period 1979 to 1981 were attainable. The proposals for a national understanding which subsequently emerged provide that if a significant shortfall in these targets seems likely a special joint public and private sector employment programme will be launched up to a ceiling of 5,000 jobs. In such a situation the employer and industry organisations are prepared to contribute 50 per cent of the necessary finance to be collected by means of a special surcharge on the employer's social security contribution. A special tripartite committee would supervise the implementation of the employment guarantee. To meet the formidable employment challenge facing this country, a special effort is needed from all sectors of the community and I believe that acceptance of the national understanding would be a historically significant milestone on the road to full employment and to our economic and social development.
A major proposal in the White Paper and the national understanding is to set up a national hire agency. The Supplementary Estimate which I will be moving includes provision for the cost of this agency. Given the scale of the employment problem facing us it is essential that we tap all available employment opportunities be they temporary or otherwise. The special function of the agency will be exploit to the full all available opportunities for temporary work. The intention is that the agency would employ people as required and would supply their services to firms for appropriate fees. The agency would be the employer of the people on its books and would be responsible for payment of their wages, social security contributions and so on.
I am anxious that the agency should be established at the earliest possible moment. I have decided, pending the enactment of legislation, to establish a limited company to perform the functions of the agency. I should emphasise that the agency is experimental. I would ask all those concerned with employment to give it their full support.
Of very special concern to me is youth employment for which I have undertaken a co-ordination role. The problem of providing suitable work for our young people demands a many sided response involving the co-ordination and integration of policies ranging across many areas of activity.
The best sources of information we have on the size of our youth unemployment problem are the EEC labour force surveys. The 1977 survey shows that there were about 15,000 young people looking for their first job as against the 20,000 at the time of the 1975 survey. We know that the labour force is growing on average each year by about 9,000 a year and will continue to do so into the mid-1980's because of the excess of school leavers over the number of people retiring from work.
The main line of our attack on unemployment rests on our traditional and long established employment policies. There is, of course, a complementary role for special measures which should reflect the particular characteristics of the problem. There are differences in the educational attainment, sex, social background, aspirations and so on of young people who are without work at the moment. It is important, therefore, that youth employment measures should reflect this diversity. A variety of schemes was therefore brought forward by the employment action team which the present Government set up after taking office. These schemes have covered almost 4,000 young people. More than 6,400 young people participated in 1978 Government schemes including those put forward by the team.
The main schemes suggested by the employment action team in their first submission were the work experience programme and the environmental improvement schemes programme.
About 3,000 young people have taken part in the work experience programme so far. The Government have agreed that it should be continued and expanded and that a sum of £2.8 million with a target of 6,000 placements, should be provided for it this year. So far about 500 participants in the programme have left their positions to take up permanent employment, illustrating the schemes value in getting young people into viable jobs.
The environmental improvement schemes programme also provided worthwhile employment and improved amenities for local communities. In 1978, it provided about 750 man-years of employment and it is being continued in 1979 with a target of 1,000 man-years of employment.
Last December the team made a second submission to me. Deputies will recall the Tánaiste's announcement in his Budget Speech last February approving schemes suggested by the team relating to employment by voluntary organisations of young people as development officers and for the employment of child-care assistants in special schools for the physically and mentally handicapped. The team's second submission contained two further proposals. One was for a language/ marketing skills training scheme to help Irish companies build up a nucleus of staff with expert knowledge of specific European markets and the appropriate language. The other suggestion is for the temporary employment of young people on local manpower surveys. I am happy to inform the House that the Government have approved these further schemes.
At this point I would like to pay public tribute to the team. They were set a difficult task and they were successful beyond expectations and opened up opportunities far in excess of the targets set. I have conveyed to the chairman of the team the Government's appreciation of their work and my intention to terminate the team. I am doing this in the light of my recent decision to set up the Manpower Consultative Committee which I propose will embrace youth employment problems.
I now move to the employment situation in the broader context. Total employment in manufacturing at the end of September 1978 was 203,000 or an increase of 5,600 on September 1977. The White Paper estimates that employment at end December 1978 was some 7,000 greater than was the position at end December 1977. There was an increase of about 43 per cent in the number of vacancies notified to the National Manpower Service as compared with 1977, 41,000 in 1978 compared to 29,000 in 1977. These facts should be sufficient answer to Opposition suggestions that unemployment decreases are due to emigration.
The employment incentive scheme provides for the payment of premiums to employers in respect of the recruitment of eligible workers who represent an increase over the numbers employed on specified base dates. The scheme is being continued for 1979. Four million pounds is provided for the purpose which I expect will be supplemented by grants from the European Social Fund. Premiums at the rate of £20 or £14 a week (depending on the age and category of worker) are payable for up to 24 weeks in respect of each extra eligible worker employed. During 1978 premiums were paid in respect of some 15,660 additional eligible employees, including 6,168 first-time job-seekers.
This scheme was introduced last year to help firms in the clothing and footwear sectors and some areas of the textiles industry and subsequently the tanning (leather) industry to cope with employment problems arising from increased competition. The assistance gives £5 per week in respect of each worker. The Government have decided to retain the scheme in operation for a further year from 31 March 1979 and to extend it to the tableware section of the pottery industry. The conditions of the scheme, as extended, are at present the subject of discussion with the EEC Commission. The scheme applies to some 30,000 jobs or more.
The continuation of high unemployment calls for a continuing search for new solutions. One which is receiving much attention is work sharing. There are difficulties involved in the introduction of any work-sharing arrangements but these difficulties have to be looked at in the context of the economic, social and political costs attached to high levels of unemployment. The future challenge may be how to spread the available employment equitably among a growing work force. I welcome the commitment in the proposals for a national understanding to investigate work-sharing possibilities in so far as these can be used as a job creation mechanism without adversely affecting competitiveness. Work-sharing is also being considered by various EEC bodies. I will return to that issue when dealing with my Department's involvement in EEC affairs.
The main function of the National Manpower Service is to place workers in suitable employment and to assist employers in recruiting suitable workers. I told the House last year I was not satisfied that the National Manpower Service were adequately equipped to carry out their functions and that I hoped to expand the service substantially. Since then I have increased the number of placement officers from 56 to 122 at the moment.
I am arranging for the opening of a further six permanent offices as soon as suitable premises become available. Many more clinics are now operating in towns which have not got permanent offices.
I have also arranged for the appointment of additional guidance officers. These officers give specialist advice and guidance to job-seekers who are in doubt or have difficulty about what they want to do or are best suited to. I hope this service can be extended to all regions shortly.
Last year it became clear to me that there was a need for a more effective co-ordination in the formulation of manpower and employment policies and schemes and that the involvement of the social partners was desirable. I have set up the Manpower Consultative Committee which are representative, at the highest level, of employers and trade unions and Government agencies. Their function is to advise on the role of manpower policy in economic and social development and as such they can advise in particular on the manpower policy requirements of the Government's full employment objective.
At their first meeting in December last the committee identified the issue of occupational shortages as a matter warranting urgent attention. By drawing on the information available and the experience of the wide range of organisations represented, the committee identified particular occupations in short supply and estimated the extent of the shortages. The occupations included engineers, computer personnel, electronic technicians, draughtsmen, engineering craftsmen—such as tool makers, fitters —construction craftsmen—plasters and bricklayers—and sewing machinists.
The committee have recommended substantial improvements in the resettlement assistance scheme as it applies to people with skills returning from abroad to jobs here and the launching of a campaign in Britain to recruit workers in the occupations in short supply. These recommendations are being put into effect immediately. As to the medium and long-term, the committee proposed provision of courses which would be implemented from September or October 1979 and which would contribute to relieving the shortages. The proposals entail the expansion of existing courses and the creation of new courses, including conversion courses to qualify for employment in an area of shortage. These conversion courses will ensure that increased output in the problem areas will commence from 1980 and it will not be possible to wait until the increased entrants have completed the normal four years of study for engineering degree courses. The proposals provide for an increase of well over 1,000 places for study in courses from which employment prospects are virtually guaranteed.
As announced yesterday by the Minister for Education, the financial resources necessary for the implementation of the HEA proposals are being made available to the universities and other institutions concerned through the Department of Education. Provision is made in the Supplementary Estimate for payment by my Department of allowances to persons undertaking conversion courses. The Manpower Consultative Committee are also considering questions of improved manpower information and bias against industrial employment among school leavers. I believe that the committee have brought to the manpower policy area a new sense of commitment and co-operation which will ultimately be reflected in a greater contribution by manpower policy to economic and social development.
The recent White Paper assigned to the NMS the overall task of improving the flow of labour market information and the service are currently reviewing the position. Already I have made arrangement for the service to publish a regular quarterly bulletin of labour market information. My Department are currently involved in a number of research projects on manpower topics. A study of employment/output relationships in manufacturing industry between 1953-73 was commissioned from the IPA in June 1978. The research was based on annual changes in employment, output and productivity in individual Irish industries and attempts to estimate future employment growth rates consistent with alternative rates of expansion output. A report will be published in the near future.
My Department are funding, along with the Department of Economic Planning and Development, an in-depth survey of the mid-west-region, with particular reference to Limerick, from the point of view of employment, unemployment and industrial relations. The field work for the survey is due to start later this month and a report is expected by early 1980.
Finally, my Department are sponsoring research into overtime which is being undertaken by the Department of Industrial Engineering, University College, Galway. That survey is concentrating on the reasons for overtime and on the possible effects from a job creation point of view of a reduction in overtime.
The Careers Information Service continue to provide comprehensive information about occupations through leaflets, booklets, audio-visual programmes and participation in careers exhibitions. New audio-visual programmes have been produced covering subjects such as choosing a career, preparing for a job interview, working in industry, and technician careers in science.
The Government recently approved an increase in the grant of the Advisory Committee on Emigrant Services to provide assistance to Irish centres in Britain to employ social welfare personnel. This follows on representations from the authorities running these centres.
Provision is made in my Department's Vote for financing of the two State bodies, AnCO and CERT, involved in industrial training and for a State grant to the Irish Management Institute.
In 1978 AnCO trained 16,268 adults and apprentices including 4,418 girls and women. This training was provided in 14 permanent training centres and in three temporary centres and in facilities provided by public and private companies, State-sponsored bodies, educational establishments and other institutions. In addition, 24 mobile training units visited areas remote from the main centres providing short introduction-to-industry courses which last from six to eight weeks each, accommodating 12-24 trainees at a time. Almost 80 different types of courses, varying in length from two weeks to eight months were provided.
Net operational expenditure by AnCO in 1978 amounted to almost £22 million. The Exchequer provided £11.9 million and the balance, £10 million came by way of grants from the European Social Fund. For 1979 the Exchequer allocation for AnCO's training activities is fixed at £13.47 million. As much of their expenditure will qualify for matching grants from the European Social Fund, AnCO expect to have a total of almost £26½ million available for operational expenditure in 1979 and they expect to train about 19,000 people, including 2,028 apprentices.
AnCO will also receive an Exchequer grant of £4 million for capital expenditure in 1979 as against £3.5 million in 1978. A new training centre at Tallaght. County Dublin, 400 places, will open next week and preparatory work is well advanced on new centres in Cork, 700 places, Sligo, 350 places, and for the expansion of the training centre at Ballyfermot, Dublin. Sites have been acquired for further centres in Finglas and Loughlinstown, County Dublin. By the end of the year AnCO expect to have nearly 4,000 training places in their centres including about 1,700 for apprentices.
I am sure it will be of interest to the House to know that nearly 80 per cent of all AnCO trainees in their own centres and in hired facilities are under 25 years of age. Their special schemes such as the community youth training programme and the summer introduction to industry courses are aimed specifically at young people. Some 1,800 school leavers, redundant apprentices and craftsmen benefited under the scheme in 1978.
Despite the expansion of AnCO direct training activities, the primary responsibility for training falls on the employer. There are now almost 5,000 training managers and training instructors working in Irish industry. Industry is encouraged and assisted to define its own training needs and to prepare and implement programmes to meet those needs through levy/grant schemes which are devised by industrial training committees of the designated sectors, namely textiles, clothing, footwear, food, drink and tobacco, engineering, construction printing and paper, and chemical and allied products.
This year's Estimate provides a grant of £754,000 for CERT. This grant includes a capital element of £100,000 for the conversion of the premises at Roebuck, to enable short-term training programmes to be provided there. The Exchequer provision is supplemented by aid from the European Social Fund which in 1978 amounted to £365,000.
In conjunction with the vocational education committees, CERT coordinates formal training at 13 centres throughout the country. During 1978, 1,462 people received formal training at both management and craft levels.
Last year 149 in-service courses were held for managers, supervisors, receptionists, housekeepers and craft personnel in the hotel industry, and 16 in-service courses in the catering sector. These courses attracted 2,362 employees.
The Estimate includes an allocation of £170,000 for crash training courses to meet large numbers of identified vacancies in the industry. These courses of six weeks duration give instruction in such areas as food preparation, housekeeping, food service and bartending. A total of 380 trainees completed the courses, which were conducted in Bundoran, Killarney and Rosslare between January and April. To date 85 per cent of them have been placed in employment.
The Irish Management Institute provide a comprehensive programme of management development and training in which about 5,000 managers participated during 1978. A non-capital grant of £397,000 is provided in the Estimate for the IMI which will be supplemented by grants from the European Social Fund. The ESF grant approved for 1978 was £300,000.
The institute, in co-operation with AnCO, have been conducting a series of career development programmes for redundant managers. Up to the end of 1978, 15 courses were completed. Four programmes are scheduled for 1979. The re-employment rate of participants is about 80 per cent.
The institute in 1977 embarked on the business development programme. The objective of this programme is to give concentrated attention and advice to a number of small to medium size firms to ensure profitable expansion and increased permanent employment. The first programme is nearing completion and has been rated highly by the participants. It is proposed to commence a further two programmes in the autumn.
The number of redundancy notifications in 1978 fell to below 10,000 for the first time since 1973. This was an improvement of almost 3,000 on the 1977 figure. I hope to see a further significant reduction in our redundancy figures this year. The Redundancy Payments Act, 1979, which came into operation last month, has simplified and improved the scheme.
I should like to draw attention to one provision of an innovatory nature in the Act which introduces the concept of time-off to look for work during the period of redundancy notice. Provision is also made in the Act to permit the appointment of additional vice-chairmen and members to the Employment Appeals Tribunal. I intend to appoint these shortly as I am anxious that processing of claims should be expedited.
In some areas of employment, particularly where workers are unorganised, wages and working conditions fall below the national average. These are mainly the areas covered by Employment Regulation Orders made under the Industrial Relations Act, 1946. The most important sectors are: agriculture, catering, hairdressing, hotels, law clerks, messengers, flour milling, tailoring and millinery.
Types of employments covered by these orders are systematically inspected by the general inspectors of my Department. As a result of these inspections arrears of wage underpayments amounting to £65,952 were collected in 1978. Legal proceedings were instituted against a number of employers, mainly for failure to pay statutory minimum wages. Only a small number of employers fail to comply with the orders. I intend, nevertheless, to continue with this policy of systematic inspection.
It is also my responsibility to enforce the provisions of Registered Employment Agreements made under the Industrial Relations Act, 1946. There are two such agreements for the construction industry.
My Department are also concerned with a number of other measures dealing with conditions of employment. These include the Conditions of Employment Acts, the Holidays (Employees) Act, 1973, the Unfair Dismissals Act, 1977, the Minimum Notice and Terms of Employment Act, 1973, and the Protection of Young Persons (Employees) Act, 1977. I will continue to ensure that workers, particularly young workers, and also employers are made aware of their rights and, indeed, their obligations under this legislation.
The White Paper Programme for National Development 1978-1981 referred to the scope for the creation of additional jobs without significant cost increase by discouraging systematic overtime working and indicated the Government's intention to reduce the present statutory limits on adult working hours and overtime. The proposals for a national understanding for economic and social development repeated the Government's intention. I will be introducing a Bill to give effect to the Government's intentions on overtime and I intend in due course to consult with employees and trade unions on the necessary changes.
During the past year my Department have undertaken further work on the enforcement in Ireland of the EEC road transport regulations, which prescribe hours of driving and rest periods for road transport workers and methods of control—initially log books and ultimately tachographs. I have made regulations which designate the enforcing authorities for the regulations dealing with hours of driving, and prescribe penalties. In the near future I will be making further regulations concerning the installation and use of tachographs. In order that Ireland might avoid being brought before the European Court on the tachograph issue—as was the UK, who unsuccessfully sought to be excused for the full application of the regulation—I arranged with the Commission, after initial discussions with employer and worker bodies, that the tachograph would be installed on a phased basis over the period up to 1 January 1981.
I accept that these regulations pose very severe problems for employers and workers in the Irish transport industry. At the same time, I am convinced that the Commission have gone as far as they can go in trying to accommodate us. The Government's aim is to secure acceptance of the regulations and their implementation in an orderly manner, with the minimum of disruption. It has not been possible up to now to have national discussions between employers and trade unions on the implications of the EEC regulations. I urge trade unions and employers to use the phasing-in period to find acceptable solutions to these complex and very difficult problems.
The problem of safety, health and welfare of the workforce is receiving increasing attention in recent years. The industrial inspectorate deals with the enforcement of the legislation in this area as well as providing educational and advisory services to employers and workers. The inspectorate has offices in Cork, Limerick, Waterford, Galway, Sligo, Drogheda and Athlone. Specialised groups are set up within the inspectorate to deal with technical matters relating to construction, electricity, machinery, marine, mining, chemical and also occupational hygiene.
The number of factories, mines, quarries and other premises subject to inspections in 1978 was 20,261 and, of these, 17,721 or approximately 85 per cent were inspected. Inspectors made 24,465 visits during the year 1978 which included repeat visits to ascertain whether contraventions had been remedied and to investigate accidents, complaints, and dangerous occurrences. A total of 4,074 accidents were reported during 1978 under the Factories Act and the Mines and Quarries Act as compared with 3,467 in 1977. Twenty-seven of these were fatal accidents as compared with 26 in 1977. Prosecutions were instituted in respect of 134 contraventions of the Factories Act and convictions obtained in 116 cases.
Backing up the industrial inspectorate of the Department is the National Industrial Safety Organisation, to whose work I attach great importance. It is clear from the available statistics that a high percentage of industrial accidents could be avoided by increased safety consciousness in work places. This promotional and educational aspect has a very important role which is reflected in some of the clauses of the Safety in Industry Bill. The appointment of safety representatives and the election of safety committees will also heighten the awareness of workers in this area.
The area of occupational health is one of increasing importance with the growth in the use of man-made substances in industrial processes. Research into the possible harmful effects of these modern substances has drawn attention to the need to examine critically some of the more accepted processes and established practices in our working environment. As a consequence, I have initiated an occupational health programme within my Department. Research has been undertaken by the Department's industrial medical adviser and by the industrial inspectorate into causes of certain diseases.
This research should prove fruitful in finding ways of preventing the occurrence of these diseases and ultimately to provide the means of eliminating them completely from our work places. It is hoped that the occupational health programme will highlight the unnecessary suffering which can be caused by contracting such diseases and will create a more enlightened approach and recognition of the problem by both employers and employees. The establishment of a mobile research unit in the industrial inspectorate to monitor the environmental conditions in the factory and analyse the conditions is under consideration.
Apart from our own efforts we also, as a member of the European Community, are contributing to proposals for directives which will improve the environment for our workforce. These proposals and indeed existing EEC directives range through a wide field. Their eventual implementation can only lead to healthier work places and can contribute to improved results in achieving economic targets. With this combination of legislation, promotional work, advice and scientific research it is hoped that the risk of occupational disease and accidents will be significantly reduced.
My Department are responsible for the administration of the legislation aimed at ensuring equality of treatment between men and women in employment, that is, the Anti-Discrimination (Pay) Act, 1974, and the Employment Equality Act, 1977. The growing awareness of workers of their entitlements under the Acts has resulted in a substantial increase in the number of cases referred to equality officers of the Labour Court. In order to speed up the processing of such cases, I have arranged for the appointment of two additional equality officers, which will bring the total number of persons now engaged in that area of work up to five compared with two when I took office. The Employment Equality Agency have been assigned the task of encouraging equality of treatment between men and women at work and of overseeing the operation of the legislation. The agency's report on their first 15 months of operation should be available shortly. At a practical level the agency advise people of their rights under both Acts. They also provide information and advice through the distribution of explanatory leaflets, brochures and posters, and by means of radio and television publicity. They have also held seminars in Dublin and Cork and plan to organise more in the provinces.
already reviewed those sections of the Conditions of Employment Act, 1936, which prohibit the employment of women in industrial work at night. They concluded that the prohibition on women working at night militated against their attaining equal treatment with men in the workplace. They accordingly recommended that the objective should be the repeal of legislation which imposed restrictions on women working at night which did not also apply to men. I have asked the various interests concerned for their views on the agency's conclusions, and I will make a decision shortly on the appropriate action to be taken.
The agency are now engaged, again at my request, in reviewing certain provisions of the Factories Act, 1955 and the regulations made under that Act about the lifting of maximum weights. The inclusion of a weight lifting clause in an Employment Regulation Order in the clothing industry has already been considered by the agency, as it had been suggested that such a clause could be used to limit job choices or employment opportunities for women. Following the agency's representations the clause in question was removed.
Most of the recommendations by the Commission on the Status of Women have now been implemented as far as employment-related issues are concerned. Since the remaining areas where action was needed did not relate to my sphere of responsibility, the Government have agreed to transfer to the Minister for Economic Planning and Development the overall co-ordinating role for follow-up action relating to the Commission's recommendations, as well as responsibility for the affairs of the Council for the Status of Women.
The Government are committed to the promotion of effective participation by workers in management decisions affecting their working lives. Elections for the appointment of employee directors have already been successfully concluded in B & I, ESB, Bord na Móna and NET under the Worker Participation (State Enterprises) Act, 1977. An election is also in progress in the Sugar Company. In the case of the remaining companies covered by the Act—Aer Lingus and CIE—I expect elections to be held this year following the completion of consultations.
I have arranged to have a discussion paper prepared setting out the general position relating to worker participation at all levels of the enterprise. Its early publication should focus public debate and discussion on the main issues and on new developments in the area of worker involvement at shop floor level. It should also afford both sides of industry an opportunity to put forward their own views and opinions.
Until the social partners have outlined their positions, Government initiatives as regards the private sector would, in my view, be premature. Any worth-while progress in this area must be based on consensus between the interest groups concerned.
For my own part I am prepared to facilitate and to assist fully in the promotion of extensive and detailed discussion both within and between the various groups involved. The fact remains, however, that worker participation is fast becoming a practical reality and both employers and trade unions must be prepared to adopt more positive attitudes if we are to meet this challenge. In particular, managers and employers should now be exploring the possibilities for taking progressive and enlightened initiatives where these can be successfully implemented on an agreed voluntary basis. I should like to emphasise that it is imperative for us to develop management practices and structures based on consent—not least because of very obvious industrial relations considerations.
However, I must emphasise that the formulation of a positive response to the growing challenge created by the demand for more worker involvement is not the sole responsibility of the Minister for Labour, the Government or employers. This responsibility also devolves on groups such as the trade unions and workers generally.
There has been increasing concern about dangers relating to the transport of dangerous goods within the country. The 1972 Dangerous Substances Act, when brought into operation, will extend safety precautions in the handling of dangerous substances in industry and trade.
This Act will authorise me to make regulations providing for the control of the loading, unloading and transport of petroleum and other dangerous substances. However, I am advised that, to bring in the Act in its present form would mean the repeal of certain provisions on explosives which must be retained for the time being in the interests of security. I have, therefore, put in hand the drafting of a short amending Bill to permit me to bring into operation the provisions required for the making of regulations dealing with dangerous substances in use in industry and trade. I hope that it will be possible to have this amending Bill passed in the present session, following which I intend to have the Act brought into operation.
In preparation for bringing in the Act, the Department, following consultation with the interests affected, have prepared regulations to deal with the handling of petroleum and other specified substances. Notices of the intention to make regulations in relation to petroleum were published in September and October last year. Representations made by interested parties have been examined and discussed with the interests concerned, and account taken of the submissions made, as appropriate.
Work is well advanced in the preparation of regulations to cover the transport of over a score of dangerous substances which have been listed by the inspectorate of my Department. These regulations will be ready for signature when the amending legislation goes through. Further regulations will control their loading, unloading and storage, and the list of substances will be added to as the need arises.
Regulations have also been prepared to implement an EEC directive which lays down standards of safety for the classification, packaging and labelling of over 800 dangerous substances.
In addition, I intend to implement, shortly, another EEC directive relating to restrictions on the marketing and use of certain dangerous substances and preparations and which prohibits the use of monomer vinyl chloride as an aerosol propellant.
Following the completion of the Second Stage of the Safety in Industry Bill last year discussions were held with the Irish Congress of Trade Unions and the Irish Employers' Confederation, and these two bodies also had discussions between themselves on certain aspects of the Bill, notably those relating to safety representatives and safety committees. A mutually acceptable formula has now been devised and I propose to incorporate this in the Bill by way of amendments which I shall propose in Committee. I shall be proposing a number of other amendments to meet points made in the House during the Second Stage debate and also points put to me by the ICTU and IEC.
Some time ago I came to the conclusion that our legislation in this area was in need of overhaul. It is my intention, therefore, as soon as the Safety in Industry Bill is enacted, to arrange for the whole field of worker safety to be surveyed.
The central purpose of the Payment of Wages Bill, 1979, at present before the Dáil, is to amend the Truck Acts in order to make it lawful to pay wages by cheque or other non-cash method, where both employers and employees covered by those Acts are agreeable.
The restriction now obtaining on the payment of wages by cheque to employees under the Truck Acts came about unintentionally as a result of the Currency Act, 1927, which removed the banks' powers to issue bank notes. The Payment of Wages Bill will restore the pre-1927 position and bring it into line with the original intention of the Legislature.
Discussions have taken place with both sides of industry since the Bill passed its Second Stage and I shall be moving amendments to the Bill in Committee, later in the session.
Preparation of regulations is well advanced to implement the EEC directive on the approximation of the laws of the member states relating to the safeguarding of employees' rights in the event of transfers of undertakings, businesses or parts of businesses. Discussions are taking place with the Irish Congress of Trade Unions and the Federated Union of Employers on the matter.
I would like now to refer to developments in the social policy of the EEC. As there are about six million unemployed in the Community, unemployment has been for the past few years a source of constant and pressing concern to member states. Repeatedly at EEC Councils of Ministers, at tripartite conferences and at meetings of the Standing Committee on Employment which consist of Ministers along with worker and employer representatives at EEC level, Irish Government delegates have stressed the need for vigorous Community action and for the necessary finances to be made available to combat unemployment.
The tripartite conference held on 9 November 1978 dealt primarily with investment and employment, work-sharing and the role of the tertiary sector. At the December 1978 European Council of EEC Heads of Government and the June and November 1978 Councils of Ministers for Social Affairs there were wide-ranging exchanges of views on employment policy with particular emphasis on youth employment. The November 1978 Council also approved the introduction of new aids from the European Social Fund for employment measures in favour of young workers.
Indeed, at a further European Council in March 1979 a large part of their proceedings was devoted to the unemployment situation and social policy generally. The Council confirmed the importance they attached to youth employment. At Community level they instructed the Social Affairs Council to study the measures to improve the employment situation, including the limitation of the systematic use of overtime and the improvement of employment opportunities for women.
The Social Affairs Council of Ministers on 29 June 1978 adopted a resolution comprising an action programme on safety and health at work. They agreed to take action by the end of 1982 in respect of the causes of accidents and diseases, dangerous substances, the dangerous and harmful effects of machines, and increasing awareness of dangers inherent in work situations.
The Council also adopted a directive on the protection of the health of workers exposed to vinyl chloride monomer.
The Council last Tuesday agreed the main lines of a draft directive on the approximation of the laws of the member states on protection of workers in the event of insolvency of the employer. The directive will oblige member states to set up institutions to deal with the claims of employees in respect of pay, and other cash or equivalent benefits. The draft directive also will require that an employer's failure to pay social security contributions before insolvency does not affect his employees' benefit entitlement and that pension rights of employees and former employees should be protected. Some further work on the draft directive will be necessary before it is finally adopted.
I envisage that the extension of the responsibilities of the Redundancy Fund set up under the Redundancy Payments Acts to include the liabilities proposed under the draft directive other than those relating to social security and pensions will be a feasible method of implementing most of the provisions of the directive.
Another item approved by this Council was a Programme for the Exchange of Young Workers. The Commission will, under the programme, approve and recognise organisations to effect the exchanges for which some finance will be provided by the Community. Member states will be involved in bringing the attention of young workers, trade union and employer organisations, and youth organisations to the scheme and in putting organisations in member states in touch with the appropriate European organisations.
In the context of the grave unemployment situation in the Community the Council examined a Commission document on work sharing. The Council decided to ask the Commission to study further a number of work-sharing measures including annual duration of working time, limitation of systematic overtime, flexible retirement and continuous shift work and to make proposals where appropriate.
The improvement of relations with the social partners in relation to the holding of further Tripartite Conferences was also discussed. Discussion at the Council centred mainly on Commission proposals for improving the working methods of the conference in view of the disappointment of trade union representatives at the organisation and outcome of the last Tripartite Conference in November 1978.
The Standing Committee on Employment will meet on 22 May 1979 to discuss the mismatch between the supply and demand for labour in the Community. Mismatch partly explains the fact that there are a considerable number of job vacancies at the same time as there are over six million people unemployed in the Community. As I said earlier, the Manpower Consultative Committee have made substantial progress in dealing with skilled shortages.
Ireland will assume Presidency of the Council of the European Communities for six months from 1 July 1979 to 31 December 1979. It is intended that there will be one meeting of the Social Affairs Council and one, or possibly two, meetings of the Standing Committee during our Presidency.
The European Social Fund is basically an employment fund which, under Article 123 of the Rome Treaty, is given "the task of rendering the employment of workers easier and of increasing their geographical and occupational mobility within the Community". The scope of the fund is more precisely determined by the specific types of activities eligible for fund assistance. Until 1979 the grant of fund assistance was limited to programmes of training and retraining of workers and resettlement. With effect from 1 January 1979, fund assistance has been available for certain types of job creation programmes for young people. This is a development we heartily welcome.
My Department have the role of Government-designated agency for handling all applications for assistance and are glad to answer all inquiries about the fund and to guide intending applicants in the correct formulation of applications.
In general fund grants are based on a matching of public expenditure in the member states concerned on the particular service aided. However, for operations carried out in very few Community regions, including the whole of Ireland, a higher intervention rate of 55 per cent was introduced in 1978.
The assistance which we have received from the fund has enabled us to develop our national training system, particularly the operations of AnCO, at a far faster rate than if we had to rely on our own resources. We intend to continue our efforts to use the fund to develop our vocational training system for the benefit of Irish people and to provide them with the skills necessary to acquire good and stable employment.
We have done well from the fund and have succeeded in getting approvals for higher grants each year since 1973. Our fund assistance approved in respect of 1978 operations amounted to £28.8 million, which represents an increase of 50 per cent on the amount approved for 1977 operations and is the largest increase achieved so far.
As regards 1979, a total of 32 applications for about £34 million has been submitted to the Commission in respect of operations commencing in 1979, of which about £31.5 million relates to 1979 operations and about £2.5 million to 1980 operations.
In addition, grants approved in earlier years in respect of operations to be carried out in 1979 amount to about £8.7 million. I am confident that the total amount of fund grants approved for 1979 will again show a substantial increase on the figure for 1978.
I already mentioned the new fund aids for young people which came into operation from 1 January 1979. We advocated and pressed for such aids and strongly supported proposals put forward by the Commission in April 1978 for the introduction of the new aids. Lengthy negotiations were necessary to secure Council agreement, which was eventually reached in November 1978. The new aids cover certain job creation measures for young people under 25 years of age in both the private and public sectors, though jobs in central government administrations are excluded. The maximum fund contribution for Ireland will be about £11 per person per week. We intend to take full advantage of this new fund intervention and have already submitted applications for assistance in respect of our various schemes to promote employment for young people.
The Irish Government attach the greatest importance to the Social Fund which has been one of the major benefits of EEC membership and has provided us with a great opportunity which we have used successfully and efficiently.
My Department are also involved in the activities of the ILO, the Council of Europe and the OECD.
We shall be sending tripartite delegations to the 65th Session of the International Labour Conference in June 1979 and to the 3rd European Regional Conference in October 1979. The June conference will consider, inter alia, the adoption of new international instruments relating to hours of work and rest periods in road transport and occupational safety and health in dock work. The October conference will be mainly occupied with young people and work and policies and practices for the improvement of working conditions and working environment in Europe.
We are saddened by the continued absence of the United States from the ILO. I can only wish that the efforts of member countries, including Ireland, will be successful in securing an early return of the US to membership.
As you know, this year is the Year of the Child. To mark its importance in a special way the ILO have urged member states to ratify Convention No. 138 concerning the minimum age for admission to employment. I am happy to say that Ireland has already done this. I propose to recommend to the Government the ratification of two further conventions in the near future—the Human Resources Development Convention, No. 142 of 1975, relating to vocational guidance and vocational training in the development of human resources, and the Tripartite Consultation (International Labour Standards) Convention, No. 144 of 1976, concerning the promotion of the implementation of international labour standards and national action relating to the activities of the ILO.
My Department's involvement in the work of the Council of Europe is concerned with the European Social Charter on which member states are required to report biennially.
In the fight against unemployment the Manpower and Social Affairs Committee of the OECD continue to play an influential role through their reports, research and the 1976 recommendation on a general employment and manpower policy. The secretary of my Department has been serving as chairman of this committee for the past three years and will shortly complete his term of office.
The committee have been following up the work done at the high-level conference on youth employment held in December 1978 under the chairmanship of the US Secretary of Labour. The committee have also been examining the employment measures taken by member countries during the recent recession in relation to the desirability of resuming a high level of economic growth.
One of the most important items of expenditure covered by the Vote for my Department relates to the Labour Court and its industrial relations service and also the rights commissioner service. These are all free services and are supported and availed of by employers and trade unions.
When the Oireachtas set up these services what they did, in effect, was to provide a forum where the parties to disputes could come together and try to reach agreement with the help of an impartial third party. As Deputies are well aware the normal practice is for workers and employers to discuss and negotiate with the intention of settling issues between them. In fact the vast bulk of issues are resolved in this way. However, to assist the parties, the industrial relations service of the Labour Court are available. When efforts at conciliation have failed, and where both parties are agreeable, the court will investigate a dispute.
The Industrial Relations Act, 1969, empowered the Minister for Labour to appoint rights commissioners. The type of disputes with which the commissioners normally deal concern "rights", such as dismissal, demarcation and disciplinary disputes. When a rights commissioner has investigated a dispute, he makes a non-binding recommendation to the parties, suggesting terms of settlement and either of the parties involved may appeal this recommendation to the Labour Court. In such event, the court's decision is binding. However, neither the rights commissioner's recommendation nor the Labour Court's decision on an appeal is legally enforceable.
The various procedures have been designed for parties desiring to settle or prevent disputes. Cases have come to light, however, where the parties to a dispute did not make genuine efforts to reach agreement in direct negotiation or at conciliation conferences. It would appear that these processes were used as a stepping stone to a Labour Court investigation. In situations like this it is understandable that the processes of negotiation and conciliation have not been successful.
I would like to urge on the parties to discussions the need to make every effort to reach settlements through negotiations. The most satisfactory settlements are those reached in this way.
In 1978, industrial relations officers of the court acted as chairmen to negotiations in 1,288 cases, an increase of 113 over the 1977 figure which, itself, had been an all-time high figure. The court held 602 hearings and issued 545 recommendations in 1978 as compared with 462 recommendations in 1977 and 162 in 1971. The rights commissioner service also continues to be used increasingly. In 1978, the commissioners investigated, under the Industrial Relations Act, 1969, and the Unfair Dismissals Act, 1977, about 1,960 cases as compared with 1,830 in 1977.
To deal with the increasing workload and to reduce and hopefully eliminate delays in dealing with cases, I have made an order providing for a fourth division of the Labour Court and the arrangements for setting it up are proceeding. I will also be appointing additional rights commissioners.
At the first meeting of the Commission on Industrial Relations in May last year I asked for a report to be submitted inside two years if possible. I am confident, from the progress made to date, that this request will be met. When the report is received, we shall all have the opportunity of taking whatever decisions are necessary on this important subject.
I continue to receive demands for more legislation—legislation outlawing strikes and pickets, legislation providing for cooling-off periods and so on. I can well understand the reasons for the calls for law in cases particularly where the life of the community is disrupted by minority groups who persist in the pursuit of their own interests by ignoring agreed procedures. So far, I have resisted these demands, believing that sanity will prevail in industrial relations and that voluntary arrangements negotiated between employer and employee will be supported and will be allowed to work. I believe that I am expressing the sentiments of all right-thinking people in the country when I say that this is not too much to expect.
However, if small groups persist in pursuing their own interests to the detriment of the community at large, the elected representatives of the people may have to consider seriously whether the public interest requires some measures to be taken to protect the people's interests, especially where services and supplies essential to the life of the people are affected.
While I believe that the agreed procedures, coupled with the services provided by the State, are capable of producing settlements in almost every conceivable case of dispute, I do not rule out completely the possibility of my intervening where the agreed processes may have failed to produce a settlement, or where serious hardship for the community is threatened.
This stance is taken in the interest of sustaining the system of industrial relations which has been developed in this country and which trade unions and employers also want to see operated without interference. I should make it clear, at the same time, that I do not see my office as one of detachment or aloofness from the negotiating scene. I keep in close touch with all significant developments and I receive daily reports from the industrial relations monitoring unit of the Department. In certain situations it is apparent to me that failure of one or other of the parties to a dispute to use the machinery available to them could lead to a breakdown. In numerous such situations I have met the parties to disputes in order to persuade them to use the machinery or I have given instructions for this to be done in my name. Deputies will appreciate that in proceeding in this way it is necessary for the Minister to act with care and discretion. It is necessary to make it clear at this point that the vast majority of our disputes are settled quietly in a mature way within the agreed procedures and without the glare of publicity.
Without prejudice to what the Commission on Industrial Relations may suggest, I would like to say that one conclusion I have come to is that a change in basic attitudes is essential if we are to have a real improvement in industrial relations. One of the ways in which this change can be achieved is through a better informed trade union movement and a more open approach on the part of employers. To help towards this, the Government make available through this Vote substantial financial assistance for the education, training and advisory services of the ICTU and for the Irish Management Institute. In so far as the grant to congress is concerned, it was subject to a restriction which would have had the effect of requiring of congress, as and from this year onwards, that they meet 50 per cent of the gross expenditure on their education, training and advisory services. However, this restriction has now been removed and the grant has been established on an 80 per cent Exchequer 20 per cent congress contribution basis. The grant to congress has steadily increased over the years and it now stands at £205,000. In addition, since the beginning of the year, my Department have assumed responsibility for the payment of the State subvention to the College of Industrial Relations. The amount being provided this year is £20,000; double that for last year. I would expect that the outlay by the State on these institutions will bring substantial benefits and will improve the quality of our conduct of industrial relations.
The multiplicity of unions has long been recognised as a factor causing special problems for us, especially at the level of the enterprise. The Irish Congress of Trade Unions have for some time been promoting the better organisation of trade unions in joint structures to achieve common negotiation procedures where a number of trade unions operate within an industry or firm. Any moves in this direction are deserving of support and I would encourage employers to co-operate fully with the congress in the matter, in the interest of improving industrial relations.
The proposals for a national understanding represent another important development in the relationship between Government, employers and workers. They certainly represent a major step forward towards achieving national agreement on a wide range of topics, including employment, pay and taxation, health and welfare and education. I would remind the trade union movement that when they vote on the proposals on 23 May they will be voting on major issues of vital concern to the whole community and not merely on a pay policy. The proposals constitute a concept which falls to be accepted or rejected in toto.
One of the most important aspects of the framing of the proposals for a national understanding was the spirit of co-operation and unity of purposes shown by the parties involved towards achieving economic and social progress. It is to be hoped that this spirit will set a headline for those concerned with negotiations at all levels. If there is adherence to agreed procedures and if full use is made of the dispute settling machinery both sides of industry will be making a worth while contribution towards industrial peace and the well-being of the country.
