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Dáil Éireann debate -
Tuesday, 1 May 1990

Vol. 398 No. 1

Ceisteanna—Questions. Oral Answers. - Semi-State Companies.

Proinsias De Rossa

Question:

7 Proinsias De Rossa asked the Taoiseach if he will outline the matters discussed at his meeting with a deputation from the Irish Congress of Trade Unions on 27 March 1990 regarding the semi-State sector; if any new initiatives are expected regarding semi-State companies following this meeting; and if he will make a statement on the matter.

I met a deputation from the Irish Congress of Trade Unions on 27 March, accompanied by the Ministers for Finance, Industry and Commerce and Labour to discuss the semi-State sector.

ICTU expressed concern at speculation relating to the possible sale of a number of State companies and outlined their position in relation to the matter as contained in their policy statement on privatisation: Public Enterprise and Economic Development.

My colleagues and I assured the deputation of the Government's commitment to an efficient semi-State sector and our concern that it should contribute to the faster growth of the economy and employment.

It was agreed that a working group, under the Central Review Committee of the Programme for National Recovery, would undertake a speedy review of the role and contribution of semi-State companies in economic development and in job creation. The working group will examine the various possibilities that exist to improve the performance of State companies including the possibilities for developing large scale indigenous companies capable of exploiting the Single European Market.

Copies of the joint Government-ICTU statement which issued after the meeting are available in the Oireachtas Library.

Could the Taoiseach indicate when he expects that the review committee will report? Could he indicate how the review committee are made up? Will he tell the House if there was a discussion about which companies it is intended to privatise, either in part or in whole?

As I mentioned in my reply, the working group will endeavour to carry out a speedy review. I cannot give the Deputy an exact date but I do not think there will be too long a delay. I reject entirely the use of the word "privatise". There is a whole range of possibilities whereby the operations and capital structure of semi-State companies can be strengthened.

Have the Government representatives at this meeting given any assurances to the Irish Congress of Trade Unions other than that such a review would be conducted in regard to particular State companies, for example, Irish Life or the Irish Sugar Company? Secondly, when does the Taoiseach expect this review to be complete?

As I said to Deputy De Rossa, I cannot give the Deputy an exact date for completion but it is intended that it should be a very speedy review. I imagine it will be a matter of months.

Are all the Government proposals in regard to Irish Life put on hold pending the completion of this review?

I note the Taoiseach said that the ICTU deputation expressed concern about the Government's plans for privatisation.

No, Sir, I did not say that. I said they were concerned at speculation.

When speculation comes from the Department of Finance it is rather well founded, I imagine. Could I ask the Taoiseach if the deputation were totally opposed to speculation in relation to plans for Irish Life and if they further said they would be totally opposed if that was the Government's intention in relation to the rest of the semi-State sector?

No, that is not true.

What companies did the congress representatives indicate they would be happy to have privatised?

The Deputy may be surprised and perhaps even disappointed to learn that it was a very constructive discussion. It was more on the general principles than on any particular semi-State company.

Can I take it that the privatisation of Irish Life as announced some months ago is now continuing regardless of the concerns of the ICTU?

Not regardless of them——

Despite them.

——in full consultation with the representatives of the workers in that organisation.

Would the Taoiseach not agree that it would be better if we did not play cat and mouse games in this House?

The Deputy knows a bit more about cat and mouse games than I do.

Would you like a few lessons?

That might be putting it mildly.

Would the Taoiseach admit that congress expressed very strong opposition to the privatisation of Irish Life and that this is their public position?

I think it would be better to let the ICTU speak for themselves in that matter.

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