The subject of this motion was recently fully debated in the Dáil and there seems to me to be no obvious reason for the motion, except to try to score a point for Senator Donegan. The question of compensation was dealt with by the Minister for Industry and Commerce in the Dáil on 20th November, and again on the Supplementary Estimate for Transport and Marine Services on 27th November. The position was further clarified by the Minister in reply to a question by Deputy Coburn in the Dáil on 4th December. Deputy Coburn is from Dundalk and is a G.N.R. worker. He should know what he is talking about.
The second part of the motion was covered in a Press statement by the chairman of the company on January 10th. Incidentally, since we had some references last night to language difficulties, I must assume that the word "Republic" in this motion refers to the Twenty-Six Counties and not to the area covered by the clause in the Constitution, which brings in the whole island. To my mind, the speeches last night on this motion were largely an attempt, particularly by Senator Donegan, to befog the issue. I think it advisable to refresh the minds of Senators on what exactly transpired.
To recapitulate the reasons which led to the establishment of the Dundalk Engineering Company, it will be recalled by Senators that the Dundalk works were the main workshops of the G.N.R. They were vested in the G.N.R. Board under the Great Northern Railway Act of 1953. They employ about 1,000 workers. Senators will remember that the Minister of Commerce in Belfast indicated his intention to terminate, as from October next, the agreement with the Government here for the joint operation of the G.N.R. undertaking. As a consequence of the termination of the agreement there will inevitably be a serious reduction in the amount of work available to the Dundalk works as it can be assumed that maintenance, repairs, etc., in respect of that portion of the G.N.R. in the Six Counties will be done by the Ulster Transport Authority. Accordingly, the Minister made arrangements for the establishment of a new company to take over the works and secure new industrial activity for it with a view to maintaining the level of employment there. The company has a nominal capital of £100 which is held by the Minister for Finance. This new company took over the works on January 11th.
On 20th November, the Dáil, on the motion of the Minister for Industry and Commerce, approved of a draft Order to be made by the Government adding the Dundalk Engineering Works, Limited to the Schedule to the State Guarantees Act, 1954, so as to enable the Minister for Finance to guarantee borrowing by the new company up to a maximum of £500,000. The Order, as approved, was subsequently made by the Government and guarantees have been issued to meet the immediate financial needs of the company. I might remark in passing that when the guarantee Order came before the Seanad subsequently, Senator Donegan was not here.
With regard to the second part of the motion, the future working, the Dundalk Engineering Works, Limited had negotiated a contract with the G.N.R. Board to handle all railway work for the board as long as the board continues to operate the G.N.R. undertaking. C.I.E. will be taking over the G.N.R. rail and road services in this area in October, 1958. The Dundalk Engineering Works, Limited have made an agreement with C.I.E., under which all G.N.R. rail and road rolling stock which will be taken over by C.I.E. in October will continue to be maintained in the Dundalk works to the greatest extent possible. A statement to this effect was issued to the Press by the company on 10th January.
In addition, it will be remembered that the Dundalk Engineering Works, Limited, have tendered for rail and other work in a number of foreign countries. Every person of goodwill who has no axe to grind will wish their efforts every success, and hope that, as a result, there may be established in full working operation a first class heavy engineering industry in that part of Ireland.
With regard to the first part of the motion, it should be remembered—and I do not think Senator Donegan pointed it out—that, under the provisions of Section 38 of the G.N.R. Act, 1953, a redundant G.N.R. worker domiciled in this part of Ireland is entitled to compensation only where he has been directly employed and has been employed wholly in connection with a train service being discontinued. As was pointed out, workers in the Dundalk works have no statutory right to compensation for loss of employment by reason of a reduction in the volume of work available.
I am a great believer in trade unions; I have great faith in their efficiency and in their devotion to the interests of the workers. I believe they are quite capable of safeguarding the interests of the workers concerned. It might be well for me to recall that, as far back as 5th November, the representatives of the unions catering for G.N.R. workers in the Dundalk works met the Minister for Industry and Commerce at the Department of Industry and Commerce and got an assurance that the pension rights and other welfare benefits of the workers would be preserved.
New transport legislation is at present being drafted to provide for the reorganisation of C.I.E. and the taking over by C.I.E. of the portion of the G.N.R. undertaking in this area, apart from the Dundalk works. No further addition can usefully be made to the information already given by the Minister for Industry and Commerce in the various references in the Dáil, pending the introduction of that legislation.
Last night, Senator Murphy expressed the fears of the people in Dundalk that the new enterprise might not succeed. A pessimistic outlook of the situation was also conveyed— probably inadvertently—by Senator Donegan. So that Senators will know that the people who actually live in the town of Dundalk have another view, I should like to quote from this week's Dundalk Democrat the observations made in regard to Senator Donegan's recent statements. The Democrat says:
"What grounds had Senator Donegan for his statement at the county council meeting that this town of ours had been hit by the greatest wave of pessimism known in any Irish town in the last 20 years? Well-grounded anxiety there was, and to some degree still is, but not pessimism. This old town of ours all through its career has had its share of hard knocks, but it has survived them all, even flourished in them, and, with God's help, will continue to do so."
I would like to add to that very pertinent comment my own view, and the view of everyone with any common sense, that the prospects of the new company and the great commercial enterprise on which it has embarked will be greatly improved, if the practice of holding public meetings and making windy speeches about it is discontinued, and if politicians of all Parties agree to treat it as a commercial undertaking organised in the hope of providing and maintaining employment, and not as a subject for political posturing.