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Seanad Éireann debate -
Wednesday, 12 Feb 1975

Vol. 79 No. 6

Trade Union Bill, 1974: Second Stage (Resumed).

Question again proposed: "That the Bill be now read a Second Time."

Before the tea break I was saying I would not be too happy with the system of postal voting because I believed that a lot of illegal voting would take place. I know of a number of occasions where postal voting was introduced and when the vote was received by the voter a door-to-door collection took place and one or two individuals voted en bloc. To me that is not a good system. I would prefer that a notice of meeting would go out. The notice would state that a vote would take place in secret at the meeting and that the majority vote would carry the decision. That is the way I should like to see voting taking place.

The other thing I should like to see developing—and I should like the Irish Congress of Trade Unions to take an interest in this—is a code of practice. It is necessary now because amalgamations of trade unions will be a new thing and many of the people concerned, the members of the trade unions, may not realise, even though it may be explained at meetings and so on, the importance of what is taking place. If there was a code of practice, then a guarantee would be given to the voters or to those concerned and an explanation would also be given to them of what was about to take place, why and so forth.

This is necessary because there are people in the trade union movement who do not understand many of the systems there and who would not understand what amalgamation was about and why amalgamation should take place, what benefits would derive from amalgamations and mergers. Therefore discussions on amalgamations should not be rushed. Those concerned should take time and consider and explain what is involved and so forth. It is important that this code of practice be introduced. The people who would know most about that would be the Irish Congress of Trade Unions, and I am sure they will do something like it.

What has happened on many occasions, and, as I explained before the tea break, should not happen again, is coercion, deliberately forcing people to vote one way or the other or canvassing or the transfer of union members from one union to another. This should not go on. No member of one union should be transferred to another union without the consent of both unions. If there is a rule about that it has not been practised, and if there is not, then a rule should be made. If canvassing of members is allowed to take place before voting and people are encouraged to join one union, then they could influence the voting at an amalgamation.

I would also like to ask a few questions that arise from the Bill. One of them is about the committee of management or the executive resident in the State or in Northern Ireland. I could see the position arising where the committee of management or the executive would be composed totally of English members, elected by the majority votes of the union. The majority votes might be English-based, and they would elect the executive. That elected executive could be composed entirely of English-based people transferred to Ireland.

I would not like to see that type of situation because that is no better than what we had before. The Irish members should be allowed to elect their own Irish executive. The decisions should be made by that executive. That would take into consideration the influence of the Irish voter and it would also be Irish people instructing Irish members. The members of the trade unions would have more confidence in what they would be told by that type of executive. If that is not so, I would like if the Minister would examine what I am suggesting and perhaps change section 16 of the Bill.

I would not agree with any type of compulsory voting. I would agree to allowing the members to decide if they wished to vote or not. We are all free to do as we wish provided we do not break the laws of the land. If a person felt he did not understand what was going on or if he felt that he did not like to make a decision one way or the other that trade unionist should be allowed not to vote. There should be no compulsion on anybody to vote not should there be any compulsion on anybody to attend a meeting. He has every right to attend and should be encouraged to attend but he should not be forced to attend meetings. If a certain dialogue at grass-root level developed and members got explanatory leaflets and had explanations given to them about what was taking place in an amalgamation opposition, a good day's work would be done.

It has been mentioned that finance would be available to help amalgamation. If amalgamations were proposed and meetings held and money was spent in organising those meetings and the decisions was taken not to amalgamate, would the cost of organising all those meetings be paid?

I welcome the Bill. I can see there are dangers in it, but at the same time if we had amalgamations, taking into consideration the discipline of the members and the amalgamation of those individual disciplines into one union, I would think we would be doing a good job for all concerned.

I should also like to welcome this Bill in broad terms. It is the sort of Bill which does not place any extra burden on the Exchequer and if it goes through and is acted on should help to save not just the Exchequer but the country as a whole large sums of money which might otherwise have been bound up in the settlement of wasteful inter-union disputes.

I yield to no one in deploring the division which still exists in the trade union movement. The greatest division of all exists between the two big general unions. I welcome this Bill in so far as it tends, for the first time, to make things easier for unions to amalgamate. The tendency in this country, and not alone in trade unionism, has been towards fission. There has always been within each group one smaller group which feels that it alone is in possession of the purity and the totality of some particular doctrine or some peculiar principle of organisation. It sees it not only as a God-given right but a God-given obligation to split and separate from its parent organisation in order to manifest in organisational terms its adherence to this principle. We cannot afford many splits like this in society. We certainly cannot afford them in the trade union movement. The Minister referred to another piece of legislation passed not very long ago which bears to a certain extent on the same subject. The Trade Union Act, 1971, he said, by laying down more stringent requirements for the granting of negotiation licences has helped to prevent the further fragmentation of our trade union structure.

I accept that the Trade Union Act, 1971, has acted in this way but in this House I was one of the severest critics of that Bill. I believed then and I believe to a certain extent now that the measures taken in that Act to prevent the fragmentation—which we all agree is a bad thing—were ones which went perilously close to the border of unconstitutionality. I believe that the price that may have been paid in principle for the passing of that Act and for the benefits it conferred on the country within a short term may yet prove to have been very high indeed.

There is always the danger when we introduce legislation about trade unions that we see trade unions as a method of controlling workers and not as methods of representing workers. If we fall into this habit of thinking about ways of controlling workers, whether industrial or commercial workers, we are fundamentally misrepresenting the purpose of the trade union and making it more difficult to promote industrial and economic harmony.

The internal democracy of trade unions is as important as their negotiating aspect. It is because of this that I view with a certain reserve the provisions in this Bill which amend the existing trade union legislation to allow for simple majority votes to decide questions of amalgamation. The system laid down in the existing legislation is a cumbersome one. It calls for a 50 per cent majority of the total membership of the union concerned.

While accepting that this is cumbersome and needs to be changed, I would perhaps question whether it needs to be altered quite so dramatically and quickly. At a time when we are accepting that the structure of trade union organisation is becoming more and more complex, I am unhappy that we must simplify and pare away at democratic principles in order to make this complexity workable.

I believe trade unions have a responsibility towards their membership. That responsibility involves very much greater streamlining and making more efficient the processes of internal democracy within the trade unions. I am sad to see here what seems to be a second best solution. One is probably prepared to accept it because the impossibility of doing anything else is so marked. I ask people to be on their guard against accepting legislation which effectively more and more will concentrate power and authority in the hands of an activist elite at a time when more people are being effected by the decisions this activist elite are taking.

I welcome this Bill unreservedly. Section 15 refers to English-based trade unions. The Minister reminded us in his speech that this Bill now provides that a British-based union may not hold or be granted negotiation licence unless it has an executive resident in the State or Northern Ireland with powers to take decisions over a wide range of matters.

It has already been the case for quite some time that companies in order to be registered in Irish law must have a certain proportion of Irish-based directors. This may have been in many ways a token representation, but the law was there and had to be obeyed. It is totally anomalous that the conditions which apply to one side of industry in that respect should not also apply to the other. I welcome the Minister's foresight in introducing this legislation.

Problems faced by organised labour in different countries throughout the world are very broadly similar. That is not to say that the remedies for those problems in each individual sitution are exactly the same, or that people living not just hundreds of miles away but in different jurisdictions and under different law systems, are in a position to judge precisely what remedy should be applied at the furthest extremity of their unions. It goes against the grain in a sense to say this because people who believe in organised labour, in its values and in the values it defends, will maintain very stoutly and rightly that the fundamental purpose of organised labour is the same in every country in which it exists and there should not be any conflict between organised labour in one country and organised labour in another.

Unfortunately, the history of international labour has shown that this is not necessarily true. It has been shown also that very often when there is a national conflict any supposed solidairty between organised labour in one country and another is very quickly swept aside by political, nationalistic or other considerations. One of the reasons for this may have been that people assumed the commonality of interest and identity of interest without going too closely or too deeply into the need to build a firm substructure on which this commonality of interest could be based.

To my mind this section goes a long way towards recognising the reality that different situations demand different solutions while, at the same time, not cutting across the fundamental principle that the interests of organised labour are the same. I speak as a member of an English-based trade union. It is not mere chauvinism which makes me say that there have been not a few occasions in the 12 years I have been a member of that union where we have been baffled, frustrated and felt deeply misunderstood by officials at headquarters in London, however well meaning and closely involved in our situation they may be.

I look forward to some details from the Minister when he replies about the power he has in mind that resident executives in this State or in Northern Ireland should have with regard to the conduct of the affairs of English-based unions of which they are the local representatives. As I said, it is not chauvinism which makes me praise this, it is industrial pragmatism. It is something which does not cut across the concept of solidarity which is the basis of trade union activity. Indeed, subject to the reservations I have mentioned, we welcome this Bill as a whole.

Cavan): I thank the Senators for the welcome extended to the Bill and their general acceptance of it. I would also like to apologise to the Seanad for my trips to the other House during the debate. I am sure Senators, being familiar with the importance of a vote—even one vote in a democratic system is important— will appreciate the necessity for my obeying the Division bells. As has been said throughout this discussion, the object of this Bill is to facilitate the amalgamation of trade unions and the rationalisation of the trade union movement within the country.

It has been admitted by all that there are too many trade unions here at the present time, having regard to our population and the membership of the trade unions, which is less than 500,000. It was pointed out by the Minister in his opening speech, and accepted by Members of the House, that many problems and a significant proportion of the disputes which arose in the last comparatively short time, are due to inter-union disputes within the same firm. In this city within the last year we had a classical example of the absurdity of such disputes.

This is an enabling Bill. There is nothing in it to pressurise or compel unions to amalgamate or enter into agreement with each other. It certainly facilitates amalgamation. Because it does that, it has been welcomed by everyone who spoke.

Anything that will lead to better and more orderly industrial relations and tend to eliminate disputes between the management and employees, is in the interests of the management, the work force, of the country and the economy. This Bill has been accepted very generously in principle by the Seanad. Some Senators expressed reservations or fears in regard to some sections. When the Bill is gone into in Committee and the various sections are thrashed out and discussed, the Seanad will be satisfied that many, if not all, of their fears are unfounded.

I would like just to deal with some points Senators have raised in the course of the debate. The Leader of the Opposition, Senator Lenihan, welcomed the Bill. His only reservation was on the lines of "anything you can do we could do better", but in general, he accepted the Bill. On the question of postal votes, he felt every member of the trade union concerned should be given an opportunity to vote. Section (3) (1) (b) lays down that every member of the unions concerned will be given reasonable facilities to vote. I am satisfied that that in many cases will entail resorting to postal votes. Therefore, I do not think the Senator need be worried on that score.

He was also concerned because the Minister for Industry and Commerce comes into the Bill. If he does, it is in a very indirect way and only because the Registrar of Friendly Societies operates under the Department of Industry and Commerce and the machinery, established for many years in the Registrar of Friendly Societies' office, is being used to implement some of the provisions of the Bill, to vet and approve the agreements which will be drawn up to carry out amalgamation. Indeed, the Registrar of Friendly Societies covers a fairly large field in the course of his operations.

The machinery is there and that is why it is being used. If we were to set up alternative machinery, it would probably lead to delays and, perhaps, more expense. It was natural that Senator Lenihan would raise the subject of the political fund and that he would make the obvious Opposition political point that Members of the unions were in some way obliged to subscribe to the political fund of the take-over union.

The Bill is signed in regard to contribution to the political fund. It proposes to accept the law as it is at present. There will, of course, I understand be a necessity for the new union, or the amalgamated union, to decide to contribute to the political fund. Every member of the new union, as I call it, will in the future, as in the past, have the opportunity of opting out, or saying that he does not want to contribute to the political fund, if that is the way he feels about it. I do not think that there is any departure from the present law which has worked very well in the trade union code. I repeat there is nothing of a compulsory nature here. Anybody who contributes to the political fund, does so of his own free will. There is no change in the law in that respect.

Senator Kennedy raised the question of the right to vote. He said he would be happier if a member's right to vote was confined to members in benefit. Section 1 (2) reads:

For the purposes of sections 3 and 4 "member", in relation to a trade union, means a member for the time being entitled to any benefits provided out of the funds of a trade union but, where the rules of a trade union specify the persons (or class of persons) entitled to vote on a particular matter (or class of matter), "member" means those persons.

That probably covers the point raised by Senator Kennedy. If he is not completely satisfied, and as this is a Committee Stage point he can discuss it when the Bill reaches that stage.

Senator Kennedy also asked what matters would be covered by the grants to be paid under section 14. I am told that section 14 is wide enough, and is intended to be wide enough, to cover a fairly wide range of grants for exceptional expenses incurred in the amalgamation or transfer of engagements. It is intended that these expenses would cover legal, consultancy, printing and posting expenses and also compensation for redundancy. That point was raised by a number of Senators. I am advised that the Bill is wide enough to cover all those items, none of the Senators need have any worry. I think it will be agreed that this is generous. Senator Butler also asked if it would cover expenses incurred in an abortive effort to amalgamate. My understanding is that it is wide enough to cover such an effort.

Senator Kennedy also inquired what power the Irish branches of British-based unions would have under the Bill. The powers are set out in section 16 (2), which was referred to by Senator Horgan and others. The intention is that there will be a committee of management composed of people resident in the island of Ireland. This committee will be:

...empowered by the rules of that trade union to make decisions in matters of an industrial or political nature which arise out of and are in connection with the economic or political condition of the State or Northern Ireland, are of direct concern to members of the trade union resident in the State or Northern Ireland and do not effect members not so resident.

I understand that subsection is taken verbatim from the constitution of the Irish Congress of Trade Unions.

Senator Cowen was concerned about redundant officials of smaller unions. He was anxious that they should be re-employed by the continuing or new union. The question of their re-employment must be a matter for negotiation during the negotiations for amalgamation. The Senator can be assured that, if these officers become redundant and are not employed by the continuing union, they are provided for in the section which enables the Minister to make grants towards expenses.

Senator Cowen was also concerned about farm labourers. The Seanad may know that the Minister for Labour is in consultation with the Minister for Agriculture and Fisheries at the moment on the question of establishing a joint labour committee to cater for these workers, instead of the existing Agricultural Wages Board. These negotiations have been going on for some time. The question of the unionisation of agricultural workers is a matter for the workers and their unions who cater for them or are prepared to cater for them. There are more difficulties here than there might be in the ordinary cases because agricultural workers are scattered throughout the country in isolated places. At any rate, the object of this Bill is not to compel anybody to become or to prohibit anybody from being a member of a union. This is simply an enabling Bill dealing mainly with the amalgamation of unions and it would not be proper to include that matter raised by the Senator.

I listened with considerable interest to Senator Harte's contribution on the trade union, the objects of the trade union movement and particularly its development, the part it played in its early years and the new and much wider role it plays now. I share the Senator's hopes for the Bill. I am hopeful that the positive advantages it confers on trade unions will be availed of.

Senator Dolan gave the Bill a céad míle fáilte and had some very complimentary things to say. He, like some other Senators, was concerned about officials becoming redundant as a result of amalgamation. I hope I have put the minds of Senators at ease. I also hope I have made it clear that under section 14 grants can be made to enable the smaller union of the amalgamation to make redundancy payments.

Senator Butler had some doubts about the wisdom of creating larger unions. He seemed to think that by doing so the end result would not be so good. He expressed fears that if the larger unions were too large they would be difficult and that this might lead to members not getting service as good as they are getting now. In my view there is considerably more merit in the larger union. A larger union can afford to be strong when demanding what it considers to be the reasonable rights of its members. It is also strong enough not to be pressurised by members into making unreasonable demands or entering into inter-union disputes. I hope I am making myself clear on this point. A union that is weak or small may find that in order to establish itself, and attract more members and continue in existence it may have to be unreasonable. Therefore there is a lot to be said for fewer and stronger unions, the kind of union that would give a better service to its members and be in a better position to press reasonable demands on employers and so we will have fewer "wild cat" or unreasonable strikes. The end result will be in the interests of employees, employers and the economy in general. The bigger unions will have more expertise and more machinery at their disposal for efficiency communicating with their members and keeping themselves up to date with modern trends and requirements.

Senator Butler also inquired whether the Irish executives of the British-based unions should be elected by the Irish membership of the unions concerned in order to ensure that the executive is composed of Irish people.

Under section 16 (2) of the Bill every member of the executive of a British trade union must be resident in the State or in Northern Ireland. Persons so resident would be clearly sensitive to the situation in Ireland. A British union operating here and soliciting the goodwill of the work force in this country is much more likely to recruit or appoint an Irish executive than British personnel. This is something the Senator can refer to again on the Committee Stage, but I certainly think that the likelihood is that membership of the Irish committee will consist of Irish nationals.

Senator Butler seemed to fear compulsory voting. There is nothing in the Bill, good, bad or indifferent to make voting compulsory. Indeed, the opposite is the case. As the law stands at the moment, unless 50 per cent of the membership of a trade union vote on an issue like this, no decision can be taken. If more than 50 per cent of the membership are so uninterested as to fail to vote, then there is stalemate and no decision on amalgamation can be taken. Further, it is necessary under existing law that 50 per cent vote number one and that at least more than 20 per cent vote in favour of the proposal to amalgamate than against. Under the proposals in the Bill only a simple majority is necessary and there is no stipulation as to what percentage of the membership should vote. The Bill provides that adequate notice must be given to the members so that they will know the proposals that are going before the meeting or are going before the trade union and they will have every opportunity of voting on them.

With regard to the question raised by Senator Butler, I can assure him that the grants are available in respect of efforts to amalgamate which do not turn out to be successful.

I was rather interested in the point put forward by Senator Horgan when he feared that the simple majority provision introduced into the Bill might put power in the hands of an activist élite. I do not think he need be afraid of that because the Bill will ensure that every members will receive notice of the vote. If a member declines to vote, his action might reasonably be construed as indifference. The provisions of the Bill set out that each member must be given notice of the proposal and given an opportunity to express his views on it through the ballot. It is unreasonable to say that a simple majority is not enough. I do not accept the Senator's fears that this will put power into the hands of an activist élite. At the moment the sleeping majority of the unions who do not think it worth their while to find out what is going on, come to a meeting or vote, have power by default to obstruct a worthwhile development in the trade union movement. All that is necessary to obstruct a proposal to amalgamate or to restructure a union is that 51 per cent be so disinterested in the working of their own union that they do not bother to vote. That is a bad thing. The procedure in the Bill, which lays it down that a simple majority is sufficient provided every member of the union who can be contacted is given notice of the proposal and given an opportunity to vote, is a good one.

What I have said deals with practically every point that was raised in this Second Stage debate. I again want to thank the Senators for their contributions and for the manner in which they received the Bill. This is my second visit to the Seanad as a Minister and I must say I enjoyed it.

Question put and agreed to.
Committee Stage ordered for Wednesday, 12th March, 1975.
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