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Dáil Éireann díospóireacht -
Thursday, 27 Jun 1929

Vol. 30 No. 15

In Committee on Finance. - Vote 57—Railways.

Debate resumed on motion "That the Estimate be reduced by £15,526 in respect of Item C." (Seán F. Lemass.)

Three serious criticisms have been made with regard to sub-head A of this Vote. The first criticism came from Deputy Lemass, who asked whether it is right that this sum of money should be paid—£48,000—to the Great Southern Railway under the 1924 Act, when, as he alleged, the Railway Company was not carrying out the obligation imposed on them under the Act of 1924. He founded his charges entirely on Section 55 of the Act. As far as I remember, the contention ran this way, that Section 55 establishes that rates of pay of railway employees shall be regulated in accordance with an agreement made or to be from time to time made between the trade unions representative of such employees of the one part and the railway companies.

Sub-section (2) of that section states: "The original or a counterpart or a copy certified in such manner as the Minister shall direct to be a true copy of every such agreement as is mentioned in the foregoing subsection shall be deposited with the Minister within one month after the passing of this Act." The Deputy's allegation is, first, if there is an agreement which is not registered under that Act, then there is a dereliction of duty. I am particular in not saying that it is registered. There is no positive obligation imposed on me under that section to see that any agreement is lodged with me. As a matter of fact, I went out of my way by writing both to the Union and to the Companies, and by writing on several occasions, to get all the agreements of which I had any notice, and to get them registered. If there was an agreement of which I had notice, I think it would be the commonsense view to take it that it was my duty to write and ask why this was not being registered. But when we come to the MacNeill award, I want to say I did not write and ask for that. If the MacNeill award had been sent in as an agreement to be registered under this section, I should have to refuse it, because by its very title it will be revealed to anybody who thinks that it is not an agreement. An award of an arbitrator can never be classed as an agreement. If after the arbitrator had made his award both parties had accepted it and it was in the hands of the courts and made a sort of rule of court, then it might have been registered. Further, I asked Deputy Lemass if he thought that this agreement which he felt I should have registered and which he apparently thought was an agreement of the type spoken of here applied to the people concerned. The Deputy was very careful. It is a good habit when you do not want to make a case against yourself not to read the section in full. The Deputy simply said that the wages, etc., of railway employees were offset against shopmen, and shopmen were railway employees. The third section says: "Railway employee means a person who is employed by a railway company in any of the grades specified in the Eighth Schedule to this Act." I wonder does the Deputy know what a shopman is?

Who briefed him in regard to the contention that he was arguing last night? Is there anybody who has any knowledge of railway affairs who would say—or will the Deputy again say after he has thought over this matter—that the people on whom notices were served and whose cases formed the grounds of his complaint last night, are in any of the grades mentioned in the Eighth Schedule? They do not form part of the grades mentioned in that Schedule and particularly the people about whom Deputy Lemass was speaking could not have their grievances registered except in so far as under the next section they might hereafter be brought within the scope of the agreement referred to in the section by reason of a further agreement between the parties. That has not been done. In so far as the Deputy founded his case for refusing to vote the money to the railway company because they are not carrying out their obligations, and founded that upon the recent notices served on the shopmen and his interpretation of Section 55, the case falls to the ground. Section 55 bears no relation whatever to the matter and no railwayman could possibly have advised the Deputy that Section 55 has any relation to shopmen. If it has, then the MacNeill award could not have been registered. In fact, no attempt was made to register it. If there had been I should have felt bound to refuse it. There was no attempt made to register it and it certainly is not my duty to see that any agreements are registered. Section 55 has no application to the people about whom the Deputy spoke and their cases need not be considered.

Deputy Cassidy raised a different point. He said that notice has been given that certain machinery is to be put an end to. That is a very serious notice to have issued. It is a thing to which attention must be given and there will be plenty of time to consider just what the situation is. The Deputy's plea was to look forward to the chaotic state in which the railways might be plunged if that negotiating machinery was not kept in being. I do not know what the Great Southern Railways Company's intentions in the matter are. I do not know if they are going to propose other machinery which might be better. One has to wait and see how it is going to work out. Deputy Davin's criticisms went on a different line. He did refer to the same point as Deputy Cassidy, and he took very good care not to refer to the point made by Deputy Lemass, which he realised, I think, as an absurd point. He did seem to be complaining that employees of the Railway Company who had certain compensation granted to them, or at least who had terms on which compensation would be given to them under legislation passed by the Oireachtas, who had terms on which compensation would be given to them under legislation passed by the Oireachtas, were not in fact receiving these terms. That is a serious allegation to make. The Deputy says that he knows of cases and could mention individuals who were obviously before his mind when it would be necessary to mention them. He said he could go into detail and could speak of men with thirty or forty years' service who were notified by 'phone that they could take holidays and at the end of holidays they would be dismissed and whatever would be given to them would be announced later.

I stated that I could refer to the cases of men whose services have been dispensed with in the most discourteous and the most brutal way without giving them the conditions to which they are entitled on being retired.

I thought the Deputy went further. As to courtesy between employers and employees, there is no statutory regulation.

I quite agree.

And as to brutality, there is no statutory regulation. But if there is breach of agreement, if there are conditions promised to railway employees by this House, and if these conditions are not being observed, then a different situation arises. If I get a sufficient number of cases to evidence that statement, then I will certainly take the field against the railway company just as previously I took the field against the employees, when I thought they were trying to proceed in a way detrimental to the legislation passed by the Oireachtas. But there must be cases and we must get details. If the Deputy, or any other Deputy, can give me indications of cases where it is alleged men have to perform certain services, and that they are the type of men whose conditions were envisaged under the Third Schedule, or under the amending legislation, and compensation is not being paid them or the conditions in regard to them are not being carried out, then once I get a sufficient number of such cases to make me believe that there is more in the matter than a mere accidental case cropping up, I will take it up with the railway company in order to see if their conduct is contrary to the Act or deliberate, and if I get that proved we will then proceed to some further action, but it will depend upon the cases if I can get them.

I think it would be as well if Deputy Lemass moved for the reduction of Item C by a nominal sum, say £100.

I am quite satisfied.

Do I understand that any other Deputy who may wish to raise a matter on subsequent sub-heads will be allowed to do so when this amendment is dealt with?

Yes, but not on sub-heads A or B.

Sub-head C is an item of £23,290, representing the annuities contributed to repay advances by the National Debt Commissioners under the Railways (Ireland) Act, 1896, and the Marine Works Act, 1902. These Acts were passed by the Parliament of the old political unit that was known as the United Kingdom of Great Britain and Ireland. The Railways Act was passed for the purpose of facilitating the construction of certain railway lines in Ireland, and the Marine Works Act was for the purpose of facilitating the construction of certain piers and other marine works in connection with industries in the congested districts. The amount required to enable these works to proceed was advanced by the British National Debt Commissioners, and was repayable in a certain number of terminable annuities similar to those set out in the note attached to this Estimate. If the old political unit of the United Kingdom of Great Britain and Ireland had remained in existence, there would be no question as to the right of the British National Debt Commissioners to receive these annual payments; but when that unit ceased to exist, and when it was divided into the present units of the Irish Free State and the United Kingdom of Great Britain and Northern Ireland, the question as to who was entitled to receive these payments should have arisen for discussion and settlement. Apparently it has not done so. I know the Minister for Industry and Commerce informed us, when we were discussing this matter last year, that probably agreements in connection with financial matters of this kind were proceeding every week during the existence of the Provisional Government; but at one time, at any rate, we were given to understand that these various financial agreements were codified, if I may use the word, in the document known as the Ultimate Financial Settlement.

In the statement in this House by the Minister for Finance relating to the payments under the so-called Ultimate Financial Settlement, no reference to these payments occurs. No information was at any time given to the House as to the reason why the full amount of these annuities was being transferred to the British National Debt Commissioners and every attempt which we have made to secure information has not been successful. It is possible, of course, that it never occurred to the Executive Council in this as in other matters to question the right of the British National Debt Commissioners to receive the money. We hope, now that the fact is brought to their notice, that they will have a perfectly legitimate claim to part, if not to the whole, of this money, and that they will at least press that claim with the same vigour as the British Government pressed their claim in respect of the coinage settlement recently perpetrated. When the political division between the Irish Free State and the British United Kingdom occurred, one possible arrangement in respect of these payments would have been to have divided the annuities in a certain agreed proportion between both Governments. That was not done. Instead of that being done, the entire amount of the money is being handed over to England.

I think it is well that I should at this stage say that it is not, in my opinion, any argument to assert that we have in Ireland the assets which this money was advanced to create. Money was advanced to the same Parliament of the United Kingdom of Great Britain and Ireland, as it was called, by the British National Debt Commissioners to create similar assets under similar Acts in Great Britain and in Scotland and in Wales. If the Free State Government thinks that the fact that they possess assets which were created under these Acts in Ireland obliges them to pay the full amount of the annuities due in respect of them to the British National Debt Commissioners they are mistaken and they are entitled to claim some, if not the entire, of the payments which have been made annually to the British National Debt Commissioners. The fact is, however, that the British Government receives all the money in respect of the assets created, whether these assets exist in Great Britain or in the Irish Free State. I think the proper attitude which the Free State Government should have maintained in this and in other financial matters was to have retained in the Exchequer of the Irish Free State all the money arising in this matter in the Irish Free State, and should have permitted the British Government, without objection, to retain in its Exchequer the money accruing from British territory. There would have been many international precedents for that action. Instead of doing that, they have never at any time questioned the right of Britain to receive the money and are very meekly and mildly paying it over every year. Of course, it is only a small item in the financial relationship between the two countries, and a rather inadequate one on which to base a discussion upon the whole so-called Ultimate Financial Settlement, but it helps to understand the attitude of the Executive Council, and it gives us a clearer insight into the weakness which they have displayed in other matters, particularly the matter of the land purchase annuities and the more recent coinage settlement.

When this matter was discussed last year, the Minister for Industry and Commerce attempted to confuse the issue by making reference to a payment which was made to the Free State railways by the British Government in respect of the period during which these railways were under Government control. That payment as the Minister knows quite well, was on an entirely different basis; but even if the financial settlement which he would like to have effected was to bring about a pooling of all the assets and liabilities of the old political unit of the United Kingdom of Great Britain and Ireland, and a fair apportionment between both countries, it is quite obvious there should be a net sum coming to us every year, unless the liabilities of the British Empire exceed its assets, and it was, in fact, at the date of the dissolution of the United Kingdom, a bankrupt concern. As it is, however, we find ourselves paying an undue contribution in respect of the liabilities and generously surrendering all our claims to the assets in order to help the poor, struggling taxpayer of Great Britain.

The Free State Government, whether through undue love of the Imperial connection or through mere inability to stand up for what was their obvious legal right, have in this as in other matters inflicted a financial injury upon the Irish people. We ask the Dáil to signify its disapproval of their attitude by adopting this amendment, the effect of which, it is intended, will be to delete the amount payable under this sub-head altogether from the Estimate. The amount is not due. Even if part of it might become due under a new Ultimate Financial Settlement, the whole of it certainly is not due, and the fact that it is being paid out without question or explanation seems to us to be a matter that merits the disapproval of the Dáil.

My case in this matter is very simple. When the Government of the country was transferred to the Provisional Government, there was certain property which fell into their hands. An agreement was made at that time, and assets and liabilities were taken over with regard to quite a lot of matters. It is very easy to pick out one item and say that the assets are not worth very much, and consequently a liability ought not to be incurred. The assets would refer to such things as Government buildings, and so on. There was a very good settlement from our point of view. The money was spent in the country, and it cannot be said that a very big annuity had been demanded for it. The country is in possession of some of the assets. It is in possession of the assets in so far as they are not decayed or have not disappeared by the lapse of time. The country took over all the assets and took over the liabilities in respect of them. There was money spent in the country. It was not extravagantly spent.

Was not the money that was spent on the assets collected in this country? The British collected taxes to pay for these assets.

Whatever happened in regard to the collection of the money, the money, at any rate, was put into the country, and there is an annuity in order to pay the people who put up the money. The annuity is being paid and the annuity is going to be paid as long as we are in possession of the assets, whether they are in a state of preservation or are old.

Would the Minister inform us from whom the Free State Government took over the assets and liabilities?

The British Government.

It was not from the Government of the United Kingdom of Great Britain and Ireland?

Mr. T. Sheehy (Cork):

I rise because I may be able to throw a little light on the subject with regard to the Marine Works Act. I was one of a deputation consisting of Mr. T.J. Canty, M.C.C., Clonakilty; Mr. Murphy, M.C.C., Castletownbere, and myself, who were appointed by Cork Co. Council to proceed to the House of Commons in 1902 to lay before Mr. G. Wyndham, Chief Secretary of Ireland, Sir Antony MacDonnell and Lord Shaftesbury our claim for a share of the £37,000 which was allocated amongst the six congested counties of Ireland. We succeeded in getting £5,000 out of that sum for a harbour of refuge for the island of Cape Clear, on condition that the Cork Co. Council contributed £300 out of the rates, which they did. Kerry, Galway and the other congested counties got the balance. It was very valuable money and was anxiously sought for by us in those days.

Motion put.
The Committee divided: Tá, 48; Níl, 73.

  • Aiken, Frank.
  • Allen, Denis.
  • Blaney, Neal.
  • Boland, Gerald.
  • Boland, Patrick.
  • Bourke Daniel.
  • Brady, Seán.
  • Briscoe, Robert.
  • Buckley, Daniel.
  • Carty, Frank.
  • Clery, Michael.
  • Colbert, James.
  • Cooney, Eamon.
  • Corkery, Dan.
  • Corry, Martin John.
  • Crowley, Fred. Hugh.
  • Crowley, Tadhg.
  • Derrig, Thomas.
  • De Valera, Eamon.
  • Fahy, Frank.
  • Fogarty, Andrew.
  • Gorry, Patrick J.
  • Goulding, John.
  • Jordan, Stephen.
  • Kennedy, Michael Joseph.
  • Kent, William R.
  • Kerlin, Frank.
  • Killilea, Mark.
  • Kilroy, Michael.
  • Lemass, Seán F.
  • Little, Patrick John.
  • Maguire, Ben.
  • McEllistrim, Thomas.
  • MacEntee, Seán.
  • Moore, Séamus.
  • Mullins, Thomas.
  • O'Kelly, Seán T.
  • O'Reilly, Matthew.
  • O'Reilly, Thomas.
  • Powell, Thomas P.
  • Ruttledge, Patrick J.
  • Ryan, James.
  • Sexton, Martin.
  • Sheehy, Timothy (Tipp.).
  • Smith, Patrick.
  • Tubridy, John.
  • Walsh, Richard.
  • Ward, Francis C.

Níl

  • Aird, William P.
  • Alton, Ernest Henry.
  • Beckett, James Walter.
  • Bennett, George Cecil.
  • Blythe, Ernest.
  • Brennan, Michael.
  • Brodrick, Seán.
  • Byrne, John Joseph.
  • Carey, Edmund.
  • Cassidy, Archie J.
  • Clancy, Patrick.
  • Cole, John James.
  • Collins-O'Driscoll, Mrs. Margt.
  • Conlan, Martin.
  • Connolly, Michael P.
  • Corish, Richard.
  • Cosgrave, William T.
  • Daly, John.
  • Davin, William.
  • De Loughrey, Peter.
  • Doherty, Eugene.
  • Dolan, James N.
  • Doyle, Edward.
  • Doyle, Peadar Seán.
  • Duggan, Edmund John.
  • Dwyer, James.
  • Esmonde, Osmond Thos. Grattan.
  • Fitzgerald, Desmond.
  • Fitzgerald-Kenney, James.
  • O'Hanlon, John F.
  • O'Higgins, Thomas.
  • O'Leary, Daniel.
  • O'Mahony, Dermot Gun.
  • O'Reilly, John J.
  • O'Sullivan, John Marcus.
  • Rice, Vincent.
  • Roddy, Martin.
  • Gorey, Denis J.
  • Haslett, Alexander.
  • Hassett, John J.
  • Heffernan, Michael R.
  • Hennessy, Michael Joseph.
  • Hennessy, Thomas.
  • Hennigan, John.
  • Henry, Mark.
  • Hogan, Patrick (Galway).
  • Holohan, Richard.
  • Keogh, Myles.
  • Law, Hugh Alexander.
  • Lynch, Finian.
  • Mathews, Arthur Patrick.
  • McDonogh, Martin.
  • MacEóin, Seán.
  • McFadden, Michael Og.
  • McGilligan, Patrick.
  • Mongan, Joseph W.
  • Morrissey, Daniel.
  • Mulcahy, Richard.
  • Murphy, James E.
  • Myles, James Sproule.
  • Nally, Martin Michael.
  • Nolan, John Thomas.
  • O'Connell, Richard.
  • O'Connell, Thomas J.
  • O'Connor, Bartholomew.
  • O'Donovan, Timothy Joseph.
  • Sheehy, Timothy (West Cork).
  • Thrift, William Edward.
  • Tierney, Michael.
  • White, John.
  • White, Vincent Joseph.
  • Wolfe, George.
  • Wolfe, Jasper Travers.
Tellers:— Tá: Deputies G. Boland and Allen; Níl: Deputies Duggan and P.S. Doyle.
Motion declared lost.

Before you put the main question, would I be in order in asking the Minister a question in connection with Sub-head E?

I would like to ask the Minister if he has any information to impart to the House as to the negotiations that are rumoured to be taking place between the directors of the Londonderry and Lough Swilly Railway Company and the directors of a cross-Channel railway combine with a view to the absorption or the amalgamation of the Londonderry, and Lough Swilly Railway with this cross-Channel combine.

How does that arise?

That is far outside Sub-head E.

I notice that in Sub-head E there is an advance. No particular amount is mentioned.

There is no money at all for this purpose.

Mention is made in the sub-head of the Londonderry and Lough Swilly Railway Company, and I thought that the Minister at this juncture might be in a position to make a statement.

We are not voting any money for that.

There must be money actually in the Vote before the matter can be raised.

Are we to take it from the Minister that he does not intend to bring in the usual Supplementary Estimate?

Would it not be to the advantage both of the district and of the employees of the Londonderry and Lough Swilly Railway if it was amalgamated?

Vote put and agreed to.
Barr
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