asked the Minister for Industry and Commerce whether, in connection with his reply to a question on 22nd November last, he is aware of the continued unsatisfactory position in the worsted spinning industry at Tullamore involving short-time, reduction in staff and curtailed production; and, if so, whether he has any statement to make in the matter, and what further steps he now proposes to take to have the very unsatisfactory state of affairs in this industry rectified.
Ceisteanna—Questions. Oral Answers. - Tullamore Worsted Spinning Industry.
The reduced employment and short-time working now in operation in the worsted spinning mills at Tullamore is directly due to a continued falling-off in orders for worsted yarns from the firm's main customers, the Irish woollen and worsted mills. The factors responsible for the present position of the industry were indicated by me on the 31st October last, in reply to Dáil questions.
Steps have been taken to rectify the position of this and other firms and to offset the effects on employment of the heavy stocks of worsted cloths imported last year by a drastic reduction of the import quota for woven woolen and worsted tissues, and by reimposing, with effect from the 9th November last, the tariff of 33? per cent. on yarns of the types made at Tullamore. An expansion of orders for worsted yarns may be expected when the trade of the woollen and worsted mills revives following on the disposal of abnormal stocks.
Has the Minister received any communication from the Tullamore Trades Council requesting him to summon a conference of all the interested parties for the purpose of dealing with the questions of low production and employment? Is he aware that the position is gradually getting worse since last October? Whereas 700 people, men and women, were in full employment last October, only 340 were employed for three days last week.
I have received that proposal to summon a conference but I have not yet considered whether I should act upon it. There are no obvious advantages to be gained, in view of the facts relating to this industry, by holding such a conference. I would require to consult the firm as to their view on the proposal that their business should be discussed at such a conference and there are other difficulties also. The Deputy, I think, will not be unconscious of the fact that the summoning of a conference on the lines proposed would create a certain problem.
Is there not an obligation on a firm that is getting the benefit of a high tariff to prove to the satisfaction of the Minister that they are producing to the maximum capacity?
No.
Might I ask the Minister whether he would make inquiries in order to satisfy himself and his Department that the management of the Tullamore spinning mills is in no way at fault? There is a rumour in the area that the mills are not being properly managed and an inquiry into the working of the mills is necessary. In fact if the Minister takes other branches of the industry from the point of view of short working time and the number of staff laid off he will find that the number is very small in comparison with the large number of workers, hundreds of them, who have lost their employment or are retained on short time in Tullamore. Would the Minister make the inquiry so as to ascertain whether those mills are being properly managed and worked?
There is no doubt whatever that the difficulty of this mill is due to its not getting any orders.
The Minister is satisfied about that?
Quite satisfied.
Is the Minister aware that the Irish Worsted Mills at Portlaoighise and other mills are working full time?
Would the Minister agree that one of the difficulties as far as this particular industry is concerned is the fact that so much rayon has been allowed into the country? That provides serious competition to these industries.
That is not correct. Of course rayon in the ordinary meaning of that term is not in competition at all with the products of this mill. There is, however, a product called rayon wool which is becoming available, some quantities of which have been imported in recognition of the fact that it does not affect the output of their own business.
With all these inquiries would the Minister bear in mind the cost of living?