Vol. 197 No. 6
andMr. McQuillan asked the Minister for Transport and Power whether the Beddy Report recommended that there should be a reduction in the total staff of CIE, if so, what percentage was recommended; what was the number employed in January 1959; and what is the present total number in employment in CIE.
37.
andMr. McQuillan asked the Minister for Transport and Power what is the total sum paid in compensation for redundancy in the staff of CIE since January 1959.
38.
andMr. McQuillan asked the Minister for Transport and Power whether it is expected that the recommended overall reduction in the number employed in CIE will be reached; and, if so, by what date.
With the permission of the Ceann Comhairle, I propose taking Questions Nos. 36, 37 and 38 together.
The Committee of Inquiry into Internal Transport did not recommend any particular reduction in the numbers of staff employed by CIE but accepted that substantial redundancy would necessarily arise as a result of the implementation of its recommendation for reorganisation of the undertaking. This reorganisation included not only drastic pruning of the railway system but a major improvement in the productivity of the railway which, measured by European standards, was extremely low; rail traffic density and utilisation of rolling stock were the lowest in Europe and this was reflected in the number of railway employees in relation to volume of traffic being more than twice the European average. In calculating the cost of compensation on the basis of the redundancy likely to arise the Committee envisaged the possibility of 40 per cent. of the entire railway staff becoming redundant.
The total sum paid by CIE in redundancy compensation from 1st January, 1959, to 30th September, 1962, was approximately £800,000 and this amount has been or will be recouped by the Exchequer.
Further redundancy is likely to arise in connection with further closings of branch lines and under the various schemes for reorganisation of CIE in respect of which Orders applying the redundancy compensation provisions have already been made under Section 14 of the Transport Act, 1958. No firm estimate of final figures of redundancy is yet available.
The total number of staff employed by CIE on 4th January, 1959, (excluding staff employed by the Hotels and Catering Services now the responsibility of Ostlanna Iompair Éireann) was 21,961. The corresponding figure on 14th October, 1962, was 21,764.
This reduction is accounted for by a substantial redundancy on the rail side offset by a considerable increase in employment elsewhere, particularly on road freight. Full particulars of CIE staff by grade at March in each year are published in the Irish Trade Journal and Statistical Bulletin.
Is the Minister satisfied with the apparently mad hatter economics of CIE, which asks the public to pay the best part of £1,000,000 in redundancy payments of one kind or another for persons who are declared redundant, while they bring about a virtually static situation in the employment position by reemploying other persons and, at the same time, close down existing stations?
That is clearly advancing an argument.
That will be dealt with on the Estimate.
We will take it up with the Minister tonight. The Minister accepts that it is mad hatter economics?
I do not.
