asked the Minister for Labour if he has seen the Newsletter of the Confederation of Irish Industry of 17 January 1978 which states that the introduction of the UK temporary employment subsidy of £20 per week for 12 months has more than likely resulted in the loss of 3,000 to 4,000 jobs in Irish labour intensive industries and that the subsidy does not conform with Article 92 of the Treaty of Rome; and if he will give consideration to a scheme which will enable Irish industry to counter the effect of the British subsidy while payments continue to be made under the scheme.
Ceisteanna—Questions. Oral Answers. - British Employment Subsidy.
15.
I have seen the article in question. The Deputy will now be aware that the Minister for Finance in his Budget Statement on 1 February 1978 announced that the Government had decided that firms engaged in the clothing and footwear industries and some areas of the textiles industry which were particularly affected by the UK Temporary Employment Subsidy would be assisted by a payment of £5 per week in respect of each worker on their payroll.
It is considered that this payment should help appreciably to offset the worst effects of the British subsidy in the way of increased and unfair competition in these sectors of the Irish market.
The scheme will come into operation from the beginning of April 1978. Details are being worked out and will be announced as soon as possible. A sum of £5 million has been allocated for this purpose in the current financial year.