Pay guidelines and industrial relations
The Minister said the guidelines aimed to foster moderate pay increases and improve employment, linking pay, competitiveness and inflation; he urged disclosure of information to identify investment and job-creation opportunities. Fitzgerald objected that unions and employers had not been consulted beforehand, but the Chair ruled this a separate question.
asked the Minister for Labour the impact he believes the Government guidelines on pay, which were announced on 2 April, will have on the state of industrial relations in this country.
Comment on this
Following a series of discussions with the major economic interests on social and economic matters and in particular employment, the Government issued guidelines on pay. In the present economic situation the Government considered it essential to state their views on the criteria to be taken into account by all parties to pay negotiations if moderate pay increases are to be achieved so as to secure a favourable impact on employment.
The Deputy may recall that Government statements on pay were made in the early stages of last two pay rounds. It is my hope that in the emerging round, terms will be agreed with due regard to the need for pursuing and increasing employment and without recourse to industrial conflict.
Comment on this
Will the Minister not agree that in the pay guidelines he referred to the parties to the pay negotiations included those called upon to assist in such negotiations and those called upon to adjudicate on the pay claim? Will the Minister agree that that is regarded as a directive to the Labour Court conciliation councils or others involved in the collective bargaining process and as an interference with free collective bargaining?
Comment on this
I am referring to the effect of the guidelines on industrial relations. Will the Minister indicate the purpose of the guidelines? Were they in relation to competitiveness, job creation or inflation? Are the guidelines intended to cover all three or any particular one of them? What is the purpose of them?
Comment on this
They were issued with particular emphasis on the question of employment and in an attempt, in the absence of a pay agreement, to establish a frame work or climate within which the most favourable economic conditions would prevail which would maximise the possibilities for containing existing jobs and creating new ones. To that extent the three matters mentioned by the Deputy are inter-connected.
Comment on this
On the question of job creation I should like to state that the Minister in the course of the guidelines referred to the desirability that enterprises with surplus resources should invest such resources in activities which would benefit employment. I presume that means the money saved if employers do not increase pay should be invested in their industry. Is the Minister taking any steps to ensure that if employers save money on the pay issues it will be invested in industry in accordance with the guidelines?
Comment on this
If the Deputy reads the full document he will realise that there is also reference to the call for an adequate disclosure of information between employers and employees which would enable the employees' representatives, the trade unions and the workers directly involved, to identify the surplus capacity that might exist and, in addition, to identify in conjunction with management possibilities for net additional employment creation.
Comment on this
The Deputy is referring to what the Government set as guidelines. The Government have given guidelines and it is up to both parties to respond to them at this stage.
Comment on this
There is a new departure in this diktat in that for the first time a statement was issued to the media without any prior consultations with the trade union movement or the employer organisations.
Comment on this
That is a separate question. The question under discussion is about the impact of a certain matter.
Comment on this
Of course it is but surely this is part of the impact? The question refers to the impact the Government guidelines on pay announced on 2 April will have on the state of industrial relations here. My question is relevant to that.
Comment on this
It is relevant to the industrial relations situation.
Comment on this
It is not. Is the Minister not prepared to answer my question? He is sheltering behind the Chair again.
11.