Ceisteanna — Questions. Oral Answers - Amalgamation of Trade Unions.
asked the Minister for Labour if he intends to amend the legislation regarding the amalgamation of trade unions to give better incentives to trade unions to cover the substantial costs involved in this matter, and by so doing to improve the overall structure of the trade union movement.
Comment on this
As stated in the discussion document on industrial relations reform published in March 1985, it is the intention to introduce changes in the provisions of the Trade Union Act, 1975, in order to improve the scheme of grants payable for expenses incurred in connection with amalgamations or transfers of engagements between trade unions. I would point out that payments have been made which have facilitated a number of amalgamations and thereby contributed to trade union rationalisation. I am conscious, however, that there is room for further improvement in this area and I intend to include amending legislation as part of the overall package on the reform of industrial relations.
Comment on this
This ties in with the first question. It is important that the incentives be set out. Some of the trade union leaders would say that the problem is that, while the incentives are there, they are only paid if the amalgamation is successful and at the final stage. Because the trade union movement too are suffering from the recession, they are not tempted to amalgamate in those circumstances. As long as we continue to have a large number of trade unions we will continue to be unattractive and to have major difficulties in the negotiating process. There are a number of amalgamations which trade union leaders would consider if the package were more attractive and these amalgamations would pay for themselves in the economy. Will the Government consider paying in advance, or even paying for surveys to assist or force the trade union movement to take chances which they are not otherwise prepared to take?
Comment on this
The 1975 Act will be amended in the context of the reform of industrial relations legislation which I will shortly bring before this House. I published a set of proposals dealing with reform of the trade dispute law, and the reform of the trade union industrial relations institutions and I outlined proposals designed to give effect to the points raised by Deputy Ahern. Those points must be seen as part of an integrated whole and their enactment can only come about in a comprehensive and integrated way.
Comment on this
Would the Minister at least encourage Congress in this area and make them fully aware that he is favourable and sympathetic to any amalgamations? This could be a major factor in attracting investment here. There is a perception among many of the trade union leadership that neither the Government nor the Opposition have been particularly helpful because the provisions made do not stand up to examination. They are a disincentive in many cases to putting in very substantial funds and — it may never happen — are the Government prepared to pay anything towards a union who attempt to amalgamate with a smaller union but fail to do so? It is a costly business as the Minister knows.
Comment on this
I have informed the trade unions directly, but I welcome the opportunity to do so again formally and put it on the record of the House that considerable financial assistance covering all the incurred costs, properly audited, which occur if there is a successful amalgamation of trade unions can be paid for in full through my Vote through the Oireachtas. Those costs can include harmonisation of pension provisions for officials moving from one union situation to another, terms which are considerably generous. There are defects, and I accept that a defect is that at present under the 1975 Act they can be made available only after the successful completion of an amalgamation. Clearly there would have to be safeguards regarding contrived negotiations, but I take the point and I join with Deputy Ahern in encouraging those trade unions currently contemplating amalgamation and so on to proceed with negotiations on the basis that any amalgamation that now takes place from January 1986 will benefit from any reforms that will take place in the 1975 legislation. I give that undertaking now to Deputy Ahern. Therefore, at this stage there should be no impediment whatsoever in terms of cost to trade unions opening up discussions between themselves about possibilities of rationalisation and mergers.