HC Deb 16 June 1954 vol 528 cc1951-3
45. Mr. Callaghan

asked the First Lord of the Admiralty what conclusions he has formed as to the permanent level of employment to be expected in the ship-building and shiprepairing industry.

The Civil Lord of the Admiralty (Mr. Wingfield Digby)

Existing contracts should be enough to maintain the present level of employment in merchant shipbuilding for the next two years. In the past year there has been a world-wide fall in the demand for new merchant ships and, while these conditions exist, the outlook in the longer term is somewhat uncertain. The future level of employment in the merchant shiprepairing industry will depend to a large extent on the industry's ability to meet the more competitive conditions now prevailing. I am therefore unable to forecast the permanent level of employment in these two industries.

Mr. Callaghan

As, unfortunately, unemployment is growing in South Wales, does the Civil Lord advise the workers concerned to stand by the industry there, or should they seek employment in other directions?

Mr. Digby

It is difficult to give advice. In South Wales there is a preponderance of shiprepairing work. In other areas many of those who no longer have work in shiprepairing—there is a slight recess—have turned to shipbuilding. I should not like to give any advice in regard to workers in South Wales, but I hope that those engaged in the shiprepairing industry will stick by that industry where they are able.

Mr. Shinwell

May I ask whether any representations have been made recently by shipbuilders and shipowners through their organisations to the Admiralty on this subject?

Mr. Digby

I should like notice of that.

Mr. Hoy

May I ask the Civil Lord if it would be permissible for British shipyards to accept orders from Russia for ships similar to the type which have been ordered from Holland?

Mr. Digby

I do not think that comes within the terms of the original Question.

Mr. Callaghan

May I ask the Civil Lord, particularly on the question of South Wales, when there is a special position because of the absence of shipbuilding, and if he will consider what he reckons to be the future chances of the industry there so that the workers may be given some advice? Questions are being asked by the workers about whether they should seek other work or stand by because unemployment is only temporary.

Mr. Digby

I will give consideration to the matter. I hope that in South Wales they will be successful in securing ship-repairing work.

Mr. Shinwell

Will the hon. Gentleman advise his right hon. Friend to depart from any complacency in this matter? There is great apprehension in shipbuilding and shipowning circles about the future of those industries.

Mr. Digby

I can assure the right hon. Gentleman that there is no complacency. We have given a great deal of thought to the future of the industry, but in the present position, when orders are not flowing in very freely, it is not easy to see our way plainly more than two years ahead as I have mentioned.

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