§ 17. Mr. Ridsdaleasked the Minister of Labour what was the increase in percentage of negotiated hourly wage costs in 1960; what was the average increase over the whole period since 1957 to the latest convenient date; and how this compares with productivity growth during this period.
§ Mr. HareIn the manufacturing industries, hourly wage rates rose by 7.9 per cent. in 1960 and at the end of March 1961 were 21.8 per cent. higher than at 1st January, 1957. Output a head in these industries decreased by about 1 per cent. in 1960 and in the first quarter of 1961 was about 10 per cent. higher than in the first quarter of 1957.
§ Mr. RidsdaleWould my right hon. Friend agree that these figures are most disturbing in view of the lack of increase in productivity? Has he read the Report of the O.E.E.C., published in May, 1961? What is he doing to meet some of the main criticisms which say that institutional arrangements in a number of industries are antiquated, there is weakness in central bodies on both sides of industry, and arbiters have no definite norm to take as a guide when making awards? Is he aware that this Report is most disturbing and that we hope he is not going to be mesmerised by the problems of the Common Market but will get down to tackling these labour problems, which are the core and pith of all the problems in this country today?
§ Mr. HareI assure my hon. Friend that, apart from a short visit abroad, I shall concentrate all my efforts on the matters of which he has been talking. As he knows, the Chancellor of the Exchequer has made cleat on a number of occasions—and rein- 14 forced only last week—the real dangers which inflation could bring to this country.