HC Deb 05 February 1973 vol 850 cc26-7
28. Mr. Milne

asked the Secretary of State for Trade and Industry if he will take steps to prevent redundancies arising from the recent payment of £46 million by Dunlop to Pirelli of Italy in respect of losses sustained by Pirelli; and if he will make a statement.

Mr. Chataway

The effects of Dunlop's decision to write down its £42 million investment in Pirelli have been the subject of discussions between Her Majesty's Government and Dunlop. The agreement reached does not affect the jobs position in United Kingdom factories of Dunlop or Pirelli.

Mr. Milne

Is the right hon. Gentleman aware that his answer is an historic one because it marks the first support by the Government for lame ducks in the European Economic Community? How can he argue that the transfer of capital from Dunlop in the United Kingdom to Pirelli in Italy will not endanger jobs in the Northern Region and in Dunlop factories throughout the country?

Mr. Chataway

I am sure the hon. Gentleman will be pleased at the information I have given him, which is that there will be no effect upon jobs in this country. Whether or not connected with the Dunlop-Pirelli arrangements, I know of no closure of plant under consideration at present.

Mr. Greville Janner

Is the right hon. Gentleman aware of the redundancies already created by Dunlop through the closure of St. Mary's mills in my constituency? What steps is he taking with Dunlop to prevent further redundancies in the United Kingdom?

Mr. Chataway

The hon. and learned Gentleman will know that those redundancies were completed in March of last year. I know of no further plans for plant closures.

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