Unemployment

HC Deb 21 June 1976 vol 913 cc1074-8

3. Sir A. Meyer

asked the Secretary of State for Wales whether he is satisfied with the contribution made by Government measures to reduce the level of unemployment in Wales.

4. Mr. Wyn Roberts

asked the Secretary of State for Wales if he is satisfied with the steps being taken to alleviate unemployment in Wales.

Mr. John Morris

I am satisfied that Wales is benefiting substantially from the Government's measures, but I share the general concern about the present high level of unemployment.

Sir A. Meyer

I am glad the right hon. and learned Gentleman has something about which he is satisfied. Is he aware that the catastrophic level of unemployment in Wales and the rest of the United Kingdom is due directly to his Government's policies since 1974, particularly the disastrous social contract? Will he now admit the errors of Government policy and make room for sufficient profits, so that there can be reinvestment to provide new jobs?

Mr. Morris

With the hon. Gentleman's knowledge of what happens outside the United Kingdom, he should not turn a blind eye to the high level of unemployment in other countries within and outside Europe. He should know about the general world depression. In Wales, we have created 3,000 jobs under the Job Creation Scheme, saved 5,500 jobs under the temporary employment subsidy, found jobs for 2,500 school leavers through the recruitment subsidy, provided 400 Community Industry places, provided £4 million for advance factories and £4 million for the construction industry. All this is in addition to help under the Industry Act, and we also have the Welsh Development Agency now in operation.

Mr. Kinnock

Is my right hon. and learned Friend aware that if the hon. Member for Flint, West (Sir A. Meyer) is concerned with the low level of profits, our problems will soon be at an end, because every commentator has suggested that over the next 12 months profits will make a remarkable rise, partly in consequence of the wage restraint policy co-operated in by the TUC and partly in consequence of other factors over which no Government have control? Will that factor alone, bring Wales the kind of job development that it needs, or does it still need major State intervention to bring the jobs to our people?

Mr. Morris

Obviously, increased profitability will be of help, but a general increase in world trade will be a major factor. I attach importance to the Welsh Development Agency as a means of being able to enter into joint ventures in various parts of Wales. I look forward to significant investment from the nationalised industries, too.

Mr. Wyn Roberts

I am glad that the Secretary of State agrees that the present level of 74,000 unemployed—7.2 per cent. of the working population—is disgracefully high. Does he also agree that the measures taken to alleviate that unemployment are woefully inadequate? What does he propose to do about the school leavers and the teachers leaving training colleges at the end of this year? Has he got further training measures planned for them?

Mr. Morris

I am appalled at the hon. Gentleman's effrontery in putting forward his ideas at this juncture when he has voted time and again to cut public expenditure. The hon. Gentleman should seek the occasion to tell the House and Wales exactly where he would seek to cut public expenditure.

Mr. Gwynfor Evans

Is the Secretary of State aware that there are 110,000 fewer jobs for men today in Wales than there were 10 years ago? Is he further aware that the major reason is that Wales is governed by a huge unitary centralist bureaucratic State, which does not allow the Welsh people any control at all over their national affairs?

Mr. Morris

I should like to examine further the figure that the hon. Gentleman has given to the House. I hope that it is not one of those inaccurate figures that were paraded in the report that I had from Plaid Cymru in March. I should like to make it clear that total employment in manufacturing in Wales increased during the past decade at a time when the numbers employed in manufacturing in the United Kingdom as a whole declined substantially.

8. Sir Raymond Gower

asked the Secretary of State for Wales what representations he has received regarding the levels of unemployment in the county of South Glamorgan and within the area of the Vale of Glamorgan Borough Council.

Mr. John Morris

The hon. Gentleman himself made representations to me last year; more recently I have had correspondence from the Barry Constituency Labour Party.

Sir R. Gower

In his future consideration of this problem, will the right hon. and learned Gentleman recognise that while South Glamorgan and the Vale of Glamorgan area are not, perhaps, as industrialised as one or two of the adjoining areas, nevertheless they have suffered recently and are disturbed by the potential losses of jobs in the steel industry, and that the workers in South Wales Ship Repairers are apprehensive about the vital damage which could be done to their industry if the nationalisation measure now before the House is enacted?

Mr. Morris

The hon. Gentleman will be aware of the new firms that have been attracted to the Cardiff travel-to-work area—Burroughs Machines Limited, Matsushita, and Radio Chemical Limited, to name only three. In addition, GKN and Rover-Triumph are among the firms with major investment schemes either planned or in hand, and Zimmer Ortho-paedic Limited, Waterton, has recently been allocated an advance factory.

Mr. Grist

As one out of every four school leavers this year in South Glamorgan is likely to be unemployed, would the Minister care to comment on the statement in his October 1974 election address that without jobs there is very little reason for young people to remain in Wales? Will he list all those companies that were coming to Wales under the previous Conservative Government? When is a company coming to the advance factory at Pentwyn?

Mr. Morris

I have approved the building of a factory there and the allocation of two other factories. One is at Barry.

I am concerned with the level of unemployment of school leavers throughout Wales. However, in this area the level of unemployment is substantially lower than the average for Wales.