HC Deb 04 November 1976 vol 918 cc1635-6
Mr. Viggers

I beg to ask leave to move the Adjournment of the House, under Standing Order No. 9, for the purpose of discussing a specific and important mater that should have urgent consideration; namely, the situation of Cable and Wireless Ltd., a State-owned corporation. This company has had to adjourn its annual general meeting indefinitely because it faces a management crisis. All five executive directors have declined to stand for re-election. They are senior men who have devoted most of their lives to the company, and their action cannot be treated lightly. Were the matter to involve only the company it would be serious, but the issue raises certain crucial matters of national significance.

First, the dispute apparently arises from the fact that some employees of the company are paid more than the directors because of the implementation of pay restraint. The control of senior salaries is common to all nationalised industries, and its resolution is a matter of urgent national significance.

Second, the action of the executive directors has put a question mark over the control of the company, and particularly the manner in which the Secretary of State for Industry exercises his powers of appointment to nationalised boards. The appointment of Mr. Edward Short as a part-time chairman of the company at a salary of £9,080 a year, compared with the £10,330 for the executive directors of the company—[HON. MEMBERS: "Disgraceful."]—may he relevant in this context.

There can be no dispute, Mr. Speaker, that a major State-controlled corporation faces a serious management crisis which I believe to be unprecedented. The fact that this crisis is currently delaying the annual general meeting makes the problem an urgent one.

Resolution of the problems raised must of its very nature involve very wide and fundamental issues affecting the Government's pay policy and the relationship between Government and nationalised industries.

I therefore respectfully ask you to rule, Mr. Speaker, that the House should now adjourn to discuss these issues.

Mr. Speaker

The hon. Member seeks to move the Adjournment of the House for the purpose of discussing a specific and important matter that he thinks should have urgent consideration; namely, the situation of Cable and Wireless Ltd., a State-owned corporation. As the House knows, under Standing Order No. 9 I am directed to take into account the several factors set out in the Order but to give no reasons for my decision.

I have given careful consideration to the representations made by the hon. Gentleman—I am grateful to him for giving me notice this morning—but I have to rule that his submission does not fall within the provisions of the Standing Order. I cannot, therefore, submit his application to the House.