HC Deb 30 November 1978 vol 959 cc690-2
Q1. Mr. Tebbit

asked the Prime Minister when he last met the leaders of the TUC.

The Prime Minister (Mr. James Callaghan)

I meet representatives of the TUC from time to time, at NEDC and on other occasions. Further meetings will be arranged as necessary.

Mr. Tebbit

Is the Prime Minister aware that on Tuesday the Secretary of State for Employment said that there were no sanctions available to the Government against the TUC despite that organisation's 21 per cent. pay rise? Is he aware that the Government pay the TUC £1 million a year to train shop stewards—I suppose to start strikes at Fords—and that the general council of the TUC has 180 quango posts between it? Why not axe that lot?

The Prime Minister

I am aware of those factors, but I still do not think that it would be sensible to take action in the way that the hon. Gentleman describes—[HON. MEMBERS:"Why not? "]—As I understand it, the Opposition are interested in why not. That is because I make my point and the Government take their action to control inflation, whereas the hon. Member for Chingford (Mr. Tebbit) presses his case merely to make a political point.

Mr. Madden

Will my right hon. Friend confirm that the closure of Times Newspapers Limited from midnight tonight is a matter of grave concern to the TUC printing industries committee? Is he prepared to make a direct approach to the management to persuade it to lift the closure threat and to allow full negotiations to proceed in a proper fashion?

The Prime Minister

I know that my hon. Friend has been making a number of representations in his anxiety to try to get the closure stopped. I am grateful to him for the letter that he wrote. I have consulted the Secretary of State for Employment to ascertain whether any intervention would be valuable. As far as my right hon. Friend can, he will be reporting to the House later this afternoon in the emergency debate that has been arranged.

Mrs. Thatcher

Bearing in mind that the Prime Minister has already decided to impose sanctions on the Ford 17 per cent. settlement and that British Leyland workers are today voting on a wage offer of 17 per cent., will the right hon. Gentleman say whether he proposes to treat the two companies in the same way?

The Prime Minister

Yes, of course the two companies will be treated the same. I am not sure that the headlines contained in the newspapers exactly represent the offer. I do not know whether it has occurred to the right hon. Lady, in her anxiety about the matter, that it has always been part of the White Paper provisions that genuine productivity deals are allowed. I understand from the proposals that have been put forward and that will be examined that the offer made by Leyland's contains a substantial and important productivity element.

Mrs. Thatcher

The Prime Minister will recollect that that was the argument on the part of Fords. Is the right hon. Gentleman still saying that with two major car companies each settling at 17 per cent. he proposes to treat them dif-and in the other case he advised Government Departments not to buy cars because the company settled at 17 per cent. and in the other cases he advises Government Departments to buy cars because the other company settled at 17 per cent.

The Prime Minister

The right hon. Lady's questions show how important it is for her to be extremely careful about the facts before she stirs up unnecessary industrial trouble. If she examines the make-up of the pay claims she will see that there are a number of elements in the Leyland settlement that my right hon. Friend the Secretary of State for Employment will consider. The treatment will be exactly the same. I suggest that at some time when the right hon. Lady asks a question she indicates that she is in favour of Government action to try to keep prices down. When she says that she will be more in tune with the views of the British people.

Mrs. Thatcher

I entirely agree that we require Government action to keep prices down. Indeed, I regard 8 per cent. inflation as a disgrace. One of the reasons that we cannot go into Europe is that the Prime Minister is not prepared to take the requisite action to get it down further, as some of our partners in Europe are.

The Prime Minister

I am much obliged to the right hon. Lady for echoing the words that I have used, although do not think that I have ever used the word"disgrace ". I think that 8 per cent. is too high. I am very glad indeed to see that the right hon. Lady is a sinner come to repentance. I recall that when she and her Administration left office, inflation was twice as high and was going up. Now it has come down.

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