§ Mr. Sillarsasked the Chancellor of the Exchequer what estimate he has made of the number of people released from employment when, with output remaining constant, productivity rises by 1 per cent., 2 per cent., 3 per cent., 5 per cent. and 6 per cent. respectively.
§ Mr. HigginsThe relationship between the growth of productivity and changes in output and employment are complex, and no reliable estimate is possible. On a purely arithmetical basis, assuming output remains constant, and taking the total numbers in employment in June, 1971, each 1 per cent. rise in productivity could be expected to lead to a reduction in employment of about 215,000. The corresponding figure for employment in manufacturing industries would be 84,000.