Mr. Alan Lee Williamsasked the Secretary of State for Transport whether he is in a position to explain his view upon the proposals submitted to him by the Port of London Authority on 6th July; and whether he will make a statement.
§ Mr. William RodgersI have today informed the Port of London Authority that the Government endorse its "Recommended Strategy" in principle and are prepared to provide financial assistance towards severance costs for registered dockworkers and staff, on condition that the Authority sets in hand urgent measures, in co-operation with its trade unions, to secure the most rapid possible rundown of surplus manpower, and on the understanding that no steps are taken towards the closure of the Royal Docks. There are no current proposals for the closure of the India and Millwall Docks.
170WI am similarly informing the trade unions that the Government have not endorsed closure of the Royal Docks on the understanding that the unions have promised active co-operation in an urgent examination of the size and structure of the work force, and of working practice and industrial agreements in all areas to achieve cost savings, improvements in productivity and greater flexibility in the use of the workforce.
Both the Authority and the unions are being told that I will review the position at intervals and monitor improvements in performance to ensure that progress justifies continuing in this way. The provision of grant assistance will be contingent upon results.
Up to £35 million in grants will be made available towards severance costs as they arise, together with any necessary backing for further borrowing for the financing of the undertaking while manpower reductions are being achieved, up to £10 million. I have requested the Port of London Authority to produce a detailed costed plan as the basis for Government financial assistance, after further discussion with the trade unions, designed to establish the specific targets of manpower reductions. No grant assistance will be provided until this plan has been submitted.
In reaching these decisions the Government have had in mind both the need to give the Port of London a stable and viable future and the serious human, social and environmental problems of the docklands. They will continue to study what further measures are needed in this wider area.
However, the success of the port will depend on its capacity to play its part in the ports industry as a whole by the quality of service which it offers and its ability to attract in this way a significant proportion of the available trade. The chairman of the PLA, Sir John Cuckney, has provided very positive leadership and has encouraged open discussions of the PLA's problems by freely making available all the relevant information. The future now rests with those who work in the port and upon their willingness and capacity to contribute towards greater levels of efficiency and better all-round performance.