Orders of the Day — Unemployment

Part of the debate – in the House of Commons at 12:00 am on 24 July 1978.

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Photo of Mr Teddy Taylor Mr Teddy Taylor , Glasgow Cathcart 12:00, 24 July 1978

The answer is that when the Conservatives have been in power, we have created real jobs. We have created 12 million sound and prosperous jobs—not insecure jobs propped up by Government aid. There is no security in working for a firm which is propped up by massive Government aid. Let us also remember the simple fact that we do not help the economy by taking away money from successful firms which can provide growth and giving it to those who cannot.

What is called for is a change of direction. First, we want a major reduction in direct taxation. Without incentive and a real reward for enterprise, we shall never solve the basic employment problem.

Secondly, we want to remove the burdens on enterprise. That means a complete overhaul of capital transfer tax which has done so much damage to small family firms and prevented the growth of jobs. We also want a full review of the Employment Protection Act which, despite what the Government said, undoubtedly resulted in small firms not taking on new labour.

Thirdly, we want to stop sudden changes in policy which affect industry. We should like to hear from the Secretary of State how many jobs in Scotland were lost because of the sudden abolition of regional employment premium.

Fourthly, nothing would help confidence in industry more than if the Government were to announce the abandonment of further plans for State control, which has not helped to create jobs, which has not helped the consumer, which has not helped the taxpayer and which most certainly has not helped those employed in industry. We want to encourage more industrial and physical mobility. That means the mobility of people. It means expanding owner-occupation as well as the expansion of mobility of skills. We do not want to add to the complexity of government. Perhaps the Secretary of State will comment on the survey by the Scottish CBI pointing out that 82 per cent. of all the firms believe that the Government's Assembly plans will undermine industrial prospects in Scotland. We want a Government committed to free enterprise.

There is a clear need for a change in direction. We condemn the Government for their failures on employment. We condemn them for adding 900,000 to the totai of unemployed. We condemn them especially because the Labour Party has consistently used unemployment shamelessly and callously to win votes and power.

In February 1974, when there were half a million unemployed, the Labour Party ran a campaign to suggest that that was the result of the callous Conservatives. In July 1974 the then Secretary of State for Employment said that he would never preside over mass unemployment. In October 1974 the right hon. Member for Huyton (Sir H. Wilson), speaking frankly and with commendable modesty, said that unemployment represented the difference between our parties. At that time the right hon. Gentleman was uncharacteristically right. However, he was adding to the Socialist myth that in some mysterious way Conservatives create unemployment while the Labour Party is the party of the working people and fights for their aims.

It is now clear beyond a shadow of doubt that the Government were elected on a totally bogus prospectus. The Labour Party will never again be able to mislead the people that on jobs it is the party that can deliver the goods. Despite all that the Government have said, despite all the shameful and shameless propaganda, the fact is that after four years of Labour Government unemployment had doubled. The Government stand condemned by their record.