VOTE
NATIONAL LABOUR THE REMEDY NORE NATIONAL GOVERNMENT tment to incomes policy.
May 1945 12 November 1947 taxation.
December 1947 restraint' in wage claims. and public spending. 10 February 1948 24 March 1948 December 1948 September 1949 January 1950 Many policy of restraint.
February 1950 15 October 1964 26 October 1964 16 December 1964 February 1965 17 March 1965 creases.
September 1965 velop statutory powers. 24 February 1966 10 March 1966 (Guardian, 11/3/66). 16 May 1966 18 November 1967 Pound devalued 16 January 1968 January 1969 February 1974 1 October 1974 1 Julv 1975 Harold Wilson has made a great deal of the Labour leadership's opposition to wage restraint. In fact the whole record of successive Labour Governments since the war shows their total commit Labour Party Conference endorses Let Us Face the Future as its election manifesto. It pledges: "Labour will not tolerate freedom to exploit others, to pay poor wages, or to push up prices for private profit. Sterling made freely convertible into other currencies under pressure from the United States. Run on pound follows. Convertibility suspended in late August. 12 September 1947 Sir Stafford Cripps, President of the Board of Trade, announces capital expenditure cuts. Housing pro gramme cut back by 100,000 houses a year to 300,000, of which 60,000 are to be temporary. "We cannot look to higher standards (of living) through ever-rising spirals of prices and wages. Chancellor Dalton introduces a Supplementary Autumn Budget for the second time in three years. Increases in indirect taxes, which hit the working class harder, are three times the size of increases in cirect The TUC General Council circulates an Interim Report calling on union executives to exercise 'even more White Paper on Personal Incomes, Costs and Prices published. ducing a wage freeze: 'There should be no further increase in the level of personal incomes without at least a corresponding increase in the level of production.
Special Conference of the Executives of Trade Unions votes 5,421,000 to 2,032,000 to accept the wage freeze policy. Strikes are already controlled by war-time Order 1305 Chancellor Stafford 'austerity' Cripps introduces his budget. Income tax is reduced and indirect taxes increased to encourage production. A number of unions, including the Confederation of Shipbuilding and Engineering Unions, proceed with wage claims.
Four Year Plan published as White Paper. Investment to be maintained at the rate of 20 per cent(!) of national income. House building cut to 200,000 a year compared with an average of 358,611 a year in 1935-9. Wage increases are to depend on increased production.
Prices had continued to rise and exports had become more difficult to sell. The pound is devalued. Gen eral Council of TUC responds by dropping all conditions earlier attached to wage restraint, which mosi unions had been able to use as loopholes.
TUC policy revised still further with no conditions at all relating to prices and profits in return fur wage restraint. A substantial minority opposes this, and later in the year soaring prices force the TUC to reject General Election. Labour's manifesto, Let Us Win Through Together, is silent on wages policy. Labour wins by a tiny majority, staggers on for another 18 months, and is defeated in the October 1951 electior • Ine vicum or its own policies Labour Government elected. Run on pound.
Measures to curb balance of payments deficit, estimated at £800 million for 1964. Same old credit restric tions applied. Public spending under review and wage restraint called for.
Incomes Policy launched with Statement of Intent by employers, trade unions and the Government White Paper on Prices and Incomes states: "The Government intends to give the voluntary method every chance of proving it can be made to work....The Government would resort to other methods only if they were convinced that the voluntary method had failed.
Aubrey Jones, former Tory MP and director of Courtaulds and the steel giant Guest, Keen and Nettlefolds appointed Chairman of the Prices and Incomes Board. TUC agrees to 3-3½ per cent 'norm' for wage inWilson attacks unofficial strikers as 'wreckers' who should be outlawed. TUC sets up 'early warning system' for wage claims. Labour Party Conference endorses the Five Year National Plan in which legislative powers are only envisaged for prices and incomes. Aubrey Jones denies rumours that the PIB would dePrices and Incomes Bill published providing for compulsory early warnings. Penal provisions allow for individual workers to be fined as much as trade union or company for trying to make an employer implement a wage settlement in the four month standstill period. The possibility of trade unionists being jailed for non-payment of fines arises.
In run up to General Election Wilson states that there could never be any question of prescribing wages by law. It would be 'repugnant to all parties in this country'. Nor would the Government outlaw unofficial strikes because: 'This is human relations.
Seamen's strike begins. Seen as test-case for continuance of voluntary incomes policy. Wilson starts witch-hunt. He accuses 'tightly knit group of politically motivated men' of being behind the strike. Seamen's strike ends. Crisis measures announced to avoid devaluation: Government spending cut, HP controls tigntened, prices and wages treeze tor six months, tollowed by a period of severe restraint - a 'nil-norm' from January to the end of June 1967 Period of severe restraint ends. From July 1967 to March 1968, the nil-norm is replaced by a 3-3½ per cent 'norm' with the TUC attempting to vet claims to achieve this. The Government takes the power to delay aproposed pay increase by up to six months.
Public expenditure cuts announced. NHS charges reintroduced.
Fourth stage of Labour's incomes policy begins. A ceiling of 3½ per cent is imposed on all wage rises, except where a productivity increase can be proved. According to the Prices and Incomes Act this stage continues to the end of 1969 during which time the Government can delay settlements of over 3% pe cent for up to 11 months. Productivity bargaining spreads like wildfire. By 1969 six million workers are covered by some sort of 'prod deal".
In Place of Strife published.
Labour loses the General Election.
Miners smash Tory pay laws and Labour wins election on position of total opposition to statutory incomes Wilson states: We believe any statutory interference with this matter (of incomes policy) would be bound to fail... and we shall not do it.* Wilson declares: 1 made clear only the other day in Glasgow that the Government oppose legislative inter ference in the bargaining process.
Wilson says: 'We reject panic solutions."
The Social Contract has failed to stop many workers from winning wage increases of around 30 per cent The Government announces further cuts in investment in nationalised industries • t starts win ine classic tormula tor intro You're dealing with human beings. You can't do it by legislation.
_ workers' control * red weekly 10 july 1975 ments in the struggle to direct resources to social priorities There will also be seminars on what one might call "peoples' control' in the community on education, tenants' control, health services and the socio-economics of women's liberation. Before all else there will be communication between people involved in struggle for socialist, people-power aims, differing widely in