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utilisation of tribunals of three or more persons, particularly where the parties desire that their case should be heard locally, and where the matter is one of relatively small importance, and it is desirable that suitable persons should be available to act as single arbitrators, where the parties agree to submit their case to a single arbitrator."

The Committee's conclusions were :

"(a) whilst we are opposed to any system of Compulsory Arbitration, we are in favour of an extension of voluntary machinery for the adjustment of disputes. Where the parties are unable to adjust their differences, we think that there should be means by which an independent inquiry may be made into the facts and circumstances of a dispute, and an authoritative pronouncement made thereon, though we do not think that there should be any compulsory power of delaying strikes and lock-outs. (b) we further recommend that there should be established a Standing Arbitration Council for cases where the parties wish to refer any dispute to arbitration, though it is desirable that suitable single arbitrators should be available, where the parties so desire."

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These recommendations were subsequently given legislative form in the Industrial Counts Act of November, 1919.

The Final Report.

On 1st July, 1918, the Final Report of the Whitley Committee (Cd. 9153) was published. The recommendations of the previous Reports were summarised and reaffirmed.

"Our recommendations," the Committee stated, "have the effect of conferring upon the Joint Industrial Councils, and through them upon the several industries, a large

measure of self-government. Any of the subjects which might perhaps have been suggested as forming objects of enquiry by the present Committee are matters which in our opinion can more usefully and profitably be considered by the Joint Organisations."

Operation of the Scheme.

The extent to which the recommendations of the Whitley Committee were carried out may be estimated from the following extract :

"The success of the movement may be judged in part from the fact that, in the period covered by this Report, 73 Joint Industrial Councils have been established, covering many important industries and services, and including municipal and the Imperial Government services. Accurate statistics are not available as to District Councils and Works Committees, but it is computed that up to the end of 1921, not fewer than 150 District Councils had been established (apart from a considerable number of Departmental Councils established in connection with the National Council for the Administrative and Legal Departments of the Civil Service), while the number of Works Committees is probably well over 1,000. Certain of the important and well-organised industries of the country, e.g. coal mining, cotton, engineering, shipbuilding and iron and steel manufacture, having, as indicated above, well-established machinery for the discussion of matters between employers' and workers' organisations, have not established Joint Industrial Councils on the lines of the 'Whitley' Scheme. The provision in the Railways Act, 1921, for the establishment of Joint Industrial Councils on the railway systems, and the steps subsequently taken for that purpose by agreement between the railway companies and the unions constitute a development of considerable importance.

"Of the 73 Joint Industrial Councils hitherto established, 15 are not at present functioning. In certain of these cases, the Council during its existence did valuable work, such as the determination of the basis of future wage negotiations, and, moreover, a number of District Councils are continuing to function in industries where the national body has ceased to operate. Having regard to the very difficult conditions through which industry has been passing during the last few years, it is a matter of congratulation that so many Councils have withstood the strain. The aggregate number of workpeople covered by the Joint Industrial Councils and Interim Industrial Reconstruction Committees (a temporary form of joint body established in the less organised industries) at present actively functioning is estimated to be about three millions.

"As might be expected from the abnormal and rapidly changing economic circumstances of the period under review, the activities of the Councils have been largely concerned with wages and working conditions; in this connection many Councils have done valuable work in standardising wages and working hours, but all branches of working conditions have come under consideration . . . The Councils have also done useful work in connection with education, training and apprenticeship, unemployment, research and statistics, welfare, commercial problems and other problems."

SOC. ECON.

26

APPENDIX D.

THE WORK OF THE EMPLOYMENT EXCHANGES.*

In accordance with Labour Exchanges Act of 1909, the first Labour Exchange (as it was then termed) was opened in 1910. The main objects of the scheme were—

(a) To bring together employers needing workers, and workers needing employment.

(b) To supply the less organised workers with facilities in finding employment of the nature provided by the better organised trades.

(c) To provide the government with a means of measuring the extent of unemployment.

(d) To operate a system of unemployment insurance for certain trades.

(e) To deal with the problem of casual labour.

The scheme had been in operation for ten years, when following considerable public criticism of the system, a Committee was appointed to inquire into its work. The following statistics taken from their Report give an indication of the "placing " function.

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* Adapted from the Report of Committee of Inquiry into the Work

of the Employment Exchanges, 1920 (Cmd. 1054).

"These figures indicate that on their present basis the Exchanges would receive about 3 million registrations by workpeople and 1 million notifications of vacancies by employers, and would fill a million places per annum. It will be seen that while about two-thirds of employers' notifications are filled through the Exchanges, about onethird of the workpeople who register are placed through the Exchanges."

The records show that the Exchanges are mostly used by men in the building, engineering, and transport industries, and by women in domestic service (to the extent of twothirds of the placings). Among the men, skilled labour takes up the greater share of the work of the Exchanges.

It must be remembered, when dealing with the criticisms of the cost of the Exchanges, and the alleged inefficiency in finding employment, that they "were founded not solely, or even mainly, as placing agencies, but in order to prepare a machinery for the administration of Unemployment Insurance."

After making a thorough inquiry into the system, the Committee came to the conclusion that the Exchanges must be retained, and that they were a necessary corollary of a system of Unemployment Insurance. Sundry recommendations were made respecting the machinery of the system, but the general principle was definitely approved of.

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