TNAG-1030-FCO40-1280-Proposed-visit-by-Humphrey-Atkins--Lord-Privy-Seal--to-Hong--1981 — Page 118

UNCLASSIFIED

Corporation Tax (ACT) is excluded is about 16 per cent on the basis

of historic cost profits. New or expanding companies may find that

they pay little or no corporation tax for several years.

LABOUR RELATIONS

7. The average number of working days lost through strikes in the

UK compares favourably with Italy and Ireland but is not as good as

that of other EC partners. Taking a wider OECD comparison, the UK's

strike record is about middle ranking but better than that of the

USA. The average annual number of days lost per 1000 employees in

the UK in the period 1969 - 78 was 472, or about half a day per

employee per annum. 95 per cent of firms, including small and

foreign-owned companies, do not experience any strikes at all and

many, especially those in newer industries, have achieved good

labour relations and high productivity. The bulk of the stoppages

tend to occur in the more traditional and perhaps declining areas

of industry where productivity is lower and inefficient working

practices may be backed up by the threat of strikes.

NORTHERN IRELAND

The

8. Industry has been virtually unaffected by the troubles.

Province has a well-developed industrial base, a highly skilled

workforce and offers the highest financial incentives of any region

in the UK.

FURTHER INFORMATION

9. Can be obtained from the Invest in Britain Bureau in the

Department of Industry or any British Embassy, High Commission or

Consulate-General.

UNCLASSIFIED