20 JANUARY 1939, Page 10

REFUGEES AND EMPLOYMENT

By A " SPECTATOR " SPECIAL CORRESPONDENT THE Government is keeping a tight hand, by means of the Home Office and Ministry of Labour regulations, on all refugees who wish to take up residence and work in this country: for the Govern- ment has to face the criticism, which is being in- creasingly heard at present, that our own unemployed must be the first claimants for our assistance. Refugees, it is con- tended with much reason, must not be given jobs at the expense of our own people. But there is quite another side to the picture. In last week's Spectator Dr. G. F. McCleary showed that the testimony of leading economists is over- whelmingly in favour of increased immigration as a policy for this country. In certain circumstances refugee immigrants can and do actually increase employment; they are increasing it in Great Britain today. There is already concrete achieve- ment to point to, and the work is only just be,_-,inning. Complete figures are not available. As yet it has been nobody's business to compile them. But all over the country industries and businesses large and small are springing up which are employing British workpeople who were previously unemployed.

There have been some events of major importance. In some cases whole industries, or sections of industries, have been transferred completely to this country. The whole of the valuable fur trade of Leipzig, for instance, has been transferred to this country. The greater part of the present leather bag industry now established in England has since 1931 been built up by German Jews, the majority of whom of course took up residence here and increased their businesses after 1933. In Lancashire there is one leather- bag business which employs over 75o British subjects. The factory of another one, established on the St. Helen's Estate at Bishop Auckland, which was burned down some time ago, was employing at the time 25o British subjects and the programme which is to be carried out this year will employ up to 60o people. In all these cases work is being done here by British workmen that was formerly done in Germany by Germans.

The North-eastern Special Area has benefited especially from the refugees' enterprises. A German Jewish refugee and his family, for instance, are establishing a fine furnishing- materials factory employing 4o British subjects, an Italian Jew, along with the same Germans, is starting a mass- production furnishing-fabrics factory which, beginning with 175 British employees is expected ultimately to employ about 2,000. Other firms are manufacturing soups, delica- tessen, furnishings, lamp shades, electrical equipment, work boxes and furniture, and a cement hardening process is being started. Already a number of men have booked factories and propose coming to the Team Valley estate as soon as they are able to get out of Germany.

Similarly in the South Wales Special Area, refugees are bringing work to districts where the need for work is greater than anywhere else. Here are some instances. A silk print- ing factory now employs 4o and will soon employ 70 British workpeople; a leather glove factory employs 5o; a new factory for the manufacture of patent fasteners will employ 5o; confectionery and cakes will employ 20; wrist- watch straps already employ 22; chrome leather 84; silk printing 44; bottle caps and gelatine products 26; surgical adhesives 4o; leather belting 8; plain kid and fancy leather gloves fr.

One effect of the transfer of industries has been that firms in this country who previously bought goods abroad find that they can still purchase from the same firm, but that it has now been established in this country. This has been the case with one of the largest London departmental stores, which previously bought women's dresses and costumes in Germany. The manufacturing firm now make the same dresses in this country. It is estimated that the ladies' clothing trade alone is responsible for the employment of about f,000 additional British subjects. Two allied busi- nesses introduce another important aspect of the whole subject of refugee industries. A successful wholesale millinery business which was established only nine months ago is already employing 4o girls. The interesting feature of the work in this case is that it is actually exported from England to continental countries. Exports have also been expanded by the introduction of an entirely new business to this country—the manufacture of novelty woollens through the instrumentality of a group of refugees who do not themselves actually manufacture but are dealers and prepare designs for novelty woollens for export abroad. The designs are manufactured for them by British firms, and the distributing side of this business alone employs 5o British subjects. The indirect employment must obviously be very considerable.

A London firm brought into personal contact in the course of its business with some 3,000 refugees is able to calculate that at a low estimate each of these entrants has given employment to an average of not less than three British subjects. In addition to the direct and tangible results indicated here it is clear that the secondary effects, whilst they are not directly measurable, are equally important and even more widespread. The refugees, and the people they employ, have to be housed. Their demand for housing accommodation is a stimulus to investment. They have to be fed, clothed, amused and transported from place to place. In addition it must be remembered that the transfer of many of these businesses involves other imponderables. The refugee manufacturers bring with them the goodwill they built up on the Continent. That is why they so readily find, as many of them are now finding in Switzerland, Hol- land, Denmark and other countries, markets for the goods they manufacture in this country.

On humanitarian and other grounds there is a strong case to be made out for a generous policy of refugee immi- gration. When this case is further strengthened by the appeal to our own interests it would be folly to resist it.