ECONOMY DETAILS

Hokitika Guardian, 22 December 1932, Page 5

ECONOMY DETAILS

P.W. DEPARTMENT* ANNOUNCEMENT BY MINISTER. (Per Press Association — Copyright.)

WELLINGTON, December 21

. Details of economies effected and reorganisation carried out in, the,.Public Works Department wer e to-day announced by Mr Coates. The Minister stated that considerable reductions in the staff had already been made, but further retrenchment ha s become necessary. Since April 1, 1931, the staff had been reduced by 41 per cent. Certain internal re-organisations in various branche s would enable additional economies to be effected, and a total reduction of the staff of 50 per cent, was in sight. “It lias been apparent,” said Mr Coates, “on account of the necessary reduction Ir. the funds available for public works purposes, that a heavy curtailment of this Department’s activities .is unavoidable, and indeed that changed conditions had made imperative a general recasting 0 f Public Works organisation. The money voted by Parliament for public works for the year ending March 31, 1930, was £8,216,717 ; for 1931, it was £8,007,779 ; for 1932, '£6,405,405; and for the current year ending March 31, 1933, £3,539,027.

These figure s indicate the -extent to which reductions had to be made, and, of course, corresponding reductions in the personnel of the Department were also unavoidable. In September 1931, there were 761 permanent and 851 temporary officers employed. On November 1, 1932 these numbers had been reduced to 656 permanent and 339 temporary, a reduction of 105 permanent and 542 temporary employees making a total of 640 officers. This joav’es the total remaining staff iof the. Department of 995, and further retrenchment is now in process of arrangement. It will reduce the number to 973.”

“The position that must be recognised is that a lesser amount of work, consequent on a restriction of ‘ loan money for public works, does not warrant their retention. We must retrench. No other course is open. The saving already made in gross administrative costs Is considerable. For 1930-31, thig charge wa R £507,000. For 1932-23 it will be £307,000, a reduction of £200,000. A comparison with 1919-20, when the Public Works expenditure was the lowest for the past twelve years, is illuminating. Then the Department’s staff numbered 732, and the gross expenditure was £1,612.000. At that time the Department had not taken over the maintenance and operation of hydro electric and irrigation schemes, which have since been completed.”