PUBLIC SERVICE COMMISSIONERS (THIRTY-SECOND REPORT OF THE)

Appendix to the Journals of the House of Representatives, 1944 Session I, H-14

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1944 NEW ZEALAND

PUBLIC SERVICE COMMISSIONERS (THIRTY-SECOND REPORT OF THE)

Presented to both Houses of the General Assembly by Command of His Excellency

To His Excellency Sir Cyril Louis Norton Newa.ll, Marshal of the Royal Air Force, Knight Grand Cross of the Most Honourable Order of the Bath, Member of the Order of Merit, Knight Grand Cross of the Most Distinguished Order of St. Michael and St. George, Commander of the Most Excellent Order of the British Empire, Governor-General and Commander-in-Chief in and over His Majesty's Dominion of New Zealand and its Dependencies. May it please Youk Excellency,— As Commissioner and Assistant Commissioner under the Public Service Act, 1912, we have the honour to submit the following report as required by section 15 of the Public Service Act, 1912. 4

REPORT

As has been the oase over the past two years, this report is of necessity of the briefest nature possible Efficiency of the Public Service. —Section 15 of the Public Service Act, 1912, requires the Commissioner to report at least once annually on the efficiency of the Public Service. The task of maintaining the efficiency of the Public Service at its pre-war level has been a well-nigh impossible one. In some Departments of State up to 60 per cent, of the officers on the strength of the Department in 1939 have left the Department for war service of some kind. The work of the Department has been carried on by the appointment of whatever temporary staff has become available. To a great extent this labour has been provided by female office-assistants. The remaining pre-war staff has had to carry responsibility beyond what would normally be expected of its service and experience. The results, although admittedly not up to previous standards, speak very well for the calibre and the training of what remains of the normal pre-war establishment and the adaptability of the newly-appointed personnel. Much Work previously regarded as essential has of necessity been postponed until staff is again available. Within these limits it can be said that the efficiency of the Service has been maintained. Much criticism has appeared in the newspapers regarding absenteeism of wartime staff, particularly female workers. One of the larger Departments in Wellington recently took out figures regarding this matter. The figures relate to a period of six months and cover female staff only.

Reviewing the above figures, the percentage of absence of wartime employees is not considered to be unduly high when compared with the permanent establishment. It must not be overlooked that wartime appointees are invariably older, have family responsibilities, and in many cases are working under considerable strain owing to the absence of husbands overseas. Attention to children and other responsibilities of home life would account for the higher percentage under special leave. Temporary Employees. —With very few exceptions, staff appointed during the war to meet wartime conditions has been recruited on a temporary basis. Even prior to the war, however, there were many temporary employees in the Public Service. As at Ist April, 1939, there were 6,604 temporary employees (apart from workmen), as compared with 10,704 permanent employees. The large number of temporary employees was mainly due to the rapid expansion of the Public Service from 1935 onwards. New Departments were created (e.g., Broadcasting, Commercial Broadcasting, Marketing, and Social

Percentage of Staff absent Each Day. Nature of Leave. —— Other than Wartime Wartime Appointees. Appointees. Per Cent. Per Cent. Sick-leave .. .. 3-97 7-58 Special leave .. .. 1-00 1-73 Annual leave .. .. 3-65 3-70

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Security) and others showed considerable expansion (e.g., Agriculture, Health, Native, Public Works, and State Advances). In many cases it was impossible to obtain employees who were academically qualified for appointment to the permanent staff of the Public Service. Prior to the outbreak of war it was realized that a review would be necessary to consider the claims of those who were qualified for permanent appointment, and had not the war intervened this would have taken place before now. Many of the employees directly interested in this matter proceeded overseas on military service. As a policy matter it was decided that permanent appointment of temporary employees would not be considered during their absence so that no injustice would be done to those employees on military service. A difficulty has now arisen in that some of those who went overseas have now returned and are naturally anxious to know whether they are likely to be placed on the permanent staff, as under present conditions many of them would have no difficulty in obtaining permanent positions outside the Public Service. As a consequence, action is now being taken to review all cases of employees with military service overseas so that those who have the academic qualifications can be placed on the permanent staff, provided they are filling positions within the approved establishment of the Department and provided they are (or were) rendering efficient service. The claims of employees still overseas are not being overlooked. The review covers all employees who are at present overseas as well as those who may have returned to the Dominion. Accommodation Difficulties in Wellington. —The task of administration has been impeded by lack ■of accommodation —both office and residential—for officers in Wellington. Departmental office accommodation in Wellington is now widely scattered, and this cannot lead to maximum efficiency. It is hoped that when it is possible to reduce considerably the staffs at present essential for purely war purposes a determined effort will be made to centralize all Government Departments within a reasonable area. The accommodation difficulty in Wellington, however, goes far beyond office accommodation. Officers in the secondary towns are now declining promotion if such promotion means transfer to Wellington or to one of the main cities. The knowledge that they may be without adequate housing accommodation for months and that transport costs and other living-expenses are higher at a main centre has been advanced as reasons for declining the promotion offered. Where the most suitable and efficient officers are not willing to accept positions on account of these reasons, it is not possible to obtain maximum efficiency. The same problem is also encountered in connection with the appointment of cadets and other junior officers. Accommodation is very difficult to find, and many applications are received from junior staff to return to their home towns after a short period of service in Wellington. The problem can be overcome to some extent by the establishment of a hostel for cadets in Wellington. When certain hostel accommodation is no longer required for housing Armed Forces personnel, it is hoped that something along the lines suggested will eventuate. Staffing generally.—The difficulties besetting this Office in connection with the staffing of the Public Service arise as much from the necessity of providing personnel to meet the additional tasks imposed by war conditions and for the formation of new Departments or new branches as from the necessity of providing staff to replace employees proceeding on military service for carrying on the pre-war activities of the Department. Of necessity much of the staff has been recruited from outside the Public Service, but the framework of new Departments or branches in practically all cases has had to be provided from the existing Public Service. This has had to be done at a time when the established Departments have been hard pressed to carry on with a badly-depleted staff. The Commissioners' task in separating officers from the Departments in which they have been trained to meet what is, in the Commissioners' opinion, a greater need in another Department has not been a pleasant one. It says much for the Permanent Heads of the Service that they have almost without exception met the requirements of the Commissioner in this respect. An indication of the difficulties can be obtained when one considers the additional staff required to carry out functions indicated below. In all cases it should be borne in mind that pre-war activities have continued with little or no diminution: — Agriculture Department .. .. Drive for increased primary production, Services vegetable-production, linen flax. Air, Army, Navy .. .. .. Additional civilian staff required to meet extraordinary demands of war. Industries and Commerce .. .. Staff for Ministry of Supply, for various Control branches—e.g., Price, Food, &c. —and for linen flax. Lands and Survey .. .. .. Land-sales legislation and control. Marine .. .. .. .. Ship-building activities. Marketing .. .. .. Additional activities of internal marketing. Public Works .. .. . . Building and various activities for war purposes. Scientific and Industrial Research .. Additional research activities for war purposes. Social Security .. .. .. War pensions. National Service .. .. .. \jj 0W Departments formed. Rehabilitation .. .. .. J r Overtime. —Over the past few years considerable improvement has been effected in conditions of overtime in the Public Service. Up to the outbreak of the present war overtime was paid only for special work performed after forty-four hours per week had been worked. The minimum rate was then Is. 6d. per hour and the maximum rate 3s. 6d. per hour. Overtime was not payable to any officer receiving £470 per annum and over. At present overtime is payable at time and a half rates of pay for all hours worked over forty hours per week, with a minimum hourly payment of 2s. 3d. per hour and a maximum of 6s. 9d. per hour. Overtime is payable to all officers up to £565 per annum. Much overtime continues to be necessary in the various Departments. The position regarding overtime is being closely watched to prevent any abuse, but it appears that in certain Departments overtime must continue until the man-power situation is eased.

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Rehabilitation of Public Servants serving with the Armed Forces. —Every endeavour has been made since the outbreak of war to protect as far as possible the rights of officers serving overseas. The following conditions were applied : — (a) All increments due to the employees have been added to their nominal salary during their absence : (b) Their claims for promotions have been carefully considered during their absence. In many cases promotions have been granted to men still overseas, and acting appointments have been made during their absence to carry on meantime : (c) Annual leave at the rate of two weeks per annum has accumulated during their absence, and may be taken as leave or be granted as payment in lieu of leave on resuming duty : (d) All superannuation contributions on nominal salaries have been paid by Government during the absence of the employees : (e) On resuming duty every officer has a right of appeal against the promotion of any other officer who has received promotion during the absence of the soldier, provided the returned officer's appointment to the particular position would have involved his promotion. In addition to the above, regulations were gazetted this year providing for the experience, efficiency, .and suitability of officers absent on war duties to be protected during their absence. These regulations provide that for the purposes of appeal no officer serving with the Forces or seconded to other duties for causes arising out of the war shall be deemed to have lost experience, efficiency, or suitability on -account of his absence from his parent Department. The wisdom of promulgating these regulations has already been proved. The responsibility of endeavouring to make up the departmental experience lost by employees serving with the Military Forces is fully appreciated. Action is now being taken to provide a scheme for bringing returned soldier public servants up to date in present departmental practice and procedure •over the shortest possible period of time. Personnel officers will be appointed in all Departments whose responsibilities will be the welfare and interests of the returning officers. These duties will in most oases be carried on in conjunction with other departmental duties. Roll of Honour. —It has been my sad duty to record in past annual reports the passing of 243 employees who have made the supreme sacrifice since the outbreak of war. This year the ever-growing list is augmented by the addition of 173 names. These officers will be sadly missed.

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Name. j Department. j Name. Department. Agar, K. T. .. .. Public Trust. Franklin, F. J. .. .. Internal Affairs. Aitken, G. C. .. .. Government Life Insurance. Fryer, W. J. .. .. Lands and Survey. Alexander, B. .. ■ ■ Broadcasting. Fulford, G. H. .. .. Education. Allan, R. .. • • Public Works. Galbraith, P. R. .. Public Trust. Allen' A. F. .. . ■ Public Works. Gall, R. J. .. .. Treasury. Ayers', A. B. F. .. .. Air. Gambrill, J. R. .. .. Health. Badcock, J. .. • • Scientific and Industrial Gannon, R. D. A. C. .. Labour. Research. Gibb, A. .. .. Public Trust. Bailey, N. G. .. ■ • Social Security. Grainger, J. K. .. .. Police. Baker,' L. T. .. ■ • Audit. Gray, R. W. .. .. Public Works. Bate, 0. W. .. • • Agriculture. Halpin, F. J. .. .. Navy. Bee M. M. .. • • Lands and Survey. Hammond, H. S. .. Education. Bennington, I. C. •• Social Security. Hannah, B. J. E. .. Housing. Bentley, J. E. S. • • Labour. Harris, H. A. .. .. Public Trust. Bern, b! B. A. .. • ■ Native. Hatchard, H. V. .. Native. Berrv, J. W. • • • • Industries and Commerce, Hayes, C. T. .. .. Health. Tourist and Publicity. Heath, J. H. .. .. Customs. Bisset, S. R. •. • • Public Works. Heine, R. W. .. Justice. Blackwood. H. G. P. .. Public Trust. Higgins, L. H. .. .. Public Works. Blunden, N. R. .. ■ • Agriculture. Higginson, B. P. .. Public Trust. Boaden, F. B. .. •• Lands and Survey. Hitchings, V. T. .. State Advances. Brabant, R. L. .. • • Agriculture. Hogg, J. A. .. .. Internal Marketing. Broadbent, S. .. • • Public Trust. Hopkins, R. V. P. .. Health. Brown, J. A. .. • • Justice. Hornig, C. B. .. .. Public Works. Burbid'ge, K. A. • • Public Works. Hothersall, F. E. .. Public Works. Carnachan, D. G. •. State Advanoes. Hough, W. J. .. .. Broadcasting. •Chettle, R. J. • • Social Security. Howard, G. P. .. .. Broadcasting. Cook, A. R. • • • • Audit. Howes, V. C. .. .. Land and Income Tax. Cook,'B. M. .. •• Social Security. Hoy, W. J. .. .. Public Trust. Cooper, H. R. . ■ • • Education. Hutton, F. .. .. Native. Cottrell S. G. .. • • Transport. Hutcheson, W. J. .. Industries and Commerce, Cowan, J. •• Public Trust. Tourist and Publicity. Cunningham, J. T. .. Native. Jannings, D. F. P. .. Scientific and Industrial Currie, I. S. ' . ■ • • Mental Hospitals. Research. Dahl, F. M. . • • • Public Works. Jenkins, R. D. .. ,. Army. Dale,' A. B. .. •• Native. Johnson, I. S. .. .. Air. Darton,'T. W. • • Native. Jones, R. L. .. .. Public Works. Derrick, A. J. .. ■■ Public Works. Judd, D. H. .. ., Marketing (Export Division). Donne, G. L. .. • • External Affairs. Kelleher, P. J. .. . . National Service. Donovan, O. J. .. •• Social Security. Keller, R. F. .. .. Social Security. Dowell, A. D. .. ■ • Justice. Lamb, J. A. .. .. Internal Marketing. Duthie' G. R. J. • • Education. Lawes, M. E. .. .. Transport. Dun-ant, C. R. . • • • Printing and Stationery. Lindup, J. B. .. ,. Lands and Survey. Earle, J.' ■ • • ■ Lands and Survey. Lip-Guey, W. H. . Army. Evans, L. D. .. . ■ Mental Hospitals. Lovelock, N. J. .. Native. Everist W. T. .. Audit. Lumley, J. .. .. Land and Income Tax. Ewing, B. C. .. • • Mental Hospitals. Lythgoe, C. G. A. .. Agriculture. Farrow, J. R. .. • ■ State Forest. Maxwell, L. R. .. .. Native. Ferguson, W. G. .. I Census and Statistics. McBain, G. P. .. .. Audit. Flack, A.'W. .. •• Agriculture. McCabe, K. A. .. .. Education.

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Board of Appeal. —Two sessions of the Public Service Board of Appeal were held during the year. Some 248 non-promotion appeals were considered, with the following results : allowed, 5 ; not allowed, 197 ; withdrawn, 38 ; dismissed for want of prosecution, 8. The Board of Appeal consists of two members appointed by Government (one being the Chairman) and two members elected by public servants. An election was due in May, 1943, but owing to unsettled conditions at that time and with the concurrence of the New Zealand Public Service Association authority was obtained to extend the terms of the serving elected members by a further year. Nominations were duly invited this year, and the only nominations received were those of the two serving members, who were declared duly elected. The present personnel of the Board of Appeal is therefore Messrs. W. F. Stilwell, S.M. (Chairman), J. H. Jerram, 1.5.0. (Government member), and J. Turnbull and D. A. Young (elected members). Recruitment of Cadets.—lt is unfortunate that a decrease in the number of cadets and male officeassistants appointed during the year must be recorded. The number of appointees was 442, representing a decrease of 237 in the figures for the previous year. The supply of cadets recently has been far from sufficient to meet the needs of the Service. One pleasing feature, however, is that over half of the appointees had passed the University Entrance or higher examination. In Wellington 225 lads were appointed, in Auckland 61, in Christchurch 38, and in Dunedin 19. This Office is extremely grateful to Recruitment Liaison Officers, Vocational Guidance Officers, and school-teachers generally for their co-operation and assistance in this difficult aspect of the recruiting problem. Examinations. —The usual departmental examinations were held in October, 194-3. This examination is for the purpose of qualifying officers for advancement beyond Class Vl—i.e., a salary of 1335 per annum. Nineteen candidates presented themselves at eight centres, and eight succeeded in passing the examination. One candidate was later granted a war concession pass. Shorthand-typists' Examinations :— '

In addition, three entered for the Reporters' Examination, two being successful, while the other entrant did not present herself for the examination.

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Name. ! Department. Name. i Department. McFarland, R. L. A. .. Social Security. Redwood, C. H. G. .. I Audit. McKinlay, W. D. • • State Advances. Riwai, T. R. .. .. Native. McKinley, T. .. .. Housing. Rowe, 0. T. .. .. Printing and Stationery. McLaughlin, A. .. Agriculture. Ryan, G. T. .. .. Land and Income Tax. McMillan, J. D. .. Customs. Sadler, E. L. . . .. Public Works. McWilliam A .. .. Customs. Sandeman, G. G. .. Public Trust. Mann, D. G. .. .. Social Security. Sands, H. P. .. .. Lands and Survey. Mariu, K. P. .. .. Native. Saul, N. P. .. .. Public Works. Mellsop, R. G. .. .. Public Trust. Shiels, P. D. .. .. Social Security. Mercer, L. J. D. .. Native. Slade, W. G. .. .. i Native. Milligan, D. N. .. .. Industries and Commerce, Sloan, W. H. .. .. I Agriculture. Tourist and Publicity. Smart, R. C. .. •. [ Public Works. Molloy L. P. .. .. Army. Smith, R. A. .. .. National Service. Monaghaii, t>. !. .. Public Trust. Snook, R. V. .. .. Lands and Survey. Monro, J. B. .. .. Transport. Steven, J. B. .. .. State Fire Insurance. Montgomery, J. L. .. State Advances. Strang, E. R. .. .. Health. Morgan, ,T. A. .. .. State Advances. Sweney, W. G. .. .. Lands and Survey. Morgan, K. C. .. .. Lands and Survey. Tahiwi, K. T. A. A. G. .. Internal Affairs. Morison, J. E. .. .. Housing. Tamahori, H. .. .. Native. Morrison, K. F. .. State Advances. Tanner, J. H. .. .. | Industries and Commerce, Morrison, K. W. .. Industries and Commerce, Tourist and Publicity. Tourist and Publicity. Taylor, G. S. .. .. Land and Deeds. Morrow, M. M Navy. Taylor, J. B j Public Works. Mouldey, W. H. .. Internal Affairs. Torrens, A. A. .. Public Trust. Murray H St A. .. Public Works. Tudhope, T. W. M. .. Public Works. Nay lor, J. H. .. .. Lands and Survey. Turnbull, G. W. .. Lands and Survey. Norton P. .. .. Land and Income Tax. Turner, J. G. G. .. Lands and Survey. O'Neil.'R. .. .. Land and Income Tax. Wade, H. N. .. .. Internal Affairs. Page, N. J. .. .. Lands and Survey. Wallace, J. D. .. Transport. Paora, U. .. .. Broadcasting. Ward, J. C. .. • • Internal Affairs. Pane, W. .. . • Public Works. Warner, N. W. .. .. j Lands and Survey. Pepper, T. B. .. Social Security. Watkins, F. V. .. .. j Native. Perry, E. A. .. .. Education. ' Watson, A. E. .. | Army. Phillips, R. T. .. .. State Advances. Watts, I). G. .. . . Public Works. Pile, J. H. .. .. Education. Weatherall, L. F. . . Lands and Survey Pointon, S. L. .. . . Social Security. Webster, L. C. .. . ■ Justice. Pointon, W. A. G .. Land and Income Tax. Woodgate, A. J. .. Lands and Survey. Prins, H.G. .. .. Labour. Woods, R. A. F. .. Audit. Quilter T. G. .. - • State Forest. Wouldes, N. F. .. .. Land and Income Tax. Rawlings, L. M.. . . . Public Works. . Wright, D. R. .. .. Public Works.

| ss:'«'S »-•_ m - K t"'_ Special .. .. ■ • .. j 41 .. 6 34 1 Intermediate .. .. • • • • 68 .. 19 47 Senior . .. .. 450 49 257 138 <> •Junior 936 107 490 324 15

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Retirement Policy in the Public Service. —From the outbreak of war up to the year under review, retirements of public servants have been held over owing to the acute position regarding man-power. Some relaxation of this policy has been possible during the past year. Public servants prior to the outbreak of war could retire after completion of forty years' service, or at the age of sixty-five years irrespective of length of service. In practice most public servants retired at the age of sixty years provided they had completed forty years' service, or at the age of sixty-five years irrespective of length of service. This basis is now being adopted for retirements during the war period where it is possible to release officers. Much dissatisfaction had arisen through the retention of officers beyond the usual age and service for retirement owing to the hold-up which naturally results as far as promotions are concerned. During the past year the release of many officers has improved the position considerably in this connection. Efficiency Councils.—During the year consideration was given to the desire of the New Zealand Public Service Association that Efficiency Councils be established in the various Departments of the Public Service. Following discussions it was decided to approve of the institution of a scheme on a purely permissive and not mandatory basis, although the scheme carried the recommendation of the Commissioner. The following outline of the scheme is given :— (a) Local Efficiency Committees— (1) The personnel of a Local Committee would be three from the management side nominated by the controlling officer, and three from the staff side elected by all the staff other than those representing the management on the Efficiency Committee. As far as possible representation on the Committee should have reference to the functional set-up of the office, workshop, &c. It may, in some cases, be necessary to vary the composition of Local Committees to suit the particular departmental or other conditions. (2) The local controlling officer or his deputy would act as Chairman of the Committee and one of the staff members as Secretary. (3) The functions of a Local Efficiency Committee would include — (i) Evolution of means whereby the ideas and experience of all officers may be used to the best advantage of the Department : (ii) The promotion of harmonious relations between the management and the staff : (iii) Encouragement of initiative and self-reliance among members of the staff: (iv) Economizing of staff in the broadest sense : (v) Co-operation in staff-training measures : (vi) Co-operation to ensure the best organization of procedure and its efficient implementation : (vii) Promotion of the welfare of the staff— e.g., in respect of accommodation, ventilation, sanitation, &c. : (viii) Attention to other matters referred to the Committee. (4) Meetings would be held as frequently as deemed necessary, but not less than once quarterly. The Chairman would convene meetings on representation from Committee members, or on his own initiative if he thinks desirable. (5) Committee members would hold office for one year, and vacancies caused by death, transfer, retirement, or resignation would be filled during the year by the same method as is provided in (1) above. (6) Local Efficiency Committees are to confine themselves to matters calculated to promote co-operation and efficiency, and to scrupulously guard against any tendency towards becoming personal disputes committees. Such matters as appointments, salaries, &c., would not come within the scope of Local Efficiency Committees. (b) Departmental Efficiency Committees (i.e., National Departmental Efficiency Committees at Head Offices ') (1) The establishment of Departmental Efficiency Committees would be on similar terms to Local Efficiency Committees. (2) The functions of a Departmental Committee would be — (i) The same as those for the Local Committees as outlined above : (ii) Any matters referred to it by Local Committees by other persons having authority to refer matters to the Committee : (iii) Staff-training measures : (iv) Hours of work and overtime : (v) Leave. (3) Departmental Committees would be composed of four from the departmental or controlling side and four from the staff side. Two of the four members from the staff side should be drawn from the Wellington Branch Office of the Department, the other six members being from the Head Office side. (4) The Permanent Head or his nominee should be Chairman of the Committee and a staff nominee should act as Secretary. (5) Conditions for the filling of vacancies should be along similar lines as for Local Efficiency Committees. Many Departments have instituted Committees in terms of the above, but it is too soon to express an opinion as to whether the scheme will work satisfactorily. It is appreciated that the tendency of such a scheme to become nothing more than a complaints committee must be avoided.

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Appointment of an Assistant Public Service Commissioner. —For some time the Public Service Association have been asking for t.fie appointment of two Assistant Public Service Commissioners as provided for in the Public Service Act. The present and future problenis of the Service fully warrant such appointments. The Government have now approved of the appointment of one Assistant, and selected Mr. G. T. Bolt for the position. Mr. Bolt has had a wide experience in the work of the Public Service Commissioner's Office and was Secretary of the Office up to the time of his appointment. Administrative Changes. —Mr. J. M. Park retired from the position of Commissioner of Taxes, and was replaced by Mr. F. G. Oborn, previously Deputy Commissioner. Mr. Oborn was succeeded by Mr. F. B. Aburn. Mr. L. B. Campbell, Secretary of Marine, retired during the year. No appointment of a successor has so far been made. Mr. J. S. Hunter, who previously filled the position of Director of National Service, was appointed to the position of Chief Executive Officer, Organization of National Development. Mr. H. L. Bockett assumed the position of Director of National Service in addition to his previous position as Controller of Man-power. Mr. 0. N. Campbell, Under-Secretary and Native Trustee, Native Department, retired, and was succeeded by Chief Judge G. P. Shepherd. In the Public Works Department the position of Under-Secretary has been separated from that of Engineer-in-Chief. Mr. N. E. Hutchings was appointed to the position of Under-Secretary. Mr. P. G. Pearce retired from the position of Commissioner of Stamp Duties and Secretary for Land and Deeds. Mr. J. Caradus, Registrar-General of Land, has been appointed to succeed Mr. Pearce. Mr. J. H. Jerram, 1.5.0., is retiring from the position of General Manager, State Fire and Accident Insurance Department, and will be succeeded by Mr. R. H. Newbold, at present Deputy General Manager. Mr. Jerram has also served on the Board of Appeal as Government member for the past eighteen years. Mr. G. G. Rose, Assistant Secretary to the Treasury, retired during the year. Mr. E. L. Greensmith, previously Second Assistant Secretary, replaced Mr. Rose, and Dr. A. R. F. MacKay, previously Accountant, succeeded Mr. Greensmith. Mr. W. Stewart retired from the position of Valuer-General on his appointment to the Land Sales Appeal Court. Mr. F. IT. Waters, previously Deputy Valuer-General, was promoted to the position of Valuer-General. Mr. W. E. Arnold, Commissioner, Government Insurance Department, retired during the year, and was replaced by Mr. J. W. Macdonald, previously Deputy Commissioner and Secretary. The position of Director, Rehabilitation Department, was filled by the appointment of Mr. F. Baker, who had returned to duty after distinguished service overseas. Offences by Officers. -The machinery for action taken against officers for offences is detailed in sections 1L and 12 of the Public Service Amendment Act, 1927. During the year under review it was necessary to issue regulations providing for the dismissal from the Public Service of military defaulters —i.e., those employees who as a result of refusal to render military service had been committed to defaulters' detention camps. For this reason the number of offences dealt with is in excess of previous years. Cases dealt with were as under : Misappropriations : 2 (2 forfeited office). Unsatisfactory work : 24 (services terminated, 5 ; permitted to resign, 9 ; rej)rimanded, 6 ; reprimanded and fined, 2 ; fined, 1 ; transferred, 1). Unsatisfactory conduct: 84 (exonerated, 1 ; services terminated, 45 ; permitted to resign, 9 ; reprimanded, 11 ; reprimanded and fined, 6 ; fined, 8 ; transferred, 4). Conclusion. —Despite the difficulties of the past year, the co-operation and willing assistance received from all administrative and executive officers have been excellent. We desire to extend to them and to our own staff our thanks for their loyal co-operation. The executive of the New Zealand Public Service Association have been very helpful in their approach to the various problems coming under review. All of which is respectfully submitted for Your Excellency's gracious consideration. J. 11. Boyes, Commissioner. G. T. Bolt, Assistant Commissioner. Office of the Public Service Commissioner, Wellington, 20th June, 1944.

Approximate Cost of Paper.—Preparation, not given ; printing (BOS copies), £12.

By Authority: E V. Paul, Government Printer, Wellington.—l 944. Price fid]

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