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the old building, but Lam satisfied the result will be well worth the outlay. Those branches more closely associated with one another in their work are being brought more into touch, and the conditions under which the employees are working in all branches have been much improved by reason of the changes effected. The Stamp-printing Branch, the Stereotyping Branch, and the Machine Setting and Casting Branch, which have been very cramped for room for some years, have, as the outcome of these alterations, been greatly relieved, and the extra accommodation afforded them should add to their efficiency in dealing with the work. The alterations are not yet complete, but they should be before Parliament meets. Machinery.—Four new casters have been set up, and as a result we have been able to dispense with the night staff of casters. This is a great advantage. During the year several new motors have been installed, and there are now forty-four motors driving machinery. A very small percentage of the machinery is steam-driven, and in the course of a month or two the whole of our driving-power will be electricity. The new wing has been heated with hot-water pipes (an excellent system), and some time in the near future I hope to convert the heating of the old building from steam to hot water, thus doing away with the necessity for coal. An electric cargo-lift has been installed, and fills a long-felt want. It is a Smith-Stevens lift, and is working very satisfactorily. Two electric hoists have also been installed—one a travelling hoist for the handling of heavy goods in the paper-stores, and a smaller one for operating the forme-lift from the basement to the third floor (four floors). Both are satisfactory and are proving economical in their working. In the Lithographic Branch the proving-presses and stone-grinding processes have been converted from hand-power to electricity- a much-needed change. The disc ruling-machine, now some two years under order, has not yet come to hand, and the rotary flat-bed printing-machine ordered over a year ago will not be started upon till the close of the war. From this it will be seen how difficult it is at present to obtain new machinery The rotary perforator, however, ordered at the same time as the ruling-machine from C4reig and Sons, has just been delivered, and is in full work. When the war is over labour-saving and up-to-date machinery will be required, and it will be found economical to install the latest and best to be obtained. For an establishment to produce the best work it is necessary to have the best machinery obtainable. The Staff. —The staff has had a strenuous year, and I have pleasure in testifying to the valuable services rendered by all those in responsible positions. I have, &c, Marcus F. Marks, lion, Mr. Russell, Minister in Charge. (government Printer.

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