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view of the projected termination of the International Labour Organizations association with the League of Nations, collaboration between the U.b.b.K, and the International Labour Organization may now be easier to secure. Another question touched upon in the Director's report was that _ ox representation. It had been suggested in certain quarters that the Organization would be of a more democratic nature if the number of workers representatives were increased, and attention had also been drawn to the difficultv which the nomination of employers' representatives may present where industry is State-owned or operated under some form of direct public control. _ The Director dealt effectively with both of these problems. In pursuance of a decision at the 1944 Conference, a brief statement of the financial position of the Organization was presented by the Director. This showed that since 1940 the accounts have closed with a credit balance every year except 1943, when a small deficit resulted. From a schedule attached to the financial statement it will be seen that, while several countries are in arrear with their 1944 contributions, New Zealand, which, incidentally, ranks twelfth in the order of assessment out of a total of forty-eight contributors, has fully discharged, her obligations. ITEM No 2 • THE MAINTENANCE OF HIGH LEVELS OF EMPLOYMENT DURING THE PERIOD OF INDUSTRIAL REHABILITATION AND RECONVERSION In presenting its report on this question, the Committee made it clear that, as far as the current session of the Conference was concerned, its recommendations were limited to the period of industrial rehabilitation and reconversion, and did not purport to represent a basis for a long-term policy, except in so far as transitional policies are obliged to take account of the probable long-run position. While the workers' representatives on the Committee stressed the importance of the social aspect, and the employers representatives emphasized the role played by private enterprise, full agreement was obtained on the general principles of a policy directed towards the maintenance of full employment, and a comprehensive resolution, supported by both employers' and workers' members, was submitted to, and adopted by, the Conference. . 1T Summarized, the conclusions of the Committee may be stated as follows (1) Governments should take all possible steps, in collaboration with workers' and, employers' organizations and industry generally, to establish such economic and financial (including fiscal) conditions as will facilitate the absorption into useful employment, at the highest practical levels of remuneration, of all persons of working age able and willing to accept employment. (2) In view of the importance of a high level of investment from the point of view of employment policy, provision should be made for—(a) Facilitating the flow of credit and capital to new, efficient enterprises; (b) Methods by which public authorities may support and supplement investment through channels of special importance from a social point of view; (c) Consultations between Government and industry for the purpose of adapting the volume of private investment, in order to minimize trade fluctuations; (d) A policy of public investment and related financial measures as recommended in the Public Works (National Planning) Recommendation of 1944.

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