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and this proportion divided amongst the other member States. The increase in New Zealand's contribution for 1949 will be approximately 002 per cent, (total provisional 1949 contribution, o*6o per cent.) of the Budget, which was finally approved at $7,787,000. The currencies in which payment of contributions to the Budget and Revolving Fund may be made remains virtually as at present. The Conference agreed to an additional 'call-up in 1949 of $1,000,000 for the Revolving Fund. The 1947 Budget surplus will yield $BOO,OOO and will be credited to member States in proportion to their contributions to that Budget. The balance will be available from payments by new member States and a further small contribution from the others. An advance of $150,000 from the Revolving Fund was approved for the Staff Housing and Welfare Fund. The much simpler and more appropriate form adopted for the presentation of the 1949 Budget was also approved. The Executive Board was instructed to have an expert panel on Finance and Administration examine the proposed Budget for 1950 and make a report thereon. Administration and Staff Matters The Commission had a long discussion on the salary and allowance system, and at the request of the New Zealand delegate a special Sub-Committee (on which New Zealand was represented) was set- up to study the question. It was considered by the New Zealand delegation that allowance should not be such as to cover costs properly chargeable to staff members' base salaries, taking into account that salaries are free of taxation, and it was recommended that the dislocation allowance should be discontinued as soon as possible. The Sub-Committee considered that the whole question of allowances should be related to the length of contracts. This latter feature is one of the most unsatisfactory at present in the staff organization. A series of findings was approved by the Administrative Commission and the General Conference and transmitted to the Director-General. These are to be the basis of the discussions which are being held by UNESCO in 1949 in conjunction with the United Nations and other specialized agencies on the salary and allowance systems. UNESCO will participate in the joint Staff Pension Scheme v proposed by the United Nations, provided no substantial changes are made before the scheme comes into operation. The Staff Medical Benefits Scheme was approved with only minor amendments. The principal change was a New Zealand amendment to insert a new rule relating to the exchange fluctuations and payments specified in the.scheme.

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