RECOMMENDATIONS SUMMARISED.

Press, Volume LX, Issue 18265, 26 December 1924, Page 11

RECOMMENDATIONS SUMMARISED.

NEW SYSTEM OF FINANCE AND ACCOUNTING.

The Minister ha 3 issued the following statement covering the report of the Commission: —

Dealing with the summarised recommendations of tho Commission, it will bo immediately seen that those coming under the heading of finance arc practically identical with tho policy outlined in the last annual Railway Statement. A staff of qualified railway accountants has hecn engaged for some weeks in formulating full reports, so that the change ovor to the new system of finance and accounting may bo brought into operation at the commencement of the next financial year. Organisation. When taking over the portfolio of Railways one of the first alterations in policy was the decision that all railway servants should retire on completion of 40 years' service. This policy resulted in the retirement of a large number of officers holding senior positions, and the General Manager himsolf, having had considerably more than 40 years' service to his credit, immediately indicatod his willingness to fall into line. At my request, however, Mr MeVilly agreod to the question of his giving notice to retire being left in abeyance until I had had an opportunity of obtaining a grasp of tho Department's operations, and thus being in a position to decide as to what form of management should be adopted on Mr McVilly's retirement. After consideration I came to the conclusion that a Board of three would give the best results.

With regard to the filling of the position of Chief Mechanical Engineer, steps have already been taken in. tho manner suggested by the Commission, and applications are at present being invited in New Zealand and abroad from men with the necessary qualifications. The recommondations numbered (9) and (11) dealing with the appointment of a secretary-cashier and an operating and equipment assistant and the appointmont of gor.lral superintendents in each Island, are in entire accord with my aims at decentralisation, and have been agreed to, but some adjustment in tho organisation chart included in the Commission's report will be necessary. The reduction in the number of traffic and civil engineering districts and the suggested reorganisation of the mechanical department are at present being considered by the Board, and proposals will be placed before me in the' near future. Operation.

The question of reducing "mixed" trains to a minimum is one that has received a considerable amount of attention for some time, and it has been recognised that the separation of goods and passenger services should go a long way in popularising our railways.

A scheme for the collection and delivery of goods ha 9 been formulated by the Departmental officers, and will bo considered by the Board and mvself as early as possible. A careful survey of the Christmas ?„nd Easter holiday traffic over a period of years from 1913 made it clear that as excursion fares have been increased passenger traffic has fallen, until in 1924 the railways were carrying barely half the number of passengers they did immediately prior to the war.

No action was taken, however, pending the Commission's report, which, of course, was not received in time to make any radical changes so far as the present holiday season is concerned, but a small reduction was given effect to. It is intended to review the matter early in tho New Year, and decide as to what further rductions can be made for the Easter holidays. The recommendation of the Commission that a complete revision of time-tables is essential is fully concurred in, and will have immediate attention, together with the centralised control of train movement and distribution of waggon stock in each Island.

To give immediate effect to thes? proposals, however, it is very desirable to secure the services of a man conversant with the most modern methods of train control and rolling stock distribution. The matter was very fully considered, and Cabinet approved my recommendation to endeavour to secure the services of Mr S. E. Fay, who was attached to the Commission as a secretary, and who

lias very wide experience in the operation side of railway wotU in other parts of the world. Mr Fay has accepted tho position, and commences his duties early in April next. Kates and Pares. The Commission's recommendations in this direction are concurred in, and aro at present having close attention by the Board. The necessary information will shortly be available, and tho public will have an opportunity of considering the proposals before they are finally gazetted. Stores. The recommendations under this heading are concurred in, and steps have been taken to give effect thereto. Mechanical. The recommendations in connexion with the Mechanical Department are concurred in, and will be considered in conjunction with the report- of an expert who was engaged by the Department independently of the Commission some two months ago. This officer is at present engagod in. exhaustively surveying the Department shops, etc., and it is proposed to deal comprehensively with both reports when available.

General Statistics. The need for establishing a modern system of compiling essential statistics has been recognised for some, time, and definite arrangements have been made to formulate a scheme without delay. With this object in view, I have been successful in obtaining the services temporarily of Mr J. A. Warren King, who prior to being attached to the recent Commission, held the position of statistical assistant to the general manager of ono of the most important British railway companies. Mr King will act in an advisory capacity to the Board, and will, during the period of his engagement, inaugurate a system of statistics in keoping with the best practices abroad, so that the actual results of the Department's operations may be accurately gauged from time to time..

Staff Training. The necessity of an efficient staff training scheme is recognised as being of prime importance, and the development of such a schomc, affording the fullest measure of opportunity to every employee of the Department to extend his knowledge, incrcaso his usefulness and improve his status as a railway man, will bo placed in the forefront among the many proposals that are being brought forward for consideration.

Officers to go Abroad. This was one of the first recommendations made by me to Cabinet when taking over the administration of the Eailway Department, and authority was given for officers to bo sent abroad for training as opportunity offered. Officers from various branches will be selected at an early date, and arrangements made for them to leave tho Dominion as soou as possible.

Improvements and New Works.. The recommendations of tho Commission in connexion with the engineering side of the Department's operations arc of minor importance except with regard to improvements and new works. The Commission's concurrence in the programme submitted by me to Parliament during the recent session is a good indication of the soundness of the conclusions arrived at by the Department's engineering and other officers. While the Commission has emphasised the necessity of the main works, it also points out that with changed operation conditions, modifications in many of the proposals may be necessary, and this aspect will be given fuli consideration. Private Sidings. The recommendation that no rental in addition to cost of construction and renewal be charged on private sidings would, if given effect to, be .a distinct departure from tho present policy. Particulars are being ascertained,as to the amount involved and the matter will then be considered and a decision arrived at. ' 'Extremely Valuable Document.' * I have been through the report very carefully, and consider it an extremely valuable document. The recommendations contained therein are clearly on sound and constructive lines, and will enable the Department to effect many practical improvements in its services to the public. I think the report is well worth <he expenditure involved in bringing the Commission to >"ew Zealand. It has confirmed many important policy proposals already adopted by the Government, and contains valuable suggestions by men who have had wide practical experience of the various railway problems which are confronting us to-day. Probably the most interesting commentary on the merits of our railway even as they stand to-day is to be found in a remark that was passed to me by Sir Sam Fay immediately before his departure from tho Dominion, when he intimated that in the railways of New Zealand we had a valuable asset, and that if wo wished to sell our railways he would undertake.to Had a buyer.