FROM CANBERRA.

Press, Volume LXV, Issue 19669, 12 July 1929, Page 9

FROM CANBERRA.

RETRENCHMENT WAVE DEPARTMENTAL CHANGES. NEW SETTLEMENT SCHEMES. (PKOiJ OOfi SPECIAL REPRESENT ATI VE.) CANBERRA, June 28. It is now considered that when the Federal Parliament meets in August it will be the unenviable task of the Treasurer, Dr. Earle Page, to announce a record deficit, amounting to not less than £3,000,000. There has been a drop in Customs revenue alone of something like £2,000,000. Last year the deficit was £2.600,000, and it was 'eft "in suspense." That is to say, it was hoped to be able to even things up this year. The 'Treasurer looked to a "good season" to pull us out of the mire. It is a way that politicians have; they are always ringing the changes between "good seasons" and "bad seasons." If they show a surplus, however, there is little talk about the seasons at all—it is sheer good management. A deficit is almost invariably due to a bad season —but no need to worry too much about it, because it only needs a good season to put us right again. Whether any new taxation will be proposed this coming financial year to put the finances in order nobody outside the Government knows. What is known is that as soon as the figures for the financial year now ending are available and the exact extent of the 'deficiency is disclosed, the Bruce-Page Cabinet will meet to consider the question. The suggestion of additional taxation at a time when business is depressed and every pound is needed i for ordinary development would cel "~ tainlv be anything but popular, and the Government knows it. The alternative is to cut down expenditure. And expenditure is being cut down in every possible direction. It is stated that Departmental estimates ! prepared for the coming year totalled in the neighbourhood of £53,000,000. but by dint of much labour, and with ■ certain retrenchment proposals in view they have been reduced to a round ! £50.000,000. Restless Civil Servants. No direct statement on the subject of retrenchment has so far been made by any member of the Government unless the Prime Minister's declaration in opening the Premiers' Conference that the Federal Government would give a lead in economy to the States can be so regarded. Actions, however, speax louder than words. "We have already had evidence of the Governments intentions by the reductions that are taking place in the naval and air forces and at tlie Lithgow Small Arms factory. Perhaps the Government thmKS | that universal disarmament is at hand. There is no disguising the fact tha in Canberra there is a very feelinw among Civil servants. This is the administrative centre of the monwealth : —the nerve centre —and t_us„ who work here are the first to Z e inkling of any new proposalswhen there is such a turning n P sl _ down of the Departments and partments as is going on he? e Sl * " present time it does not reqni re a ' lock Holmes to tell us that retrenc— '

is in the air. Numbers of men are being shifted from one place to another, and work is being rearranged with a view to cutting out everything that is unnecessary. Inspectors from the Public Service Board are interviewing offieers in the various Departments and' questioning them closely about their work, and if they cannot show that it occupies their time fully they will run the risk of having it divided up amongst several others and looking for a new job themselves. Incidentally, one is impelled to ask what the Public Service Board has been doing in the past to allow unnecessary positions to be created. The strangest thing is that, whilst all this "economy" campaign has been going on, a number" of increases in salary among highly paid Civil servants have just been gazetted —over thirty, of them. It is explained that they were overdue. Those not in the favoured list find it hard to believe, in the face of this, that there is any truth in the rumour about an all-round reduction of salaries! Soldiers in the Service. An investigation has recently been made with a view to ascertaining the number of ex-soldiers in the Public j Service of the Commonwealth and the nature of the duties they perform. An interesting return has been compiled. The Federal Government shows a zreater measure of preference to returned soldiers than any of the State Governments. The number of soldiers appointed to the permanent staff m the Federal service totals no fewer than 4676, and there are 591 more who have passed the necessary examination and are waiting to be appointed. In addition, there are 171 employed on the "temporary" staff and these are eligible for appointment as permanent officers on account of their vl "§ given satisfactory service for a penod of two years. Then there are returned men on the temporary stag » ho have passed no examination and are otherwise not qualified for permanent employment—telegraph linesmen, mail men, and others. The employment of returned soldiers, whose ages range up to fifty years, has created a somewhat serious problem s far as the Public Service is concerned Prior to 1918 there was a special examination for the recrur bright boys for the Service, but owing to the Government's policy of giving employment to returned soldiers it Has practically been allowed to lapse since then, for few of these men could pass that examination without again applying themselves to c-iose and continuous study—a task it was felt that it was unfair to put them to. Positions that, under the old svstem, could have been filled by young cadets have been given to these men at adult salaries, instead of the £BO or so that it formerly cost :'or the recruit®. This is something that is usually not taken into consideration at all when we talk about wnat the war cost us. The Public Service Board has drawn attention to the serious position that was arising as a result of this policy, for there were no young. specialiytrained men coming on to take the place of other experienced men as positions of importance became vacant. Steps are now being taken to revert to the system of homing competitive examinations for entrance to tbe Public Service. Big Settlement Scheme. Recently mention was made of an important settlement scheme in Queensland that has been engaging the attention of the Government. But the Government's proposals embrace other States as well One big scheme that is contemplated is the opening np what is described as a "new province" in the Upper Clarence district of New South Waits. Some millions of acres of virgin land—land that seems to hare been, lost eight of until recently —are

being surveyed at the present time, and it is hoped that it will be possible to settle a large number of people there. It has the advantage of being close to the markets, and the railway is not far away. Dr. Page, p-ho represents the Grafton electorate is taking a special interest in this schemeIt is the policy of the Government to bring about increased settlement in areas that are served by existing roads and railways rather than proceed wit'a the development of more remote areas. Much progress is being made with s settlement in Western Australia, and a number of schemes of great importance are being considered in connexion wit'a that State. It is understood that an important new development scheme for Tasmania is also under consideration. At all events, the Tasmanian Prime Minister, Mr McPhee, is pressing the claims of that State upon the Federal Government. People who know Tasmania ridicule the idea that it is a "poor little island." In some respects —one has only to mention its great hydroelectric scheme —it has , advantage# which the mainland does not possess. Now that Mr Abbott is back from hi* aeroplane tour of the Northern Territory and Central Australia we may expect to see some concrete proposals made for the development of those parts. What is lacking, of coarse, is communications, but it is thought that considerable progress is likely to be made as boob as the Minister has placed his views before Cabinet. That progress will be made by Government and private capitalists working in conjunction. Mr Abbott has been greatly impressed by some of the country he has seen, and those who know him intimately say that he is going to "make history." But we have had bo many futile attempts to develop the North that we are inclined to adopt the Aeqnithiaa maxim, and "wait and see."