THE POST OFFICE

Timaru Herald, Volume CXXXVII, Issue 19667, 8 December 1933, Page 5

THE POST OFFICE

IMPROVED BUSINESS REVEALED MODERN METHODS FOR SAVINGS BANK By Telegraph—Press Association WELLINGTON, December 7. Figures relating to the business of the Post and Telegraph Department were given bv the Postmaster-General (the Hon. Adam Hamilton) in moving the second reading of the Post and Telegraph Amendment Bill in the House to-night. Mr Hamilton said that the reason for introducing the clauses relating to the savings bank was to permit of more modern methods of dealing with the business of that branch. At present the work of the savings bank was restricted by the Act so that modern savings bank methods could not be adopted. In 1923 a proper balancesheet had been inaugurated in the Department. Since then the results had been:—

The Minister explained that these figures excluded savings bank profits. A portion of the profits paid to the Consolidated Fund had been provided by reducing the amount set aside for depreciation, experience since the balance sheet system had been started indicating that the assets were more permanent than then estimated. It had been possible by improved methods to curtail the value of stocks and material held in the Department. The values were:— 1924-25 943,427 1926-27 654,682 1932-33 453,337 The Department's assets at March 31 had been more than £14,000,000. The sum of £552,225 had been paid as interest on loans used for all capital expenditure. This represented payment at the rate of £4/7/6 per cent. The depreciation reserve was now £3,305,502 and of this £1,805,512 had already been expended in assets erected, leaving £1,500,000 as liquid reserve. “Seeing that our capital investment is £14,000,000 the amount in reserve is not excessive,” the Minister remarked. Continuing, he said that the staff of the Department at March 31 was 8490 (excluding non-permanent postmasters and telephonists numbering 1753), a decrease of 208 for the year. The total cash value of the transactions of the Department for the year ending March 31 had been £153,000.000. For the years 1929, 1930 and 1931 the total cash value of transactions had been more than £200,000,000. The Minister quoted the following figures regarding movements of money in the Post Office savings bank since April 1, 1931:—Excess of withdrawals over deposits for the nine months ending December 31, 1931, £4*.720.300; excess of withdrawals over deposits for the calendar year 1932, £3,706,145. In 1933 the position had changed materially for the better, and in January there had been an excess of deposits over withdrawals amounting to £33,411. while for the last seven months ending November 30, excess deposits over withdrawals had amounted to £1,031,761. “It would be safe to say,” the Minister added, “that the Post Office Savings Bank deposits would be increased this year by more than £2,000.000.” The Minister said there had been a marked increase in the revenue of the Department during October this year in all the main branches. The revenue in that month, compared w r ith October last year, had been: 1933 1932 £ £ Postal 93,505 91,294 Tolls 33,404 31,998 Telegraph 21,689 21,379 Telephone exchange subscriptions .. .. 111,074 105.916

For some months now the number of telephone subscribers had been steadily increasing. In connection with the reletting of mail services in the South Island in 1931, a saving of approximately 14 per cent, had been effected. In connection with the reletting of mail services in the North Island now being arranged, the saving was approximately 15 per cent, in those cases m which a settlement had been effected. Only a comparatively few services remained to be arranged. Mr M. J. Savage (Leader of the Opposition) said that it seemed from one clause of the Bill that the Minister was eliminating the necessity provided by the main Act for the accounts oi the Post Office to be presented to Parliament.

Mr W. A. Veitch (Ind., Wanganui) advocated the use of cheques in connection with the Post Office savings bank. Mr E. J. Howard (Lab.. Christchurch South) supported this plea. Mr J. O'Brien (Lab., Westland), referring to the excess deposits in the Post Office savings bank, expressed the opinion that these did not represent the savings of working class people. The Bill was read a second time.

Year. Profit. Loss. Paid to ConsTd. Fund. £ £ £ 1924-25 . . .. — 55,242 — 1925-26 . . .. — 6,622 — 1926-27 . .. 15.281 — — 1927-28 . .. 26.968 — — 1928-29 . .. 35.942 — — 1929-30 . .. 16.695 — — 1930-31 . .. 11,616 — — 1931-32 . . .. 395.308 —' 941.000 1932-33 . .. 36,878 — 456,000