PUBLIC SERVICE COMMISSIONERS (THIRTY-THIRD REPORT OF THE)

Appendix to the Journals of the House of Representatives, 1945 Session I, H-14

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1945 NEW ZEALAND

PUBLIC SERVICE COMMISSIONERS (THIRTY-THIRD REPORT OF THE)

Presented to both Homes of the General Assembly by Command of His Excellency

To His Excellency Sir Cyril Louis Norton Newall, Marshal of the Royal Air Force, Knight Grand Cross of the Most Honourable Order of the Bath, Member of the Order of Merit, Knight Grand Cross of the Most Distinguished Order of St. Michael and St. George, Commander of the Most Excellent Order of the British Empire, Governor-General and Commander-in-Chief in and over His Majesty's Dominion of New Zealand and its Dependencies. May it please Youe Excellency,— As Commissioner and Assistant Commissioner under the Public Service Act, 1912, we have the honour to submit the following report as required by section 15 of the Public Service Act, 1912.

REPORT The past year has again been one of staffing difficulties. There has been a continuing demand for staff in war Departments and newly created organizations, such as the Rehabilitation Department and the War Assets Realization Board. From the point of view of recruitment of staff, the year has been almost as difficult as any of the war years, mainly owing to the fact that all previously untapped sources of labour have disappeared and all available labour has come within the scope of the activities of the National Service Department. Exceptional difficulties have been experienced in maintaining the shorthand-typing staff in the Public Service, but this seems to be a difficulty that is being experienced by most employers throughout New Zealand. Indeed, reference to overseas publications indicates that this shortage of qualified shorthand-typists is common to most countries. Presumably the source of supply for this type of labour has been directed to or attracted by more colourful or more remunerative types of wartime employment. A limited number of servicemen have become available for reemployment in the Service during the year, but they have not been sufficient as yet to meet the continuing demands for staff. Recruitment of Cadets A total of 317 cadets were appointed to the Public Service during the year. Those appointed in Wellington were 109 ; Auckland, 47 ; Christchurch, 29 ; and Dunedin, 21. Valuable assistance was given by the Vocational Guidance Officers, Recruitment Liaison Officers, and the careers teachers of the schools. The Commissioner records here his appreciation of their work. From the educational point of view a pleasing feature was that more than half the appointees were qualified in the University Entrance or higher examination. The total number of cadets recruited during the year was the lowest since 1934. To meet the fixture needs of the Public Service it is essential that there should be an increase in the number of juniors being recruited. New measures to stimulate recruitment are now under consideration. Some interesting conclusions, however, have been reached in a report prepared by the Wellington Vocational

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Guidance Association in consultation with the Industrial Psychology Division of the Scientific and Industrial Research Department. The report makes it clear that the shortage of juvenile labour is caused by the following factors : — (a) The fall in the birth-rate for the years from 1920-25, which explains the small number now available for employment. The report estimates that not until 1955 will the supply of juvenile labour return to the level of 1938 : (b) A larger proportion of pupils remain at school: (c) The total demand from all sections of the community for juvenile labour has increased. In addition to the above factors, the acute difficulty which boys experience in obtaining satisfactory board in Wellington strongly impedes recruitment to the Public Service. It is felt that there can be no solution to their accommodation problem until there is functioning a Public Service Hostel in which boys may reside on their arrival in Wellington. Examinations Examinations for those who lacked an academic qualification for promotion beyond C, VI were held in October, 1944. There were forty-two candidates and the examinations were held in fifteen different centres. Eighteen candidates were successful in passing the examination. Twelve officers who sat were ex-servicemen. Normally partial passes are not granted, but as a war concession eight ex-servicemen were credited with the sections of the examination in which they had attained the required standard. By reason of service in the Armed Forces there will be a large number of public servants who will not have had an opportunity to obtain one of the academic qualifications necessary for promotion beyond C, VI. It is the intention to provide tutorial assistance in the form of correspondence courses to enable such candidates to reach the standard set in the examination conducted by this Office. Temporary Employees In view of the difficulties of recruiting permanent staff for the Public Service through the normal channels, it has been still necessary, as during all the war years, to employ substantial numbers on a temporary basis. Although there were many temporary employees even before the war owing to the rapid expansion of the Public Service from 1935 onwards, this trend has been greatly accelerated during the war period and to date has not shown any signs of abatement. Just prior to the outbreak of war it was the intention to review carefully the establishment of all Departments with a view to bringing on the permanent staff those temporary employees who were qualified for permanent appointment and whose services would be needed indefinitely. Unfortunately, the outbreak of war necessitated the postponement of this action. During the year, as a first step, the cases of all temporary employees with military service overseas were examined with a view to their appointment to the permanent staff if they were qualified for such appointment. The claims of employees who are still overseas were fully considered and a number were appointed to the permanent staff. This review has been completed and a number of appointments made, and it will now be necessary to consider the other groups of temporary employees who are filling permanent-establishment positions. Placement op Ex-servicemen Public Servants It has been found necessary to advise Departments that officers who were being released from the Armed Forces were initially to be regarded as being included in a Public Service " pool." This was essential, in view of the rapidly expanding activities of the Rehabilitation and Housing Departments, the War Assets Realization Board, and other priority Departments. In each case there was an urgent necessity to appoint permanent public servants as key members of the staffs of these Departments. All were Departments that prior to the war had little, if any, permanent staff and could not benefit, therefore, by the return of servicemen. The pool has been administered and will continue to be administered in a manner that takes full cognizance of the desires of the returned men, as well as the demands of all Departments. Departments advise this Office when an officer is being discharged from the Forces, and, where necessary, arrangements are made for the officer to be interviewed and his wishes ascertained. The needs of some of the growing Departments and the prospects of advancement therein are made known to him, and he can then decide whether he wishes to be either transferred or seconded to one of these organizations. Rehabilitation op Employees discharged from the Forces, and Stafp-training In previous reports a policy has been outlined for the rehabilitation of those members of the Public Service who have been, or still are, in the Armed Forces. In each Department a Personnel Officer has been appointed, whose first responsibility is to attend to the guidance, training, and welfare of ex-servicemen. Special care has been taken in the selection of Personnel Officers, for if the policy proposed is to become fully effective throughout the length and breadth of the Service it is axiomatic that Personnel Officers should have the ability, status, and unrestricted opportunity to execute the policy in all its phases. Early this year a conference of Personnel Officers was held in order that they should have a full understanding of what was expected of them. In a message to the conference the

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Right Hon. the Prime Minister emphasized that the planned rehabilitation of public servants was an urgent matter. Among the addresses given at the conference was one by the Hon. the Minister of Rehabilitation. The conference proved of great value. A variety of concessions has already been in operation for some time. For instance, some public servants on their return are not immediately ready to settle down in their Service work again. The welfare of the individual ex-serviceman must be placed above the immediate convenience of the Public Service, and accordingly arrangements have been made whereby officers who, on returning from service, desire to engage in outside employment may apply for up to eighteen months' leave without pay to give such outside employment a trial without losing Service rights. Such applications are granted only where it is clear that the inability of an officer to settle down flows from the nature and extent of his service in the Armed Forces. Other concessions include the payment by the Government of superannuation contributions on nominal salaries. Leave is accumulated at the rate of two weeks per annum until the return of a serviceman to his Department. Leave so accumulated may be cashed or taken in such instalments as will best assist an ex-serviceman. In many cases promotions have already been granted to men still overseas, and acting appointments have been made in a number of cases to safeguard the rights of those still in the Armed Forces. These concessions, although of a substantial value, do not, of course, meet the basic need to supply the deficiencies in knowledge and experience which inevitably arise through a serviceman's absence from his Department. Ex-servicemen are given the right of appeal against any appointments made during their absence, provided their own appointments to the positions would have involved their promotion. It has also been provided by emergency regulations that absence from duty from causes arising out of the war shall not be taken into account when determining efficiency, experience, and suitability for appointment to any position for which the ex-serviceman would have been eligible if he had not been absent from duty. These provisions give very considerable protection to the interests of ex-servicemen as far as promotions and regradings approved during their absence are concerned. Those ex-servicemen who desire to pursue approved study courses are being granted leave up to a maximum of ten hours weekly without any deduction from pay. The exact period allowed is governed by the nature and difficulty of the subjects taken and by the opportunities and time which the public servant has lost through service in the Armed Forces. Those ex-servicemen who are granted full-time bursaries by the Rehabilitation Board are being given leave without pay to enable them to undertake the courses. This concession applies to the two-year course for the Diploma of Public Administration at Victoria University College. It is hoped that there will be sufficient applicants to enable the School of Public Administration to be reopened next year. It is clear that many ex-servicemen will not possess the educational qualification for promotion beyond Class VI and will have to pass the special examination which is laid down in the regulations. It is proposed to provide special tutorial facilities to enable ex-servicemen, together with those still in the Armed Forces, to prepare for this examination. Similar facilities are already being provided for those ex-servicemen on the temporary staff who do not possess the initial educational qualifications for permanent appointment. In normal times the minimum educational requirement is a pass in the Public Service Entrance Examination, but a special examination has been drawn up for temporary officers in the following subjects :— (a) Elementary Public Service knowledge : (£>) English : (c) Applied arithmetic : (d) New Zealand history or New Zealand geography. Those who are stationed in Wellington attend regular lectures during office hours delivered by specialists in the various subjects. Those who are employed outside Wellington are being given the advantage of specially prepared correspondence courses. Ultimately these courses will be extended to those still in the Armed Forces. The classes in Wellington have been in operation since early April, and although it is too early to estimate results, it has been pleasing to hear of the keen and intelligent interest displayed by members of the classes. Arrangements are now being made with Victoria University College for the holding of short courses of, say, three weeks' duration to bring ex-service personnel up to date with recent economic, social, and administrative developments in New Zealand. Departments have been instructed to prepare rehabilitation training plans. These will include, where practicable, formal training classes, lectures, addresses, group discussions, and study courses. The majority of servicemen had gained comparatively little experience in their Departments before they entered the Armed Forces, and it is intended that the loss of actual experience will be covered by a system of job rotation designed to give a man accelerated experience in various branches of his Department. The need for staff-training, involving as it does a systematic programme of providing knowledge and experience, was obvious before the war, but it has now become a pressing necessity if rehabilitation is to be successful. The welfare of ex-servicemen in his Department is, of course, one of the primary responsibilities of the Personnel Officer. He is to take an active and personal interest in each serviceman belonging to the Department until the process of rehabilitation is completed as far as humanly possible.

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Roll of Honour It lias been a sad duty to record in past annual reports the passing of 416 employees who have made the supreme sacrifice since the outbreak of war. This year the ever-growing list is augmented by the addition of 103 names. These officers will be sadly missed.

Improvements in Working Conditions during the Year (a) Increases for General Division Employees following the Increases granted to Tradesmen.—The rates ol pay of tradesmen employed in the Public Service were increased from £285 per annum, or 2s. 9d. per hour, to £300 per annum, or 2s. 10|d. per hour, and the rates for leading hands from £305 to £320 per annum, as from 4th October, 1943. The granting of these increases created numerous anomalies in the rates of salary paid to groups of General Division workers whose rates of pay approximated those of tradesmen. In considering the salaries of these General Division employees for the 1944-45 financial year, an opportunity was taken to adjust the anomalies that had arisen. This resulted in increases ranging up to £15 per annum being granted to a large proportion of the General Division groups where salary did not exceed £335 per annum. \b) Salary Increases following the Issue of Orders by the Government Railways Industrial Tribunal.— The orders granting increases in remuneration to Railway employees were issued by the Government Railways Industrial Tribunal early in 1945. These orders were mandatory and were made retrospective to 30th June, 1944. The Government decided that comparable increases were to be granted to other branches of the Public Service, and these increases were also made retrospective to 30th June, 1944. Ihis resulted in a fairly substantial increase in Public Service salaries. As a consequence, Public Service rates are more comparable with prevailing rates outside the Service than they had been at anytime during the war. This should assist the Service in recruiting suitable employees for its expanding activities unless, of course, prevailing Outside'rates are again increased to a figure beyond that paid to the Public Service. (c) Annual Holidays Act, 1944.—1n the past, Government employees generally have received as favourable or more favourable annual leave conditions than have applied outside the Public Service.* The passing of the Annual Holidays Act, 1944, has had the effect of granting to all employees a

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Name. j Department. Name. Department. Allen, R. E. .. .. Customs. MeLeod, J. M. .. .. Native. Anderson, A. H. .. Public Works. McMahon, W. S. .. Public Works. Andrews, H. J. .. .. State Advances (Housing). McRae, J. K. .. .. Internal Affairs. Annand, J. B. .. .. Public Works. Mannix, F. T. C. .. Public Trust. Barron, J. F. .. .. Mines. Maffey, L. W. E. .. Agriculture. Batten, F. M. .. .. Social Security. Major, E. A. C. .. .. Mines. Bath, H. D. .. .. Justice. Mahony, L. .. .. Agriculture. Bayly, R. L. .. .. Public Works. Matthews, F. C... .. Public Trust. Blue, G. M. .. .. Census and Statistics. Masters, H. L. G. .. Industries and Commerce. Boyd, K. L. .. .. Justice. Mee, G. J. .. .. Social Security. Brandford, T. 0. .. Justice. Meti, K. P. .. .. Education. Brock, G. H. .. .. State Forest. Miles, R. G. .. .. Army. Brosnahan, F. T. .. Land and Income Tax. Miller, C. H. .. .. State Advances. Burnet, J. B. .. Public Trust. Moynihan, F. IC. .. Public Service CommisCallagher, B. L. .. .. Land and Income Tax. sioner's Office. Callow, H. .. .. Audit. Muleahy, C. D. .. .. Air. Cave, B. G. .. .. Audit. Mulholland, W. M. .. Land and Survey. Clark, R.J. .. .. Social Security. Munro, P. S. .. .. Education. Clarke, A. J. .. .. State Advances. Norrie, J. W. .. .. Customs. Comesky, L. J. .. .. Government Life. O'Connor, E. P... .. Audit. Cook, S. A. ... .. Land and Income Tax. O'Fagan, B. C. .. .. Customs. Cottrell, F. R. .. .. Public Trust. Ornberg, P. .. .. Native. Cobden-Cox, R. .. .. National Service. Oxenham, C. B... .. Public Works. Craig, J. F. .. .. State Advances. Patterson, G. J... .. Public Works. Crozier, A. .. .. Public Works. Pepper, D. R. .. .. Education. Dance, A. T. .. .. Land and Income Tax. Powell, G. C. .. .. Justice. Dempsey, S. J. .. .. Social Security. Procter, D. S. .. .. Public Works. Deighton, J. L. .. .. State Fire. Reid, G. II .. .. Land and Income Tax. Drawbridge, H. J. .. Customs. Rickit, T. .. .. Native. Dinsdale, J. .. .. Industries and Commerce. Riddle, B. C. .. .. Justice. Donald, J. C. .. .. Public Works. Roberts, K. S. .. .. Army. Ellis, S. J. .. .. State Fire. Robinson, B. C. .. Lands and Survey. Evans, H. R. .. .. Public Trust. Ross, K. A. .. .. State Advances. Friel, G. M. .. .. Social Security. Rayner, N. K. S. .. Public Works. Galloway, K. A. .. Public Trust. Shadbolt, F, J. .. .. Lands and Survey. Gilford, G. P. R. .. Industries and Commerce. Sheehan, P. J. .. .. Crown Law. Hay, J. S. .. .. Audit. Smith, A. B. . . .. State Fire. Hayes, N. H. .. .. Social Security. Stephenson, W. A. .. Customs. Hayhurst, L. E. .. Labour. St. John, A. G. .. .. Internal Affairs. Hendery, A. H. .. .. Justice. To Punga, H. P. .. Agriculture. Herbert, T. C. J. .. Land and Income Tax. Thomas', C. W. .. .. Public Works. Hewetson, E. D. A. .. Lands and Survey. Thomson, E. L. .. Public Works. Hinde, T. . . .. Land and Income Tax. Urlich, J. J. .. .. Education. Holland, D. C. .. .. Navy. Veitch, R. C. .. .. Printing and Stationery. Jacobs, T. G. .. .. Native. Vercoe, P. N. .. .. State Forest. Jordan, A. K. .. .. Government Life. Warbrick, P. .. .. Native. Keeling, G. K. .. .. Public Trust. Waters, E. A. .. .. Army. Kennedy, H. M. .. Justice. Waugh, J. T. .. .. Internal Affairs. Lawrence, G. B. .. Public Works. Webster, H. W. .. Public Trust. Leef, A. .. .. Land and Income Tax. Wilson, A. W. .. .. Public Works. McCalman, C. J. .. Internal Affairs. Wilson, N. C. B. .. Public Works. McLachlan, G. E. .. Public Works. Wilkinson, R. I. .. Public Works

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minimum of two weeks' annual leave each year. In the few cases where normal Public Service leave conditions did not apply in the Public Service, the benefits of the Annual Holidays Act have been granted. Many public servants still receive, after ten years' service, annual holidays amounting to three weeks, as against the two weeks provided in the Act. (d) Sick-leave Benefits.—For many years the sick-leave provisions of the Public Service Regulations have provided for leave on full pay for a specified period according to an officer's service and a further period on half-pay if required. The effect has been, in the case of lower-paid officers, that when they have exhausted their leave on full pay and are required to have half-pay they are precluded from obtaining the sickness benefits under the Social Security Act. In this respect it was felt that public servants should be no differently placed from other members of the community, and the sick-leave regulations were amended so that the half-pay provision was converted to full pay—that is, two days' half-pay was converted into one day s full pay. This would enable an officer to take all his sick-leave entitlement on full pay and then, if necessary, claim the sickness benefit under the Social Security Act for absence after full pay ceases to be paid. (e) Amalgamation of Class VI and VII in the Clerical and Professional Divisions.—For some years theie has been almost automatic promotion from Class YII to Class VI after a normal rest of two years at the top of Class VII or, in the case of more promising officers, after one year's rest. The classes have, in actual practice, been to some extent amalgamated, and it was considered desirable to amend the scale to provide for the elimination of Class VII and the full salary range of the old Classes VII and VI to be known as Class VI. The former practice lead to certain anomalies through officers gaining technical seniority. Under the Public Service Act, seniority becomes important where officers are considered equally suitable and efficient for promotion. The effect of the amalgamation of the two classes eliminates the possibility of anomalies being created through an officer attaining such technical seniority. The Consultative Committee In November, 1944, the Public Service Association expressed a wish to be heard during the settlement of new salary scales which could be used as the basis for the next general regrading of the Public Service. A Consultative Committee to undertake the preparation of new scales, and on which the Association would be represented, was suggested. The principle of such a Committee was agreed to, on the understanding that it could be effective only if the Government agreed to a revision of scales consistent with its policy of stabilization. The Association raised this question in an interview with the Prime Minister in February of this year, and it was subsequently announced that Government had agreed to the setting-up of a Consultative_ Committee. The Committee was then constituted under the Chairmanship of the Commissioner, and consists of the Assistant Commissioner, Mr. G. T. Bolt; the Secretary to this Office, Mr. L. A. Atkinson ; a senior Inspector, Mr. J. E. Engel; and Messrs. A. H. O'Keefe, J. P. Lewin, J. K. Hunn, and J. Turnbull, representing the Public Service Association. Subsequently the Railways Tribunal announced its findings, and at the same time the Prime Minister stated that the increases recommended for the Railways Service would also be applied to the general I. üblic Service. The first task of the Consultative Committee was then to consider the detailed application of the Railway Tribunal's findings to the Public Service and particularly to the large and complex groups of employees who had no counterpart in the Railways Service. This task was completed and the revised scales were settled in time to permit of the payment of arrears of salary, dating back to 30th June, 1944, before 31st March, 1945. The Committee has now begun its main task of devising a new salary scale to meet the needs of present-day conditions. The work will involve the careful consideration of all conditions governing the assessment ol Public Service salaries and the gathering and sifting of information on the duties and responsibilities of the many varied types of occupations within the present-day Public Service. It is anticipated that it will be some months before a final report will be available. Board op Appeal Three sessions of the Public Service Board of Appeal were held during the year. The number of appeals against non-promotion that were heard totalled 197. The decisions of the Board were Allowed .. .. .. .. .. 7 Not allowed .. .. .. .. .. . 142 Withdrawn .. .. .. .. .. .. 48 Did not lie .. .. .. ~ 1 The Board consists of two members appointed by the Government (one being the Chairman) and two members elected by public servants. During the year a Government member, Mr. J. H. Jerram, 1.5.0., formerly Permanent Head of the State Fire Insurance Office, retired and it was necessary to replace him on the Board of Appeal. Mr. C. J. Playne, Assistant Public Trustee, Wellington, was appointed to the position. Also during the year one of the elected members, Mr. ■}'. Turnbull, resigned from the Public Service in order to take up the appointment of General Secretary to the New Zealand Public Service Association. This necessitated the holding of an election, which resulted in the appointment, for the remainder of the present term of office, of Mr. P. B. Wright, of the Lands and Survey Department, Auckland. Retirements The relaxation in the retirement policy which was given effect to during the previous year was continued. The retention of staff who would otherwise have retired has had the effect of reducing the opportunities for promotion for other officers. This naturally causes a certain amount of dissatisfaction and has been the subject of strong representations from the employees' organization. No

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wholesale retirements have been made, but the policy of carefully reviewing each case where an officer completes forty years' service and has reached the age of sixty years, or reaches the age of sixty-five years irrespective of service, has been continued, and a number of officers have retired. Overtime It is still necessary for substantial overtime to be worked in many Departments of the Service. The danger of overtime becoming a habit is appreciated, and during the year steps were taken for all overtime to be reviewed. In each Department the need to work overtime has been carefully investigated and any necessary checks instituted to see that overtime is not worked except where the state of work warrants it, that the hours are not consistently excessive, and that the State is receiving value for the money expended on overtime. Official Visit to Samoa In October, 1944, the. Commissioner paid a visit to Samoa accompanied by Mr. S. Roberts, Public Service Inspector. The Territory had not been visited by a Commissioner's representative since 1938. There were a number of matters which were settled "on the spot " ; others required further investigation or Ministerial approval. All matters have been dealt with, and the following arc worthy of special mention : — Staff Appointments. —A new policy was approved under which the positions in Samoa, both in the Administration and the Reparation Estates, will be open to qualified applicants, whether Samoan or European. The effect is that quite a number of officers of full Samoan blood who, for a number of years, were deemed to be on the casual staff have now been appointed to the established staff. This should serve to encourage Samoans to improve their standard of education, and should provide reasonable opportunities for advancement within the Territory. It also serves as some reward to officers such as Native medical practitioners, dental officers, head teachers, and others who have given a very high standard of service. Salary Scales. —Opportunity was taken to review the salary scales applying both to the established staff and to the casual employees. This resulted in substantial improvement in practically all salary scales. At the present time consideration is being given to the further improvement of salary scales in sympathy with the New Zealand adjustments following the Government Railways Tribunal decisions. Cost of Living.—A representative sub-committee submitted detailed cost-of-living figures, and as a result the Hon. the Minister of Finance has approved the extension to Samoa of the second cost-of-living allowance. The effect is, therefore, that, in so far as cost-of-living allowances are concerned, the Samoan staff are in the same position as in New Zealand. In the case of casual employees, a proportionate increase in their rate was made. Review of Departments.—Education Department: This year it was possible to hold a Public Service Shorthand-typists' Examination of the same standard as that obtaining in New Zealand. Seven girls were presented for examination, and three succeeded in passing the Junior Examination. To encourage development in this direction, a special increment is granted to girls in the Government Service who qualify. Lands and Survey Department: Arrangements have been made under-which the Surveyor-General in New Zealand will exercise some general supervision over the branch in Samoa and when vacancies occur will assist in filling them in the same manner as though the branch were officially under his control. It is proposed that the Surveyor-General should visit Samoa at some future date and report on the organization. Public Works Department: The organization of this branch was found to be weak. In this case, also, it has now been arranged that the Public Works Department in New Zealand will assume some responsibility for general supervision of the branch. Already appointments have been made of several officers from the New Zealand Department, and it is anticipated that the necessary reorganization will shortly be completed. Secretariat: It was found that additional senior assistance was required in this branch, and additional, appointments have already been made. Rehabilitation Grant.—The Public Service Association raised the question of approving some additional grant which would assist seconded officers in re-establishing themselves during a period of high costs in New Zealand. Approval has now been given for a special monetary grant together with authority for payment in cash of 50 per cent, of the accumulated furlough. New Zealand Reparation Estates.—The same concessions which have been approved for the Administration staff have been applied to the Reparation Estates. Two new enterprises are worthy of mention :— (1) A sawmill which has just commenced to operate and from which it is anticipated that the whole Territory's requirements for banana-cases will be supplied : (2) Desiccated-cocdnut Factory.-—This factory has a substantial output of coconut of high class and appeared to be functioning well. It was evident that although there had been some disturbance of the labour market in Samoa during the war period and the influx of servicemen, the situation is now tending to return to normal. Relations with Public Service Association Relationships with the Public Service Association have continued on an amicable basis. The Association represents the majority of public servants, and the executive officers and secretarial staff have ready access to this office when desired. This continued close contact enables many matters affecting groups of workers and individuals to be settled in an expeditious way.

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Condition and Efficiency of the Public Service Section 15 of the Public Service Act, 1912, requires the Commissioner to report at least once annually on the condition and efficiency of the Public Service. Although it could never be claimed that the standard of efficiency of the Service has been maintained at the pre-war standard during the war period, it has been gratifying to find the extent to which public servants have been able to meet the innumerable difficulties which have arisen. The ability of the permanent staff, almost without exception, to accept increasing responsibility has been especially noticeable and pleasing and indicative of the loyalty and esprit de corps of the Service generally. Certain instances have occurred where duties have not been performed as well or as expeditiously as one could wish, but this shortcoming has been realized by the staff and constant endeavours made to meet the situation. Shortage of staff both in quantity and quality still precludes the situation being completely remedied. However, with the gradual return of former employees from the Forces and the increased training of temporary employees who have been taken on during the war period, some substantial improvements have been made. The general services of the Government have been continued throughout the war period without at any stage a substantial breakdown, despite expanding activities and decreasing trained staff. No substantial reorganization of Departments or the Service as a whole has been possible. The need for constant inspections and survey of the activities of Departments under changing conditions is not overlooked, and the earliest possible opportunity will bo taken to revert to pre-war activities of this nature. Personal Reports on Officers Reports were obtained on officers in 1943. The value of personal reports in the administration of the Service has become increasingly apparent. Although any system of marking and assessing the relative merits of officers has obvious shortcomings, no better system has yet been devised to meet the problem of mass personnel management. Fairly substantial changes were made in the form of report which was used in 1943, and although many helpful suggestions have been received for alterations to the report, it has been decided to use the same form again, and a request has now been issued for further reports as at 31st March, 1945. This is felt to be desirable in order to obtain some continuing comparability. With the improvement in war conditions the opportunity should occur before long to fill vacancies in the Service that have been long vacant or filled in an acting capacity owing to the number of officers serving in the Forces. This will involve the very difficult task of assessing the relative efficiency and suitability of applicants for such positions, and it is only with the help of the honest and unbiased opinions of an officer's immediate superiors in marking a report that adequate justice can be done to all officers of the Service. The task imposed on Departments in completing personal report forms is fully appreciated, but their value is such that the Commissioner considers the extra work fully justified. Housing Difficulties throughout New Zealand One of the major social problems in New Zealand as a result of war conditions is that of housing. This has had a serious effect on public servants, especially as they are more liable to transfer from one part of the Dominion to another than possibly most other groups of workers. In almost all major centres where public servants are stationed, housing difficulties have existed. The unfortunate effect of these conditions is that officers are loath to apply for positions outside the town of their present residence unless they are assured of suitable housing accommodation or of promotion so substantial as to compensate for additional outgoings. Apart from promotions, the situation has also prevented Departments making necessary staff adjustments to meet changing conditions by the transfer of officers from one centre to another. The major staffing problem in the Dominion has been in Wellington, where the Head Offices of Departments are located. Had it not been for accommodation difficulties, more officers from outside centres could have been transferred to Wellington and so assisted in meeting the problems that arose. However, this would have caused considerable difficulties and often actual distress to married officers had they been forced to face such a situation. It has even been necessary to transfer officers to Wellington and permit them to leave their families behind at their former residence and for them to board in Wellington. They have been assisted in meeting their additional outgoings by payment of board and, where necessary, fares to enable them to visit their families at intervals. Offences by Permanent Officers Offences by officers of the Service are dealt with as laid down in sections 11 and 12 of the Public Service Amendment Act, 1927. A summary of cases dealt with is as follows : — Misappropriations : 3 (forfeited office, 2 ; services terminated, 1). Unsatisfactory work : 13 (services terminated, 2 ; reprimanded, 5 ; fined, 1 ; disrated, 3 ; resignations accepted, 2). Unsatisfactory conduct: 32 (services terminated, 4 ; transferred, 2 ; reprimanded, 10 ; fined, 13 ; disrated, 1 ; increment withheld, 1 ; resignations accepted, 1). Conclusion We have continued to receive strong support and co-operation from Permanent Heads, without which the many difficulties of the past year would have been insurmountable. Thanks are extended to all of these officers and also to the staff of this Office for their loyal assistance ungrudgingly given. All of which is respectfully submitted for Your Excellency's gracious consideration. J. H. Boyes, Commissioner. G. T. Bolt, Assistant Commissioner. Office of Public Service Commissioner, 20th June, 1945,

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Table I.—Public Service Classification List, 31st March, 1944.—General Summary of Classification by Departments (excluding Officers in the Administrative Division)

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Total Classification - , P^ 0 , 1 , e ~ _ Number Salaries, Salaries, 0 ls '' A l )r il> 1044. On Loan. On Leave. Department. of Year ending Year ending T ® caIe -Number Number Officers. 31st March, 31st March, Increase - v of o 1944. 1945. Offlcers. Salaries. offlcers - Officers. a • u £ £ £ £ Agriculture .. .. .. 780 296,293 304,850 8,557 1 320 2 10 Ai r •• •• •• 117 30,440 38,390 1,950 " 2 Army .. .. .. .. 92 21,£55 23,330 1,075 ' " 1 Audit •• •• •• 235 77,740 81,590 3,850 .. 1 " 5 Broadcasting .. .. .. 251 73,295 77,240 3,945 .. 1 2 Census and Statistics .. .. 72 19,705 20,960 1 255 Crown Law .. .. 6 5,055 5,'080 '25 !' Customs .. .. .. 535 163,695 172,760 9,065 " "2 "3 Education .. .. .. 367 143,247 146,631 3,384 .. 3 External Affairs .. .. .. I 615 765 150 .. .. "5 Government Insurance .. .. 113 35,890 37,815 1,925 Health.. .. .. .. 881 217,975 227,500 "4 l'270 " "l2 Housing Construction Branch .. 113 33,500 35,690 2,190 .. ' " 2 Industries and Commerce, Tourist and 239 67,235 71,325 4 090 " " "n T Publicity ' Internal Affairs .. .. .. 237 73,530 76,930 3,400 .. .. 4 30 Iron and Steel Industry Island Territories .. .. 10 2,610 3,090 480 . ! " "9 Justice and Prisons .. .. 560 174,080 182,565 8,485 " " 2 "4 Labour.. .. .. .. 208 57,265 60,190 2,925 Land and Deeds.. .. .. 125 41,930 43,500 1,570 .. " " " 1 Land and Income Tax .. .. 468 128,800 138,120 9,320 .. 1 2 Lands and Survey .. .. 663 211,435 220,735 9,300 '! " 3 \ Marine .. .. .. .. 168 64,365 66,045 1,680 Marketing .. .. .. 91 24,110 25,930 1,820 Mental Hospitals .. .. 1,053 281,420 295,930 14,510 3 540 " "31 Mines .. .. .. .. 85 30,915 32,145 1,230 .. .. " 3 National Provident and Friendly 30 8,340 8,755 415 Societies National Service .. .. 188 50,380 53,64 5 3,265 .. 1 3 Native .. .. .. .. 247 7.1,270 75,760 4,490 !! " Navy Office .. .. .. 52 11,945 13,130 1,185 .. " " j Police .. .. .. .. 10 3,025 3,165 140 .. " Prime Minister's .. .. 9 3,660 3,820 160 Printing and Stationery .. .. 293 92,470 95,960 3,490 !. .. . . "2 Public Service Commissioner's .. 49 13,070 14,120 1,050 " " 1 Public Trust .. .. .. 868 277,750 291,655 " " " 5 Public Works .. .. .. 1,289 430,238 451,990 21,752 1 445 "2 11 Rehabilitation .. .. .. 33 11,710 12,240 530 Scientific and Industrial Research .. 208 74,820 78,850 4,030 .. " " (j Social Security .. .. .. 662 161,850 12J10 " " 0 Stamp Duties .. .. .. 98 30,255 31,880 1,625 .. '' State Advances Corporation of New 525 159,035 168,410 9,375 1 305 " "9 Zealand State Eire Insurance .. .. 217 61,750 65,720 3,970 .... 1 State Forest .. .. .. 228 69,695 73,550 3,855 " Transport .. .. .. 105 35,070 36,295 1,225 Treasury .. .. .. 115 36,490 38,985 2,495 .. " "1 o Valuation .. .. .. 96 31,635 33,735 2,100 Totals •• •• 12,792*3,917,258 4,114,731 197,473 10 2,880 50 Appointed 1/4/44 .. 10 .. 2,880 On loan .. .. 50 On leave .. .. 161 Totals, 31/3/44 .. 12,792*3,917,258 Totals, 31/3/45 .. 12,802* .. 4,117,611 .. . ! " Native-school teachers .. .. 386 124,008 On leave .. .. 8 Vacant .. .. .. 134 * Including offlcers absent with the Armed Forces, but excluding offlcers on loan to other services and on special leave without pay. ~

H.—l4

Table II.-Public Service Classification List, 31st March, 1944. —General Summary of Classification, by Classes (excluding Officers in Administrative Division)

2--11. 14

9

v> , . i , . , A]ipointed 1st April. 1944. ..... . JN umber iotal Salaries, Classification u , Class (excluding Administrative). of Year ending Salaries, scale Officers. 31stMarch, 1944. 31st March, 1945. increase. Number of Officers. Salaries. Professional— £ £ £ £ Over scale .. .. ,. 108 99,580 100,450 870 Speoial (£666—£765) .. .. 100 110,805 119,040 2,175 I (£540-£615) .. .. 202 114,800 117,055 2,795 II (£490-£515) .. .. 141 09,845 71,125 1,280 III (£445-£470) .. .. 103 46,105 47,560 1,455 IV (£400-£425) .. .. 89 35,210 37,050 1,840 V (£355—£380) .. .. 41 14,310 15,155 845 VI (£280-£335) .. .. 25 7,925 8,255 330 VII (£296-£305) .. .. 9 2,520 2,745 225 VII (£265-£295) .. .. 10 2,550 2,800 250 VII (£235-£264) .. .. 5 1,150 1,275 125 VII (£210-£234) .. .. 10 2,050 2,300 250 VII (£176~£209) .. .. 23 3,905 4,540 575 VII (£175 and under) .. 3 325 425 100 Sub-total .. 935* 517,260 530,375 13,115 ~ . Clerical — Over scale .. .. 23 19,110 19,525 415 Special (£665-£765) .. .. 147 101,955 103,955 2,000 I (£540-£615) .. .. 193 110,200 112,445 2,245 II (£490-£515) .. .. 235 116,490 119,175 2,685 III (£445-£470) .. .. 415 186,770 192,025 5,255 IV (£400-£425) .. .. 546 223,665 228,925 5,260 V (£355-£380) .. .. 799 290,400 298,670 8,270 VI (£280-£335) .. , .. 1,012 330,845 335,990 5,145 VII (£296-£305) .. .. 259 73,845 78,995 5,150 " 1 305 VII (£265-£295) .. .. 495 126,275 138,600 12,325 VII (£235—£264) .. .. 305 70,225 77,775 7,550 VII (£210-£234) .. .. 490 101.755 114,080 12^325 VII (£176-£209) .. .. 1,278 214,140 245,915 31,775 VII (£175 and under) .. 1,340 139,090 177,865 " Sub-total .. 7,543* 2,104,765 2,243,940 139,175 1 305~ General— £516-£765 .. .. .. 148 85,970 87,140 1,170 £471~£515 .. .. .. ' 77 37,390 38,635 1,245 ' ■ £351-£470 .. .. .. 1,072 4-24,340 433,205 8,865 2 "s00 £306 £350 .. .. .. 712 225,870 232,480 0,610 3 955 £296-£305 .. .. .. 345 99,960 104,230 4 270 £265-£295 028 170,745 179,775 9io3(( " 1 "28O £235-£204 i. .. .. 290 67,089 09,900 2,811 £210-£234 .. .. .. 218 46,510 48,355 1,845 £176-£209 .. .. .. 295 54,020 57,935 3,915 2 390 £175 and under .. .. 404 41,670 46,410 4,740 1 150 Sub-total .. 4,189* 1,253,564 1,298,065 44,501 9 ~2^575^ Educational— Over £765 .. .. .. 1 81 5 815 £516-£765 .. .. .. 7 4,015 4,040 25 £471-£5I5 .. .. .. 0 2,930 2,985 55 £351-£470 .. .. .. 30 12,223 12,390 167 £306-£350 .. .. .. 11 3,530 3,044 114 " £296-£305 .. .. .. 10 4,783 4,815 32 £265-£295 .. .. .. 13 3,569 3,680 111 ' ' £235-£264 .. .. .. 33 8,118 8,214 96 £210-£234 .. .. .. 8 1,686 1,768 82 " 1! Sub-total .. 125* 41,669 42,351 682 ,, ~~~ Totals .. .. 12,792* 3,917,258 4,114,731 197,473 10 2,880 Totals, 31st March, 1944 .. .. 12,792* 3,917,258 Totals, 31st March, 1945 .. .. 12,802* 4 117,011 Native-schoolteachers .. .. 380 124,008 On leave .. .. .. 8 Vacant, 1st April, 1944 .. 134 * Including officers absent with the Armed Forces, but excluding 50 officers on loan to other services and 161 on special leave without pay.

H.—-14

Table III.—Temporary Employees as at 1st April, 1944 (other than Workmen)

Approximate Cost of Paper.—Preparation, not given ; printing (900 copies), £25

By Authority: E. V. Paul, Government Printer, Wellington. —1945.

Price fid.]

10

Male. Female. § . g g . | „ s sal i ° 1 iii" 33 a .3 •§ I I H i i » "S Department. s e o & d «s C«M tjH.3 £ M S3 .2 ."So § -8 So 5 « 2 t« <« ® „j s° .2 £ 3 2 ® ®< a % ■ s s « s> s u § . .a a - « § a * ll - i I I a& I ! Is I ! ! i § I I a a 1 ■§ s | $ §■* g s f o 5 O x 02 H © !§ CO AW £ H 02 H Agriculture .. .. 8 27 2 55 84 1 177 .. 21 157 62 47 .. 11 01 036 Ai r . .. 23 34 16 71 268 11 423 2 1 18 444 Armv •• •■ 81 197 81 222 518 30 1,129 .. .. 9 .. 4 .. 113 49 1,304 Audit ..' .. •• 2 3 1 1 43 .. 50 50 Broadcasting .. .. 10 4 .. 81 35 14 144 .. 28 .... 23 .. 1 189 385 Census and Statistics .. 4 1 .. 1 9 18 33 33 Crown Law .. 2 .. .. 2 f Customs .. 0 17 .. 29 86 1 139 14 153 Education .. .. 10 18 7 55 108 24 222 .. 1 7 .. 30 .. 3 270 533 Government Insurance 3 19 48 .. 70 .. •••••' '' '' " _ " ™ Health .. .. •• 17 21 1 59 257 2 357 .. 3 24 .. 11 25 5 285 710 Housing Construction Branch 40 20 10 32 54 10 166 89 30 8 .. 78 .. 5 6 382 Industries and Commerce, 238 53 2 124 311 3 731 .. 6 81 .. 51 .. 6 180 1,055 Tourist and Publicity Internal Affairs* .. 18 117 6 82 40 18 281 1 .. 0 877 1,105 Iron and Steel Industry .. .. 1 2 3 Island Territories .. 1 1.- 3 3.. 8 .. jj Justice and Prisons .. 14 10 .. 35 95 .. 154 9 .. .. 56 219 Labour 6 3 5 47 27 1 89 .. .. 8 2 99 Land and Deeds.. .. 2 5 .. 14 24 3 48 4 62 Land and Income Tax .. 63 93 90 22 340 23 631 .. .. •• •• 631 Lands and Survey . . 33 24 8 80 65 1 211 58 .. 19 .. 74 .. 1 7 370 Marine .. .. 13 7 .. 13 29 .. 62 4 .. 11 .. 3 .. 1 28 109 Marketing .. 32 22 .. 32 100 1 187 .. 5 3 .. 16 .. 6 39 256 Mental Hospitals 14 30 .. 44 .. 4 3.. 7 5 8 631 702 Mines .. .. •• 12 5 .. 12 26 .. 55 2 5 .. .. 9 .. 7 11 89 National Provident and .. 2 1 2 32 1 38 1 39 Friendly Societies National Service .. 101 148 17 132 256 5 659 51 .. 1 125 830 Native . . ■ ■ 39 27 3 54 80 3 206 2 .. 1 3 86 298 Navy Office .. .. 21 15 2 29 345 1 413 6 9 4 72 101 605 Police 1 1 1 •• J Prime Minister's .. 3 .. 1 13 20 5 42 • • 4Z Printing and Stationery . • • . 1 ■ • 4 25 1 31 1 1 Public Service Commissioner's 2 3 5 5 10 .. 31 Public Trust .. .. 10 5 1 217 245 8 492 .... 3 11 50b Public Works .. .. 253 171 11 144 120 25 724 215 282 11 3 470 .. 139 844 2,088 Rehabilitation .. .. 29 62 2 29 27 .. 149 1 .. 30 .. 1 .. . . 10 197 Scientific and Industrial Re- 6 34 48 6 94 7 113 1 1 16 .. 9 170 searoh Social Security .. .. 120 155 23 143 494 23 958 1 .. 1 .. 960 Stamp Duties .. 1 15 32 .. 48 • ■ • •• ® „ State Advances Corporation 83 33 37 116 300 25 594 .. .. 37 .. 5 .. .. 41 of New Zealand State Fire Insurance .. 5 2 .. 71 90 1 169 .. .. .. .. .. .. .. •• ' State Forest .. .. 10 5 2 24 34 1 76 7 3 1 .. 49 .. 3 22 161 Transport .. .. 13 4 5 17 18 .. 57 .... 85 Treasury .. • .. 27 11 2 16 78 27 161 .... 1 1 !«3 Valuation .. • • 5 .. .. 19 13 .. 37 4 ■ ■ 1,3671,327 3452,1894,873 29510,396 402 510 510 06 957 30 404 4,14017,415 * Includes 500 full-time cleaners, liftmen, watchmen, messengers, caretakers and attendants, Ac., and 72 sessional messengers who receive full-time employment partly 011 parliamentary duties and partly on relieving duties throughout Departments.