PUBLIC SERVICE COMMISSIONERS (THIRTY-FOURTH REPORT OF THE)

Appendix to the Journals of the House of Representatives, 1946 Session I, H-14

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1946 NEW ZEALAND

PUBLIC SERVICE COMMISSIONERS (THIRTY-FOURTH REPORT OF THE)

Presented to doth Houses of the General Assembly by Command of His Excellency

To His Excellency Lieutenant-General Sir Bernard Cyril Freyberg, Victoria Cross, Knight Grand Cross of the Most Distinguished Order of St. Michael and St. George, Knight Commander of the Most Honourable Order of the Bath, Knight Commander of the Most Excellent Order of the British Empire, Companion of the Distinguished Service Order, Governor-General and Commander-in-Chief in and over His Majesty's Dominion of New Zealand and its Dependencies. May it please Your Excellency,— As Commissioner and Assistant Commissioners 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

Reports for the last few years have indicated the staffing difficulties of the Public Service under abnormal conditions. The year ended 31st March, 1946, saw the end of hostilities in both Europe and in the East, and these major events bring the Public Service to another turning-point. Certain war activities started to decline on the cessation of hostilities, while others continued at an even, or sometimes a temporarily increasing pace. New tasks arose, and activities suspended owing to the exigencies of war showed signs of revival. The major staffing trend of the year was the increasing number of resignations of female staff, especially married women and women who had been directed to essential undertakings during the war period. In addition, many male employees who would normally have retired but for the war took an early opportunity of doing so. Others who had been directed from non-essential

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undertakings were released to return to their former employment. These losses were offset to a large extent by the return of a substantial number of public servants from the Armed Forces. On balance, despite the rapidly changing situation, the requirements of the Service have, with a few exceptions, been met by the staff available. The staffing position is still very fluid, however, and must continue to be closely watched so that employees from Departments showing decreasing activities are made available for those Departments showing expanding functions. One of the most difficult Departments to staff has been the Rehabilitation Department. It has been necessary to draw officers from practically every Department of the Public Service, as well as to recruit temporary staff from outside the Service to cope with the increasing volume of work. In this Department an endeavour has been made to place returned servicemen in every executive position having any contact with returning men. It is felt that this policy, although it has accentuated the staffing difficulties, is justified in the trust and confidence the returned serviceman should have in the knowledge that his case is being dealt with by men with a personal appreciation of his problems. Application of Industrial Man-power Regulations to the Public Service The conduct of Government business has to continue during time of war, and it was only natural that the Public Service as a whole should have been declared an essential- undertaking within the terms of the Industrial Manpower Regulations. This had the effect of giving the Service certain priorities in obtaining staff during the war years and also of restricting resignations. There is no doubt that the protection of these regulations was of considerable benefit in the years of greatest staffing difficulty. Indeed, it would have been impossible to carry on the civilian functions of Departments during the war years without the assistance of these regulations. Along with most other essential undertakings, the year under review has seen an almost complete relaxation of all man-power control in the Public Service. However necessary during war years, experience has shown that such controls could be tolerated in a society such as New Zealand only while the nation was fully mobilized and that the restrictions had become very irksome when the need declined. While appreciating the valuable contribution made to the work of the Service by directed staff during the war period, there is little doubt that the most efficient service is given, in the long run, by the employee who is free to choose his employment and to leave employment which he regards as uncongenial. Recruitment op Cadets Difficulty is still being experienced in securing sufficient cadets for the Public Service. For the year ended 31st December, 1945, the cadets appointed totalled 391, distributed as follows: Wellington .. . . .. .. .. 149 Auckland . . . . . . .. 62 Other North Island centres .. . . . . 74 Christchurch .. . . . . .. 37 Dunedin . . . . . . . . . . ..25 Other South Island centres . . .. 44 Total . . .. .. .. .. 391 Although the number of appointments is in excess of the previous year (317) it is still below the figure required to fill existing vacancies in the Public Service.

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The Educational Standard of the appointees continues to be good, as is reflected by the following figures:— B.A. .. .. .. .. .. .. 2 Teachers " C " Certificate .. .. . . .. 1 Higher Leaving Certificate .. ... .. 75 University Entrance .. .. . . .. 137 School Certificate .. . . .. .. .. 78 Public Service Entrance .. .. .. 80 Substitute Public Service Entrance .. .. .. 18 The Commissioner is greatly indebted to his Recruitment Liaison Officers in the main and secondary centres for their able assistance in bringing the claims of the Public Service as a career to the notice of potential recruits. Examinations The Commissioner's examination for those who lacked an educational qualification to take them beyond Class VI was held in December. The results were — Pass .. .. .. .. .. 22 Partial pass .. .. .. 8 Failures .. .. .. .. .. 13 43 Normally partial passes are not granted, but this concession has been introduced for ex-servicemen. Those ex-servicemen who took the temporary employees' course in 1945 sat an examination at the end of the year. The results were— Pass .. .. .. .. .. 35 Partial pass .. .. ' .. .. 3 Failures .. . . .. .. . . 6 44 The purpose of the course is to give ex-servicemen a reasonable opportunity to reach the educational standard that is necessary before they can be considered for permanent appointment. Success in the examination, although not a guarantee of permanent appointment, means the fulfilment of an important condition. Temporary Staff Employees The greatest single task to be faced in the Public Service, apart from general regrading, is the solution of the problem of the present large number of temporary employees. With the almost entire cessation of permanent appointment of adults during the war years, the number of temporary employees in the Service has until it is substantially in excess of the number of permanent employees. For some years prior to the war the normal methods of recruitment to the Public Service had totally failed to meet the staffing demands of a service expanding rapidly on account of the introduction of social legislation, the absorbtion of outside bodies into Government Departments—e.g., Internal Marketing, Broadcasting—and the recovery of ordinary activities after the years of depression. Of necessity, recourse was had to the engagement of temporary employees to meet the demand. Many of these employees are occupying positions of a continuing nature and

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ones which should be held by persons with permanent status. It is desirable from the viewpoint of* both the administration and the employees that as many as possible of those who will be required indefinitely to cover the normal activities of the Service should be on the permanent staff. The Public Service Act, 1912, envisaged the employment of temporary employees only as a means of meeting a transitory rush of work, and the sooner the temporary employeecan be utilized for this purpose the sooner will the concern of all employees be set at rest. The solution of this problem is one that has been fully appreciated by the Public Service Commissioner's Office as the employing agency, and by the employees through the medium of the New Zealand Public ServiceAssociation. During the year a special sub-committee of the Association compiled a report which is a valuable contribution towards the solution of the difficulties to be overcome in the transfer from temporary to permanent status. So far it has been possible to deal only with employees possessing the requisite examination qualifications who were on the temporary staff before the war and who served overseas with the Armed Forces and also with shorthand-typists who are qualified by examination. The urgent need to deal with the balance of the temporary employees is apparent, and it is proposed to take the earliest possible steps to define the procedure that will be used. Positions in International Organizations The conflict of nations made apparent the need for the setting-up of international bodies in an endeavour to repair the ravages of war and toprevent similar tragedies occurring in the future. International representation on the staff of such bodies is, to a substantial degree, a prerequisite of their acceptance. As the major central staffing agency for the Public Service in New Zealand, the Public Service Commissioner's Office was asked during the year to act as the agent here, in the initial stages, for the United Nations Relief and Rehabilitation Administration (UNRRA) and for the Provisional International Civil Aviation Organization (PICAO). Both these bodies—the former in the field of international relief, and the latter in the field of international airways—desired to consider applicants from New Zealand for their organizations. Applications were received and some preliminary assistance in selection. was given. Rehabilitation op Employees discharged prom the Forces and Staff Training Since the last report demobilization has brought into full operation the machinery which was set up to facilitate the rehabilitation of public servants. In each Department there exists a/Personnel' Officer who is responsible for the reception, welfare, and training of ex-servicemen. Last February, a conference of Personnel Officers was convened by the Commissioner. Difficulties which faced Personnel Officers in their work, along with some weaknesses which had developed, were fully discussed, and recommendations for improvements made to the Commissioner. The great value of the conference lay in the opportunity it gave for the exchange of ideas and for the moulding of policy in the light of experience. Ex-servicemen are making full use of the various concessions which are offered by the Commissioner. Time off for study purposes appears to be a most welcome concession, and it is particularly noticeable that ex-servicemen are keen to make the best use of the time that is allowed for study. The average period allowed is five hours per week.

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In the last report it was mentioned that arrangements were being made with Victoria- University College for the holding of short courses of three weeks' duration to bring ex-service personnel up to date with recent economic, social, and administrative developments in New Zealand. The first course started in September, 1945, and three more were held before the end of that year. The courses are being continued this year at regular intervals. Lectures are given by members of the Victoria University College staff and by senior members of the Public Service. Each lecture is followed by a •discussion period. There is provision also for reading periods and for visits to Parliament and to Government Departments. The men who are brought from outside Wellington are accommodated in a Government hostel. It is apparent that the courses are proving of great value in informing men of the changes which have taken place during the war years, in acquainting them with present trends in public policy, and in giving them a wider horizon. These short courses, while stimulating interest in public administration, -cannot provide an officer with a detailed knowledge of what has happened in his own Department during his absence and fully bridge the gap in his departmental experience. This need is catered for in the staff training programme drawn up in each Department. A number of Departments have already held short courses as part of their staff-training activities. There is no doubt that the departmental short course is a speedy means of bringing ex-servicemen up to date and enabling them to face their tasks with greater confidence. Classes are now being held in Auckland as well as in Wellington for those ex-servicemen on the temporary staff who lack the initial educational •qualifications for permanent appointment. Those who are employed outside the two centres can take specially prepared correspondence courses. The •enrolments for the classes and for the correspondence courses are steadily growing, and next year it will be necessary to provide teachers for at least two classes in Wellington. According to the reports of the teachers the men -are keen, industrious, and show a commendable desire to pursue their studies beyond the standard actually required for the examination. In the course of rehabilitation many transfers have been arranged from Department to Department and from district to district, mainly to suit the desires and convenience of returned men. Very often the dominating factor in a man's application for transfer is his desire to be stationed in a district where he can secure housing accommodation. Although considerable progress has been made in rehabilitation, the major portion of the task remains to be done —namely, making good the deficiencies in knowledge and experience which arise through a serviceman's absence from his Department, These deficiencies cannot be supplied in a matter of weeks, and it is necessary that each Department should work to a plan which provides the knowledge and experience as speedily as possible. Progress in rehabilitation and staff training has not been uniform throughout the Departments. One of the major difficulties is that Personnel Officers in many cases are already burdened with other important duties, with the result that rehabilitation and staff training do not receive full and •continuous attention. The only effective remedy in the larger Departments is to treat the Personnel Officer's position as a full-time one. This has already been done in a few Departments, and it will be the policy to extend this principle to other Departments where necessary.

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Roll dp Honour Since the last report was published the sorrowful news has been received that the following officers have lost their lives in the service of their country. We tender our sincere sympathy to the relatives in their sad loss: —

The Public Service is proud of its war record, and deservedly so. The total number of employees of Departments under Commissioner control who served with the Armed Forces was 9,175. It is a matter of extreme regret that many will never return. During the six years of war 569 of our employees made the supreme sacrifice. The record is a glorious yet tragic one—glorious in that these fine young officers were prepared to forsake everything else they held dear in defence of the high principles to which they were devoted; tragic in that New Zealand and the Public Service can so-ill-afford to lose officers of their sterling qualities. Improvements in Working Conditions during the Year (a) Annual Leave for General Division—On the completion of ten years' service, clerical and professional officers have been entitled to an extra week's annual leave for recreational purposes. This concession was not in the past conferred on General Division employees. Approval has now been given for similar conditions to apply to officers of the General Division, commencingwith the leave year 1945-46. Thus General Division employees with ten years' service or over will receive three weeks' leave each year instead of two weeks. (b) Saturday Morning Work.—Following the relief on the cessation of hostilities, instructions were issued that as far as practicable Saturday morning*

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Name. Department. Name. Department. Anderson, C. L. Customs. Kelly, K. L. Air. Anderson, J. E. Public Works. Knoblock, D. L. Transport. Andrewes, B. E. Lands and Survey. Langston, P. Census and Statistics. Baillie, J. .. Mental Hospitals. McBride, T. C. G. .. Audit. Barnard, G. C. Internal Marketing. Land and Income Tax. MacKay, K. M. .. Industries and Commerce, Barrett, R. McLachlan, E.G. Social Security. Baxter, A. J, K. Customs. McLeod, 0. T. Mental Hospitals. Bird, L. A. Public Works. Matheson, D. Army. Buchanan, J. G. Education. Morrison, J. C. Air. Burman, I). C. State Advances/ Mummery, J. W. .. Agriculture. Ching, A. H. State Advances. Oden, 0. H. State Fire. Cleave, M. G. Social Security. Oliver, J. M. Public Trust. Corkill, J. H. C. R. .. Education. Park, G. R. Justice. Cunneen, J. N. Justice. Partridge, A. G. Public Works. Cuthbert, R. W. Labour. Patten, B. J. Public Works. Dale, T. W. Public Trust. Plummer, J. Land and Income Tax. Egley, R. A. Air. Ranger, W. P. Lands and Survey. Ellen, L. A. Health. Richardson, A. W. .. Social Security. Elliott, T. I. Public Trust. Robertson, D. M. Justice. Fisk, B. W. Mental Hospitals. Tanner, T. S. Public Works. Foster, I). M. Army. Teschner, A. W. Customs. Foy, E. J. Customs. Thompson, A. R. Lands and Survey. Gambrill, E. B. Broadcasting. Tod, H. D. Mental Hospitals. Good, N. A. Army. Umbers, A. E. Tourist and Health Resorts. Hammon, J. V. Internal Affairs. Veint, H. J. B. Social Security. Heffernan, X. A. Air. Waaka, T. Native. Holloway, E. J. Mental Hospitals. Wallace, V. B. Lands and Survey. Hooper, A. J. Health. Watt, W. A. Printing and Stationery. Jeffares, B. C. Social Security. Wilson', M. H. Customs. Jenkison, J. E. State Advances. Wilson, R. S. Public Works. Jennings, P. S. Industries and Commerce. Wilson, W. W. State Advances.

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work was to cease. The closing of Government offices on Saturday mornings is now general, and officers should be able to benefit by the two full days of relaxation each week-end. (c) Mileage-allowances for Officers using their Own Cars on Official Business. —The suggestion that mileage-allowances were not fully compensating officers for the use of their own cars on official business was investigated, and it was agreed to grant an increase in mileage rates. (d) Payment of Admission and Practicing Fees for Barristers and Solicitors. —It was agreed to refund the admission fees and practicing fees of qualified officers as barristers and/or solicitors where it could be shown that their admission was essential for departmental purposes. (e) Leave cm Retirement to Officers resigning for their Own Purposes.— In 1941 it was decided to withdraw in most cases the provisions of Public Service Regulation 65a (c) and (d), providing for the granting of leave of absence to officers resigning for their own purposes. This concession was reinstated as from Ist March, 1946. Consultative Committee The Consultative Committee, set up by decision of the Eight Hon. the Prime Minister in February, 1945, held meetings for many months during the year. Evidence was taken from a wide range of groups of employees of the Public Service and from departmental heads. The Committee subsequently presented a unanimous report to Government. Apart from recommendations for group salary scales, the Committee placed on record its recommendations on many matters of principle. The main recommendations dealt with:— (a) The basis of fixing salaries in the Public Service: (b) The proposed universal salary scale and its application: (c) Scope of the Public Service Commissioner's power in fixing salaries: (d) The forty-hour week: (e) Payment of allowances in addition to salary: (/) An adult minimum wage: (g) A minimum salary for a married man: (h) Remuneration of women: (i) Employment of a class of workers to be known as " Clerical Assistants ": (j) Long-service increments: (1c) The general regrading of the Public Service. The recommendations were placed before Government, and approval was given to increased scales of remuneration which could be used as a basis for the general regrading. Relations with Public Service Association Whatever differences of opinion, exist between the Public Service Association and the Public Service Commissioner's Office, and they always will exist, the manner in which negotiations are carried out has been most satisfactory. The Association advocate their case in a reasoned manner, and have also shown an appreciation of the official viewpoint. This relationship has developed over the years and was in evidence throughout the deliberations of the Consultative Committee. It is gratifying to record that the method of conciliation is continuing to prove successful in matters of pay and conditions in the Public Service.

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Regrading Agreement of Government was obtained, to the regrading of the Public Service being undertaken as at Ist April, 1946. Much preliminary work was necessary, and the report of the Consultative Committee will serve as a useful basis for the grading of particular groups of employees. The task of grading the individual is one that involves examination of duties and responsibilities, survey of establishments, and consultation with Controlling Officers and Permanent Pleads. The inspection staff of the Office has completed its itinerary of regrading investigations for districts outside Wellington. Opportunities for interviews with the Commissioner or an Assistant Commissioner were also given at most centres. Completion of the work is now in sight, and it is expected that the regrading-list will be published very much earlier this year than has been the case in the past. Board of Appeal Three sessions of the Board of Appeal were held during the year. Nine hundred and eighteen appeals against non-promotion were considered with the following results:— Allowed . . .. .. .. 21 Not allowed .. .. .. .. 702 Withdrawn . . .. .. . . 152 Dismissed for lack of prosecution .. . . 2 " Do not lie" .. .. .. 41 It is interesting to recollect that the Hunt Commission, after whose report the present system of control of the Public Service was introduced, did not recommend the creation of a Board of Appeal. The Commission's report deals with the subject in the following terms: — We are very strongly of opinion, that an outside Appeal Board that can override the management is a decided mistake. Positions like the following often arise: A vacancy may occur in the Service, and the management may have the right of promotion by merit. The management may look down the list of officers next in the order of seniority and think that No. 15, say, is far and away the best man available for the positioni, and that he should get it. But 1 they know that if they give him the position, Nos. 1 to 14 can all appeal against it; and If they do, the management has to appear before the Board in the position of defendant and prove its case. Most men 'do not care to put up with this annoyance and trouble, and, unless No. 1 is a " rank duffer," will give him the position regardless of results to the Service. The result in most cases where Appeal Boards exist is that, although in theory the system is promotion' by merit, in practice it is promotion by seniority, and the introduction of promotion by seniority instead of promotion by merit is the introduction into the Service of a dry rot that will ultimately destroy its working efficiency. If there is no Appeal Board it is possible that an occasional injustice may be done; but it is far better to risk this than to do a permanent injustice to the Service as a whole and: all/ the men of energy and ability in it. In 1919 the first Commissioners appointed under the Public Service Act, 1912, reported " After an experience of over six years, the Commissioners are convinced that the system of review by a Board of Appeal of the decision of the Commissioner is not in the best interests of the Service and renders difficult the proper carrying-out of the work of the Commissioners." After considerably longer experience of the working of the Public Service Act we are of the opinion that the existence of a Board of Appeal is justified. From the number of appeals coming before the Board it is quite apparent that the Service generally has confidence in the Board. It would appear from the above figures that a small percentage only of appeals is allowed. This is understandable, as very careful consideration is given to claims of all officers prior to approval being given to any advancement of a particular officer. The percentage, however, is not as small as

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would at first appear from the figures, as many appellants lodge several appeals against officers in the same set of promotions. The table shows the number of appeals and not the number of appellants. Some criticism has recently been apparent in the Service regarding the Board of Appeal. Such criticism, in our opinion, is unwarranted. In its review of appointments the Board of Appeal acts as an effective safeguard .against injustices in that appellants are accorded full opportunity of stating their claims to an independent and impartial tribunal. As the Commissioner has no representative on the Board of Appeal it would be of considerable advantage if the Board gave its reasons for allowing an appeal. The Commissioner is sometimes left entirely in the dark as to the reasons for his decision being set aside —a decision arrived at only after very careful consideration of the claims and merits of officers concerned. Superannuation Amendment Act, 1945 The amendments made to superannuation legislation as it affects public servants under the provisions of the Superannuation Amendment Act, 1945, are viewed with considerable satisfaction by this Office. The major amendment was the repeal of the former provision restricting the retiring-allowance to a maximum of £3OO per annum. Alterations were made in the basis of ■calculating retiring-allowances and in the amounts of allowances payable to • widows and children. A fundamental change introduced in the Amendment Act was the provision for membership of the Fund to be optional. The Amendment Act has done much to remove the objections that public servants had to their superannuation rights. As has been pointed out in many previous reports, one of the important incentives for recruitment of permanent ■employees to a large organization is undoubtedly an adequate superannuation ■scheme to make provision for retirement owing to age or medical unfitness. Experience has proved the value of a permanent Public Service, and the improvement in the superannuation legislation should assist in maintaining it .as a permanent career service with a more contented staff. Overtime The endeavour made to reduce the amount of overtime being worked throughout the Service has been attended with some success, and overtime has -declined substantially in most Departments. It was realized that it could not be eliminated altogether at this stage. Overtime was still being worked in some organizations during the year to an extent that continuation could only detract from the general efficiency of the organization. Some relief has been .afforded hard-pressed Departments by arranging overtime on an interdepartmental basis. This has been particularly so in Wellington. It is doubtful whether the shorthand-typing work in some Departments could have been -carried out had it not been for teams of employees from other Departments undertaking shorthand-typing work in overtime. In general, overtime is uneconomic, and as the staff situation becomes easier it should be reduced to the point where it will be required only to cope with a transitory rush of work. 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. It is inevitable that the efficiency of a large organization like the Public Service must suffer in time of war when such a large number of trained personnel is lost to the Armed Forces. Whatever defects may have shown themselves in the Service during the war years, none has been such as to cause a, major breakdown. This in itself is extremely gratifying and reflects the

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loyalty and efficiency of the officers of the Service, who have carried burdens far beyond those normally imposed on them. The sick-leave records of the Service will show that this burden has not been carried without taking its toll on the staff. Nevertheless, the duty of the Public Service is to provide service in one way or another to the community as a whole, and there is only one standard to be aimed at, and that is the greatest possible efficiency in the conduct of the affairs of State. It is a duty imposed on the Commissioner by the provisions of the Public Service Act, 1912, that "as often as necessary to carry out the directions and provisions of the Act and to ensure the establishment and continuance of a proper standard of efficiency and economy in the Public Service, the Commissioner shall cause any Department to be inspected; and the Commissioner or an Assistant Commissioner shall investigate the character of the work performed by every officer therein, and the efficiency,, economy, and general working of the Department both separately and in its relation to other Departments," This statutory task of the inspection of Departments has had to lapse to a considerable extent during the war years. It is intended that the inspection programme will be expanded considerably in the near future. One factor militating against efficiency at the present time is the acute shortage of shorthand-typists and typists, particularly in the main centres. It is realized that this difficulty is one of general shortage of female labour and is not confined to the Public Service or to this Dominion. Whatever may be the cause of this situation, it is extremely difficult to suggest a remedy. There is no' doubt that private concerns can bargain and offer more attractive conditions than the Public Service, where the effect of increasing the remuneration of one employee may result in the necessity to review several hundred cases. Personal Reports on Officers Although personal reports on officers were obtained as at 31st March,, 1945, it was found necessary to ask Departments for further reports on officers as at 31st December, 1945. Notwithstanding the short period that had elepsed since officers were previously reported on, the additional reports were required as an essential pre-requisite to the regrading. No alteration was made in the form of report, so that there would be a basis of comparison with previous reports. Before reports are again asked for it is proposed to review the present form of report in the light of experience and suggestions that have been received in an endeavour to make improvements. Although the present system of personal reports on officers has been criticized, no better method has yet been produced for recording the relative merits of a staff of an organization of the size of the Public Service. In any organization where the promotion system is based on merit, periodic reports on officers are essential. The abolition of reporting, apart from other serious disadvantages, would endanger the merit system of promotion prescribed by the Public Service Amendment Act, 1927, which is, in our opinion, the only effective basis of selection of officers for advancement to higher positions. The form of the report and the methods of its completion will always be subject to review with the object of improvement. Such alterations will be undertaken from time to time as experience indicates. Housing Difficulties The acceptance of promotion throughout the Service is still being retarded through difficulties in obtaining housing accommodation. It is

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•quite obvious that some competent officers are not applying for promotion outside their town of residence because of their prospective difficulty of obtaining other accommodation. It is difficult to assess the indirect effect of these housing difficulties on the efficiency of the Service. It must be concluded, however, that, where the most efficient officer for a position feels unable to apply, there must be, in the long run, an adverse effect on the Service. This is particularly so where the married man with a family is restricted to an even greater extent than the single officer or the married officer without any family. For thp more junior officers the conditions can be alleviated by the provision of suitable hostel accommodation. Some progress in this direction has been made in Wellington, and it is hoped that more premises will be made available for use as hostels in the not very distant future. The provision of adequate housing would also do much to assist the difficult staffing positions in such Departments as the Prisons and the Mental Hospitals Department, Many capable officers in these Departments are lost to the Service because on marriage they are unable to obtain suitable housing accommodation reasonably adjacent to the institutions. This is particularly the case with country institutions. Uniformity in the State Services For more than twenty-five years there has been in existence a committee of senior officers set up with Cabinet approval, called the Uniformity Committee. The present personnel of this Committee is as under: — Secretary to Treasury: General Manager, New Zealand Railways: Director-General, Post and Telegraph Department: Director of Education: Public Service Commissioner (Chairman). As will be seen, representatives of the larger State Services are members of this Committee. The functions of the Committee are the reviewing of any major proposals affecting conditions of employment or rates of pay in the Services represented, the attainment of the greatest degree of uniformity possible among the Services and advise to Government on such other matters as may be referred to the Committee from time to time. During the years this Committee has functioned it can be claimed that it has served a very useful purpose in the machinery of Government. However, with the setting-up of the Railway Industrial Tribunal, the Committee finds that its usefulness as a reviewing body has practically disappeared. The Tribunal has mandatory powers, and its findings are immediately implemented in the Railway Department. The decisions of the Tribunal affecting conditions of employment which are more advantageous than the corresponding conditions in other Services are immediately seized upon by the employees' organizations with a request for their adoption. The result is, in effect, that the Railway Tribunal's decisions have repercussions; on all Services. The Public Service with a Consultative Committee and the Post and Telegraph Department with an advisory Council have recently obtained a. new scale of salaries differing from that operating in the Railways Department. As in certain respects this scale is an improvement on the previous scale, there is no doubt that the Railway Tribunal will have representations made for the acceptance of this scale in the Railway Department.

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With tribunals, consultative committees, advisory councils, &c., operating in the various Services, it will be seen that the Uniformity Committee is no longer able to exercise its reviewing functions. The position is further complicated by the fact that there are many organizations in existence, virtually as State Deparments, whose conditions o;f employment are not subject to review by the Committee—e.g., Reserve Bank, Bank of New Zealand, Police Force, Waterfront Control Commission, Linen Flax Corporation, &c. It seems inevitable that sooner or later one tribunal will require to be set up for the purpose of introducing and maintaining uniformity of pay and conditions throughout the whole of the State Services. Tasks to be faced Present-day trends, both in New Zealand and overseas, indicate an extension of the activities undertaken by the State. This means that an increasing proportion of the community is employed under conditions of Public Service, and the need for some uniformity in such conditions is obvious. The Public Service of New Zealand, with its ever-widening variety of tasks, must keep abreast of the times. An efficient Public Service must be ready and willing to undertake any tasks that Government imposes upon it, and undertake them efficiently. Certain problems will have to be faced if the Public Service of New Zealand is to measure up fully to the requisite standard in the future. The need for revision of the present Public Service Act and regulations is becoming increasingly apparent. The technique of personnel management has advanced by leaps and bounds since the present Public Service Act was passed in 1912. A review and consolidation of the present legislation affecting the Public Service is a task that must be undertaken before very long. The composition of the staff force that does the clerical work of the Public Service appears to warrant review. There seems little doubt that in the past the use of well-qualified clerical cadets on comparatively routine tasks for long periods has been a wasteful, use of the abilities available. The tradition that a large proportion of the clerical work of Departments should be undertaken by the clerical officer appointed at the cadet stage has been undermined by recent experiences. On the one hand,, less-qualified employees have shown that they are quite competent to handle many of the more stereotyped clerical duties in Departments. In addition, such employees are more reconciled to this class of work than many of the more highly qualified officers, who feel that their progress is being retarded. On the other hand, many of the well-qualified younger officers of the Service have proved in the Armed Forces that they are capable, at an early age, of undertaking considerable responsibility. With proper training, adequate direction, and provision of opportunity many of them, it can be safely assumed, could have undertaken positions of comparable responsibility in •civilian life. This change of attitude is reflected in the report of the Public Service Consultative Committee in its reference to the establishment of a class of employees to be known as " Clerical Assistants." It is proposed in the near future to follow this suggestion with the object of giving higher qualified junior employees an increasing opportunity to take responsibility at an earlier age.

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Administrative Changes During the year ended 31st March last the following administrative changes have taken place:— Audit Department.—Mr. C. G. Collins, Controller and Auditor-Genera 1 r retired on 24th September, 1945. Mr. J. P. Rutherford, Deputy Controller and Chief Inspector, was appointed by Government to succeed Mr. Collins. Industrie® and Commerce Department.—Mr. P. Marshall was appointed Secretary on 21st November, 1945, on the separation of the Department from the Tourist and Health Resorts Department. Internal Marketing Division. —Mr. R. P. Fraser was confirmed in the position of Director on Ist September, 1945. Marine Department.—Mr. W. C. Smith was appointed Secretary on 15th August, 1945, in succession to Mr. L. B. Campbell, who retired. Public Service Commissioner's, Office. —Mr. J. A. E. Engel was appointed Assistant Public Service Commissioner on 12th August, 1945. Social Security Department.—Mr. B. F. Waters was appointed Commissioner, Social Security Commission, and Mr. C. Dunn was appointed Director, on 30th October, 1945, vice Mr. Waters. State Hydros electric. Department.—Mr. F. T. M. Kissel was appointed General Manager on 7th December, 1945, on the constitution of the Department. Conclusion We have received the utmost co-operation of the Permanent Heads of Departments in overcoming the many staffing difficulties that have arisen throughout the year. The need to have regard for the efficiency of the Service as a whole in approaching problems of personnel is receiving greater recognition, and we desire to thank the Permanent Heads and their senior executive officers for the helpful attitude they have adopted. We also take the opportunity of placing on record our appreciation of the loyalty and devotion to duty of the staff of our own office in the face of particularly difficult conditions. All of which is respectfully submitted for Your Excellency's gracious consideration. J. H. Bo yes, Commissioner. G. T. Bolt, Assistant Commissioner. J. A. E. Engel, Assistant Commissioner. Office of the Public Service Commissioner, Wellington, 27th June, 1946.

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Table I. —Public Service Classification List, 31st March, 1945.—General Summary of Classification by Departments (excluding Officers in the Administrative Division)

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Appointed Total Classification 1st April, 1945. On On Number Salaries, Salaries, Scale Increase. Loan: Leave: Department. of Year ending Year ending Number Number Officers. 31st March, 31st March, Number of of 1945. 1946. of Salaries. Officers. Officers. Officers. § £ £ £ Agriculture 769 342,548 352,018 9,470 2 18Air 105 38,575 40,375 1,800 1 Army 84 24,500 26,140 1,640 1 Audit 226 88,370 92,175 3,805 6 Broadcasting 248 86,240 89,540 3,300 1 4 Census and Statistics 68 22,590 23,570 980 1 Crown Law 8 6,655 6,780 125 Customs 520 187,850 196,110 8,260 2 4 Education 388 176,602 179,257 2,555 4 External Affairs 6 Government Insurance "ii3 41. j 890 43 ,'570 1,680 Health 914 256,835 265,470 8,635 3 855 1 11 Industries and Commerce, 250 82,755 87,220 4,465 3 Tourist and PublicityInternal Affairs 232 81,790 84,980 3,190 4 35 Island Territories 10 3,560 3,655 95 11 Justice and Prisons 533 193,350 198,180 4,830 2 9 Labour 194 65,185 68,280 3,095 6 Land and Deeds 123 48,355 50,050 1,695 8,840 1 Land and Income Tax 459 154,640 163,480 " 3 Lands and Survey 647 241,920 252,275 10,355 3 5 Marine 162 71,010 72,045 1,035 1 Marketing 100 31,020 33,250 2,230 Mental Hospitals 947 291,036 296,211 5,175 "37 Mines 86 36,695 38,100 1,405 2 National Provident and 32 10,515 11,095 580 1 Friendly Societies National Service 195 61,395 64,905 3,510 1 3 Native 236 82,655 86,825 4,170 1 8 Navy 56 16,625 17,700 1,075 Police 8 3,145 3,200 55 1 Prime Minister's 14 6,615 6,895 280 Printing and Stationery 283 101,935 103,350 1,415 1 Public Service Commissioner's 50 15,910 17,020 1,110 Public Trust 865 323,430 337,070 13,640 5 Public Works 1,492 577,208 601,968 24,760 3 '720 4 19 Rehabilitation 86 35,040 36,705 1.665 1 .Scientific and Industrial 220 94,685 99,315 4,630 12 Besearch Social Security 645 190,930 203,350 12,420 9 Stamp Duties 96 35,260 36,655 1,395 State Advances Corporation 540 193,895 204,035 10,140 7 of New Zealand State Fire Insurance 218 74,655 78,370 3,715 2 State Forest 247 85,150 89,645 4,495 4 Transport 104 40,735 41,940 1,205 1 Treasury 115 42,810 45,495 2,685 2 2 Valuation 98 38,265 40,020 1,755 -Totals 12,786*' 1 4,604,829 4,788,289 183,460 6 1,575 45 223 Appointed 1/4/45 6 1,575 On loan 45 On leave 223 Totals, 31/3/45 .. 12,786* 4,604,829 Totals, 31/3/46 .. 12,792* 4,789j 864 * Including officers absent with the Armed Forces, but excluding 45 officers on loan to other services and 223 on' leave without pay.

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Table II. —Public Service Classification List, 31st March, 1945. —General Summary of Classification by Classes (excluding Officers in Administrative Division)

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Class (excluding Administrative). Number of Officers. Total Salaries, Year ending 31st March, 1945. Classification Salaries, 31st March, 1946. Scale Appointed 1st April, 1945. Increase. Number of Officers. Salaries. ProfessionalOver scale Special (£740-£840) I(£615-£690) II (£565-£590) III (£510-£535) IV (£460-£485) V(£410-£435) YI (£380) VI (£360) VI (£340) VI (£315) .. VI (£290) VI (£265) .. .. - .. VI (£245) VI (£200) VI (£180) 109 182 213 141 104 87 38 9 9 13 8 10 15 6 3 5 £ 109,045 141,915 138,125 80,090 53,165 39,690 15,090 3,260 3,060 4,145 2,320 2,650 3,675 1,200 540 750 114,365 143,515 140,680 81,765 54,890 41,470 16,080 3,420 3,240 4,420 2,520 2,900 3,975 1,470 600 900 £ 5,320 1,600 2,555 1,675 1,725 1,780 990 160 180 275 200 250 300 270 60 150 Sub-total 952* 598,720 616,210 17,490 Clerical— Over scale Special (£740-£840) I(£615-£690) II (£565-£590) III (£510-£535) IV (£460-£485) V (£410-£435) VI (£400) VI (£380) VI (£360) VI (£340) VI (£315) VI (£290) VI (£265) VI (£245) .. .. .. j VI (£200) VI (£180) VI (£150) VI (£125) 33 146 193 260 420 593 844 148 639 169 594 287 470 605 618 616 571 281 93 29,720 112,740 125,195 149,385 219,425 279,430 353,820 59,200 238,340 57,600 190,035 83,230 ' 124,520 148,260 124,095 110,890 85,830 35,300 9,525 30,415 113,490 126,970 152,325 222,825 285,005 363,690 59,200 242,820 60,840 201,960 90,405 136,300 160,325 151,410 123,200 102,780 42,150 11,625 695 750 1,775 2,940 3,400 5,575 9,870" '4,480 3,240 11,925 7,175 11,780 12,065 27,315 12,310 16,950 6,850 2,100 2 300 Sub-total 7,580* 2,536,540 2,677,735 141,195 2 300 •General — £841 and over £691-£840 .. £591-£690 .. £536-£590 .. £486-£535 . . £436-£485 .. £410-£435 .. £341-£409 . . £296-£340 .. £266-£295 .. £246-£265 .. •P9nl—P94.fi £200 and under 1 28 121 83 338 501 469 1,000 232 326 304 452 925 21,505 76,635 47,230 130,275 157,315 210,800 172,515 317,400 65,351 82,504 67,495 61,625 925 21,875 77,335 48,240 132,490 160,760 214,815 174,345 318,805 66,271 83,824 70,290 65,890 370 700 1,010 2,215 3,445 4,015 1,830 1,405 920 1,320 2,795 4,265 1 1 1 1 420 330 290 " 235 Sub-total 4,107* 1,411,575 1,435,865 24,290 4 1,275 Educational— £841 Over £691-£840 . . £591-£690 .. £536-£590 .. £486-£535 .. £436-£485 .. £410-£435 .. £341-£409 .. £296-£340 .. £266-£295 .. £246-£265 .. £201-£245 1 1 7 16 8 13 12 21 25 31 890 715 4,675 9,135 4,109 6,017 5,056 7,774 8,006 8,747 1,235 1,635 890 715 4,700 9,150 4,174 6,027 5,086 7,844 8,076 8,837 1,285 1,695 | 25 15 65 10 30 70 70 90 50 60 Sub-total 147* 57,994 58,479 485 Totals 12,786* 4,604,829 4,788,289 183,460 6 1,575 Totals, 31st March, 1945 12,786* 4,604,829 Totals, 31st March, 1946 .. j 12,792*! .. 4,789,864 i * Including officers absent with the Armed Forces, but excluding 45 officers on loan to other services and 223 on leave without pay.

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Table III.—Temporary Employees as at 1st April, 1945 (other than Workmen)

Approximate Cost of Paper.—Preparation, not given ; printing (888 copies, £3O)

By Authority: E. V. Paul, Government Printer, Wellington.—l 946. Price 6d.]

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Male. Female. sr. £ 2 ■3 "2 '■22 O 13 . s Department. Clerks. Office Assistants, Sorters. Typists. Office Assistants, Miscellaneous Clerical. Sub-total. Drafting and Compu Engineers, Technicians and Operat Inspectors an Instructors Testers. Supervisors, Overseers, e Foremen. i o H 3 Storekeepers i Storemen. Miscellaneous, Totals. Agriculture 34 37 3 55 97 1 227 24 17« 66 45 8 67 613 Air 22 32 16 5§ 218 6 352 19 371 Army 92 157 62 16? 414 32 924 2 57 1,078 Audit 5 1 1 35 42 42 Broadcasting 12 6 7i 54 25 168 25 8 165 366 Census and Statistics 4 2 1 15 15 37 37 Crown Law - 2 1 3 Customs 9 15 28 88 i 141 14 155. Education 17 13 7 51 95 18 201 1 6 31 293 533 Government Insurance .. 1 2 17 50 70 7ft Health i<3 28 2 63 269 3 381 3 25 i.7 '5 31.2 767 Industries and Commerce, 198 38 6 128 284 6 660 i 9 106 47 6 266 1,095. Tourist and Publicity Internal Affairs 9 9 8 97 56 179 1 3 764 947 Island Territories 2 3 3 8 1 9' Justice and Prisons 14 8 i 32 89 144 6 2 58 210 Labour 87 3 45 23 i 87 9 3 99. Land and Deeds 5 14 19 38 4 3 45 Land and Income Tax .. 65 98 79 21 320 20 604 15 619 Lands and Survey 45 16 82 75 1 226 55 19 77 1 io 388 Marine 16 17 13 32 78 2 12 3 3 23 123 Marketing 36 36 35 113 i 224 5 17 7 49 310 Mental Hospitals 2 14 32 48 23 8 8 823 915 Mines 20 4 14 27 65 *8 16 8 20 117 National Provident and 1 i 2 ' 24 1 29 1 30r Friendly Societies National Service 135 161 10 139 310 2 757 56 1 102 916. Native 46 20 6 51 83 206 i 1 98 2 5 313 Navy 23 24 29 324 400 2 26 60 117 618 Police 2 2 1 3 Prime Minister's 5 i i5 22 45 6 51 Printing and Stationery .. 1 4 16 2 23 i 7 31 Public Service Commis2 3 5 5 23 38 38. sioner's Public Trust 14 5 185 138 4 346 2 10 358 Public Works 260 195 18 194 182 13 862 276 324 21 604 204 845 3,136. Rehabilitation 75 74 1 56 53 259 54 2 1 20 336Scientific and Industrial 9 2 36 48 95 ii ioi 1 i 13 7 194 423 Research Social Security 148 113 29 151 465 12 918 1 8 927 Stamp Duties 1 16 36 53 5 58State Advances Corpora80 35 57 115 293 25 605 43 4 45 697 tion of New Zealand State Fire Insurance 7 2 74 99 182 1 183: State Forest 19 4 'i 26 28 78 9 5 1 50 27 170 Transport 11 1 4 19 17 52 74 1 127 Treasury 38 9 4 27 91 2i 190 2 7 6 10 215 Valuation 5 29 18 52 6 1 59 Totals 1,507 1,180 335 2,184 4,680 213 10,099 376 531 585 67 1,136 29 434 4,344 17,601* * Including officers absent with the Armed Forces.