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Enclosure 7 in No. 9. The Agent-Geneeal to Mr. McKellae. Sie, — 7, Westminster Chambers, London, S.W., 17th September, 1880. I have the honor to acknowledge the receipt of your letter of the 15th instant, directing my attention to the nature of your duties under your appointment as Accountant to this department, and requesting me to submit to the consideration of the Government that, owing to the joint services mentioned in your letter being performed by you, a less reduction might be made as regards the amount of the salary attached to the office which you at present hold ; and, in reply, to say that the instructions I have received are imperative, and I must ask you to decide whether you will accept the deduction. I will, however, send your letter to the colony, accompanied by remarks of my own confirming your statement, but I cannot in the meanwhile delay action. I am, &c, W. G. McKellar, Esq. Julius Vogel.

Enclosure 8 in No. 9. Mr. McKellae to the Agent-Geneeal. Sie, — 7, Westminster Chambers, London, S.W., 21st September, 1880. I have the honor to acknowledge the receipt of your letter of the 17th instant, stating that in accordance with the imperative instructions which you have received, you must ask me to decide whether I will accept the deduction from my salary. lam unaware of the reasons why the Government have decided to take a step which, if I remain in their service (which I wish to do), is equivalent to a reduction in my salary from £500 to £300 per annum, and I do not know how or when the Government propose, as regards myself, to carry such reduction into effect; and, until such information is before me, I feel that I cannot, with satisfaction to myself, definitely decide on the course which it will be incumbent on me to pursue. I would, therefore, respectfully ask that I may be allowed to postpone my decision until I have information on these points, and have had time to give them the consideration which their importance demands. In any communication you may make with the Government on the subject, I would, however earnestly request you to call their special attention to the nature of the duties which 1 have for the last eight years had to perform, and which comprise not only those of Accountant, but also those of Officer of Public Works, entailing the management of the supply and shipment of the large quantities of railway material and other goods which are ordered from the colony, and the responsible duty of effecting marine insurance on the same. I have, &c, Sir Julius Vogel, K.C.M.G., W G. McKella Agent-General for New Zealand.

Enclosure 9 in No. 9. The Agent-Geneeal to Mr. McKellae. Sie, — 7, Westminster Chambers, London, S.W., 18th September, 1880. I have the honor to acknowledge the receipt of your letter of yesterday's date, and in reply to say I am willing you should delay your decision until after the arrival of the mail bringing the letter which the Government, in the cable, state is being sent to me on the subject of the reductions. I am, <fec, W G. McKellar, Esq Julius Vogel. P.S. —Meanwhile you will, of course, have to submit to the deduction of 10 per cent.

Enclosure 10 in No. 9. Memoeandum. In compliance with instructions received from the colony, the Agent-General directs me to give notice that the salaries of all officers belonging to or attached to this department who are not otherwise specially dealt with will be reduced by 10 per cent. Such reduction is to take effect from the Ist of October next. W Kennawat, 10th September, 1880. Secretary to the Agent-General's Department. Seen.—H.H. Seen. —Eichard Hackworth, Thomas Shortt, B. McKilliarn.

Enclosure 11 in No. 9. Ms. Kennawat. Eeferring to the memorandum which we signed regarding the intended reduction of 10 per cent, off our salaries, we would beg respectfully that you would bring before the Agent-General the fact that 10 per cent, off our salaries, living in an expensive place like London, is vastly different to the like percentage taken from the colonial officers, where living is, comparatively, extremely cheap, and also that it should be borne in mind that a certain amount is taken off our salaries for Imperial purposes in the shape of income-tax, which the officers in the Civil Service of the colony have not to pay.*

* The income-tax of the officers of the other Agents-General is paid by their respective Goyernments.