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No. 3. The Hon. the Colonial Seceetaet to the Hon. Sir F D. Bell. Sib, — Colonial Secretary's Office, Wellington, 6th December, 1880. I have the honor, in continuation of my letter No. 1880, of the 15th ultimo, to enclose for your information copy of further correspondence (see A.-sb, 1881, Agent-General to Premier, 6th October, 1880; Premier to Agent-General, 4th December, 1880) with Sir Julius Vogel on the subject of the staff of the Agent-General's office. I have, &c, The Hon. Sir F D. Bell, &c, Dunedin. Thomas Dick.

No. 4. The Hon. Sir F D. Bell to the Hon the Colonial Seceetaet Sic, — Dunedin, 14th December, 1880. I have had the honor to receive to-day your letter of the 6th instant, enclosing copies of further correspondence with Sir Julius Vogel on the subject of the staff of the Agent-General's office. I observe that the Government have postponed coming to a final decision on the representations of Mr. Kennaway and Mr. McKellar until the receipt of the further statements which those gentlemen propose to submit. I shall be glad to receive in due time the intimation of that decision for my guidance. I have, &c, The Hon. the Colonial Secretary, &c. F D. Bell.

No. 5. The Hon. the Peemiee to the A&ent-Genebal. Sic, — Government Offices, Wellington, 26th February, 1881. I have received your predecessor's letter No. 972, of 30th November, enclosing copy of correspondence between himself and the Agent-General's Department, respecting instructions that had been given to Sir Julius Vogel to reduce the salary of the Secretary from £800 to £600 a year— amongst the enclosures being a long letter from Mr. Kennaway, in which he urges various reasons why this reduction should not be made, and he contends that to make it would be unjust to him. These documents have been carefully considered by the Government, in connection with others in which Sir Julius Vogel communicates representations made to him by Mr. McKellar, the Accountant to the Department, against the reduction of his salary from £500 to £300 a year. I have the honour to request that you will communicate to those gentlemen the decisions of the Government, which are — (1.) As to Mr. Kennaway The reduction directed to be made in his salary was not due to any want of appreciation of his services. It was made because Parliament very largely reduced the vote for the department, and because the work and the responsibility attaching to the office Mr. Kennaway holds will be much less than they have been. For these reasons, the Government regret that they cannot, in response to Mr. Kennaway's representations, depart from their decision as to the reduction of the salary (2.) As to Mr. McKellar. The Government did not consider, nor have they stated, that £300 would be a proper salary for an accountant of Mr. McKellar's standing, with duties to discharge such as did fall upon that gentleman. Indeed the instructions to Sir Julius Vogel were explicit that, as the expenditure through the Agency ;md its operation generally had been so very greatly reduced, there was no longer need for an accountant at a salary of £500 a year, and that therefore a more economical arrangement must be made. I have, Ac, Sir F Dillon Bell, John Hall. Agent-General for New Zealand, London.

No. 6. The Agent-General to the Hon. the Colonial Seceetaet. Sic, — Westminster Chambers, London, S.W., 19th May, 1881. On receiving the decision of the Government respecting the salaries of the Secretary and the Accountant, I applied myself again to the question of whether the cost of this office could be brought within the £3,000 voted last session. Though I have prepared full particulars for your information, I have not time to send these by this mail; but, as Parliament may be in session next month, I will not delay stating the conclusion at which I have been obliged to arrive, that it is not possible for me to carry on the office for the £3,000. In your letter to my predecessor, dated 10th September last, directing the application of the vote, you put down the clerks at £350, and the rent and contingencies at £360. Now, the rent alone, under the existing lease, is £400, and contingencies for the three years ending 31st March, 1881, have averaged rather more than £350, of which postage alone has exceeded £100. This is enough, I think, to show why I cannot compress these items into the sum stated in your letter. I have given myself time to see what I could do to obey, as I would if I could, the order of the House. But I know what work is, and I may say that, with the exception of the West Coast Commission, I have not for eighteen years done so much continuous work as since I came to England. You may be sure, when I say that, of the other officers having had their share of it; indeed, the details that have to be attended to in the orders that come from the several departments are of a kind requiring