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made by themselves. It is unreasonable to suppose that a number of men, perfect strangers to each other, can be placed on a block of land, and toid to work for one common fund, and make the experiment a success. How can they make it a success, when, as a matter of fact, they have nothing in common, and this was clearly shown by the reports of Government officers prior to the land being subdivided. It is stated that one side locked up the tools so that the other side should not use them. There was a dispute as to who owned the cows, and while the dispute was going on the cows were not milked. This was, of course, bad for the cows. However, these disputes are now happily over, and each settler has the opportunity of proving to his neighbour, and to the country generally, that he is an industrious man, and thus help to make the settlement a success financially and otherwise. I firmly believe more good will be done in this way than by any other. For if it can be shown that small settlements may be made a financial success, and undoubtedly it can be, it would be the means of opening up better land in suitable localities for other settlements. The amount advanced by Government to the Board of Control of the settlement at Wilberforce has been £1,540, and the Board has in hand a further sum of £400, the total cost to the end of June will be about £1,940. The improvements are valued at about £1,718. As I was anxious to devote some little time at the Labour Bureau, I did not personally inspect the labour settlement at Bega. The number of settlers there is very small. I learnt, however, that the settlement has gone through difficulties and misfortunes which might have been avoided. It is thought that the worst is now over, and that the settlement may yet succeed. Mr. H. C. Taylor, of the Grown Lands Department, accompanied me on my inspection of the settlements at Pitt Town and Wilberforce, and I am indebted to him for his kindness in giving me all necessary information. I regret there is not more to report on, in connection with labour or village settlements in the mother-colony. The Condition of Labour in New South Wales. Mr. .Creer, the Superintendent of the Government Labour Bureau, and his assistant, Mr. Bloxham, gave me every information respecting the arrangements made to meet the " unemployed " difficulty, which in the mother-colony, I regret to say, is very acute. On the day after my arrival in Sydney I saw 653 men at work (levelling sand) in Centenary Park for their food. The men receive rations in return for their labour, but no money. Work is given based on the value of ss. per day of eight hours. Married men have a full day's work at a time, and those with large families are permitted to work for longer periods. Single men are only allowed to work for three hours per day, they also receive rations based on the value of ss. per day of eight hours. The following is the scale of work and rations : —

A ration consists of 41b. of bread, 31b. of meat, 21b. of sugar, and Jib. of tea; contract price, Is. 4d. per ration. Extras consist of oatmeal, sago, or rice ; cost, per lb. It was a painful and distressing sight to see so many able-bodied men thus employed, for it cannot in any sense be termed profitable employment, as a pair of horses and a scoop would do more work in one day than the 653 men do in two days, and the men must know this. But I was informed that the difficulty was to find any suitable employment near the town for a large body of men to do, and as the work is within the capacity of all men in a fair condition of health, no matter what their previous occupations have been, it was decided to put a proportion of the unemployed on at this work. In addition to the above number at work, I frequently saw from 700 to 800 men outside the Labour Bureau seeking employment. The Superintendent informed me that there were employed in Centennial Park on relief-works during the month of April 7,735 men, of whom 5,375 were married and 2,360 single. The expenditure was at the rate of nearly £500 per month, and, in my opinion, there was very little to show for so large an amount. Having since seen what has been done in other colonies to meet the same difficulty by opening up lands for settlement, and the establishment and promotion of labour colonies (which can bo enlarged and improved on), I am constrained to remark that those colonies have found a more excellent way in dealing with this important question. It is not that there is any lack of land in New South Wales suitable for settlement, as I travelled through some very good country, not a great distance from the city, admirably adapted for small settlement. A few sheep are at present in occupation, and thus on the one hand I saw a large army of able-bodied men employed on comparatively unprofitable employment for their food with a larger army at the Labour Bureau seeking work, and on the other a few sheep trotting over

Hours to be worked per Allowance. Workmen. Day of Eight Hours. Rations. Extras. Single men ... 'iarried men with wife only /Tarried men with 1 child /Tarried men with 2 children Carried men with 3 or 4 children /Tarried men with 5 or 6 children /Tarried men with 7 or 8 children 3 hours 1 ration 6 „ 2 „ 3 „ 3 „ 9 „ 3 „ 11 „ 4 „ 14 „ 5 „ 16 „ 6 „ 1 tin milk. 1 tin milk and 21b. extras. 1 „ 41b. „ 1 „ . 61b. „ 1 * 71b. „ 2 . 71b. „ 2 „ 71b. „