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syllabus of classes was prepared and considerable efforts were made to interest the residents in the work, only two classes, carpentry and shorthand, were established, with an attendance of four in each class. The result has been a financial loss to the central department. lam afraid that technical and continuation classes will not succeed in Gore until a central building is erected, as the present Technical School is not in the best position in the town; but then, unless greater interest is taken in the classes, the Department would not be justified in spending much money in the erection of a new building on another site, even if such a site could be obtained. I shall again endeavour to establish classss this winter in Gore, and see what comes of a third year's trial. An effort was also made to establish classes in some of the other centres, but without success. I shall try again this year, and will hope for better results. Manual Instruction in Schools. This branch of education has made considerable progress during the year, and my report in this direction can only be most encouraging. In 1901, nine schools, with a total of 1,355 children in attendance at the classes, carried on some form of manual training during the whole year, so as to enable them to earn capitation, which amounted to £108 18s. In 1902 the numbers were thirty-nine schools, 3,638 scholars, and £183 os. 3d. capitation earned. This year the figures are eighty schools, 6,128 scholars instructed, and £504 Bs. 7d. capitation earned. This large increase has been partly gained by the erection of woodwork and cookery rooms at Invercargill, and the establishment of a Technical School at Gore, by which the boys and girls of the'school in these centres were enabled to get instruction in woodwork and cookery respectively. Ido not expect such a large increase next year, for the reason that all the schools having more than one teacher are now giving instruction in one or other of the branches oFhand and eye work to the infant classes, while many of the schools having sole teachers only on the B staff find enough to do to attend to the ordinary syllabus requirements. I hope, however, that the present position will be maintained. Instruction in needlework has also been given during the year by competent sewing teachers in forty-three schools staffed by males only. The Government capitation earned by these classes amounted to £215 10s. 9d., and this amount was collected and distributed to the various sewing-mistresses at the close of the year. Teachers' Training Classes. The work of the year in this direction has been confined to instruction in woodwork and cookery for men and women respectively. The drill classes, which were held in the afternoon, prevented any other form of manual training being taken up. The cookery classes were attended by 72 teachers during the terms before and after the City and Guilds of London Examination. Before the examination, which was held in the month of May, only those teachers who were preparing for the examination were allowed to attend. Twenty-three sat for the examination, and of these 20 succeeded in passing—■ 7 with first-class honours. After the examination a new class was organized to prepare for next year's examination, when I expect a large number of candidates to sit. In the woodwork class there were 64 teachers in attendance during both terms. Thirteen students sat for the first year's and 11 for the second year's examination in woodwork under the City and Guilds of London Institute, and of these 13 passed the test. A large number are preparing for this year's examination. At Gore a suitable building was secured in which to establish cookery and woodwork classes in that centre. A complete equipment of tools and utensils was supplied by the Education Department, and the classes were commenced, and have been very successful. Twenty-five teachers attended the woodwork class and twentyfour the cookery, and of this number a goodly proportion are expected to sit for the examinatons in these subjects. City and Guilds and Board of Education Examinations. Since the coming into operation of the Manual and Technical Instruction Act, greater interest has been taken by students in regard to the examinations conducted by the City and Guilds of London Institute in technical subjects, and by the Board of Education, London, in science and art subjects. These examinations are held in the various centres of the colony at the end of May and the beginning of June each year, the Education Department acting as the colonial representative. The results of the local examinations were as under :— City and Guilds of London Institute. Woodwork : First year —9 passed ; second year —First class 3 passed, second class 2 passed. Cookery : First class, 7 passed ; second class, 18 passed. Board of Education, London. Freehand drawing : First class, 2 passed ; second class, 1 passed. Model-drawing : First class, 1 passed ; second class, 2 passed. Machine construction and drawing : Advanced —First class, 1 passed ; second class, 2 passed ; elementary—First class, 1 passed. Steam : Elementary—First class, 1 passed ; second class, 1 passed. General. Mr. E. C. Isaac, Organizing Inspector of Manual and Technical Instruction, visited this district during the month of April, and inspected the various technical and school classes in and around Invercargill. He also met and conferred with the teachers of the district at the Technical School, at the Central School, and also at Gore, giving in each case an instructive lecture and demonstration in woodwork, bricklaying, and paper-folding. The erection of the new cookery and woodwork rooms has been a great boon, and teachers and scholars can now work with comfort and satisfaction to themselves. Both rooms are fully equipped with the necessary tools and appliances, and if good work is not done no blame can be attached to the surroundings.

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