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DANNEVIRKE. Sir, — Department of Labour, Dannevirke, 27th April, 1907. I beg to submit my annual report for the year ending the 31st March, 1907, Factories Act. There were 82 factories registered this year, employing 10 males and 3 females under sixteen years of age, and 431 males and 41 females over that age, making a total of 485—an increase of factories registered (3), but a decrease of work rs (males, 51; females, 1 : total decrease, 52), which is accounted for by the fact that sawmilling, which has been the principal industry for many years, is rapidly declining. The milling bush is getting cut out. Eleven mills have cut out and closed down during the year, affecting close on three hundred men, who have left for other sawmilling centres. Cntificat-s of fitness to work in factories have been granted to 3 boys under sixteen. Overtime permits have been issued to 5 females in the tailoring trade to work 58 hours, and 4 females to work 32 hours at dressmaking—total overtime being 90 hours. There were 2 prosecutions—namely, failing to keep a book with the names, &c, of all workers n the factory, and failing to keep an overtime-book. Convictions followed. No accidents were reported. Shops and Offices Act. The shops close, by virtue of a gazetted requisition under section 21, at 6 p.m. on Mondays, Tuesdays, Thursdays, and Fridays ; on Wednesdays at 12 noon; and Saturdays at 10 p.m. The legal weekly half-holiday has been well observed, with one exception ; a prosecution followed. There were 4 prosecutions; convictions and fines"obtained in each case. Servants' Registry~Offices Act. There were 3 licensed registry offices, 1 of which closed during the year. I have had no complaintsTrom any source. Labour. The sawmilling industry declined rapidly during the year—the bush is getting cut out. Those thrown out of employment by the closing of so many mills seemed to experience no difficulty in obtaining similar employment in other sawmilling centres which are being opened up along the Main North Trunk line, and I am pleased to say all local unskilled labour has been fully employed and no men willing to work have been out of employment. The building trade, which was very active last year, has, as a natural result, been quiet though continuous this year. Trade, wholesale and retail, has been good with a strong upward tendency, which means steady settlement and progress in the country districts around. I have, &c, A. Cruickshank, The Chief Inspector of Factories, Wellington. Inspector of Factories.

PALMERSTON*NORTH. Sib, — Department of Labour, Palmerston North, Bth April, 1907. I have the honour to submit my report for the year ending the 31st March, 1907. General. I am pleased to report that the period under review has, on the whole, been satisfactory. Evidence of this is to be found in the increase in the number of buildings erected. The building and allied trades have in consequence been kept busy, and all hands fully employed. Boot-manufacturers have, I regret to say, experienced a dull time, but a decided improvement set in before the end of the period. One new firm has started in the business, has installed new and up-to-date machinery, and is hopeful of success. The coachbuilding trades have been satisfactory. The engineering trade, though not brisk, has been steady, and all hands have been kept going full time. The furniture trade has experienced a busy year, and there has been no complaint of slackness. Unskilled labour: Owing to the fine weather experienced, good time has been made by outside workers. One hundred and seventy-eight men applied for work, of whom 129 were found employment. Factories Act. The provisions of this Act have on the whole worked smoothly and with a minimum of friction. In every case the requests to provide suitable sanitary conditions, protections from machinery, belting, &c, have been met with Teady compliance from employers.

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