F.—l

4

Classification. From the Ist January, 1911, the annual leave granted to officers of the Department was increased to twenty-one working-days for officers with more than fifteen years' service, fourteen working-days for officers with less service, and seven working-days for telegraph message-boys. Previously the period was three weeks, two weeks, and one week respectively. By Order in Council dated the 13th day of March, 1911, the period of temporary employment of — Basket-repairers, Draughtsmen, Mechanics, Batterymen, Drivers, Post Office messengers, Batterymen (assistant), Foremen linemen, Storemen, Cabinetmakers, Letter-carriers, Telegraph message-boys, Cable-steamer labourers, Linemen, Telegraph messengers (adult), Carpenters, Linemen labourers, • Watchmen, Charwomen, Mail-bag makers, was extended from three years to six years. Post and Telegraph Amendment Act, 1910. By the Post and Telegraph Amendment Act, 1910, which came into force from the Ist January, 1911, power was given to the Governor to take and retain possession of telegraph-stations in time of war or danger of war; the limit of insurable value of postal packets was raised from £50 to £400 ; the Fine Fund was vested in the Postmaster-General; the conditions of production of telegrams as evidence for certain offences weie amended ; the allowances granted to officers who are widowers or widows were restricted to those whose children are below the age of fourteen years; and the powers formerly vested in the Superintendent of Electric Lines were transferred to the Secretary, the position of Superintendent of Electric Lines being abolished and that of Chief Telegraph Engineer created. Abolishing Telegram-envelopes. The new telegram form and envelope combined has now been introduced at practically every permanent office in the Dominion, and continues to give satisfaction to the public. The estimated saving was £3,000 per annum, which has practically been realized. A check taken at Wellington on two days showed that compared with the old system there was an average saving of two minutes per message in the time taken between receipt in the instrument-room and despatch from the office. Fine Fund. From the beginning of New Zealand postal history there has been in the charge of the Department the accumulation of money from fines levied on officers of the Department for breaches of duty. This money is commonly known as the Fine Fund. For many years past the money has been deposited in the Post-office Savings-bank and has been used by the Postmaster-General for making advances to deserving necessitous officers. All fines imposed on officers since the Ist day of January, 1908, when the Superannuation Act came into force, have, by law, been paid to the Superannuation Fund. A question having arisen regarding the administration of the Post and Telegraph Fine Fund, provision was made in the Post and Telegraph Amendment Act, 1910, to confirm the Postmaster-General's control. Good-conduct Badges. The Postmaster-General has decided to issue badges to be worn by letter-carriers to indicate long service, good conduct, and efficiency. The badges will consist of a stripe or of stripes of gold lace 3in. long, Jin. wide, sewn to blue cloth, and worn on the left breast of the tunic. A letter-carrier conducting himself and performing his duties to the Department's entire satisfaction for five years will be allowed to wear one stripe; for ten years, two stripes; and for fifteen years, three stripes. The stripes or any of them may be withdrawn for misconduct or inefficiency. Penny Postage. On and from the Ist May, 1911, the postage on letters from Australia to New Zealand was reduced to Id. per half-ounce. Insurance of Letters. On the Ist January, 1911, a system was introduced whereby the sender of a letter is enabled to insure it against loss up to a value of £400. At the time the scheme was confined to inland letters and letters exchanged between New Zealand and the United Kingdom, but since the Ist July it has been extended, with necessary modifications, to certain other British possessions and many foreign countries via London. The system has not yet been in operation for a sufficient time to indicate how far the public is likely to make use of it. Aperture-plates for House-doors. The demand for aperture-plates still continues. The Department imported a supply, and is now in a position to meet all demands. Parcel Post. The new parcel system begun on Ist March, 1910, continues to give satisfaction. On the Ist January, 1911, a scheme was introduced enabling the senders of parcels posted in New Zealand for Australia or Papua, and vice versa, to prepay the Customs duty and other charges