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In Australia the Commonwealth Public Service was placed under the control of a Commissioner in 1903, the underlying principles being— (1.) The elimination of political influence ; (2.) The affording of equal opportunity for advancement of officers ; (3.) The introduction of a duties' classification scheme through a central authority ; and (4.) The promotion of efficient and economical administration. In South Africa, Canada, and New Zealand, statutes embodying the principles referred to above were passed in 1912. In New Zealand the adoption of the principle was the outcome of the findings of a special Commission appointed to investigate matters affecting the conditions of the State services. Although New Zealand may be said to have profited by the experience of Australia and the Mother-country, such marked progress has been made in the efficiency of the administration and the high standard of educational attainment in our Service that New Zealand possesses a Public Service that not only reflects " credit on those who compose it, but ensures the confidence of the public who maintain it." Administrative Changes. During the year several changes have taken place in the Administrative Division : — Crown Law Office. —On the elevation of Mr. W. C. MacGregor to the Supreme Court Bench Mr. A. Fair was appointed to the position of Principal Law Officer. During the year he was further advanced by Government to the position of Solicitor-General. Inland Revenue Department.—On the 30th June last Mr. D. G. Clark, who held the joint positions of Commissioner of Taxes, Commissioner of Stamp Duties, and Secretary for Land and Deeds, retired on superannuation after completing forty years' service. An announcement has already been made that it is intended to separate the positions, and the appointment of successors is at present under consideration. Justice Department. — During the year the position of Under - Secretary for Justice and Controller-General of Prisons was rendered vacant through the lamented death of Mr. C. E. Matthews. Government decided on the separation of the administration of the two Departments, and Mr. R. P. Ward, late Inspector, Justice Department, was appointed to the position of Under-Secretary for Justice, and Mr. M. Hawkins, who occupied the position of Inspector of Prisons, was appointed Controller-General of Prisons. State Accident Insurance.—During the year this branch of insurance was removed from the Government Insurance Department and placed under the control of Mr. J. H. Jerram, the General Manager of the State Fire Insurance Department. Treasury Department. —The position of Secretary to the Treasury became vacant through the retirement on superannuation of Colonel J. J. Esson. The Assistant Secretary, Mr. R. E. Hayes, was promoted to the position, and Mr. A. D. Park, acting Assistant Public Service Commissioner, took over the duties of Assistant Secretary to the Treasury. Inspection. During the past year, owing partly to the lengthy sitting of the Appeal Board in connection with the regrading and partly to other causes, it has not been possible to carry out as much inspection as could be desired. To ensure an efficient and economical administration of the Service it is essential that a regular system of inspection (both departmental and otherwise) must be maintained. As mentioned in last annual report, an endeavour was made last year by the Commissioner to visit nearly every part of the Dominion with a view of affording officers an opportunity of a personal interview prior to the regrading. It is felt, however, that, in addition to giving officers an opportunity to state their cases in person, a regular and systematic investigation should be made of the actual work of every officer and office. Excellent results have followed the appointment of additional departmental Inspectors familiar with the working details of the Departments to which they have been appointed. A pleasing feature is that increased efficiency has resulted