Unemployment.

Accounts.

Reproductive works.

Assistance to industry.

8.--6

Farms Board has in hand the improvement of areas aggregating 30,000 acres, which when subdivided should provide for over 280 families. In addition, it has in prospect for development some 13,000 acres, which should provide for the ultimate settlement of approximately 200 families. At the present time over four hundred men are engaged on development work, and, with the extension at present taking place, the coming summer should see upwards of eleven hundred men on definitely reproductive work. The number of sections ultimately available will, unfortunately, not be sufficient to cater for all the workers, but the future holders of the areas will be selected from those who have proved their ability during the development operations. Briefly summarized, the net results of the small farm scheme from its inception are as follow : — From April As at to Ist 15th April, November, 1933. 1933. Number of small holdings approved .. .. 488 179 Number of sharemilking applications approved . . 265 50 Number of individual holdings in prospect, including those on blocks being developed . . . . 480 753 709 Grand total .. .. .. .. 1,462 UNEMPLOYMENT FINANCE. The increasing magnitude of the problem necessitated a complete overhaul of the finances of the Unemployment Fund. The levy was reduced, and the contribution from the Consolidated Fund was abolished. On the other hand an emergency charge on salaries and wages and on other income was increased to give the Board the necessary revenue to carry out its functions. As a result the finances of the Unemployment Fund were, during 1932-33, entirely divorced from those of the Consolidated Fund and placed upon a self-contained basis. During the financial year a sum of £4,213,000 was available for the provision of unemployment relief. The principal sources of this revenue were £429,000 from the general unemployment levy, £2,471,000 from the emergency unemployment charge on wages and salary, and £1,120,000 from the emergency unemployment charge on income other than salary or wages. Against the receipt of £4,213,000, disbursements totalling £3,789,000 were made ; £3,689,000 of this expenditure being on providing unemployment relief under various schemes operated by the Unemployment Board. Administrative costs amounted to 2-47 per cent, on actual expenditure figures. With comparatively negligible exceptions, the disbursements on relief were by way of direct or indirect payments to relief workers in return for work performed, or by way of provision of food and accommodation. Particular attention is being paid to the desirability of utilizing as high a proportion as possible of unemployed relief labour on works of a reproductive quality, with the object of creating assets from unemployment relief expenditure. As examples of the practical results of this policy, I may mention the following useful works carried out with relief labour: 1,900 miles of backblock roads formed, metalled, and widened; 1,200 miles of farmland drains excavated; 158,000 acres of land cleared of scrub, bush, or logs; 6,000 acres of sand-dune land reclaimed; and 35,000 acres of trees planted. Simultaneously, as far as funds would permit, efforts have been made from time to time to stimulate flagging industries with a view of reopening avenues of private employment. The most extensive operation in this field was the institution of a temporary scheme offering a subsidy on wages in the building industry, which has special capabilities for the absorption of labour. During the period for which the scheme remained in force, works to the value of £1,450,000 were commenced. For an expenditure of £82,000 in subsidy on wages a sum of £1,180,000 is estimated

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