E—4s

(e) NATIONAL ADMINISTRATION FUND (See Appendix, page 82) The sources of income of the National Administration Fund have not been subject to any variation in nature or rates during 1947-48 and therefore remain the same as set out in the table at the foot of page 18, H.-45, dated 21st August, 1947. The income from the principal national administration levy of Bd. per paid labour-hour is not affected by increases in wage-rates, but only by fluctuations in quantity or rate of work performed on the waterfront. On the basis of figures for 1945-46 and 1946-47, which indicated a stabilized level of post-war employment on the waterfront, this levy was expected to return £350,000 per year. This was the anticipated annual cost of the peacetime services to be provided, including an estimated £lOO,OOO per year for daily and weekly minimum payments which operated from 10th March, 1947. As a result of the great increase in waterfront work during 1947-48 noted in Section (d) —Co-operative Contracts Fund —the total of National Administration Fund levies at £398,365 was £48,365 in excess of the estimated income. For similar reasons, assessments income of £37,214 for 1947-48 was £7,268 greater than for 1946-47. A further direct effect of the increase in waterfront work was that payments of daily and weekly guarantees amounted to £60,143, instead of £lOO,OOO as expected, a saving of £39,857. It will be noted that these three surpluses, which total £95,490, equal almost exactly the net balance of £95,206 in the Revenue Account. But for the abnormal shipping position, therefore, the income as anticipated would have been sufficient only for the expenditure, including increased guaranteed payments, that would have been incurred. As in 1946-47, the analysis of income and expenditure for this fund is given according to the four main subdivisions of expenditure as follows : (i) Annual Holidays.—The income to cover payment of annual holidays to waterfront workers in terms of the Annual Holidays Act, 1944, is based on 2Jd. per paid labour-hour —that is, nine thirty-seconds of total National Administration Fund levies. For 194-7-48 this proportion amounts to £112,040, which is £11,720, or 11-68 per cent., greater than for 1946-47. Expenditure on union and non-union holiday pay (including administration assessment of 1\ per cent, on income, as for a separate fund) increased by £4,097, or 4-21 per cent., to £101,315 as compared with 1946-47. The net surplus for 1947-48 was £10,725, or 9-57 per cent, of income, as compared with 3-1 per cent, for 1946-47. Consequent upon the increase in basic rate of pay which operated from Ist October, 1947 (see Rates of Pay, page 68), rates of annual-holiday pay also increased by lOd. per half-day (for unionists) and o*lod. per paid hour (for non-unionists) as from pay-week ended sth October, 1947. This was the main reason for the over-all additiona expenditure on holiday pay during 1947-48. Other factors affecting the position were — {a) Additions to union membership during the year (453). (b) Greater volume of waterfront work, resulting in the employment of more non-union labour. (ii) Statutory Holidays.—The proportion of National Administration Fund levies allocated to cover statutory-holiday payments is lfd. per paid labour-hour—that is, seven thirty-seconds. For 1947-48, income under this heading totalled £87,142. The income for 1946-47 of £50,572 covered a period of eight months only, and on a proportionate basis equalled £75,858 per year. Income for 1947-48 therefore was £11,284,

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