H—4s

cent, in 1948-49. The lower net profit is a further reflection of the " suspension period,'' whilst the lower profit rate is in line with the 2 • 43 per cent, decline on over-all rates of work recorded in the overseas loading summary (Appendix, page 27). Profit distributions, and grants total £284,620 and are £18,550 less than for 1948-49. This represents 91-98 per cent, of net profit, as compared with 93-09 per cent, in 1948-49. The balance of £24,802, or 8-02 per cent., of Appropriation Account has been added to accumulated funds, which at 31st March, 1950, total £87,562. The percentage assessment for administrative costs at £44,291 is £3,903 greater than for 1948-49, but, as in that year, and also in 1947-48, the whole of the appropriation of £20,000 to Buildings Reserve has been made from National Administration Fund (see Section (e)). . Both " debtors " for contracts, &c., and " deposits " against the working of overseas, vessels show an increase on 1948-49 figures—the former by £30,449 and the latter by £1,439. (e) NATIONAL ADMINISTRATION FUND (see Appendix, page 84) The income of this fund is derived from a levy at the rate of sixpence (6d.) per paid labour-hour and is a flat rate applicable equally to ordinary and overtime, union and non-union, hours. When the fund was created on 10th March, 1947, the rate of levy was fixed at eightpence (Bd.) per hour and was estimated to yield £350,000 per annum, but as a result of the great increase in waterfront work during 1947-48 the total income for that year reached £398,365. As a result of this, the rate of levy was varied by Order No. 65, which reduced it from Bd. per hour to 6d. per hour as from 4th October, 1948. This reduction resulted in the income from levies being reduced to £366,966 for the year ended 31st March, 1949. The levies received for the year ended 31st March, 1950, amounted to £318,046, which was £48,920 less than the amount received in 1948-49, and has resulted in a net loss of £9,952 for the year, prior to the appropriation of reserves. Since the reduction in the rate of levy in October, 1948, there have been the following increases in wages expenditure : (a) Guaranteed weekly minimum payments increased by 10s. per week as from 25th October, 1948. (b) Basic rate of wages increased by 2|d. per hour as from 14th February, 1949. (c) Basic rate of wages increased by l|d. per hour as from Ist June, 1949. (d) Basic rate of wages increased by 3d. per hour as from Bth May, 1950. The increases under headings (a), (b), and (c) are reflected in the additional expenditure of £26,315 for wages, annual holidays, &c., in 1949-50, as compared with 1948-49. The recent'increase of 3d. per hour is expected to cost a further £16,000 during 1950-51. Despite the several award increases in the salary scale of clerical officers since October,. 1948, and other general increases in cost of office supplies, it will be noted that the Commission has been able to maintain its total expenditure on office administration at approximately the same figure for 1949-50 as was expended for 1948-49. It is estimated, however, that the recent interim wage order of the Court of Arbitration will mean at least an additional £4,000 per annum for salaries, and increased costs will also be experienced in regard to other office expenditure, particularly in regard to cleaning, heating and lighting, printing and stationery, and telephone charges. For the year ended 31st March, 1950, the Commission has been forced to use up all the available balance of accumulated funds of previous years to provide for its commitments in regard to capital expenditure. The balance of accumulated funds as at 31st March, 1949, was £62,117. An amount of £59,952 has been transferred back to Appropriation Account, leaving a balance as at 31st March, 1950, in this account of only £2,165.

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