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Examinations. The policy adopted in the early stages of Commissioner control of providing special inducements to officers to continue their studies, and thus fit themselves for promotion to the more responsible positions, is now bearing fruit, and the educational standard of men aiming for executive positions is evidenced by the large number who hold university degrees or diplomas. The number of officers who have passed the Law Professional Examination or who have attained the degree of Bachelor of Laws or Master of Laws is 211 ; the number who have passed the Accountants' Professional Examination or who have commerce degrees is 280 ; the number who hold engineering degrees or diplomas is 199 ; and the number who hold other University degrees is 224. Experience has shown that, for the effective performance of the higher administrative and executive duties, the Service must encourage and retain men of the highest integrity and capacity. What to the management of a commercial undertaking may be purely a business issue, to be decided by business judgment on business considerations, becomes in a Government Department a question in which social and political as well as economic considerations of wide significance may have to be weighed and well balanced. It augurs well for the future administration of the Public Service that such a large number of officers recognize the necessity of fitting themselves for the higher positions in the Service by continuing their studies in the manner indicated above. Conclusion. It is desired to place on record appreciation of the generous measure of support and co-operation accorded by Permanent Heads, and of the loyal manner in which officers throughout the Service have risen to the demands of the abnormal conditions that have been experienced during the year. This maintenance of the best traditions is all the more praiseworthy when it is borne in mind that there is probably no calling the conditions of service of which are so exposed, particularly in times of financial stringency, to unthinking public criticism as the Public Service. To the staff of this office special thanks are due for their unfailing zeal and loyalty. All of which is respectfully submitted for Your Excellency's gracious consideration. P. Verschaefei/t, Commissioner. B. L. Dallard, Assistant Commissioner. Office of the Public Service Commissioner, Wellington, 26th August, 1931.

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