H.—s

8. The ratings entered during the year included 44 boys and 9 short-service ordinary seamen for the seaman and communication branches, 30 stokers, and 16 ratings for miscellaneous branches, making a total of 99. Recruiting has continued to be veiy satisfactory in the seaman and stoker branches, but it has not been possible to attract to the service fully qualified tradesmen for the artificer and artisan branches. A proposal to introduce a scheme for the training of naval apprentices has been held in abeyance owing to lack of accommodation, &c., at the Base. The matter is, however, being looked into following upon a decision to investigate the possibility of building a training establishment at Devonport. 9. Sixty-one New Zealand ratings took their discharge during the year. A large number of New Zealand ratings has been sent to the schools of the Iloval Australian Navy, and a very limited number to naval schools in the United Kingdom, for special courses of instruction in technical subjects. 10. The " interchange" of New Zealand and Royal Navy ratings in the respective services under a scheme introduced in 1935 has been abandoned owing to the administrative difficulties involved and to the fact that the scheme absorbed man-power which could be more usefully employed at the present time. An opportunity is given, however, to a limited number of outstanding ratings of the New Zealand Naval Forces to serve in ships of the Royal Navy for periods of approximately twelve months. 11. A New Zealand Acting Petty Officer is undergoing a course in England for Warrant rank (Gunner (T)). 12. Approval has been given to enter a Schoolmaster in New Zealand, who is to be appointed on 6th May, 1939, to H.M.S. " Philomel" prior to proceeding to England to undergo special courses. 13. The following advancements of New Zealand ratings have been made during the period under review (previous year in brackets) : — Able Seamen to Acting Leading Seamen . . . . 15 (11) Leading Seamen to Acting Petty Officer .. . . . . 5 (5) Telegraphist to Acting Leading Telegraphist . . . . 3 (4) Leading Telegraphist to Acting Petty Officer Telegraphist .. 2 (2) Petty Officer Telegraphist to Chief Petty Officer Telegraphist . . 1 Signalman to Acting Leading Signalman . . . . . . 3 (5) Leading Signalman to Acting Yeoman of Signals . . . . 1 (2) Mechanician to Chief Mechanician, 2nd Class . . . . 2 Stoker, Ist Class, to Acting Leading Stoker . . 19 (16) Leading Stoker to Acting Stoker Petty Officer . . .. 4 (5) Stoker Petty Officer to Chief Stoker . . . . . . 1(1) Stoker ratings to Acting Supply Petty Officer (provisionally selected as Mechanician candidates) .. . . . . 5 (8) Writer to Leading Writer .. .. . . 1 Leading Writer to Petty Officer Writer .. . . . . 3 (1) Supply Assistant to Leading Supply Assistant . . .. 2 (2) Supply Petty Officer to Supply Chief Petty Officer . . . . 1 Cook to Leading Cook . . .. .. .. .. 2 (2) Leading Cook to Petty Officer Cook .. .. . . 2(1) Steward to Leading Steward . . . . . . 1 Transfer. Petty Officer to Acting Regulating Petty Officer . . . . 1 14. Experience of the recruiting and advancement policy adopted by the Board three years ago with a view to manning the Naval Forces wholly by New Zealand ratings has been encouraging. The introduction of an officer-entry policy together with the training-school policy will undoubtedly play an important role in the evolution of the Dominion Service. 15. The health and discipline of the ships' companies have been satisfactory. Section 111. —Civilian Employees. 16. Twelve civilian apprentices for various trades were entered at the Naval Dockyard during the year. The number now under instruction is 26. Steps are in train to enhance the value of the training by the appointment of qualified subordinate officers to take charge of the constructor, engineer, and electrical departments of the Yard. 17. The largest number of employees on the books on any one day during the year was 323 and the smallest number 115. The average number employed was 263. Section IY.—Personnel, Royal Naval Reserve (New Zealand). 18. The strength of the Royal Naval Reserve on 31st March, 1939, was—officers, 14; ratings, 172; an increase of 1 officer and 28 ratings in the year,

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