H—ll

various industries, but with the widening of occupational categories for assisted immigration the more specific application of immigration for this purpose will decrease. Preference will, however, continue to be given to immigrants in occupational categories required to meet the most acute of New Zealand's labour shortages. (16) It appears, then, that the most fruitful measures will be those directed to increasing the output of the existing labour force. This can be done through overtime work, through greater efficiency of operation, and through reductions in time lost. One of the most serious losses of working-time is that occasioned through labour turnover. Apart from movements in and out of seasonal industries, there are about a quarter of a million movements of workers from one job to another each year. A large proportion of these movements are, of course, necessary, but a substantial number could be avoided by better management within individual firms. Even if each of the movements from one job to another resulted in the loss of a day's work on the average, the loss of workingtime would be equivalent to a reduction of the labour force by 1,000 persons. When retraining time and general disturbance of industry is allowed for, the equivalent reduction is probably nearer to 3,000 persons. (17) The Department has paid particular attention to labour turnover. Comprehensive figures are published regularly and an attempt is made to give employers an appreciation of its cost in both between-job unemployment and decreased efficiency while replacements are being trained. It is certain that in many cases high turnover rates can be reduced by better methods of management if the attention of employers is directed to them. (18) Industrial accidents are another serious source of loss of working-time. Apart from the annual depletion of over 300 persons through accidental death or permanent disability, accidents resulting in temporary disability are responsible for a loss of working-time (845,986 calendar days in 1945) equivalent to an all-the-year-round reduction of more than 2,000 in the size of the labour force. The incidence of industrial accidents is receiving increased attention, particularly with a view to pin-pointing new industrial processes or other causes which lead to unexpectedly high accident rates so that precautionary measures can be taken before large numbers of accidents occur. (19) Losses through sickness, absenteeism, and industrial unrest make further inroads on working-time. Industrial unrest is dealt with more fully in the next Section. (20) Reduction of any of these causes of loss of working-time increases the aggregate hours of work of the labour force and adds to its effectiveness. Total production is increased and higher living standards become possible. (21) The important question of output per man-hour is bound up with the subjects of industrial relations and industrial welfare, which are dealt with in the next Section. Efficiency of management, size of industrial units, and training of workers all affect output per man-hour and therefore production levels. Contributions to efficiency in these directions are made by direct contact with employers, especially by the Department's Personnel Advisory Service and Training Within Industry activities, described in Part 11, Sections 7 and 8. By correct training of workers and by locating the most suitable jobs for them, contributions can be made to industrial efficiency. The Department is concerned with both these activities. Its placement activities are dealt with in Part 11, Section 1 (a), and apprenticeship in Part 11, Section 5. (22) One other important means of increasing productive capacity is through improved location of industry by decentralization. Decentralization of industry, besides bringing balance to the economy of the smaller communities, often increases the size of the labour force by attracting into it persons, especially women, who, but for the presence of industry near at hand, would be unlikely to seek employment. Nearly three-quarters of the workers engaged in manufacturing industries at present are in Auckland, Wellington (including Lower Hutt), Christchurch, and Dunedin, where

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