If the power to adapt themselves rapidly and effectively to changing conditions can be taken as a test of their capacity, then the New Zealand railwaymen of the present generation have been amply tried, and have not been found wanting. The war period, the coal shortage, the vital changes in organisation commenced in 1924 and continued since, the economy campaign, the activities of competitors and the difficulties presented by national considerations in railway-business efforts to meet them, are all part of the quick-change history of the last sixteen years.

Railwaymen have gone through an exceptional period of rapid adjustment to new ideas, a period of rearrangement to a more elastic and flexible system in handling business rendered necessary by vital changes in transport relations generally.

This long training in adaptability undergone by the staff should prove of definite value in the profound changes to the whole situation of our Railways, which are to be brought about by the new system of control to be introduced from the first of June.

The history of Railways in this country dates from 1863, when a commencement of train running was made under the control of the Provincial Governments of that time. As the building of Railways progressed, this system, was retained until 1876, when the General Government took control, the mileage at that time being less than one-fourth of what it is to-day.

The lines which thus became one system under the title “The New Zealand Government Railways,” were first placed in charge of the Public Works Department, but within a few years they were handed over to the Working Railways Department, under the control of a General Manager, responsible to the Minister of Railways.

In 1889, however, a Board of three Railway Commissioners was appointed, the mileage of track being then about 1,800, or rather more than half the present mileage, although the capital invested in Railways up to that time was less than one quarter of the present amount.

This form of management lasted only until 1894. From then until 1925—a period of 31 years—the Railways were under a Minister of Railways who, to quote the report of the Fay-Raven Commission, “supervised the development of this great national asset through a General Manager, responsible directly for the administration of the undertaking.” Following this the lines were for three years under a Railway Board of three members responsible to the Minister page 6 of Railways, and from 1928 to 1931 again under a General Manager holding similar responsibilities.

The purpose of the present change is to take the administration out of the hands of the Government so far as active management is concerned, and place it in the hands of a non-political Board. The duty of this Board has been clearly explained by the Hon. R. Masters—Chairman of the Railway Commission of 1930 which recommended the change—in a speech which he made as Deputy-Leader of the Legislative Council. Mr. Masters described the new body as a Board “whose duty it shall be to formulate the policy of the railway administration for the General Manager to carry out.”

The Board is to be made as free as possible to deal with the serious competitive conditions which have rapidly developed in recent years, and may be expected to give attention to improving the services which the Department supplies and, at the same time, easing the present burden which the Railways impose on the taxpayers. If this can be done, business confidence will be restored, and, in the ultimate issue, railway employees, as well as the public generally will stand to gain by the change.

Railways Finance