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perform their legitimate duties in preparing, drawings and estimates, &c., for the work under their charge and in supervising its construction.

The only other matter to which I consider it necessary to direct attention is the large amount of daywork that is being carried on. I am aware that it is impossible to dispense with this system altogether, but it is universally recognized as a pernicious and wasteful system and the amount of work so performed should be confined to the narrowest possible limits. To secure any approach to economy under this system, a large supervisory staff must be provided and this necessarily makes the system an extravagant one. I may mention that Chinese Contractors carry out the piecework system to the utmost limit possible thus ensuring economy in the performance of the works.

The two reforms I consider absolutely essential are:-

(a). The letting of the work in considerable sections to responsible contractors.

(b). The substitution of piecework for daywork to the utmost extent possible.

There are doubtless other directions in which economies can be effected, but the above are, in my opinion, the two principal ones.

W. Chatham,

I. P. W.

20. 3. 07.

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