bureau of public printing is a fair indication of what might be done in mechanical trades positions throughout the service. Industrial schools enable many to obtain an industrial education, but if the "apprentice system" were generally adopted the Filipinos could in the future fill most of the mechanical trades and skilled-workman positions in the service.

It is believed that, as a rule, Americans should not be employed or appointed except where they are needed as officers, superintendents, experts, specialists, or, broadly speaking, instructors. Ability to use and develop the Filipinos, rendering them useful public employees, is an important element of efficiency. Tact, industry, sobriety, good conduct, and freedom from prejudice are necessary. A working knowledge of the language with which the native is familiar is in many cases a useful acquisition to the American.

A high grade of efficiency throughout the service can scarcely be maintained with a transitory personnel. The stability of the service is likely to increase as the number of Americans in the service decreases. Under a Federal civil-service rule an officer or employee filling a competitive position in the Philippine civil service is eligible to transfer to the Federal service in the United States at the expiration of three years' service in the Philippines. Appointments should contemplate an extended period of service, interrupted, of course, by leaves of absence allowed by law. There appears to be a tendency to made this service a channel of entrance into the Federal civil service. When this transfer provision was recommended it was thought that an extended period of residence in the Philippines was not advisable. It is now known that the climate is equable and healthful, and that by observing approved hygienic measures Americans can reside here for an extended period and enjoy good health. Cases of typhoid fever, pneumonia, and some of the most frequent and dangerous diseases of children, such as diphtheria, scarlet fever, and measles, are rare or unknown. Intestinal diseases, always more or less common in the Tropics, can usually be avoided by the exercise of care in eating and drinking, and are generally amenable to treatment. Cases of malarial fever in Manila are less frequent than in Washington, D. C., and in many other cities in the United States. The board of health reports for the year ended June 30, 1904, show a mortality rate of only 9.56 per 1,000 among Americans residing in Manila. This is considerably below the average rate of mortality in the United States.

The available annual vacation leave of three or four weeks and a longer vacation every third or fourth year give opportunity to secure rest and a change of climate. The health-giving region of Benguet Province is now available. An altitude of 5,000 feet, a maximum temperature of 78°, pine forests, and a pure water supply, combine to render Benguet Province one of the most comfortable and healthful places in the world for two-thirds of the year, the other one-third being the rainy season. By this change of climate the period of residence in the islands may be indefinitely prolonged. Representatives of European commercial concerns in Manila accept appointment for a period of five years, as a rule. They establish themselves in comfortable homes, and apparently live contentedly. The health reports show that cases of illness among this class of the inhabitants of Manila are rare. The British and Dutch colonial civil-service appointments of young men contemplate a long period of service, thus securing the benefits of ever-increasing efficiency resulting from continuity of service.

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RELATION BETWEEN "EFFICIENCY AND HONESTY" AND COMPETITIVE EXAMINATIONS. The purpose of the civil-service act is "declared to be the establishment and maintenance of an efficient and honest civil service in all the executive branches of the government of the Philippine Islands by appointments and promotions according to merit, and by competitive examinations where the same are practicable.” The board stated in its last report that nearly all officials who had been removed since the establishment of civil government in the islands entered the service without examination and certification by the board. Of the thirty-four subordinate officials, some of whom were defaulters, separated from the service without a good record during the nine months ended June 30, 1904, only one entered the service as a result of examination and certification by the board.

An "efficient and honest" civil service can not be established or maintained by the appointment of men who do not possess trained capacity and inherent integrity. Though they be relatively few, the lapses and failures of this class of Americans do not pass unnoticed by the Filipinos, but produce distrust and lead to unfortunate generalizations, thus increasing the difficulties of administration. The records show that the separation from the service of Americans, occasioned directly and indirectly WAR 1904-VOL 11-17

by insobriety and other excesses, is not infrequent, while the separation of Filipinos for similar causes is rare.

Efficiency in the public service at home and abroad is established and maintained largely by a rigid examination system. This is demonstrated in the military service, the naval service, and the Public Health and Marine-Hospital Service of the United States. In the Appendix of this report will be found a review of the civil service of some of the foreign possessions in the East, prepared by Mr. Everett E. Thompson, an examiner of the civil-service board. It is generally acknowledged that the colonial civil service of the British and the Dutch is excellent and that good government is maintained in their colonies. Examinations for appointment to the colonial service of these nations is open only to men of high character and excellent general and special training. Young men with good health and a liberal education are sought.

As a result of observation and experience the board has reached the conclusion that rigid and comprehensive examinations adapted to applicants with a liberal education are essential to strict integrity and a high degree of efficiency in the Philippine civil service.

Self-reliant young men are needed whose character and training will enable them in the absence of the restraints of home environment to fill creditably and honorably, as well as intelligently, government positions. There is room for well-trained men of high character, aims, and purposes, who will enter the service, as one enters a profession, with the serious intention of winning a place and an honorable name through well-directed effort and attention to duty. Without men of this character the hope of securing "efficiency and honesty" in the service will not be realized. The degree of efficiency in the public service depends largely upon the proportion of appointments made through a well-regulated merit system. To establish and maintain a personnel essentially capable and upright, a premium should be put on those qualities which lend dignity and credit to the service. An admirable personnel with adequate salaries and the present liberal leave privileges will constantly attract the best men, and will not be difficult to maintain when a high degree of efficiency is once established.

PENSION AND RETIREMENT SYSTEMS.

In accordance with the direction of the civil governor, the board, through correspondence with the officials of neighboring colonies of European nations, with the Government authorities at Washington, and with Mr. Arthur Hunter, an actuary of the New York Life Insurance Company, has obtained a mass of data covering the general subject of pensions and retirement.

While there has been a great deal of discussion in Congress and among Government officials and employees in the United States with reference to the adoption of a pension and retirement system, no bill has been passed by Congress providing a pension and retirement system for officers or employees of the Federal civil service. Officers and enlisted men of the military and naval services of the United States receive pay after retirement, and many municipalities in the United States provide for pensioning policemen and firemen on retirement. Some business corporations in the United States have adopted pension systems.

European nations apparently consider the pension system essential to successful administration in their colonies. The comments of writers and observers on the value of a pension and retirement system are favorable to its adoption.

It is improbable that a stable and efficient civil service in the Philippine Islands can be established without the adoption of a pension and retirement sytem. The board, therefore, recommends that the matter be given favorable considération.

Such investigation of the subject as the board has been able to make seems to warrant the conclusions that for a pension system to be successful (1) the cost must be divided between the Government and the personnel, and (2) employees over 40 years of age when appointed shall not be pensionable.

APPOINTMENTS MADE UNDER CONTRACT IN THE UNITED STATES,

The provisions of Act No. 643 incorporated in Act No. 1040 that traveling expenses of appointees to the Philippine civil service from the United States and half salary from place of embarkation shall not be paid until after the expiration of two years of continuous, faithful, and satisfactory service has tended to diminish the number of employees appointed in the United States who fail to render the two years' service required by their contracts. During the nine months covered by this report 338 persons were appointed in the United States to this service. During the same period 9 employees appointed in the United States deserted the service prior to the expiration of their contracts, 7 were dismissed for cause, and 12 were permitted to resign, a total of 28.

THE FEDERAL CIVIL SERVICE IN THE PHILIPPINE ISLANDS.

Reference was made in the last annual report to the work of the board in connection with the Federal classified service in the Philippine Islands. During the period covered by this report the board has continued to carry on this work. It gives the board pleasure to state that in the performance of its duties there has been continued mutual cooperation between the military and naval authorities and this office in the endeavor to carry out the provisions of the Federal civil-service act and rules.

On March 1, 1904, by Executive order of the President of the United States, there was brought into the Federal classified service a number of emergency employees in the Philippine division who had been specially commended for retention and recommended for classification.

OFFICE HOURS.

In its last annual report the board referred to the lack of uniformity of office hours. Under the revised leave law and the revised civil-service rules, a minimum of six and one-half hours of labor each day, exclusive of a minimum of one-half hour for lunch, is required for the greater part of the year.

The constant changing of office hours, some offices being closed while others are open, results in embarrassment and loss of time to the Government, as well as inconvenience to the public. Neither officials nor the public can count definitely upon the continuance of the office hours of many of the bureaus and offices.

It is therefore recommended that all offices open at 8 a. m., and that a uniform period of time be fixed for midday lunch.

PUBLICATIONS OF THE BOARD.

The annual report for 1903, the official roster of officers and employces in the Philippine civil service on January 1, 1904, and the manual of information for 1904 were printed, and, as usual, copies distributed in the islands and also in the United States through the United States Civil Service Commission and the Bureau of Insular Affairs. Very respectfully,

The CIVIL GOVERNOR OF THE PHILIPPINE ISLANDS.
The PHILIPPINE COMMISSION.

WM. S. WASHBURN,
B. L. FALCONER,
JOSÉ E. ALEMANY,
Members of the Board.

NOTE.-An appendix giving the various acts relating to civil service was attached to this report; but as they have already been published in various forms, they are omitted in the present report.

CIVIL SERVICE IN ORIENTAL POSSESSIONS.

By EVERETT E. THOMPSON, Examiner, Civil Service Board.

The establishment and maintenance of a thoroughly satisfactory and efficient civil service seem to require the entrance of young men into the service, the thorough training of candidates, high-grade examinations, a period of probationary service prior to regular appointment, permanent retention after successful work, promotions as an incentive to faithful and energetic performance of duty, and retirement on a liberal pension after a given length of service.

All the foregoing conditions of a successful service are well met and exemplified by England in her Indian civil service. Especially in the "covenanted civil service' is England able to secure, by a most rigid system of examinations, a body of officials of the highest intellectual training and unquestioned integrity. The term "covenanted civil service" is applied to that body of Englishmen, some 800 in number, who hold the most responsible positions in the government of India, having entered the service through examination in the British Isles. This service has come to be synonymous with the highest ambition and earnest desire of the public servants of the British Empire. Indeed, many of the finest and oldest English families consider it as the chosen life work for their youth, and thus the very best class of men that England can give is obtained.

For appointment to this service candidates are limited in age from 21 to 23. They must have received the most liberal and finished education that the country affords and are given a preliminary examination in almost all the subjects embraced in the honor schools of the universities of Great Britain and Ireland. The intellectual ground thus covered is very extensive. Successful candidates in this examination remain in England one year on probation, and this period is spent in perfecting themselves in subjects closely connected with their prospective duties in India. The year of probation is usually passed at one of the universities or colleges approved by the secretary of state. The candidates are encouraged to do so by the grant of a special allowance of £100 to each probationer. When the final competitive examination is passed-comprising such branches as the Indian penal code, the principal vernacular language of the province to which assigned, Hindu and Mohammedan law, Sanskrit, Arabic, and the history of British India-the selected candidate proceeds to India for his lifelong work.

Thus he enters upon the actual performance of duty with his mind still in the formative period. For the first few years he remains under the direct supervision of experienced officials, where he masters the details of administration. During the same period he devotes a large proportion of his time to a first-hand study of the language and people of his province. In most cases a third examination, principally in the native language thus studied, follows at the end of two or three years. The appointee is by that time thoroughly initiated in his work and is ready for advancement to a responsible position.

In this way, from among the men who have thus entered the Indian service, there is selected by a gradual process of promoting the more efficient a group of able and experienced administrators to hold the offices of greater responsibility and of wide latitude of discretion. But not alone in intellectual qualities do these servants of the Empire meet the severest tests. The candidates selected are, as a rule, of high moral character. This is shown in the statement of Mr. Alleyne Ireland, that it is useless for him to attempt to convey "any adequate impression of the excellence of the British colonial service. Only those who have lived in contact with these administrative systems can appreciate the sterling qualities of the men who are devoting their lives to the cause of good government.' The sure and steady advancement accorded as a recognition of ability, the payment of salaries commensurate with the duties to be performed and the conditions of life, a liberal leave of absence granted at intervals of about five years with the opportunity of visiting the home land, and a pension system by which an official with a long service may retire at a certain age on a moderate income, all serve to make the service attractive to the best type of Englishmen. Examinations for the "covenanted" or imperial service are held in England only; and while natives of India are allowed to enter them, few actually avail themselves of the privilege. In contrast, the provincial service is recruited entirely on Indian soil and consists almost wholly of Hindus, Mohammedans, and representatives of other native races. At first appointments to this service were made largely as a result of competetive examinations. The tendency of recent years, however, has been to change the system, so that only a portion of the vacancies are filled by competitive examination: Experience has shown, first, that the danger of selection by patronage, when applied to natives, is rarely found to exist; and second, that intellectual examination is not a test of the administrative capacity of the native to any such degree as it is of the European. The provincial service greatly outnumbers the covenanted service, and in it natives are appointed to fill many of the very highest offices. The majority are connected either with the judicial or revenue branches. Thus, India, with its vast area and a population of nearly 300,000,000, is under the administrative control of about 1,000 Englishmen.

In the other important Asiatic possessions of Great Britain, viz, the Crown colonies of Ceylon, Straits Settlements, and Hongkong, and the protectorate of the Federated Malay States, the principal features of the Indian civil service are quite closely adhered to. In the matter of appointments of local candidates the governor has almost absolute power. Offices the salaries of which do not exceed £100 a year are invariably filled with natives on his nomination. When a vacancy occurs, however, between £100 and £200 a year, the governor usually fills the position provisionally, at the same time recommending a permanent appointment to the secretary of state, who uniformly approves the action. In positions with higher emoluments the same practice is in general followed, except that it is distinctly understood that the secretary of state has the power of nominating another instead. Vacancies are almost always filled by promotion.

To fill eventually the highest positions cadetships have been established. The cadets, who must be natural-born British subjects, between the ages of 21 and 24, are selected by open competitive examination, the first part of which was in 1896

made the same as that for candidates for the Indian civil service. Those who pass are allowed, in the order of their rank, to choose the colony they prefer. The Eastern cadets do not, however, as in the Indian service, remain for a year of probation in England, but proceed at once to the colony selected. There are two reasons for this: First, because a knowledge of the languages spoken in these colonies-such as Chinese, Tamil, and the various Malay tongues-can not be acquired in England; and second, because law, so important to the Indian official and so much better taught in the home land, is not so essential in the equipment of the cadet. The officials in these colonies are much less numerous than in India, and therefore the number of vacancies annually occurring has averaged in recent years not more than five.

One notable feature in the administration of these colonies is that each has its own public service distinct from that of every other colony. Transfers of officials from one to the other are rare, and then only among the higher officers. The practice of frequent transfers, except in the Asiatic colonies above mentioned, where the languages, customs, and institutions are somewhat similar, must, if followed, be extremely injurious to the stability of the whole colonial system. This is perhaps more especially true in the matter of transferring officials from the home administration to that in the colonies. On this point Professor Reinsch says this practice "is not to be recommended and has not proved successful when tried. Such officials have already acquired set ideas concerning the proper conduct of public administration. They, consciously or unconsciously, try to enforce these ideas, which constitute their available stock of experience, in the colonies, attempting in this manner an assimilation of the colonial to the home Government." All of this, it is evident, simply emphasizes the necessity of appointing young men of good education and sterling worth to enter and continue in this branch of the Government service.

In Java and the East Indies the Dutch have developed a colonial service fully as efficient as that of England. From the schools at Delft and the University of Leyden, aptly termed the nurseries of the Dutch colonial administration, candidates pass to a special examination. Strange to say, there are no age limits either for passing this examination or entering the service, although the majority of candidates are between 19 and 23. The examination varies in difficulty in accordance with the service for which application is made, but for the higher posts the so-called “great examination of functionaries" is given. This consists of two parts, generally separated by an interval of two years. For the preliminary examination a knowledge of the geography of the Dutch Indies, the Dutch Indian codes of law, the religious laws, institutions, and customs of the natives, and the elements of the Malay and Javanese languages is necessary. The second examination embraces, in addition to the above, the history and ethnology of the Dutch Indies and a knowledge of their public institutions, besides going much more deeply and extensively into all subjects. The rating of these examination papers, however, is liberal, a mark of 50 being considered satisfactory. Moreover, in the preliminary tests in the languages the free use of a dictionary is allowed. Great importance is placed by the Dutch on a knowledge of law, particularly Moslem law, since the greater part of the officials are compelled to exercise judicial functions. In their capacity as local magistrates they must make their decisions conform with the tenets of the Koran, which is the general moral law, together with the unwritten Javanese code. The vacancies are annually filled by the minister of colonies, who makes the selections according to the rating obtained in examination. The chosen candidates, however, do not receive immediately a definite appointment, nor are they at once given important places, but for some years are initiated into the practice of civil affairs under the direction of a comptroller or assistant resident. The salaries throughout the service are very liberal, and officials in Java are allowed to retire upon a pension after twenty years of service, which is just one-half the period of service required in Holland.

The key to the success of Holland in the administration of her colonies in the East is found in her treatment of the natives and especially of the native rulers. Their political and social institutions are preserved, their continued adherence to the Mohammedan faith is in every way encouraged, and no attempt whatever is made to enforce the Dutch language upon them. The princes of birth still rule as regents in the petty principalities of their ancestors. The show of power is still kept up and the regent is always treated with the greatest deference by the Dutch officials. Thus the historic continuity and customary authority of the ancient hierarchy is still presented to the eyes of the native. Nevertheless, an impassible gulf exists between the Javanese and their Dutch rulers, and any attempt at amalgamation on the part of the natives is strongly discouraged. Quietly and unobtrusively, but constantly, the Dutch official as elder brother" can be found at the side of the native ruler. He is gentle but firm; his orders are given as recommendations, but these recommendations are