Registry No. 17141--2-03
NATIONAL RE COVE RY AD1MIN ISTRATION
- For sale by the Superintendent of Documents, Washingtonl, D.C. Price 5 conia
1. Executive Order
2. Letter of Transmittal
GOVERNMENT PRINTING OFFICE
WASHINGTON : 1933
CODE OF FAIR COMPETITION
MOTOR BUS INDUSTRY
AS APPROVED ON OCTOBER 31, 1933
This publication is for sale byv the Superintendent of Documents, Government
Printing Office, Washington, D.O., and by district offices of the Bureau of Foreign
and Domestic Commerce.
DISTRICT OFFICES OF THE DEPARTMENT OF COMMERCE
AtLanta, Ga.: 5(% Post Offce Building.
Birmingham, Ala.: 257 Federal Building.
Boston, Mass.: 1801 Custombouse.
Buffalo, N.Y,: Chamber of Commerce Building.
Charleston, S.C.: Chamber of Comimerce Building.
Chiengo, Ill.: Suite 1706, 201 North Wells Street.
Cleveland. Ohio: Chamber of Commerce.
Dallas, Telr.: Chamber of Commerce Building.
Detroit, Mich.: 2213 First National Bank Building.
Houston, Tex.: Chzamber of Commerce Building.
Indlianapolis, Ind,: Chamber of Comimerce Building.
Jacksonville, Fla.: Chamber of Commerce Building.
Kansas City, Mo.: 1028 Baltimore Avenue.
Ims Angeles, Calif.: 1163 South Broadway.
Louisville, Ky.: 408 Federal Building.
Mr mphis, Tenn.: 229 Federal Building.
Mlinneapolis, Minn.: 213 Federal Building.
Ne~w Orleans, La.: Room 225-A, Customhouse.
New York, N.Y.: 734 Customhouse.
Norfolk, Va.: 406 East Plume Street.
Philadelphia, Pa.: 933 Commercial Trust Building.
Pittsburgh. Pa.: Chambrer of Commerce Building.
Portland, Oreg.: 215 New Post Office Building.
St. Louis, Mo.: 506 Olive Street.
Ban Francisco, Calif.: 310 Customhouse.
Battle, Wash.: 809 Federal Building.
CODE OF FAIR COMrPEnTITON FOR THE 1TOTOR BUS INDUSTRY
An application having been duly made, pursuant to and in full
compliance with the provisions of title I of the National Industria~l
Recovery Act, approved June 16, 1933, for my approval of a Clode
of Fair Competition for the Motor Bus Industry, and hearings hav-
ing been held thereon, and the Administrator having rendered his
report containing an analysis of the said code of fair competition,
together with his recommendations and findings with respect thereto,
and the Administrator having found such a said code of fair coml-
petition complies in all respects wvith the pertinent provisions of
title I of said act, and that the requirements of clauses (1) and (2)
of subsection (a) of section 3 of said act have been met.
NOW, THEREFORE, I, Firanklin D. Roosevelt, President of
the United States, pursuant to the authority vested in me by title I
of the National Industrial Recovery Act, approved June 16, 1933,
and otherwise, do adopt the findings and approve the report and
recommendations of the Administrator and do order that the said
code of fair competition be and it is hereby approved.
FRANKLIN D. ROOSEVELT.
THE VIHTE HOUSE,
October 31 1933.
Approval recommended :
H7ca S. JoHNwon,
Ad min~ist rator.
OcrOBER 5, 1933.
TThe Wthite House.
SmR: This is a report of the hearing on the Code of Fair Competi-
tion for the Motor Bus Industry of the United States, conducted in
Washington on the 30th of August 1933, in accordance with the
provisions of the National Industrial Recovery Act.
PRovrslows or TmIs CODE AS TO ~AGES ANJD ITOURB
Maximum hours for employees are established as follows: Cleri-
cal employees--40 hours per week averaged over a period of 4 weeks.
Garage, service, and maintenance employees---8 hours per week
averaged over a period of 6 weeks with a maxonum of 54 hours in
any one week. Bus operators and ticket agent~s----18 hours per week
averaged over a period of 6 weeks with a maximum of 54 hours in
any one week provided that during any 3-month period a maximum
of 541 hours is established. Watchmen and janitors, 56 hours in any
one week. No employee working over 35 hours per week may be
employed for more than 24 days in any 28-day period.
Miinimnum wage rates are established rangingI120 from $15.00 per
week: in any city of over 500,000 population to $20 e eki
towns of less than 2,500 population. Provision is made that rates of
pay for employees whose hours of employment have been reduced
by the provisions of this Code shall be increased by an equitable
readjustment and that rates of pay for employees whose hours have
nlot been so reduced shall not be decreased below those in effect for
the week ending June 17, 1933.
Employment of any person under 16 years of age and of any
person as a bus driver under 21l years of age is prohibited.
In recommending the approval of the hour provisions of this
Code it has been necessary to recognize that passenger motor car-
rier transportation is a continuous public service requiring twenty-
four hours per day operation seven days per week with flow of traffic
reaching periodical peaks each day, week, and season in the year.
Its schedules are continuously subJect to interference by reason of
road, weather, traffc, and other emergency conditions. Moreover,
it is competitive with stea.m rail passenger transportation not oper-
ating under the provisions of the National Industrial Recovery Act.
To adopt a schedule of less hours at this time would undoubtedly
result in a great hardship to the Industry. As a step toward the
realization of! a shorter hour week, the Industry is required under the
Code to study ways and means of still further improving working
conditions and to present the results of its study t~o the Administra-
tor by Mlay 1, 19341.
Ecowonza EFFECT OF CODE
Under the recommended C~ode, t~he Miotor Bus Industry will re-
employ 12,586 additional wage earners or about 18 percent according
to an estimate made by the Division of Economic Researchan
Planning. This will increase t~he annual pay roll of the Industry by
$15;,152,000 or about 18 percent.
The Mlotor Bus Indlustry has suffered not only from the depression
but also from its disadvantageous competitive position with other
passenger carriers. The taxes of its principal competitor, th~e rail-
road, have mecreased but 25 percent since 1919 as contrasted with a
500 percent increase in the case of the M~otor Bus Industry. The
annual tax per bus was $859 in 1932, an increase of $523 per bus
In view of these considerations it is believed that if this Industry
is to share impartially in business recovery, the provisions of this
Code aire all that can be reasonably expected at this time.
The Administrator finds that:
(a) The Code as recommended complies in all respects with the
pertinent provisions of Title 1 of the Act, including, without limi-
tation, subsection (a) of Section 7, and subsection (b) of Section to
thereof ; and that
(b) The applicant group imposes no inequitable restrictions on
adnussion to membership therein, and is truly representative: of the
Motor Bus Industry; and that
(c) The Code as recommended is not designed to promote monopo-
lies or to eliminate or oppress small enterprises and will not operate
to discriminate against them, and will tend to effectuate the policy
of Title I of the National Industrial Recovery Act.
From evidence adduced during this hearing and from recommen-
da~tions and reports of the various Advisory Boards, it is believed
that this Code as now proposed and revised is satisfactory to this
Industry, labor, the public, and this Administration. It is recom-
mended, therefore, that this Code, as herewith submitted, be
HUan S. JoHNSON,
CODE OF FAIR COMPETITION FOR THE MOTOR BUS
;To effectuate the policies of Title I of the National Industrial
Recoveryv Act, the following provisions are established as a Code of
Fair Competition for the Motor Bus Industry, and shall be the
standard of fair competition for the M~otor Bus Industry.
ARTICLE IA I-DEFINITIONS
1. The term "L Industry as used herein includes all facilities for
transportation of persons, or of persons and package express, excess
baggage, newspapers, or United States mail by "L passenger motor
carrier" and the performance of all service and the transaction of all
business incident thereto; provided, however, that nothing in this
definition shall include:
(a) Motonr vehicles empl~oyed solely in t~ransportingr school children
and teachers to and from school.
(b) Taxi cabs or other motor vehicles performing a similar service
having a capacity of not more than six (6) passengers and not
operated on a regular route or between fixed termini.
(c) Motor vehicles owned or operated by or on behalf of hotels and
used exclusively for the transportation of hotel patrons between ho-
tels and local railroads or other common-carrier stations.
(d) Transportation subject to the Code of Fair Competition for
the Transit Industry, which is defined to include the following:
1. Electric railways and trolley bus lines transporting passen-
gers by electric car or trolley bus;3 provided that electric railways en-
gaged in both intra and interstate commerce may operate either the
intrastate or interstate portions of their business, or both, under this
Code unless prevented by Federal law.
2. Automotive busses transporting passengers solely within State
lines, except when engaged in interstate commerce.
3. Automotive busses transporting passengers in interstate com-
merce or in both intrastate and interstate commerce where such
operations are conducted entirely within a single metropolitan area
or within a group of municipalities when the transportation service
is essentially urban or suburban in character.
"' 4. The performance of all service and the transaction of all busi-
ness incident to the operation of the foregoing facilities.
"((a) No new bus route or bus line or extensions to existing bus
routes or lines shall be established in interstate commerce without
also complying with the licensing and rate provisions of any Code
of Fair Competition adopted for the Mbotor Bus Industry relating
"'(b) The agency set up by the provisions Article VI, A-4l hereof,
shall have jurisdiction to hear and finally decide all disputes in re-
gard to a specific route or line being or not being engaged in inter-
state commerce beyond the limitation provided for in paragraph
3 of this Airticle."`
2. The term passenger motor carrier ", as used herein, includes
any individual, firm, corporation, copartnership, or other person
their lessees, trustees, or receivers, transporting, or offering or pro-
posing to t~ransport, by motor vehicle for compensation in the Motor
Bus Industry, either on a fixed-fare or share-expense basis, persons,
or persons and package express, excess baggage, newspapers, or
United States mail over the public highways of the UCnited States.
3. The term "L motor carrier transportation agent as used herein
includes any person who acts as agent in the furnishing of transpor-
tation by any passenger motor carrier, irrespective of whether such
agent is otherwise employed by such passenger motor carrier or
whether such agent is an individual, firm, corporation, co-partner-
ship, trustee, or other person, or whether such agent sells or negoti-
ates the sale of, or otherwise for a commission, fee, or tip, acts as an
intermediary in the sale of passenger transportation in the Industry.
41. The term employee as used herein shall include any person,
except ticket brokers and commission agents, engaged in any phase
of the Industry, in any enpacity, receiving compensation, irrespective
of the method of payment of his compensation, or of his interest
otherwise in said Industry.
5. This Code shall become effective upon the second Mlonday after
this Code shall have been approved by the President of the United
6. Population, for the purposes of this Code, shall be determined
by reference to the 1930 Federal Census.
7. The terms Presidfent ", "LAct ",) and "Administrator as used
herein shall mean, respectively, the President. of the United States,
the Nat~ional Industrial Recovery Act, and t~he Administrator of said
AnTICLE III HOUTRS
1~. The following employees shall not work or be permitted to
woark in excess of the followimr hours:
(a) Clerical employees and employees not specifically designated
hereafter in this Article--forty (0) hours npr week averaged over
a period of any four (4) weeks.
(b) G arage, service, and maintenance em ployees-forty-eight (48)
hours per week averagedl over a period of six (6) weeks wFiit~h a maxi-
mnum of fifty-foulr (5j4) hours in any one week.
(c) B us op~e raltors a nd ticket agents- fo~ty -eight (48 ) hours per
week averaged over a period of six (6) weeks with a maximum of
fifty-four (54~) hours in anyr one week for any nine (9) months in
any twelve (12) months period. For the remaining three (3) months
of such twelve (12) months period forty-eight (48) hours per week
with an allowance not to exceed six (6) hours per week.
(d) W~atchmen and janitors--fifty-six (56) hours in any one week.
This group> not to exceed five (5) percent of the employees of any
passenger motor carrier.
(e) No employee working over thirty-five (35) hours per week
shall be employed for more than twenty-four (24) days in any
i twenty-eight (28) day period.
(f) The provisions of this Article shall not apply to persons em-
c played in a managerial, executive, or supervisory capacity, porters,
or emergency crews during periods of emergency caused by storms,
H ~oods, accidents, or other causes beyond the control of passenger
2. Regulations as to hours of service and wages for porters shall
:be formulated by the Motor Bus Code Authori ty for the approval
of the Administrator within ninety (90) days after the effective date.
8. It shall be the duty of the Motor Bus Code Authority as herein-
after described to study ways and means of improving operating and
I~iworking conditions and to report the results of its study to the
Administrator prior to May 1, 1934.
AnaIcus IV--MrwInew WAGIES
1. (a) No employee in the Industry other than porters shall be
paid at less than the rate of $15.00 per week in any city of over
500,000 population, or in the immediate trade area of such city; nor
less than at the rate of $141.5~0 per week in any city of between 2.50,000
and 500,000 population or in the immediate trade area of such city;
nor less than at the rate of $14.00 per week in any city of between
21500 and 250,000 population or in the immediate trade area of such
city; nor less than at the rate of $12.00 per week in towns of less
than 2,500 population;
(b) It is agreed that paragraph (a) establishes a minimum rate of
Spay, regardless of whether the employee is compensated on the basis
of time rate, mileage rate, or piecework performance.
2. The rates of pay of employees whose hours of employment have
been reduced by the provisions of this Code shall be increased by an
equitable readjustmnent and t~he: rates of pay of employees whose
hours have not been reduced shall not be decreased, as a result of this
Gode, below those in effect in the week ending June 17, 1933.
3. Nothing in this Article shall interfere with wage agreements
in which wage rates are established higher than those established
AnnIcuE V-CHILD LABOR
No passenger motor carrier shall employ a motor-bus driver under
twenty-one (21) years of age or any other person under the age of
sixteen (16) years.
AnaIcus VI -ADMINISTRATION AND TRADE PRACTICES
To further effectuate the policies of the Act a Motor Bus Code
Authority is set up to cooperate with the Admlinistrator in the
administration of this Code.
1. The organization of the Motor Bus Code Authority shall be as
(a) The Mlotor Bus Code Authority shall consist of seven (7)
voting members, one of which shall at all times be the President o'f
the National Association of Mlotor Bus Operators and one of which
shall at all times be the Secretary of said Association. The Admin-
istrator may appoint not more than three (3) nonvoting members,
in which may be included representation for employees.
(b) Of the remaining five (5) voting members, three (3) shall be
chosen by~ those members of the Board of Directors of the National
Association of Miotor Bus Operators who under the By-Laws of the
Association represent the eleven (11) designated geographical dis-
tricts of the Unitedl States. The other two (2) voting members
shall be elected from among operating representatives of passenger
motor carriers not, holding membership in the Association, who are
entitled to participate in the selection of the Code Authority.
The method of selection of such members shall be subject to the
approval of the A~dministrator.
(c) A~ny trade or industrial association participating in the selec-
tion or activities of the MIotor Bus Code Authority shall at all times
comply with the following requirements: (1) It shall impose no
inequitable restrictions on membership. (2) It shall not violate any
rule or regulation prescribed by the President of the United States
under this Act, or any other provision of the National Industrial
Recovery Act. (3) It shall submit to the Administrator true copies
of it~s A-irticles of Association, Bylaws, regulations, and any amend-
mentss when mnadee thereto, and such other information as to membuer-
ship, organization and activities as the Administrator may require
fromt time to time t~o effectuate the policies of this Act.
(dl) The Administrator shall provide such hearings as he may
deemn proper for those claiming the right to be represented on the
Codle Authority, and thereafter may change the method of selection
and the organizations selecting the members of the M~otor Bus Code
Authority, in order that it shall be truly representative of the
(e) An appeal fromt any action by the Code Authority affecting
the rights of any employer or any employee miay be taken to the
(f) Hereafter only emlployers assenting to this Code shall be en-
t~itled to participate in the selection of the Code Authority and to
share the benefits of its activities as hereinafter set forth.
(g) The M~otor Bus Code Authority shall, as soon as possible after
the approval of this Code, appoint two (2) individuals who shall,
jointly with two (2) individuals appointed by the Transit Code Au-
thority, hear and finally determine any question that may be referred
to it by t~he M~otor Bu~s Code Authority as to whether any individual
bus operation defined in Section 1 of Article II of this Code shall
be included under this Code. In case: the joint board fails or re-
fuses to decide within ten (10) dlays any question submitted, the
matter shall be referred to the Administrator for final disposition.
2. The M~otor Bus Code Authority shall have the following duties
and powers to thie extent permitted by the Act, and subject to review
by the Administrator:
(a) To elert~ officer~ andl assign to them such duties as it may con-
sider advisable, and to provide rules for the selection of its mem-
bers by the National Association of Motor Bus Operators and rep-
resentatives of other passenger motor carriers entitled to participate
therein, and for its continuance as the administrative agency of this
Code, in accordance with the terms of the Act and the principles
herein set forth.
(b) To provide for administration and enforcement of the pro-
visions of this Code.
-(c) To require periodical reports fromt the members of the Indus-
try with respect to revenues, expenses, and other charges, wages,
hours of labor, conditions of employment, number of employees, and
other matters pertinent to the purposes of -this Code., in order that
the President may be kept informed with respect to the observance
t-hereof; and to furnish to government agencies such statistical in-
formation as the Administrator may deem necessary for the purpose
recited in Section 3 (a) of the Act.
(d) To recommend to the Administrator within thirty (30) days a,
uniform system of accounting for the Industry which upon his ap-
proval shall be used in furnishing the aforesaid reports.
(e) To cooperate with the Administrator in regulating t.he use
of the N.R.A. insignia by passenger motor carriers in the: Industry
who assent to this Code, so long as they conform to its provisions.
(f) To coordinate the administration of this Code with such other
Codes, if any, as may be related to the Industry, or any subdivision
thereof, with a view to promoting joint and harmonious action upon
matters of common interest.
(g) To secure an equitable and proportionate payment of t~he
expense of maintaining the Motor Bus Clode Authority and its a~c-
tivities from those passenger motor carriers accepting the benefits
of the activities of the Motor B3us Code Authority, or otherwise
assenting to this Code.
(h) To delegate to such trade associations and other agencies as it
deems proper the carrying out of any of its activities herein, and
to pay such agencies the cost' thereof ; provided, that such agencies
shall at rall times be subject to and comply with the provisions of
this Code, and provided that nothing in this Section shall relieve
the Motor Bus Code Authority of its duties or responsibilities under
(i) To initia.te;, consider and submit proposals for amendments
and modifications of this bode, which, upon approval by the Ad-
ministratorr after such hearings as he may prescribe, shall be in-
corporate~d herein with the same force and effect as if originally
made a part hereof.
ARTICLE, 11-TRADE PRACTICES
1. Registration, of passenger mnlotorl carriere.--(a) Each passenger
motor carrier shall within thirty (30) days after t~he approval of this
Code register its operations by filing a statement with the Mlotor Bus
Code Authority setting forth the routes over which it is operating.
(b) Passenger motor carriers establishing any new motor bus
operation or extending any motor bus operation after the date of
the approval of their C~ode shall secure therefore a certificate of
convenience and necessity, or permit, from each and every State in
which such operation is conducted, authorized intrastatte transporta-
tion along the route or routes of such new operation, or extension of
existing operation. Such new route, or extension of existing route
shall be registered by submitting n iigwt h oo u
Cod Auhorty ithn fften (5) days after the institution of
service thereon t~he following:
(1) A description of such route or routes.
(2) A certified copy of a certificate of convenience and necessity,
or permit, issued by the State or States as herein provided.
(3) Evidence of compliance with such other conditions as the Ad-
minist~rator shall upon recommendation of the M~otor Bus Code
(c) The Administrator, on his own initiative or on the recom-
mendation of the Code Authority, may grant exemptions as to the
requirements for the submission of a certificate of convenience and
necessity, or permit, in any State in which such certificate or permit
is not required, or in any case in which the refusal of any such
certificate or permit by any State has been clearly unreasonable
and worked undue hardship.
2. Tarife .--(a) Every passenger motor carrier shall within
twenty (20) days after the approval of this Code publish tariffs of
rates, fares, and charges for the transportation of persons and for
services between all points on its lines by filing five (5) copies thereof
with the M~otor Bus Code Authority at its offce in Wa~shinguton, D.C.,
as agent for the Adnministration. Thereafter, no passenger motor
carrier or motor carrier transportation agent shall charge or demand
or collect, or receive a greater or less or different, compensation for
the transportation of persons or for any service in connection there-
with, between the points named in such tariffs than the rates, fares,
or charges stated in the published tariffs of such patssenger motor
carrier, nor extend to any person any privilege or facilities except
such as are specified in such t~ariffs.
(b) Any passenger motor carrier may at any time file with the
Motor Bus Code Authority 8ive (5) copies of any changes, amend-
ments, or supplements to its tariffs which shall, unless otherwise pro-
vided by the M;otor Bus Code Authority with the approval of the
Adlminist~rator, become effective as such changes, amendments, or
supplements may provide, and have the same force and effect as-the
original schedules filed.
3. Bonds or I nauran ce.-Passenger motor carriers shall comply,
as to interstate commerce, with the lawful regulations of the States
through which they operate pertaining to bonds or insurance or
liability protection required for passenger motor carriers engaged
in intrastate commerce, for the payment of any final judgment re-
covered against such motor carriers on account of the death of or
injury to persons or loss of or damage to property resulting from
the operation, maintenance, or use of motor vehicles employed by
such carriers. The Administrator, on the recommendation of the
Code Authority and after such hearing as he may deemn proper, may
make such modifications and impose such other conditions and re-
quirementsn in respect ton providing bonds, insurance, or liability pro-
tection by any passenger motor carriers as he shall deem proper to
carry out the intention of these provisions.
4. Motor Carrrier Trans~portation Agent.-ABfter forty-five (45)
days from the approval of this Code, no motor carrier transporta-
tion agent shall sell transportation furnished by a passenger motor
carrier unless such passenger motor carrier is registered with the
Motor Bus Code Authority as hereinabove provided.
5. Ticket Bales Comm~issio.--Unless otherwise approved by the
Motor Bus Code Authority, no passenger motor carrier or motor
carrier transportation agent, where the latter deals through sulb-
agents or ticket brokers, shall pay to any other passenger motor
carrier, commission agent, ticket broker, or connecting carrier, di-
rectly or indirectly, through subsidy or otherwise, a sum in excess
of ten (10) percent of the amount of the ticket sales macde by such
agent, broker, or carrier as compensation for sales of transportation
by passenger motor carriers.
6. Free Tra~nsportation.--No passenger motor carrier shall issue
free or reduced-rate transportation to employees of another carrier
~except when a request therefore has been placed through the general
oi~ices of such other carrier.
7. Interline Settlemen ts.--Settlements on interline reclaims shall
be within thirty (30) days from the date billing is received.
(1) (a) Employees shall have the right to organize and bargain
collectively, through representatives of their own choosing, and shaUl
be free from the interference, restraint, or coercion of employers of
labor, or their agents, in the designation of such representatives, or
in self-organization, or in other concerted activities for the purpose
of collective bargaining or other mutual aid or protection.
(b) No employee and no one seeking employment shall be re-
quired as a condition of employment to join any company uzuon or
to refrain from joining, organizing, or assisting a labor organization
of his own choosing.
(c) Passenger motor carriers shall comply with the maximum
hours of labor, minimum rates of pay, and other conditions of
employment, approved or prescribed by the President.
(2) This Code; and all the provisions thereof are expressly made
subject to the right of the President, in accordance w-ith the pro-
vision of Subsection (b) of Section 10 of the Act, from time to time
to cancel or modify any order, approval, license, rule, or regulation
issued under Title I of said Act and specifically, but without limita-
tion, to the right of the President to cancel or modify his approval of
this Code or any conditions imposed by him upon his approval
(3) Violation by any passenger motor carrier or motor carrier
transportation agent, as herein defined, of any provision of this
Code shall be considered an unfair method of competition, and
offenders shall be subject to the penalties imposed by the Act.
(4) Full recognition is accorded the effect of the State laws
that regulate interstate business, and it is neither the intent nor
purpose of this Code to abrogate, change, or modify the effect of
any State law in respect to any passenger motor carrier business
which shall be strictly intrastate in character.
(5) Nothing in this Code shall be so applied as to permit monop-
olies or monopolistic practices, or to eliminate, or oppress, or d~s-
crimninate against small enterprises.
(6) WVithin each State this Code shall not supersede any laws of
sucrh State imposinga more stringent requirements on passenger motor
carriers, regullating the age of employees, wages, hours of work,
health, fire, or general wForkiing conditions than under this Code.
(7) Each employer shall post in a conspicuous place in each offce
and garage a copy of this Cod-e noting thereon that the labor pro-
visions are set forth in Section 4 of Article II, Articles III, IV, V,
Paragraph (e) of Section I of Article VI, and Sections 1, 6, and 7 of
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