Compensation Expenditures

and

Payroll Hours

AIR TRANSPORTATION, 1964

B illilii Hi 1571

UNITED STATES DEPARTMENT OF LABOR

BUREAU OF LABOR STATISTICS

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Federal Reserve Bank of St. Louis
Compensation Expenditures

and

Payroll Hours

AIR TRAN SPO RTATIO N , 1964

Bulletin No. 1571

October 1967

UNITED STATES DEPARTMENT OF LABOR

Willard Wirtz, Secretary

BUREAU OF LABOR S T A T IS T IC S

Arthur M. Ross, Commissioner

For sale by th e S uperin ten d en t o f D ocum ents, U .S . G overnm en t Printing O ffic e , W a s h in g to n , D .C ., 2 0 4 0 2 - Price 3 0 cents

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Preface

The concept of employee compensation has been

broadened considerably in the past several decades by the

adoption or liberalization of supplementary pay practices.

Statistics on straight-time wages for time worked no longer

sufficiently approximate the level of employer payments

for hired labor. Therefore, it is important to account

for such outlays as vacation and holiday pay, daily or

weekly overtime and shift differentials, terminal (severance) pay, contributions to private pension and health and

welfare funds, and payments under legally required insurance programs.

This bulletin analyzes the level and structure of

employer outlays for the compensation of employees, considering the expenditures for each component as a percent

of total compensation outlays and in cents-per-hour. Furthermore, the relative importance of working and leave

hours as percents of total hours paid for is discussed.

This study of the air transportation industry is

part of the Bureau of Labor Statistics program of studies

of employer expenditures for supplementary compensation

practices. A list of previously issued reports is found

at the end of this bulletin.

The study was conducted in the Bureau's Office

of Wages and Industrial Relations by the Division of National Wage and Salary Income, Norman J. Samuels,

Chief. The analysis was prepared by Abraham Zucker,

under the supervision of Arnold Strasser.

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Page

Summary--------------------------------------------------------------------------------------------------------------------- 1

Industry characteristics------------------------------------------------------------------------------------------- 3

Prevalence of supplements---------- 6

Paid leave ------------------------------------------------------------------------------------------------------------------- 6

Paid vacations and holidays--------------------------------------------------------------------------------- 6

Sick leave and other paid leave-------------------------------------------------------------------------- 7

Premium payments ---------------------------------------------------------------------------------- 7

Nonproduction bonuses and terminal pay---------------------------------------------------------------- 7

Legally required insurance program s-------------------------------------------------------------------- 7

Private welfare plans------------------------------------------------------------------------------------------------ 8

Life, accident, and health insurance----------------------------------------------------------------- 8

Pension and retirement plans-------------------------------------------------------------- 9

Composition of payroll hours------------------------------------------------------------------------------------ 9

Paid leave hours------------------------------------------------------------------------------------------------------ 10

Paid vacation practices------------------------------------------------------------------------------------------------ 10

Paid holiday practices----------------------------------------------------------------------------------------------- 10

Normal workweek of nonoperating employees------------------------------------------------------- 10

Charts:

1. The structure of compensation, air transportation, 1964------------------------ 2

2. Employer expenditures for supplementary compensation for

operating and nonoperating employees, air transportation, 1964--------- 4

Tables:

1. Employer expenditures for the compensation of employees,

air transportation, 1964-------------------------------------------------------------------------------- 11

2. Percent distribution of employees by employer expenditures for

selected compensation practices as a percent of total expenditures,

air transportation, 1964----------------------------------------------------------------------------- 12

3. Percent distribution of operating employees by employer expenditures

for selected compensation practices as a percent of total

expenditures, air transportation, 1964 ---------------------------------------------------- 13

4. Percent distribution of nonoperating employees by employer

expenditures for selected compensation practices as a percent of

total expenditures, air transportation, 1964 --------------------------------------------- 14

5. Percent distribution of employees by employer expenditures for

selected compensation practices in cents per paid hour,

air transportation, 1964----------------------------------------------------------------------------- 15

6. Percent distribution of operating employees by employer expenditures

for selected compensation practices in cents per paid hour,

air transportation, 1964-------------------------------------------------------- '-------------------- 16

7. Percent distribution of nonoperating employees by employer

expenditures for selected compensation practices in cents per paid

hour, air transportation, 1964 --------------------------------------------------------------------- 18

8o Leave hours as a percent of total paid hours,

air transportation, 1964-------------------------------------------------------------------------------- 19

9m Percent distribution of employees by number of weeks of vacations

paid for, air transportation, 1964--------------------------------------------------------------- 20

10. Percent distribution of employees by number of holidays paid for,

air transportation, 1964-------------------------------------------------------------------------------- 20

Appendixes:

A. Expenditures as proportions of payroll--------------------------------------------------------- 21

B. Scope and method of survey---------------------------------------------------------------------------- 23

C. Questionnaire ---------------------------------------------------------------------------------------------------- 25

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Compensation Expenditures and Payroll Hours

Air Transportatation, 1964

Summary

In 1964, expenditures for em ployee co m ­

pensation1 in the air transportation in du stry2 

amounted to $ 4 .7 8 for each hour of working 

tim e 3— one of the highest levels o f industry 

outlays in the Nation. G ross payments to 

w o rk e rs 4 accounted for 92 percent ($ 4 .3 9 ) 

and straight-tim e pay for working tim e co m ­

prised 81 percent ($ 3 .8 7 ) of em ployer d isbursem ents. Expenditures for supplements 

in addition to straight-tim e pay for working 

tim e, consisting of d irect payments to w orkers (such as paid leave, prem ium pay, b onuses, and term inal pay), and expenditures 

in addition to payroll (legally required in ­

surance program s and private w elfare plans), 

accounted for the rem aining 19 percent (91 

cents) of com pensation. 5

The level and structure of com pensation 

expenditures in the air transportation industry results from disparate outlays— separated 

by a gap amounting to alm ost $18 an hour 

of working tim e— for the com pensation of 

operating and nonoperating em ployees. These 

differen ces reflect the special conditions, pay 

p ractices, and unique ch aracteristics of the 

air transportation industry.

Com pensation for operating em ployees 

amounted to $21.70 for each hour of working 

tim e. Eighty-nine percent ($ 1 9.20) of these 

expenditures w ere paid d irectly to w orkers— 

seven-eighths ($17.01) of which was straighttim e pay for working tim e— and 11 percent 

($ 2 .5 0 ) was for legally required insurance 

program s and private w elfare plans.

1 Compensation, for the purposes of this study, is defined 

as the sum of the payments, subject to Federal withholding taxes, 

that were made by employers directly to their employees before 

deductions of any type; and the expenditures made by employers 

for legally required insurance programs and private welfare plans 

to provide the worker with full- or partial-econom ic security 

against a future contingency (e. g. , unemployment, medical 

expenses, e tc .).

2 The air transportation industry includes companies classified in accordance with the 1957 edition of the Standard Industrial 

Classification Manual and 1963 Supplement; in SIC 451—air transportation, certificated carriers— SIC 452-air transportation, noncertificated carriers— and SIC 458—fixed facilities and services 

related to air transportation.

3 Working time includes all paid hours, excluding paid 

leave hours. Paid hours consist o f aggregate hours worked, paid 

leave hours, rest periods, coffee breaks, and other nonleave hours 

(such as those on duty but during which no work was performed) 

paid for but not worked for which employers made direct payments

to workers during the year. As leave hours increase proportionately

to total hours, expenditures per hour of working time differ increasingly from expenditures per paid hour.

The combined expenditures for supplements to straight-time pay for operating employees amounted to' $4.69 for each hour of

working time, exceeding total compensation

outlays for nonoperating employees by 77

cents. Expressed differently, pay supplements for flight deck personnel were equal

to lV5 of the total hourly disbursement for

the compensation of nonoperating employees.

Company disbursem ents for the com pensation of nonoperating em ployees amounted to 

$ 3 .9 2 per hour of working tim e. In 1964, 

93 percent ($ 3 .6 4 ) of these outlays w ere paid 

directly to w orkers— seven-eighths of which 

($ 3 .1 9 ) was straight-tim e pay for working 

tim e— and 7 percent (28 cents) was for legally 

required insurance program s a n d private 

w elfare plans. 6

Another way of looking at the total co m ­

pensation picture in the air transportation 

industry is in term s of individual com pany 

cen ts-p er-h ou r expenditures. In the total 

industry, com panies em ploying on e-h alf of 

the w orkers spent $ 4 .6 3 or m ore per paid 

hour; w hereas, com pensation outlays for half 

of the operating em ployees w ere $ 2 1 .9 4 per

4 The terms workers and employees are used synonymously 

in this report and, unless otherwise noted, are defined to include 

all employees in the air transportation industry. The terms 

operating employees, flight crew employees, and flight deck 

employees—which are used synonymously in this report are defined 

to include pilots, co-pilots, flight engineers, navigators, and 

trainees and instructors of employees directly involved in the 

in-flight operation of an aircraft. Cabin attendants (consisting 

mainly of stewards and stewardesses) were classified with all other 

employees whose work was performed outside of the cockpit of an 

in-flight airplane, as nonoperating employees.

5 A ll companies included in the survey sample were asked 

to provide separate data on expenditures for overtime, weekend, 

holiday, and shift premiums. However, most did not report such 

outlays separately for operating personnel. To the extent that 

premium pay for operating employees (and consequently— all 

employees) is understated; straight-time pay for working time is 

overstated.

In comparison, the gross average hourly earnings (including premiums but excluding terminal payments, nonproduction 

bonuses, and expenditures in addition to payroll) of nonsupervisory 

employees or production workers in industries for which such 

data are available, ranged from $1.96 an hour in the trade 

industries to $3.55 in the construction industries. Employment 

and Earnings Statistics for the United States, 1909-66 (BLS 

Bulletin 1312-4, 1966).

1

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Chart 1.

THE STRUCTURE OF COMPENSATION, AIR

TRANSPORTATION, 1964

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paid hour or m ore, and those for nonoperating 

em ployees em ployed by firm s in the upper 

half of the distribution w ere $ 3 .6 6 per paid 

hour or m ore.

Com pensation in certificated a i r c a r ­

r ie r s 7 was greater than those of the other 

com panies in the air transportation industry. 

However, em ploym ent of the certificated c a r ­

riers constituted over 80 percent of all em ­

ployment in the industry. As a result, the

outlays of certificated ca rrie rs in the center 

(median) of the expenditure curve w ere very 

sim ilar to those of the entire industry, but the 

level of expenditures of certificated ca rrie rs 

in the m iddle (50 percent) range was higher 

than for the industry as a whole.

The tabulation below shows the middle 

50 percent range and median expenditures in 

cents per paid hour in the air transportation 

industry during 1964.

Company expenditures per paid hour for the compensation of employees in— 

Air transportation industry_____________ ________________Certificated carriers

A ll Operating Nonoperating All Operating Nonoperating

employees employees employees employees employees employees

Middle 50 percen t1 ---------.......... $ 4.16-$4.95 $15.08-$22.29 $3. 46—$3. 98 $4.48-$4.95 $21.94-$22.29 $3.59-$3.98

Median2 --------------------------- -------- $4.63 $21.94 $3.66 $4.63 $22.00 $3.66

1 The middle range was determined by expenditures in the companies that cumulatively employed workers at the 25th and 75th 

percentiles. These two points were selected from an ascending magnitude array of company employment ranked by compensation 

outlays.

2 One-half of the workers were employed by companies whose expenditures were below this value, and one-half were employed 

by companies with expenditures above this value. In some cases, however, there may be a clustering of observations at the 

median value.

Industry C haracteristics

In 1964, m ore than fou r-fifth s o f the e m ­

ployees in the Nation's air transportation 

industry worked for dom estic certificated 

airlin es. The other on e-fifth of the industry's 

labor fo rce worked for com panies that p rovided helicopter transportation (certifica ted 

and noncertificated), noncertificated air c a r ­

rie rs, foreign flag air c a rrie rs , establish ­

ments operating airports and flying field s, 

and establishm ents furnishing term inal 

se rv ice s.

Employm ent in air transportation co m ­

panies ranged from less than 10 to over 

30,000. The sm allest certificated ca rrie r, 

however, em ployed m ore than 1, 200 w orkers; 

only a few of the other com panies em ployed 

over 500 w orkers; and none had m ore than 

1, 300 em ployees.

The occupational com position of the industry, as a whole, is quite sim ilar to that 

of certificated a irlin es. This sim ilarity is

7 Certificated air carriers, for the purpose of this study, 

are defined to include all domestic airlines, excluding helicopters, 

holding certificates o f public convenience and necessity issued by 

the Civil Aeronautics Board. These companies may be primarily 

engaged in the transportation o f revenue passengers or in the 

transportation of cargo or freight.

largely the result of the dominance o f dom estic certificated airlines in the industry. 

H owever, when certificated ca rrie rs are 

com pared to the other com panies in the industry, different em ploym ent patterns becom e 

apparent. C ertificated ca rrie rs em ploy 

United States based w orkers engaged in flying 

operations, maintenance, passenger se rv ice s, 

a ircraft and traffic serv ices, prom otion and 

sales, finance, legal, and other broad occu pational groupings. M ost em ployees of foreign 

flag airlines perform ing sim ilar functions are 

based outside of the United States; n on certificated ca rrie rs generally em ploy a relatively 

greater proportion (though num erically few) 

of flight deck em ployees than do certificated 

ca rrie rs ; and airports, flying field s, and 

term inal serv ice com panies prim arily em ­

ploy maintenance, passenger serv ice a n d 

cargo handling personnel.

Employm ent of the dom estic certificated 

airlines con sists predom inantly of m aintenance and other nonoffice nonflying em ployees. 

Only 1 out of 8 w orkers was em ployed on the 

flight decks of airplanes; 1 out of 8 was em ­

ployed in an executive, p rofession al, or sup ervisory capacity; and about 1 out of 4 was 

em ployed in an office cle rica l position.

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Chart 2.

EMPLOYER EXPENDITURES FOR SUPPLEMENTARY COMPENSATION

FOR OPERATING AND NONOPERATING EMPLOYEES,

AIR TRANSPORTATION, 1964

Z

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15

10

5

0

B i OPERATING EMPLOYEES

NONOPERATING EMPLOYEES

Nonproduction Prem ium i Legally Required Pay for Private

Bonuses and Paym entsy Insurance Leave Time Welfare Plans

Terminal Payments Programs

1/ D ata for operating em ployees do not meet publication crite ria .

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Employee group

Percent of gross payments of 

certificated carriers to employees

Percent o f total certificated 

carrier employment

All em ployees---------------------------------------------------------------

Operating employees-----------------------------------------------------

Pilots and co-p ilots--------------------------------------------------

Other flight deck employees------------------------------------

Nonoperating em ployees----------------------------------------------

Stewardesses and other cabin employees------------------

Ground control personnel------------------------------------------

General aircraft and traffic handling personnel-------

Maintenance em ployees------------------------------------ -—

Ticket sales and other passenger handling personnelCargo handling personnel — — -----------------— ------

Communications personnel---------------------------------------

Other nonoperating em ployees1------------------------------

100 100

24 12

19 9

5 3

76 88

5 8

3 2

12 12

16 22

12 16

6 7

1 1

20 19

1 Includes general management, recordkeeping, statistical and purchasing personnel, lawyers, law clerks, traffic solicitors, and 

other personnel. Excludes office clerical and other nonoperating employees whose work activity was directly associated with die other 

nonoperating functional work areas listed separately. Data for these employees were included with those for the functional group.

NOTE: Because o f rounding, sums of individual items may not equal totals.

SOURCE: These data were derived by the Bureau of Labor Statistics from individual reports o f certificated air carriers to the Civil

Aeronautics Board.

Even though flight deck em ployees con ­

stituted only 12 percent o f total certificated 

ca rrie r em ploym ent, they received about 

on e-fourth of all payments made by ca rrie rs 

d irectly to their em ployees. These payments 

accounted for 92 percent of all com pensation 

outlays of dom estic certificated airlin es. 

Like payments made by the other com panies 

in the air transportation industry accounted 

for 93 percent of total expenditures for the 

com pensation of their hired labor.

D ifferent p olicies and p ractices underlie 

the com pensation outlays for the industry's 

operating and nonoperating em ployees. These 

p ractices, which have evolved over tim e, vary 

somewhat among the different segm ents of 

the industry. N evertheless, those of the 

dom estic certificated airlin es, because of 

their dominant position in the industry, tend 

to establish the basic patterns. C ertificated 

c a r r ie r s ' flight deck em ployees are paid in 

accordance with a basic wage form ula® which 

takes into consideration the number of flight 

hours, m iles flown, gross weight and speed 

of the plane, and longevity pay. In addition, 

collectively bargained agreem ents coverin g 

flight deck em ployees provide for minimum 

monthly guarantees; pay for preflight and post 

flight work; pay for training on new equipment; and deadheading pay (when traveling as 

a passenger to another airport) among other

This formula was established in 1934 by the National 

Labor Board (NLB) in its decision No. 83— the provisions of which 

were incorporated into the Air Mail A ct of 1934, the Civil 

Aeronautics A ct of 1938, and the Federal Aviation A ct o f 1958.

guaranteed and supplemental wage paym ents. 

Pay for nonoperating em ployees, in contrast 

to that for flight deck personnel, is based on 

an hourly, weekly, or monthly basis.

Hours w orked by operating and nonoperating em ployees are also significantly d ifferent. Flight deck em ployees are lim ited to 

85 flight hours per month. This lim itation 

which was originally prom ulgated by the National Labor Board in D ecision No. 83, at the 

sam e tim e that it established the basic wage 

fo rm u la ,9 has been m odified by contractual 

agreem ents between the airlines and their 

em ployees. These m odifications further lim it 

total hours of working tim e by establishing 

an equivalency prin ciple. Under this princip le, hours worked on the ground are counted 

on a fractional basis toward flight h o u rs 10 

while generally maintaining the absolute lim it 

of 85 flight hours per month. Nonoperating 

em ployees, how ever, have no lim itation on 

the number of hours that they may w ork in 

any month.

About 92 percent of the industry's o p e rating and 79 percent of its nonoperating em ­

ployees worked for firm s in which a m ajority 

of the nonsupervisory em ployees w ere c o v ­

ered by collectiv ely bargained agreem ents

9 Ibid.

10 For detailed discussion of this and other guarantees and 

supplemental forms of wage payments, see Baitsell, John M ., 

Airline Industrial Relations: Pilots and Flight Engineers, Graduate 

School of Business Administration, Harvard University,' Boston, 

1966, pp. 5 7-7 3 .

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during 1964. A ll of the operating and 93 p e rcent of the nonoperating em ployees of c e r tificated ca rrie rs were em ployed by com panies 

that had collectively bargained agreem ents 

covering a m ajority of their nonsupervisory 

em ployees.

P revalence of Supplements

All of the em ployees in the air tran sportation industry were covered by social secu ­

rity; and virtually all w ere covered by unem ­

ployment insurance, w orkm en's com pen sation, 11 and one or m ore private w elfare 

plans— principally, life, accident, and health 

insurance and private pension plans. In addition, all com panies had prem ium pay expenditures for their nonoperating em ployees, 12 and 

virtually all provided som e type of paid leave 

for both operating and nonoperating em ployees. While virtually all nonoperating em ployees worked for com panies that had expenditures for holidays, only 6 percent of the o p e rating em ployees in the total industry— none of 

them em ployed by certificated c a rrie rs — 

worked for firm s that paid for holidays not 

worked.

Slightly m ore than th ree-fifths of all nonoperating em ployees in the industry w ere em ­

ployed by firm s that had expenditures during 

1964 for nonproduction bonuses and term inal 

payments. In contrast, only tw o-fifths of the 

operating em ployees in the industry w ere em ­

ployed by com panies that had outlays for these 

su pplem en ts.13

Paid Leave

Leave expenditures of 33 cents a paid 

hour (36 cents an hour of working tim e) co m ­

prised 7 .5 percent of the industry's 1964 

com pensation outlays and accounted for about 

tw o-fifths of all pay supplem ents. M ore than 

half of these leave payments w ere for v a ca ­

tions; about on e-quarter were for holidays not 

worked; and over on e-fifth were for sick 

leave. C ivic and personal leave accounted 

for the balance of the leave payments.

11 Companies can self-insure under the Workmen’s Compensation laws in several States and in a given year may have no 

expenditures occasioned by occupational illness or injury. An 

estimated 1 percent of the workers in the airline industry were 

employed by firms that did not have any expenditures for Workmen’ s Compensation programs during 1964.

12 Premium payments at the all employee level and for 

operating employees did not meet publication criteria. For detail 

see footnote 5.

13 None of the companies in the sample reported expenditures for vacation and holiday funds or for severance and/or SUB 

funds. Although a few firms did report expenditures for savings 

and thrift plans, these data did not meet criteria for separate 

publication— they are, however, included as part of all expenditures for private welfare plans.

Among the various supplements to 

straight-tim e payments for working tim e, paid 

leave for operating em ployees was second in 

im portance only to expenditures for private 

w elfare plans. These leave expenditures 

for operating em ployees ranged from less 

than 1 cent to $2.27 a paid hour and a veraged $1.35 a paid hour. H owever, m ore 

than th ree-fourths of all flight deck personnel 

were em ployed by firm s whose leave expenditures exceeded $ 1 a paid hour, and about 

tw o-thirds of them worked for com panies with 

expenditures of $1.50 a paid hour or m ore. 

Leave payments for flight deck em ployees of 

certificated ca rrie rs w ere also second in im ­

portance to expenditures for private w elfare 

plans but w ere 11 cents- a paid hour higher 

than the average for the entire industry.

Paid leave for nonoperating em ployees 

was the m ost im portant supplement to their 

straight-tim e pay. Company outlays of 

28 cents a paid hour for this group of supplem ents accounted for 7 .8 percent of co m ­

pensation and was tw ice as large as the 

expenditures for the next highest group of 

supplem entary p ractices— legally required 

insurance program s. D isbursem ents by 

certificated ca rrie rs for nonoperating em ­

p loyees' leave, amounting to 8 percent of 

com pensation and 30 cents a paid hour, were 

only slightly higher than the industrywide 

average.

Paid Vacations and H olidays. A lm ost 

all em ployees in the air transportation industry worked for firm s that paid for v a ca ­

tions, and alm ost all nonoperating em ployees 

worked for firm s that paid them for holidays 

not worked. Although nearly all of the flight 

deck em ployees worked for com panies that 

paid for vacations, only 6 percent w orked for 

com panies— none of which were dom estic 

certificated airlines— that paid for holidays 

not worked.

Vacation expenditures, accounting f o r 

about 4. 1 percent of com pensation and 20 

cents an hour of working tim e, w ere v ir ­

tually the sam e in the industry as a whole 

and its m ajor component— dom estic c e r tificated airlin es. N evertheless, such payments to operating em ployees w ere seven 

tim es greater per working hour than the 

16 cents expended for nonoperating em ployees' 

vacations.

Holiday expenditures, unlike those for 

vacations, w ere higher per hour for the nonoperating em ployees than for flight deck p e rsonnel. This differen ce, how ever, results 

entirely from the low incidence of such payments to operating em ployees. In the industry as a whole, holiday payments accounted

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for 1.8 percent of all com pensation outlays 

and 8 cents a working hour. Outlays for 

nonoperating em ployees, how ever, accounted 

for 2. 3 percent of their com pensation and 

9 cents an hour of working tim e. Holiday 

payments to flight deck em ployees amounted 

to less than 1 cent a working hour— less 

than one-tenth of 1 percent of their total 

rem uneration.

Sick Leave and Other Paid L eave. P ayments to w orkers for sick, m ilitary, jury, 

w itness, voting and personal leave w ere made 

by com panies em ploying 92 percent of the industry's w ork fo rce and by all certificated 

c a rrie rs . Sick leave expenditures, co m p rising over on e-fifth of all leave payments, a ccounted for 1.6 percent of total com pensation 

or 7 cents an hour paid during 1964. Other 

leave expenditures, *4 however, constituted 

only one-tenth of 1 percent of all com pen sation and amounted to less than 1 cent a 

paid hour.

Sick leave and other leave expenditures 

as a percent of total com pensation were very 

sim ilar for both operating and nonoperating 

em ployees. In cents per hour, however, pay 

for operating em ployees' sick leave amounted 

to 35 cents a paid hour— seven tim es greater 

than that for nonoperating em ployees. E xpenditures for civic and personal leave for 

operating em ployees amounted to 2 cents a 

paid hour and less than 1 cent a paid hour 

for nonoperating em ployees. Sick leave expenditures ranged from less than 1 percent 

of total com pensation to less than 3 p e rcent. A ll payments for civic and personal 

leave were less than 1 percent of total 

com pensation.

Prem ium Payments

Prem ium payments in 1964 for nonoperating em ployees 14 5 in the air transportation industry constituted 3 percent of total 

com pensation and amounted to 11 cents a paid 

hour. O vertim e, weekend, and holiday p re ­

miums made up m ore than tw o-thirds of these 

payments, and shift differentials accounted 

for the rem ainder.

Although individual com pany d isbu rsements ranged from as low as 1 cent a paid 

hour to as high as 20 cents a paid hour,

14 The terms other leave and civic and personal leave, 

which are used synonymously, are defined to include, military, 

jury, witness (excluding pay for serving as a witness for the em ­

ployer), voting and personal leave.

15 Data for premium payments at the all employee level

and for operating employees do not meet publication criteria.

Op. cit. footnote 5.

slightly m ore than half of the nonoperating 

em ployees worked for firm s whose prem ium 

payments w ere greater than 11 cents but less 

than 14 cents a paid hour.

Overtim e, weekend, and holiday p remium s for nonoperating em ployees, although 

amounting to 2. 1 percent of total com pensation, accounted for less than 1 percent of 

com pensation in som e com panies and m ore 

than 7 percent in others. However, m ore 

than nine-tenths of the nonoperating em ployees w ere em ployed by firm s whose expenditures w ere less than 3 percent of all 

com pensation.

Nonproduction Bonuses and Term inal Pay

There w ere no m ajor differen ces at the 

all em ployee level between expenditures for 

bonuses and term inal payments. Each rep ­

resented one-tenth of 1 percent of co m ­

pensation and each amounted to 1 cent a paid 

hour. A sim ilar relationship of expenditures 

for these supplements existed in certificated 

ca rrie rs where outlays for nonproduction 

bonuses com p rised one-tenth of 1 percent 

of com pensation, and term inal payments 

accounted for two-tenths of 1 percent of all 

com pensation. However, expenditures of nonproduction bonuses for nonoperating em ployees w ere slightly higher than those for op erating em ployees, while expenditures for 

term inal payments for nonoperating em ployees w ere slightly less than those for o p e rating em ployees.

In spite of the fact that (among the supplements for which data w ere published) nonproduction bonuses and term inal payments 

were the least prevalent, m ore than th reefifths of the w orkers w ere em ployed by co m ­

panies reporting expenditures for these 

supplements.

Legally Required Insurance P rogram s

About 3. 3 percent of 1964 expenditures 

for em ployee com pensation was for legally 

required insurance p rogram s. T hree-fifth s 

of these expenditures w ere for social security 

(OASDI); slightly over one-fourth w ere for unem ploym ent com pensation; and about oneeighth w ere for w orkm en's com pensation. 16 *

Sim ilar levels of expenditures for these 

program s were found in the industry as a 

whole and in the dom estic certificated airline 

segment.

In a few States, employers are required to contribute 

towards temporary disability insurance for their employees. These 

expenditures represent a minute portion of those for all legally 

required insurance programs and an even smaller fraction of total 

compensation. These outlays are not presented separately but are 

included in the total.

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The legally required outlays for operating 

em ployees accounted for an even sm aller 

proportion of the industry* s outlays for their 

com pensation (1.6 percent). These relationships result from the generally high level of 

gross m oney wages paid to operating and nonoperating em ployees in the air transportation 

industry and the funding provisions of the 

m ajor social insurance p rogram s. The m ajor 

legally required p rogram s, socia l security 

and unemployment com pensation, are both 

funded on the basis of a rate applied against 

gross money wages paid each em ployee up to 

a specified m axim um . 17 In general, the 

average air transportation em ployee earned 

con siderably m ore than these m axim um s. 

Although the em ployer contribution per em ­

ployee was at o r close to the m axim um r e ­

quired by law, these disbursem ents w ere 

equivalent only to a sm all part of total payments to em ployees (gross payroll) and co m ­

prised an even sm aller part of total em ployer 

expenditures for their com pensation. N evertheless, since these em ployer payments generally w ere based on maximum earnings of 

em ployees against which contributions are 

levied, they amounted to 15 cents a paid hour 

at the all em ployee level, 32 cents a paid 

hour for flight deck personnel, and 14 cents 

a paid hour for nonoperating em ployees.

S ocial secu rity expenditures, which w ere 

made by all establishm ents, amounted to 

2 percent of com pensation and varied from 

1 to 2 percent of total com pensation in m ost 

com panies and 2 to 4 percent in the rem aining com panies. D isbursem ents for operating 

em ployees averaged 18 cents a paid hour and 

payments for nonoperating em ployees a veraged 8 cents a paid hour.

Expenditures for unem ployment com pensation accounted for 0. 9 percent of all co m ­

pany outlays and amounted to 4 cents a paid 

hour in 1964. Some firm s em ploying a very 

sm all proportion (1 percent) of the w orkers 

had expenditures as high as 9 cents a paid 

hour; however, tw o-thirds of the em ployees 

w orked for com panies whose expenditures 

w ere less than 4 cents a paid hour in 1964.

Workmen's com pensation expenditures 

accounted for only 0. 4 percent o f com pen sation and amounted to only 2 cents a paid

17 In 1964, the employer's rate of contribution for social 

security was 3 5/8 percent of the first $4,800 of each employee's 

annual earnings. In all but nine States, the employer's rate of 

contribution for Federal unemployment insurance was 0 .4 percent 

o f the first $3,000 of an employee's earnings. A rate of 0. 7 percent was in effect in California, Delaware, Indiana, Massachusetts, 

Michigan, Minnesota, New Jersey, and West Virginia. Alaska had 

a rate of 0. 85 percent.

hour. M ost o f the w orkers (93 percent) w ere 

em ployed by firm s in which these expenditures accounted for less than 1 percent of 

total com pensation.

Private W elfare Plans

During 1964, expenditures for private 

w elfare plans constituted alm ost 5 percent 

of all em ployer outlays for the com pensation 

of em ployees in the air transportation industry. These expenditures, which amounted to 

21 cents a paid hour— 23 cents an hour of 

working tim e— w ere the second m ost im p ortant com ponent of supplem entary com pen sation (in term s of em ployer disbursem ents) in 

the industry.

P ractically all of the private w elfare outlays w ere for pension and retirem ent plans 

(81 percent) and life, accident, and health 

insurance (about 19 percent). In addition, a 

few firm s had expenditures for savings and 

thrift plans— expenditures which represented 

only a minute proportion of total com pensation outlays— even in those com panies that 

had such expen ditu res.18

Expenditures for private w elfare plans 

coverin g operating and nonoperating em ployees w ere significantly different— in term s of 

cents per hour and as proportions of co m ­

pensation. One-tenth ($2.15 an h o u r of 

working time) of flight deck em ployee co m ­

pensation con sisted of expenditures for these 

private health, w elfare, and pension plans. 

Sim ilar payments to nonoperating em ployees, 

amounting to 13 cents an hour of working 

tim e, accounted for slightly over 3 percent 

of total em ployer outlays for their com pensation. In addition, although private w elfare

expenditures at the all em ployee level w ere 

second in im portance among the supplem ents, 

they w ere the m ost im portant form of supplem entary rem uneration for flight deck p erson ­

nel. These expenditures f o r nonoperating 

em ployees, how ever, ranked third— behind 

expenditures for legally required insurance 

program s and leave tim e payments— in the 

hierarchy of supplemental com pensation.

L ife, A ccident, and Health Insurance. In 

1964, virtually all air transportation industry 

em ployees w orked for firm s that provided one 

or m ore form s of life, accident, and health 

insurance coverage fo r their w ork ers. Some 

sm all firm s (in all segm ents of the industry), 

how ever, did not have any expenditures for 

these p ra ctices. N evertheless, during 1964,

18 These data do not m eet publication criteria and hence 

are not presented separately. They are, however, included in 

total outlays for private welfare plans.

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9

firm s em ploying about 95 percent of the in ­

dustry's w ork fo rce , and 98 percent of the 

w orkers em ployed by certificated airlin es, 

had expenditures for these p ra ctices.

•>

In the aggregate, em ployer outlays for 

these insurance program s amounted to 4 cents 

an hour and accounted for slightly less than 

1 percent of all com pensation disbursem ents. 

Expenditures for operating em ployees, a c ­

counting for only 0.6 percent of com pensation, 

amounted to 13 cents a paid hour m ore than 

three tim es higher than the outlays for nonoperating personnel (4 cents) which con ­

stituted 1 percent of their rem uneration.

A lm ost all w orkers in the industry con ­

tributed toward the cost of one or m ore of the 

insurance plans under which they w ere c o v ­

ered. N evertheless, em ployer outlays for 

nonoperating em ployees w ere at the same 

level (4 cents an hour) in firm s with con ­

tributory and in firm s with noncontributory 

plans. However, expenditures patterns for 

flight deck personnel w ere sharply differen ­

tiated by industry segm ent. A ll certificated 

airlines with expenditures for flight deck 

personnel during 1964 had contributory 

plans— expenditures for which amounted to 

14 cents a paid hour. These outlays w ere 

about lVa tim es greater than those (9 cents) 

of the other firm s in the industry, all of whom 

had noncontributory plans.

Industrywide expenditures ranged from 

under 1 to 13 cents a paid hour and from 

less than 1 to 3 percent of com pensation. 

They tended, how ever, to clu ster between 

3 and 8 cents a paid hour with m ost (69 p e rcent) of the w orkers being em ployed by air 

transportation firm s whose outlays ranged 

between 3 and 5 cents each paid hour. The 

distribution of expenditures of the certificated 

airlin es, though m ore heavily concentrated, 

was quite sim ilar to the industrywide pattern.

Pension and R etirem ent Plans. Pension 

and retirem ent expenditures during 1964 for 

operating em ployees in the air transportation 

industry amounted to $2.01 an hour o f working 

tim e or 9. 3 percent of total expenditures for 

their com pensation. Expenditures for nonoperating em ployees w ere only 9 cents an 

hour of working tim e or 2 .3 percent of their 

com pensation. Since operating em ployees 

accounted for less than one-eighth of the industry' s em ploym ent, the effects of the large 

expenditures for their pension and retirem ent 

plans w ere overshadow ed by those of the nonoperating em ployees, and expenditures at the 

all em ployee level amounted to only 19 cents 

an hour of working time (17 cents a paid hour) 

and 3 .9 percent of total em ployer outlays for 

the com pensation of em ployees.

Company outlays for pension and re tire ­

ment plans varied w idely. Although the o v e rall industry expenditure, when m easured in 

cents per paid hour, was 17 cents, som e 

com panies had expenditures of m ore than 

25 cents; others had expenditures of less 

than 3 cents an hour. H owever, m ost w orkers 

were em ployed by firm s with sim ilar expenditures; on e-th ird worked for firm s with 

expenditures of 17 to 21 cents a paid hour; 

alm ost on e-fourth for com panies whose ex ­

penditures ranged from 12 to 13 cents; and 

about on e-fifth for firm s with expenditures 

of m ore than 25 cents a paid hour.

A pproxim ately 87 percent of the operating 

and 84 percent of the nonoperating em ployees 

worked for air transportation firm s whose 

pension and retirem ent plan required an em ­

ployee contribution. Company outlays under 

noncontributory plans for operating em ­

ployees, however, w ere about one-third higher 

than were expenditures of com panies under 

whose plans operating em ployees did not 

make contributions.

E m ployer disbursem ents for nonoperating 

em ployees follow ed a different pattern. F irm s 

with contributory plans had expenditures for 

them amounting to 10 cents a paid hour— 

2. 7 percent of com pensation. Com panies with 

noncontributory plans h a d expenditures of 

8 cents a paid hour— these outlays, how ever, 

com prised alm ost one-tw elfth of their total 

expenditures for the com pensation of nonoperating em ployees.

These differen ces in pension expenditures 

for operating and nonoperating em ployees and 

between those for contributory and noncontributory plans not only m irro r the variations 

in expenditures between certificated airlines 

and other air transportation firm s, but may 

also reflect the varying actuarial assum ptions 

and other funding crite ria which give rise to 

pension and retirem ent plan o u tla y s.19 These 

variations in levels of expenditures of firm s 

with contributory or noncontributory plans do 

not, th erefore, n ecessa rily indicate higher or 

low er levels of plan benefits.

C om position of P ayroll Hours

In 1964, working time accounted for 

about 92 percent of all hours for which 

operating and nonoperating em ployees in the

19 The high level of pension outlays for flight deck personnel result from the interaction of a number of variables, including early retirement— in some cases at age 45, normal retirement at age 60, liberal provisions for disability retirement, early 

vesting, and a host of other factors including high monetary 

benefit levels. For additional information, see Baitsell, op. cit. 

pp, 157-185.

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1 0

a i r transportation industry received pay. 

Although working tim e as a proportion of 

total paid hours was sim ilar for both em ­

ployee groups, the actual number of hours 

worked by each w ere vastly different. O perating em ployees who w ork for certificated 

ca rrie rs (and com p rise about 92 percent of 

all operating em ployees) are lim ited to 85 

hours of flight tim e per month. However, 

total monthly hours worked by these em ­

ployees may exceed 85 as the lim itation is 

only on hours of flight tim e. N evertheless, 

since nonflight hours are converted by fo r ­

mula to flight equivalents, the total number 

of hours that these em ployees can spend on 

the job in any period is still severely lim ited. 

Nonoperating em ployees, however, do n o t 

have these lim itations and are generally 

scheduled to w ork 40 hours a week.

Paid Leave H ours. Paid leave hours at *8

the a l l em ployee level, com p rised about

8 percent of payroll hours— the equivalent of 

about 4 weeks of leave tim e per em ployee. 

Vacation hours accounted for slightly over 

half of all paid leave hours; holiday hours 

slightly over one-fourth; and sick leave hours 

just under on e-fifth. Civic and personal leave 

amounted to only a m inim al number of hours.

Nonoperating em ployees' vacation hours 

accounted for one-h alf of all their paid leave 

hours; holiday hours constituted alm ost one* 

third; and sick, civ ic, and personal leave 

hours accounted for the rem ainder. Vacation 

hours for operating em ployees accounted for 

73 percent of all their paid leave hours; sick, 

civ ic, and personal leave accounted for m ore 

than 25 percent; and holiday hours— 1 p e rcent— accounted for the other paid leave 

hours. The low incidence of paid holiday 

hours for operating em ployees results d irectly from the certificated ca rrie rs practice 

of not paying their operating em ployees for 

holidays; they do, how ever, pay nonoperating 

em ployees for 7 holidays.

Paid Vacation P ractices

During 1964, 93 percent of the operating 

and 88 percent of the nonoperating em ployees 

in the air transportation industry received 

som e payment from their em ployers for 

vacation tim e. Three out of four air tran sportation w orkers received pay for 2 weeks 

or m ore of vacation— alm ost half (47 percent) 

of all em ployees received pay for 2 to 3 weeks

of vacation; and 1 out of 14 received pay for 

4 to 5 w eeks. In addition, another 13 percent 

of the w orkers w ere paid for less than

2 weeks of vacation.

There was considerable variation in the 

vacation pay patterns in the air transportation industry for operating and nonoperating 

em ployees. Only about I out of 4 nonoperating em ployees but m ore than half of 

the operating em ployees received pay for

3 weeks or m ore of vacation. In contrast, 

about half of the nonoperating but slightly 

over one-fou rth of the operating em ployees 

received 2 to 3 weeks* vacation pay.

In general, em ployees that worked for 

certificated ca rrie rs received pay for longer 

vacation periods than did the em ployees of 

other types of firm s in the industry. In 

addition, although 12 percent of the w orkers 

in the industry as a whole w ere not paid for 

vacation tim e in 1964, only about 4 percent 

of the certificated c a r r ie r s ' w ork fo rce did 

not receive any vacation pay during the year.

Paid Holiday P ractices

Paid holiday p ractices in the air tran sportation industry are con siderably different 

than those in other industries. A lm ost all 

(97 percent) of the nonoperating air tran sp ortation em ployees worked for com panies that 

paid for holidays not worked— usually 7 days. 

How ever, few er than 1 out o f 10 operating 

em ployees received any paid holidays. In 

addition, the few operating em ployees that did 

receiv e pay for holidays not worked w ere generally paid fo r 3 holidays or le ss.

There w ere even sharper variations in 

the holiday provisions of certificated ca rrie rs 

for these two em ployee groups. None of the> 

flight deck em ployees of dom estic certificated 

ca rrie rs received any holiday pay, whereas 

virtually all (98 percent) of the nonoperating 

em ployees worked for airlines that paid them 

for holidays not worked.

Norm al Workweek of Nonoperating E m ployees

About 9 out of 10 nonoperating em ployees 

in the air transportation industry and an even 

higher proportion of the nonoperating em ployees of th e dom estic certificated airlines 

worked for firm s in which the regularly 

scheduled workw eek consisted of 40 hours.

Digitized for FRASER 

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Federal Reserve Bank of St. Louis
Table 1. Employer Expenditures for the Compensation of Employees, Air Transportation, 1964

Compensation practice

All employees Operating employees Nonoperating employees

Percent of Per hour Percent of Per hour Percent of

compensation

Per hour

compensation Paid for Working time compensation Paid for Working time Paid for Working time

Air transportation companies

Total expenditures ----------------------------------------------------------- - 100 . 0 $4. 39 $4. 78 100 . 0 $ 2 0 . 10 $ 2 1.70 100 . 0 $ 3 .5 9 $ 3 .9 2

Gross payments to w o rk ers--------------------------------------------------------- 91 .9 $4. 03 $4. 39 8 8 . 5 $17. 79 $19. 20 92 .9 $3. 33 $3. 64

Straight-time pay for working time---------------------------------------- 81. 2 3. 55 3.87 78. 6 15. 76 17. 01 81 .8 2.9 2 3. 19

Premium payments ------------------------------------------------------------------ (?) (?) <?> (?) (?) (?) 3. 0 . 11 . 12

Overtim e, weekend, and holiday w ork---------------------------- ( > ( ) ( > ( ) ( ) ( ) 2 . 1 . 08 . 08

Shift differentials------------------------------------------------------------- - (*) (*) ( ) (*) ( ) (*) .9 . 03 . 04

Pay for leave t im e ---------- 1-------------------------------------------------------- 7 .5 . 33 . 36 6 . 7 1. 35 1.45 7 .8 . 28 . 31

Vacations ------------------------------------------------------------------------------- 4. 1 . 18 . 20 4 .9 . 98 1. 05 3 .9 . 14 . 16

Holidays -------------------------------------------------------------------------------- 1. 8 . 08 . 08 (1 2 ) (2) (2) 2. 3 . 08 .09

Sick leave ----------------------------------------------------------------------------- 1 . 6 . 07 . 07 1.8 . 35 . 38 1. 5 . 05 . 06

Civic and personal le a v e ---------------------------------------------------- . 1 (2) (2 ) . 1 . 02 . 02 . 1 (2) (2)

Nonproduction bonuses------------------------------------------------------------- . 1 . 01 . 01 (2) (2 ) (2) . 2 . 01 . 01

Te rminal payments ------------------------------------------------------------------- . 1 . 01 . 01 . 2 . 03 . 03 . 1 . 01 . 01

Expenditures in addition to payroll--------------------------------------------- 8 . 1 . 36 . 39 11. 5 2. 31 2. 50 7. 1 . 26 .28

Legally required insurance programs 3 -------------------------------- 3. 3 . 15 . 16 1. 6 . 32 . 35 3. 8 . 14 . 15

Retirement income and protection ----------------------------------- 2 . 0 . 09 . 10 . 9 . 18 . 19 2. 3 . 08 . 09

Unemployment compensation -------------------------------------------- .9 . 04 . 04 .4 . 07 . 08 1 . 0 . 04 . 04

Occupational injury and illn ess----------------------------------------- .4 . 02 . 02 .4 . 07 . 08 . 5 .0 2 .0 2

Private welfare plans 4 ------------------------------------------------------------ 4. 8 . 21 . 23 9 .9 1. 99 2. 15 3. 3 . 12 . 13

Life, accident, and health insurance------------------------------- .9 . 04 .04 . 6 . 13 . 14 1 . 0 . 04 . 04

Pension and retirement plans-------------------------------------------- 3.9 . 17 . 19 9. 3 1.86 2 . 01 2. 3 . 08 .09

Certificated air carriers

Total expenditures--------------------------------------------------------------- 100 . 0 $4. 63 $5. 07 100 . 0 $21.45 $23. 24 100 . 0 $ 3 .4 3 $3. 74

Gross payments to w ork ers--------------------------------------------------------- 91 .8 $ 4 . 25 $4. 65 8 8 . 3 $18.95 $20. 53 92. 8 $3. 16 $3.45

Straight-time pay for working tim e --------------------------------------- 80 .8 3. 74 4. 10 78. 2 16. 73 18. 13 81. 6 2. 74 2.99

Premium payments ------------------------------------------------------------------- (!) (!) <!> (?> (!) (?) 2 .9 . 11 . 12

Overtim e, weekend, and holiday w ork----------------------------

< > ( ) ( ) ( ) ( > ( ) 2 . 0 . 07 . 08

Shift differentials ---------------------------------------------------------------- (*> n (M (M (* ) (M 1. 0 . 04 . 04

Pay for leave tim e -------------------------------------------------------------------- 7. 7 . 36 . 39 6 .8 1.46 1. 58 8 . 0 . 30 . 33

Vacations ------------------------------------------------------------------------------- 4. 3 . 20 . 22 4 .9 1. 06 1. 15 4. 0 . 15 . 17

Holidays--------------------------------------------------------------------------------- 1. 7 . 08 . 09 - - - 2. 3 . 08 . 10

Sick leave------------------------------------------------------------------------------- 1. 6 . 08 . 08 1. 8 . 39 .4 2 1. 6 . 06 .0 6

Civic and personal le a v e ---------------------------------------------------- . 1 . 01 . 01 . 1 . 02 . 02 . 1 (2) (2) Nonproduction bonuses________________________________________ . 1 (2) (2) (2) (2) (2> . 1 (2) (2)

Terminal payments ------------------------------------------------------------------- . 2 . 01 . 01 . 2 . 04 . 04 . 2 . 01 . 01

Expenditures in additoin to payroll--------------------------------------------- 8 . 2 . 38 .42 11.7 2.5 0 2. 71 7. 1 . 27 .2 9

Legally required insurance programs 3 -------------------------------- 3. 2 . 15 . 16 1. 5 . 32 . 35 3.7 . 14 . 15

Retirement income and protection------------------------------------ 1.9 . 09 . 10 .9 . 18 . 2 0 2. 3 . 09 .09

Unemployment compensation -------------------------------------------- . 8 . 04 . 04 . 3 . 07 . 08 1 . 0 . 04 . 04

Occupational injury and illn ess----------------------------------------- .4 . 0 2 . 02 . 3 . 07 . 08 .4 . 0 2 . 02

Private welfare plans 4 ------------------------------------------------------------ 5. 0 . 23 .2 6 1 0 . 2 2 . 18 2.36 3 .4 . 13 . 14

Life, accident, and health insurance------------------------------- .9 . 04 . 04 . 6 . 14 .1 5 .9 . 04 . 04

Pension and retirement plans-------------------------------------------- 4. 2 . 19 . 21 9 .5 2. 04 2 . 21 2 .4 . 09 . 10

1 Data do not meet publication criteria. For detail, see footnote 5, p. 1 of the text.

2 Less than $ 0 ,0 0 5 or 0 .5 percent of workers.

3 Includes other legally required insurance programs, principally State temporary disability insurance, not presented separately.

4 Includes savings and thrift plans not presented separately.

NOTE: Because of rounding, sums of individual items may not equal totals.

Digitized for FRASER 

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Federal Reserve Bank of St. Louis
Table 2. Percent Distribution of Employees by Employer Expenditures for Selected Compensation Practices

as a Percent of Total Expenditures, Air Transportation, 1964

10

Practice

Average expenditures Percent of all employees in companies

All

companies

Companies with

expenditures

for the

practice

Total

With no

expenditures

for the

practice

With expenditures for the practice

Under

1

1

and

under

2

2

3

3

4

4

5

5

6

6

7

7

8

8

9

9

10

10

and

over

Air transportation companies

Pay for leave t im e ------------------------------------------------------------------------ 7. 5 7.5 100 _ _ 1 2 1 4 1 27 22 38 2 3

V acation s---------------------------------------------------------------------------------- 4. 1 4. 2 100 1 1 3 4 51 37 3 - - - - -

Holidays------------------------------------------------------------------------------------- 1 . 8 1.8 100 (M 5 83 7 3 1 - - - - - -

Sick leave---------------------------------------------------------------------------------- 1. 6 1.6 100 3 7 73 18 - - - - - - - -

Civic and personal le a v e ------------------------------------------------------- . 1 . 1 100 8 92 - * - - - - - -

Nonproduction bonuses----------------------------------------------------------------- . 1 . 2 100 38 58 2 1 - - - - - - - -

Terminal payments ---------------------------------------------------------------------- . 1 . 2 100 39 61 ‘ (M •

Legally required insurance programs 1 2 ---------------------------------- 3. 3 3. 3 100 - - - 49 39 7 4 1 (*) - - -

Retirement income and protection--------------------------------------- 2 . 0 2 . 0 100 - - 76 22 2 - - - - - - -

Unemployment compensation------------------------------------------------- .9 .9 100 - 71 26 3 - - - - - - - -

Occupational injury and illness ------------------------------------------- .4 .4 100 1 93 6 1 - - - - -

Private welfare plans 3 --------------------------------------------------------------- 4. 8 4 .9 100 3 4 4 2 25 6 6 32 2 22 - - -

Life, accident, and health insurance---------------------------------- .9 1. 0 100 5 70 22 3 - - - - - - - -

Pension and retirement plans----------------------------------------------- 3 .9 4. 1 100 9 2 1 27 • 3 36 "

22

Certificated air carriers

Pay for leave t im e ----------------------------------------------------------------------- 7. 7 7.7 100 . . . . . . . 30 25 42 _ 2

Vacations ---------------------------------------------------------------------------------- 4. 3 4. 3 100 - - - - 58 40 2 - - - - -

Holidays------------------------------------------------------------------------------------- 1.7 1.7 100 - 2 93 5 - - - - - - - -

Sick leave---------------------------------------------------------------------------------- 1.6 1.6 100 - - 80 2 0 - - - - - - - -

Civic and personal le a v e ------------------------------------------------------- •1

. 1 100 -

100 - - - - “ - -

Nonproduction bonuses----------------------------------------------------------------- . 1 . 1 100 36 64 - - - - - - - - - -

Terminal payments ---------------------------------------------------------------------- . 2 . 2 100 30 70 - " _ _

Legally required insurance programs 2 ----------------------------------- 3. 2 3. 2 100 - - - 57 40 2 - - - - - -

Retirement income and protection---------------------------------------- 1.9 1.9 100 - - 87 13 - - - - - - - -

Unemployment compensation------------------------------------------------- . 8 . 8 100 - 75 25 - - - - - - - - -

Occupational injury and illness ------------------------------------------- .4 .4 100 •

100 " " _ " “

Private welfare plans 3 --------------------------------------------------------------- 5. 0 5. 0 100 - 2 - 2 27 5 38 - 26 - _ -

Life, accident, and health insurance---------------------------------- .9 .9 100 2 80 17 1 - - - - - - - -

Pension and retirement plans----------------------------------------------- 4. 2 4 .2 100 - 2 “ 29 3 40 ~

26 ' “

1 Less than 0. 05 percent of compensation or 0. 5 percent of employees.

2 Includes other legally required insurance programs, principally State temporary disability insurance, not presented separately.

3 Includes savings and thrift plans not presented separately.

NOTE: Because of rounding, sums of individual items may not equal totals.

Digitized for FRASER 

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Federal Reserve Bank of St. Louis
Table 3. Percent Distribution of Operating Employees by Employer Expenditures for Selected Compensation Practices

as a Percent of Total Expenditures, Air Transportation, 1964

Practice

Average

expenditures

Percent of operating employees in companies

Total

With no expenditures

for the

practice

With expenditures for the practice

All

companies

Companies

with expenditures

for the

practice

Under

1

and

under

2

2

3

3

4

4

5

5

6

6

7

7

8

8

9

9

10

10

11

11

12

12

13

13

and

over

Air transportation companies

Pay for leave t im e ----------------------------------------------------- 6.7 6 .7 100 (*) 2 1

_ 4 25 11 5 18 34

V acation s--------------------------------------------------------------- 4 .9 4 .9 100 o 2 1 2 13 45 12 24 - - - - _ _ _

H olidays------------------------------------------------------------------ <*) .7 100 94 5 1 - <‘ > - - - - - - - - - -

Sick leave -------------------------------------------------------------- 1.8 1.8 100 5 24 34 38 - - - - - - _ _ - _ -

Civic and personal le a v e ------------------------------------ . 1 . 1 100 28 72 * - - - - - - - - - -

Nonproduction bonuses---------------------------------------------- (*) (*) 100 56 42 - - 1 _ _ _ _ _ _ _ _ _

Terminal paym ents--------------------------------------------------- . 2 . 3 100 54 40 6 - - - - - - - - -

Legally required insurance program s1 2 --------------- 1 . 6 1. 6 100 - - 87 5 3 _ 3 2 _ _ _ _ _ _ _

Retirement income and protection ------------------- .9 .9 100 - 80 12 7 (*) - - - - - - - - - -

Unemployment compensation ---------------------------- .4 .4 100 - 94 5 (*) - - - - - - - - - -

Occupational injury and illn e ss-------------------------- .4 .4 100 (M 95 3 2 - - " - - - -

Private welfare plans 3 --------------------------------------------- 9 .9 1 0 . 1 100 6 (*) 1 - - _ _

(*) (4) 21 42 2 3 5 16

Life, accident, and health insurance--------------- . 6 . 6 100 9 69 22 - - - - - - - - - -

Pension and retirement p la n s-------------------------- 9. 3 9 .5 100 7 ‘ " • " " “ (4) 61 5 - 12 10 3

Certificated air carriers

Pay for leave t im e ----------------------------------------------------- 6 .8 6 .8 100 _ _ _ _ ! 26 12 5 19 37 . .

Vacations -_-___ __________ ____ ___________ _____ __ 4 .9 4 .9 100 - - - 1 11 49 13 26 - - - - - - -

Holiday s ___,_______________ ________________ _____ - - 1 0 0 100 - - - - - - - - - - - - - -

Sick leave __________ _________________ _______ _____ 1 . 8 1.8 100 - 23 37 40 - - - - - - - - - - -

Civic and personal le a v e ------------------------------------ . 1 . 1 1 0 0 23 77 " - - - - - - - -

Nonproduction bonuses---------------------------------------------- (‘ ) (*> 100 57 43 - - - _ - _ _ - _ - _ _ _

Terminal paym ents--------------------------------------------------- . 2 . 3 100 51 43 7 - - " - - - ” - -

Legally required insurance program s2 --------------- 1. 5 1. 5 100 - - 95 5 - - - _ _ _ _ - - _ _

Retirement income and protection-------------------- • 9 .9 100 - 87 13 - - - - - - - - - - - -

Unemployment compensation------------------------------ .3 . 3 100 - 100 - - - - - - - - - - - - -

Occupational injury and illn e ss-------------------------- . 3 . 3 100 ‘

100 - - - - - " - - " -

Private welfare plans 3 --------------------------------------------- 10.2 1 0 . 2 100 - . . - _ _ - _

(4) 23 46 2 4 5 18

Life, accident, and health insurance--------------- . 6 . 6 100 3 74 22 - - - - - - - - - - -

Pension and retirement plans---------------------------- 9 .5 9 .5 100 " " “ “ (4) 6 6 5 13 11 3

1 Less than 0. 05 percent of compensation or 0. 5 percent of employees. 2 Includes other legally required insurance programs, principally State temporary disability insurance, not presented separately. 3 Includes savings and thrift plans not presented separately. 4 An additional 2 percent of all operating employees, 3 percent of those employed by certificated air carriers, worked for firm s with expenditures of less than 8 percent, the precise amount,

however, was indeterminant.

NOTE: Because of rounding, sums of individual items may not equal totals.

Digitized for FRASER 

http://fraser.stlouisfed.org/ 

Federal Reserve Bank of St. Louis
Table 4. Percent Distribution of Nonoperating Employees by Employer Expenditures for Selected Compensation Practices

as a Percent of Total Expenditures, Air Transportation, 1964

Practice

Premium payments ---------------------------------------------------------

Overtim e, weekend, and holiday w ork-----------------

Shift differentials--------------------------------------------------------

Pay for leave t im e ----------------------------------------------------------

V acation s---------------------------------------------------------------------

H olidays------------------------------------------------------------------------

Sick le a v e---------------------------------- —--------------------------------

Civic and personal le a v e ------------------------------------------

Nonproduction bonuses----------------------------------------------------

Terminal payments----------------------------------------------------------

Legally required insurance programs 1 2 ----------------------

Retirement income and protection--------------------------

Unemployment compensation------------------------------------

Occupational injury and illn ess--------------------------------

Private welfare plans 3 --------------------------------------------------

Life, accident, and health insurance ---------------------

Pension and retirement p la n s----------------------------------

Premium payments ---------------------------------------------------------

Overtim e, weekend, and holiday work ---------------

Shift differentials--------------------------------------------------------

Pay for leave time ----------------------------------------------------------

Vacation s---------------------------------------------------------------------

H olidays------------------------------------------------------------------------

Sick le a v e---------------------------------------------------------------------

Civic and personal le a v e -------------------- ----------------------

Nonproduction bonuses -------------------------- -----------------------

Terminal payments ---------------------------------------------------------

Legally required insurance program s2 ----------------------

Retirement income and protection— ----------------------

Unemployment compensation----------- -----------------------

Occupational injury and illn ess------- ------------------------

Private welfare plans3 --------------------------------------------------

Life, accident, and health insurance-----------------------

Pension and retirement p lan s----------------------------------

Percent of nonoperating employees in companies

Average expenditures

With no With expenditures for the practice

All

companies

Companies wit!

expenditures

for the

practice

Total expenditures

for the

practice

Under

1

1

and

under

2

2

3

3

4

-----?-----

5

— 5—

6

— 5—

7

7

8

6

9

9

10

10

11

11

and

over

Air transportation companies

3.0 3. 0 100 3 4 44 38 5 4 1 1

.

2 . 1 2 . 1 100 _ 26 20 45 1 2 5 1 1 - - - _

.9 1.0 100 7 32 61 - - - - - - - - -

7. 8 7. 8 100 _ _ 1 2 1 5 1 3 39 42 2 3 2

3.9 4 .0 100 1 1 3 4 49 40 3 - - - - - -

2. 3 2. 3 100 (*) 3 7 83 6 1 - - - - - - -

1.5 1. 5 100 3 7 84 7 - - - - - - - - -

. 1 . 1 100 9 91 " - - - - - - - - -

. 2 . 3 100 38 58 2 1

. _ _ _ _ _ _

(l )

. 1 . 2 100 39 61 - - (*) - - ’ - - -

3. 8 3. 8 100 _ _ _ _ 63 32 4 1

_ _ _ _ _

2. 3 2. 3 100 - - 3 95 2 - - - - - - - -

1.0 1 .0 100 _ 6 6 31 4 - - - - _ _ - - _

. 5 . 5 100 1 94 4 (M - “ - - “ - - - -

3. 3 3. 5 100 4 4 29 9 28 2 5 20 . _ _ _

1.0 1 .0 100 5 48 44 4 - - _ - - - - -

2. 3 2 . 6 100 13 25 20 3 16 7 17 - - - - -

Certificated air carriers

2.9 2 .9 100 49 46 2 3

2 .0 2 . 0 100 - 26 19 50 - 2 3 - - - - - -

1.0 1 .0 100 3 27 70 - - - - - - - -

8 .0 8 .0 100 . _ _ _ _ _ . 2 46 47 _ 3 2

4 .0 4 .0 100 - - - - 56 42 2 - - - - - -

2. 3 2. 3 100 - - 2 95 3 - - - - - - - -

1 .6 1 . 6 100 - - 93 7 - - - - - - - - -

. 1 . 1 100 -

100 - - - - - - - -

. 1 . 2 100 36 64 _ _ _ _ _ _ _ . _ .

. 2 . 3 100 30 70 - - - - - - - - - - -

3. 7 3.7 100 _ _ _ _ 69 32 . _ _ . _ _ _

2. 3 2. 3 100 - - - 100 - - - - - - - - -

1.0 1.0 100 _ 69 32 - - - - - - - - - -

. 4 . 4 100 -

100 - - - - - - - - - -

3. 4 3. 5 100 2 2 29 9 31 _ 5 21 _ _ _ _ _

.9 1.0 100 2 54 44 1 - - - - - - - - -

2. 4 2 . 6 100 5- 29 22 18 5 21

" " “ ~ “

1 Less than 0. 5 percent of workers.

2 Includes other legally required insurance programs, principally State temporary disability insurance, not presented separately.

3 Includes savings and thrift plans not presented separately.

NOTE: Because of rounding, sums of individual items may not equal totals.

Digitized for FRASER 

http://fraser.stlouisfed.org/ 

Federal Reserve Bank of St. Louis
Table 5. Percent Distribution of Employees by Employer Expenditures for Selected Compensation Practices

in Cents Per Paid Hour, Air Transportation, 1964

Average Percent of all employees in companies—

Practice Companies With no ex- With expenditures for the practice

All with ex- penditures 1 2 3 4 5 6 7 9 10 11 12 13 14 15 “ I T " “ I T " ~ r r ~ 19

com - penditures Total for the Under and

panies for the practice 1 under

practice 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 over

Air transportation companies

Pay for leave time ---------------------------------- 0. 33 0. 33 100 .

(l ) 1

.

2 3 (*) 1 1

!

(l 3) 1 i 289

Vacations --------------------------------------------- . 18 . 18 100 1 - 1 1 2 2 - _ - 2 1 ( l ) 1 - 2 4 8 4 16 19 3 37

Holidays ---------------------------------------------- . 08 .08 100 n 1 3 - 4 2 (M 6 23 43 14 1 1 1 - - - - 1 - -

Sick leave -------------------------------------------- .07 . 07 100 3 5 1 - 1 2 21 8 27 16 2 12 2 - - - - _ - - _

(l ) (i ) 100 8 85 6

Nonproduction bonuses---------------------------- . 01 .01 100 38 42 13 4 _ 1 _ 1 1

.

(l ) _ . _ _ _ _ _ _ _

n

Terminal payments --------------------------------- .01 . 01 100 39 32 29 - - - - (M - - “ - - -

Legally required insurance

programs 4 --------------------------------------------- . 15 . 15 100 - - - - - - - - n - 1 2 1 2 34 26 5 24 n (l ) 2

Retirement income and protection — .09 .09 100 - - - - - 1 - 4 3 49 41 1

Unemployment compensation----------- . 04 .0 4 100 - - 3 11 52 9 19 3 1 1

Occupational injury and illn e ss ------- . 0 2 . 0 2 100 1 1 59 32 5

1 n - (*)

Private welfare plans 5 678910--------------------------- . 21 . 22 100 3 1

1 3 _ 1 i 1

. 1 1 2 1 _ _

(l ) _ 23 _ 5 6 56

Life, accident , and health

insurance ------------------------------------------ . 04 . 04 100 5 3 3 1 47 22 i 1 14 1 - (*) - 1 - _ _ _ _ _ _

Pension and retirement p lan s---------- . 17 . 19 100 9 '

2 * 1 i 1 -

2 (l ) 1 23

1

3 -

2 2 7 52

Certificated air carriers

__________ 0. 36 0. 36 100 8 100

v acations ■■■ -....... "----- ■ ■*—------- . 20 . 20 100 18 21 9 41

.08 .08 100 2 6 27 50 15

Sick leave -------------------------------------------- .08 .08 100 - - - - - - 24 9 30 18 3 15 2 - - - - - - - -

<^ivi perso e e . 01 . 01 100 93 1

<*> (M 100 36 47 12

.01 .01 100 30 35 34

Legally required insurance

. 15 . 15 100 3 38 27 5 27

Retirement income and protection -- .09 .09 100 - - - - - - - - - 54 46

Unemployment compensation----------- .0 4 .0 4 100 - - - 11 57 9 23

Occupational injury and illn ess------- . 0 2 . 0 2 100

-

65 31 4

Private welfare plans 5 --------------------------- . 23 . 23 100 _ _ 2 _ _ _ _ _ . _ 2 _ _ - . _ 27 . _ 5 10 64

Life, accident, and health

. 04 .0 4 100 2 2 3 54 23 15

Pension and retirement p lan s---------- . 19 . 19 100 _ ' - 2 - - "

2 _ " . 27 1 2 “

3 3 “ 60

1 Less than $0. 005 or 0. 5 percent of workers.

2 Includes 9 percent at 25-30 cents, 40 percent at 30-35 cents, 3 percent at 35-40 cents, 36 percent at 40-45 cents, and 1 percent at 45 cents and over.

3 Includes 36 percent at 20-25 cents, and 1 percent at 25 cents and over.

4 Includes other legally required insurance programs, principally State temporary disability insurance, not presented separately.

5 Includes savings and thrift plans not presented separately.

6 Includes 20 percent at under 25 cents, 13 percent at 25-30 cents, and 23 percent at 30-35 cents.

7 Includes 30 percent at under 25 cents, and 22 percent at 25-30 cents.

8 Includes 10 percent at 25-30 cents, 46 percent at 30-35 cents, 3 percent at 35-40 cents, and 41 percent at 40-45 cents.

9 A ll under 25 cents.

10 Includes 23 percent at 20-25 cents, 15 percent at 25-28 cents, and 26 percent at 30-35 cents.

11 Includes 34 percent at under 25 cents, and 26 percent at 25-30 cents.

NOTE: Because of rounding, sums of individual items may not equal totals.

Digitized for FRASER 

http://fraser.stlouisfed.org/ 

Federal Reserve Bank of St. Louis
Table 6. Percent Distribution of Operating Employees by Employer Expenditures for Selected Compensation Practices

in Cents Per Paid Hour, Air Transportation, 1964

0)

Expenditures

(in cents per paid hour)

Pay for leave time

Nonproduction

bonuses

Terminal

payments

Legally required insurance programs Private welfare plans

Total

leave Vacations Holidays Sick

leave

Civic and

personal

leave

Total

legally

required 1

Retirement

income and

protection

Unemployment

compensation

Occupational

injury and

illness

Total

private

welfare2

L ife,

accident,

and health

insurance

Pension

and retirement plans

Air transportation companies

Average expenditures:

A ll companies _____________ _______ __ $1. 35 $ 0 . 98 <J> $0. 35 $ 0 . 0 2 (3) $0. 03 $0. 32 $ 0 . 18 $ 0 . 07 $0. 07 $1. 99 $0. 13 $ 1 . 86

Companies with expenditures________ 1. 35 .9 8 $0. 05 . 37 . 02 $ 0 . 01 . 07 . 32 . 18 . 07 . 07 2. 14 . 14 2. 03

Percent of employees in companies:

T o ta l______________ ________ 1 0 0 100 100 100 100 100 100 100 100 100 100 100 100 100

With no expenditures for the p ra ctic e__ (3 ) (3) 94 5 28 56 54 _ _ _

(3 ) 6 9 7

With expenditures for the p ra ctic e___.__ 99 99 6 95 72 44 46 100 100 100 99 94 91 93

Under $ 0 . 0 1 ____________________________ (3) _ _ _ 2 2 40 _ _ _ _ _

$0. 01 and under $ 0 . 0 5 _________ ______ 2 2 5 3 50 2 40 . _ 12 36 (*) 6

_

$0 . 05 and under $ 0. 1 0 _______ _____ (3 ) - 1 - - - _ -

(3) 80 37 1 25 _

$0. 10 and under $ 0 . 1 5 ______________ 1 - - - - _ - 8 4 24 _ 30 _

$ 0. 15 and under $ 0. 2 0 _______________ - 4 (3) 25 - 1 - 4 76 3 2

. 4 _

$ 0. 20 and under $ 0. 2 5 _______ _______ 4 - _ _ _ _ 4 16 _ _ 12 _

$0 . 25 and under $ 0. 30 _ _____ - _ _ 6 - . 2 33 _ _ _ 15 _

$0. 30 and under $0 . 3 5 ----------------------- - - _ 6 - _ 4 31 _ _ _ _ _

$ 0. 35 and under $ 0. 4 0 _______________ - 1 - 6 _ - - 21 . _ 2 _ 2

$ 0. 40 and under $ 0. 4 5 _______________ -

(3)

- 24 - _ _ 3 (3 ) _ _ _ _ _

$ 0 .4 5 and under $ 0 . 5 0 ________ ______ _ - 4 - - - - _

(3 ) _ _ _ _

$ 0. 50 and under $ 0. 5 5 _______________ 1 _ _ 15 _ _ . 2 _ . _ _

$ 0. 55 and under $ 0. 6 0 __________ __ - 3 - - - _ _ _ _ _ . _ _ _

$ 0. 60 and under $ 0. 6 5 _______ - 5 - - . _ . _ _ _ _ _ _

$ 0. 65 and under $ 0. 7 0 _______________ - - - - - . _ _ _ _ _ _ _

$0 . 70 and under $ 0 . 7 5 ______-_______ _ 4 - - - - - - _ _ _ _ _ _ _

$ 0. 75 and under $ 0. 8 0 _______ - - - 10 - - - - - _ _ _ _ _

$ 0. 80 and under $ 0. 8 5 __ ________ 3 2 - - - - . - _ _ _ . . .

$ 0 . 85 and under $ 0. 9 0 _______________ - 21 - - - - - _ > _ _ . _ .

$ 0. 00 and under $ 0. 95 __ - _ _ - _ _ - _ _ _ _ _ _

$ 0. 95 and under $ 1. 00 _______ _ 5 - _ - _ _ _ . . . _ _ _

$ 1 . 0 0 and under $ 1 . 1 0 _______________ 21 21 - - - _ - - _ _ > -

$ 1 .1 0 and under $ 1 . 2 0 _______________ - - - - - _ - _ _ _ _ _ _ _

$ 1. 20 and under $ 1. 3 0 _______________ 2 - - - - - _ _ _ _ _ _ _ -

$ 1. 30 and under $ 1 . 4 0 _______________ 6 - - - - . _ _ _ _ _ 2 _ 2

$ 1 . 40 and under $ 1. 5 0 ___________ ____ - 34 - - - - . _ - _ _ _ _ _

$ 1 .5 0 and under $ 1 .6 0 ____________ __ 15 - - - - _ _ _ . _ _ _ _ _

$ 1 .6 0 and unde r $ 1 .7 0 __ ____ __ - _ _ - _ - _ _ _ _ _ _ _ _

$ 1. 70 and under $ 1. 80 _ . _ - - _ - - - - - _ _ _ _ _ 5

$ 1 . 80 and under $ 1 . 9 0 24 - - - - - - _ _ . _ 5 _ 36

$ 1 . 90 and under $ 2 . 0 0 __ - - - - - _ _ _ _ _ _ 24 _ 3

$ 2 . 0 0 and under $ 2 . 1 0 .. - - - - - - - _ - _ - _ _ 24

$ 2 .1 0 and under $ 2 . 2 0 __________ _____ - - - - - _ - - _ _ . 39 _ 2

$ 2 . 20 and under $ 2 . 3 0 _________ ___ . . . 10 - - - - - - - - _ - _ _

$ 2 . 30 and under $ 2 .4 0 __ _ _ - - - - - - - - - - . 2 _ _

$ 2. 40 and under $ 2. 50 _ _ . - - - - - - - - _ _ - _ _ _

$ 2. 50 and under $ 2 .6 0 _________ ___ __ - - - - - - - - _ - _ _ . 3

$ 2. 60 and under $ 2. 7 0 _______________ - - - - - - - - _ _ _ 3 _ _

$ 2 .7 0 and under $ 2. 80 _ _____ _ - - - - - - - - - - _ - - _

$ 2 . 80 and under $ 2 . 9 0 __ __ _ - - - - - - - - - - _ - _ -

$ 2. 90 and under $ 3. 0 0 ____ _ _ . - - - - - - - - - - _ _ . 4

$ 3. 00 and over __________ " “ - “ - " " _ -14 “

10

See footnotes at end of table.

Digitized for FRASER 

http://fraser.stlouisfed.org/ 

Federal Reserve Bank of St. Louis
Table 6. Percent Distribution of Operating Employees by Employer Expenditures for Selected Compensation Practices

in Cents Per Paid Hour, Air Transportation, 1964— Continued

Expenditures

(in cents per paid hour)

Pay for leave t ime

Nonproduction

bonuses

Terminal

payments

Legally required insurance programs Private welfare plans

Total

leave Vacations Holidays Sick

leave

Civic and

personal

leave

Total

legally

required1

Retirement

income and

protection

Unem -

ployment

compensation

Occupational

injury and

illness

Total

private

welfare 2

Life,

accident

and health

insurance

Pension

and retirement plans

Certificated air carriers

Average expenditures:

A ll com panies_______ ___ _ $1.46 $1.06 - $ 0 . 39 $ 0 . 02 (3) $0. 04 $0. 32 $ 0 . 18 $0. 07 $0. 07 $ 2 . 18 $0. 14 $2. 04 Companies with expenditures________ 1.46 1 . 06 -

.3 9 .0 2 (3) .0 7 . 32 . 18 .0 7 . 07 2 . 18 ! 14 2. 04

Percent of employees in companies:

Total ----- _ .... _ — , , 1 0 0 100 100 100 100 100 100 100 100 100 100 100 100 100

With no expenditures for the p ra ctic e__ _ _ 1 0 0 _ 23 57 51 %

With expenditures for the p ra ctic e_____ 10 0 100

-

100 77 43 49 100 100 100 100 100 97 100

Under $ 0 .0 1 - - _ __ _ _________ _ _ _ _ 24 43

$ 0 .0 1 and under $ 0 . 05 -______________ - _ 54 43 _

11 37 5

$ 0. 05 and under $ 0. 10 _ - - _ _ _ _

84 37 26 $ 0. 10 and under $ 0 . 1 5 _______________ _ _ _ _ _ _ _ 3 2 24 31 $ 0 . 15 and under $ 0 .2 0 _______ _ __ - - _ 27 _ _ _ 4 80 3 2 4

$ 0. 20 and under $0 . 25 _ - - _ _ . 3 18 13 $ 0 . 25 and under $0 . 3 0 _______________ - - - 6 _ 2 34 17 $ 0 . 30 and under $ 0 . 35 ..... . - _ _ 7

_ _ 4 34

$ 0. 35 and under $ 0. 4 0 ___ ________ - 1 6

_

21 3

“

$ 0. 40 and under $ 0. 4 5 __________ ____ - _ _ 26 _ _

3 3

$ 0. 45 and under $ 0. 50 — _______ ____ - 4 _ _ «. _ _

$ 0. 50 and under $ 0. 5 5 _______________ 1 - _ 17 _ _

2

$ 0. 55 and under $ 0. 6 0 ____—________ . 4 _ _ _ _ _ “

$ 0 .6 0 and under $ 0. 65 _ ...» __ ___ - 6 _ _ _ _ _ "

$ 0. 65 and under $ 0. 70 ---------- _ - - - - _ _ _

$ 0 ,7 0 and under $ 0. 75 ^__,________— 4 _ _ _ _ _

$ 0. 75 and under $ 0. 80 __ _ _ _ 11 _ "

$ 0, 80 and under $ 0. 8 5 _______________ 3 3 _ _ _ _ _ "

$ 0 . 85 and under $ 0 . 90 . . . . ____ _______ . 23 _ . _ _ "

$ 0 . 90 and under $ 0 . 95 ___ _ _ _ _ _

$ 0. 95 and under $ 1. 0 0 __—___________ 7 _ _ _ _ _ _

$ 1 . 0 0 and under $ 1 . 1 0 — _ _ ^ 23 23 _ _ _

$ 1 .1 0 and under $ 1 . 2 0 — ________ ____ - _ _ _ _ _

$ 1 .2 0 and under $ 1, 3 0 _______________ 3 _ _ _ _ _ “

$ 1 .3 0 and under $ 1 .4 0 _______ ______ 6 . _ _ _ _

$ 1 .4 0 and under $ 1 . 5 0 _______________ . 37 _ _ _ 3

$ 1. 50 and under $ 1. 60 __ _ 17 _ _ _ _ _ "

$ 1 .6 0 and under $ 1 . 7 0 _______________ _ _ - _ _

$ 1 .7 0 and under $ 1 .8 0 _______________ _ _ _ _ _ _ "

$ 1 .8 0 and under $ 1. 90 _____—________ 26 _ _ _ _ _ 3 an

$ 1 .9 0 and under $ 2 . 0 0 ______________ _ _ _ _ .. _

7 7

$ 2 . 0 0 and tinder $ 2 . 1 0 _______________ _ _ _ _

t r 4

7A

$ 2 . 1 0 and under $ 2 . 2 0 _______ _______ _ _ _ _ _ _

43

CO

$2 . 20 and under $2. 3 0 _______ ____ ___ 11 _ _ _

$ 2 . 30 and under $ 2 . 4 0 ___ __ _ _ _ _ _ _

2

$ 2 .4 0 and under $ 2 .5 0 ______ _ _ _ _ ~

$2 . 50 and under $2 . 6 0 _______________ _ _ _ _ _ ~

$ 2. 60 and under $ 2. 70 — _ - _ _ _ _ _ 3

3

$ 2 . 70 and under $2 . 8 0 _______ ______— _ _ _ _ _ _

$ 2. 80 and under $ 2. 90 — _ _ _ _ _ _

$ 2. 90 and under $ 3. 00 _ . _ _ _ _ _ _ _ ~

$ 3 . 00 and o v e r * " - - - " - - - -

15 -

1 1

* Includes other legally required insurance programs, principally State temporary disability insurance, not presented separately.

Includes savings and thrift plans, not presented separately.

Less than $ 0 ,0 0 5 or 0 .5 percent of workers.

NOTE: Because of rounding, sums of individual items may not equal totals.

Digitized for FRASER 

http://fraser.stlouisfed.org/ 

Federal Reserve Bank of St. Louis
Table 7. Percent Distribution of Nonoperating Employees by Employer Expenditures for Selected Compensation Practices

in Cents Per Paid Hour, Air Transportation, 1964

CD

Average

expenditures

Percent of nonoperating employees in companies—

With expenditures for the practice

Practice

Companies

with exWith np exAll Total penditures 1 2 3 4 5 6 i $ 9 lo 11 12 13 14 15 16 17 18 19

com - penditures for the Under and and

panies for the practices 1 under

practices 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 over

Air transportation companies

Premium payments ------- ------------------------- 0. 11 0. 11 100 - - 2 1 1 1 1 7 17 3 2 4 11 24 16 3 1 - 2 2 1

Overtim e, weekend, and

16 (l ) 1 1 . 08 . 08 100 . 4 2 23 3 1 11 7 22 - 1 2 - 1 2 1

Shift differentials_________ ____ ____— . 03 . 04 100 7 9 3 3 58 12 8

. 28 -. 28 100 _ _ _

( ')

1

2 n

_ 3 . _

(l 3) 1 _ 1 i

- - i 1 2 89

. 14 . 14 100 1 _ 1 4 - -(‘ ) 2 i 4 4 10 16 17 1 - 34 1 2

. 08 . 08 100 (‘ )

3

1 2 (*) 4 2 (r ) 2 23 21 36 3 1 1 - - - - 1 - -

. 05 

(*)

. 05 100 4 1 1 27 29 16 14 3 2 -

(M 100 9 83 8 -

. 01 . 01 100 38 42 13 4 1 n 1 1 (*)

. 01 . 01 100 39 38 22 _ _ _ _ _

(M - - - - - - - - - - -

Legally required insurance

. 14 . 14 100 (l ) 1 2 3 23 38 7 20 2 (l ) 3

Retirement income and protectionTM . 08 . 08 100 - - - - - 1 i

(*)

4 23 45 24 1

Ilnom plnym pnt (>nmp(>n»atinn . ..... . 04 . 04 100 _ _ 4 11 58 23 3 1 1

Occupational injury and illn e ss ------- . 02 . 02 100 1 28 35 33 2 1 <l >

Private w #»1fa'rp p la n s 4 567__ . 12 . 13 100 4 3 1 2 2 1 23 1 2 2 4 2 1 - - 26 - - 4 1 *20

Life, accident, and health

. 04 . 04 100 5 3 3 42 9 19 2 14 1 1 (*) - - 1 - - - - - - -

Pension and retirement plans---------- . 08 . 10 100 13 - -

25 2 2 1 4 11 (M 16 - <l ) 5 " - 17 2

Certificated air carriers

0. 11 0. 11 100 _ _ _ _ _ _ 7 21 4 3 4 13 25 18 2 - 1 3 -

Overtim e, weekend, and

. 07 . 07 100 _ _ _ _ 28 4 - 13 5 27 - 18 - - 2 - - 1 - 3 “

Shift differentials-------------------------------- . 04 . 04 100 3 4 3 3 69 13 6

. 30 . 30 100 6100

. 15 . 15 100 4 3 12 18 21 - - 40 - 2

. 08 . 08 100 _ _ _ 2 _ _ 1 28 2 5 ' 42 3

. 06 . 06 100 _ _ _ _ _ 29 33 18 15 2 2

Civic and personal le a v e ____________ (M n 100 - 90 10

Nonproduction bonuses--------------------------- (M . 01 100 36 47 13 4

Terminal paym ents--------------------------------- . 01 . 01 100 30 43 27

Legally required insurance

. 14 . 14 100 1 28 42 6 23 _ _ _ .

Retirement income and protectionTM .0 9 .0 9 100

11 64 25

23 50 27

Unemployment compensation_______ .0 4 . 04 100 - - -

Occupational injury and illn ess _____ . 02 . 02 100 -

32 36 32

Private w e lfa r#* plans * __ . 13 . 13 100 2 2

_ _ 3 _ 27 _ 2 1 4 3 - - - 31 - - 5 - 7 21

Life, accident, and health

. 04 . 04 100 2 2 3 49 7 21 - 15 - 1 - - - “ - - - - - -

Pension and retirement plans---------- . 09 . 10 100 5 " 29 3 2 4 13 “

18

'

5

' '

21

1 Less than $ 0 ,0 0 5 or 0 .5 percent of workers. 2 Includes 5 percent at 20-25 cents, 43 percent at 25-30 cents, 36 percent at 30-35 cents, and 5 percent at 35 cents and over. 3 Includes other legally required insurance programs, principally State temporary disability insurance, not presented separately. 4 Includes savings and thrift plans not presented separately. 5 Includes 18 percent at under 25 cents and 2 percent at 25 cents and over. 6 Includes 6 percent at 20-25 cents, 50 percent at 25-30 cents, 43 percent at 30-35 cents, and 2 percent at 35 cents and over.

7 A ll under 25 cents.

NOTE: Because of rounding, sums of individual items may not equal totals.

Digitized for FRASER 

http://fraser.stlouisfed.org/ 

Federal Reserve Bank of St. Louis
Table 8. Leave Hours as a Percent of Total Paid Hours, Air Transportation, 1964

Employee group

and type of leave

Paid leave hours

as a percent

of total

paid hours

Workers

in all

companies

Percent of workers in companies with—

No paid'

leave hours

Paid leave as a percent of total paid hours of—

Under

1

1 and

under 2

■ i

3

3

4

4

5 6

6

7

7

8

8

9 10

10

11

— n —

12

—TZ------

and

over

Air transportation companies

A ll employees

Paid leave _____ ________ _____ 8 . 3 100 _

( x) 3 1 3 _ 4 5 67 13 3 i _

Vacations __ ______________________ 4. 2 100 1 1 3 2 15 74 4 - - - - - - -

Holidays _ ---------------------— — — 2. 3 100 (l ) 4 5 85 5 1 - - - - - - - -

Sick le a v e __ ___ .. ------- — 1. 6 1 00 3 7 6 8 23 - - - - - - - - - -

Civic and personal leave ------------------- . 1 100 8 92 - - - - - “ - - - " - -

Operating employees

Paid leave __ _______________ __ „ „ — 7.4 100 !!> ( l ) 2 1

. 7 21 11 7 16 24 _ 10 <;>

Vacations ______________________________ 5.4 100 (x) 2 * 2 11 30 20 - 34 - - - - (M

H o lid a y s ........................................................... . 1 100 94 5 1 (») (X) - - - - - - - -

Sick le a v e __ ________ — — „ ------- 1. 8 100 5 24 10 52 10 - - - - - - - - -

Civic and personal leave --- ---------- • 1

100 28 72 • - - - " - “ - - -

Nonoperating employees

Paid leave _________________________________ 8 . 3 100 _ _

( l ) 2 x 4 _ 4 1 70 13 3 1 _

Vacations .... ....... ..................................... 4. 2 100 1 ( X) 4 2 15 74 5 - - - - - - -

Holidays _ „ .. „ _____ „ ------- 2. 5 100 (*) 3 5 85 5 1 - - - - - - - «

Sick leave _________ ________ — — — 1. 6 100 3 7 70 2 0 - - - - - - - - - »

Civic and personal leave . ---------- . 1 1 0 0 9 91 * " “ ~ ~ “ “ ” “

Certificated air carriers

A ll employees

Paid leave __ __ _____ ________ — „ — 8 . 6 10 0

_ _ _ _ _ 2 5 79 12 2 -

Vacations __ „ — .............................. 4 .4 100 - - - - 14 83 2 - - - - - - -

Holidays _ ------- „ — ------- 2.4 100 - - 2 98 - - - - - - - - -

Sick le a v e __ ________ — ------------- — 1. 7 100 - - 75 25 - - - - - - - • - - -

Civic and personal leave _____________ . 1 100 -

100 - - - - _ " “ " “

Operating employees

Paid leave __ .. — .................... - 7. 7 100 _ _ _ 4 23 12 7 19 26 - 11 .

Vacations ____________ — — — 5. 6 10 0 - - - 1 11 30 22 - 37 - - - - -

Holidays ____________ __ — _____ __ - 10 0 100 . - - - - - - - - - - - -

Sick le a v e __ _____ — — — ___ 2 . 0 100 - 23 11 56 11 - - - - - - - - -

Civic and personal leave __ __ „ . 1 100 23 77 - - - " " - “ “ "

Nonoperating employees

Paid leave ------- ------- „„ —----- ------------- 8 . 7 100 _ _ _ _ - - 2 - 83 13 2 _ _

Vacations ___ ______ __ _____ _____ 4 .4 100 - - - - 14 84 2 - - - - - - -

Holidays ........................................................ 2. 5 100 - - 2 98 - - - - - - - - - -

Sick le a v e __ .. __ __ ------- — ------- 1. 7 100 - - 77 23 - - - - - - - - - -

Civic and personal leave _____________ . 1 100 "

100 "

"

”

" '

5 Less than 0. 05 percent.

NOTE; Because of rounding, sums of individual items may not equal totals,

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Table 9. Percent Distribution of Employees by Number of Weeks of Vacations Paid For, Air Transportation, 1964 8

Industry segment

and employee group

Percent of

workers

in all

companies

Percent of employees receiving-—

No paid

vacations

Vacation pay, by weeks paid for

Under

1

1 and

under 2 3

3

4

4

5

5

and

over

A ir tra n sp orta tion com p an ies:

A ll e m p loy ees _________________.____ _ 100 12 6 7 47 21 7 _

O perating e m p loy ees _____ . _________ 100 7 4 11 26 28 24 -

N on operating em p lo y e e s — ---------------- 100 12 7 6 49 20 6 -

Certificated air carriers:

A ll employees ________ _____ ______ 100 4 8 6 49 24 9

_

Operating employees —_____ __ ___ 100 3 4 l i 25 30 26 -

Nonoperating em p lo y e e s ____„„_____ — 100 4 8 6 52 24 7 "

NOTE: Because of rounding, sums of individual items may not equal totals.

Table 10. Percent Distribution of Employees by Number of Holidays Paid For, Air Transportation, 1964

Industry segment

and employee group

A ll

workers

No paid

holidays

Percent of employees in companies with paid holidays of—

Under 3 3

Over 3

and

under 7

7

Over 7

and

under 8

8 Over 8

Air transportation companies;

Operating employee s -________________ 10 0 94 2 3 1 - - -

Nonoperating employees ______ _ ___ _ 1 0 0 3 -

1 4 8 4 4 3

Certificated air carriers:

Operating employees -------------------------- 10 0 100 _ - . - _ . -

Nonope rating employees _____________ 10 0 2 “ “ ”

96 “

2

NOTE; Because of rounding, sums of individual items may not equal totals.

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Appendix A. Expenditures as Proportions o f Payroll

In the body of the text, all supplements have been m easured as a proportion of total 

com pensation. This approach allows one to examine the level and structure of com pensation 

expenditures. H ow ever, for som e pu rposes, it may be desirable to exam ine expenditures 

for pay supplements in different w ays. Two of the techniques often used are to express these 

outlays as percentages o f gross or of straight-tim e payroll. 20 The appendix table exp resses 

supplem entary expenditures in these term s. It should be noted that the supplem ents, when 

m easured as a percent of gross or straight-tim e payroll, cannot be added to other payroll 

statistics since som e supplements are part of payroll and others are in addition to payroll. 

The appendix table perm its com parison of expenditures in the air transportation industry 

with sim ilar statistics published by BL»S in p rior years for other industries.

20 Straight-time pay is derived by subtracting overtime, weekend, holiday, and shift premium from gross payroll.

2 1

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Table A - l . Employer Expenditures for Selected Compensation Practices as a Percent of Payroll, Air Transportation, 1964

Practice

Percent of gross payroll Percent of straight-time payroll

All companies Companies with expenditures

for the practice All companies Companies with expenditures

for the practice

All

employees

Operating

employees

Nonoperating

employees

All

employees

Operating

employees

Nonoperating

employees

A ll

employees

Operating

employees

Nonoperating

employees

All

employees

Operating

employees

Nonoperating

employees

Air transportation companies

Premium payments _____________________________________ ( ) (

3. 3 > (;> 3. 3 (!) ( ) 3.4 (|) (!) 3. 4

Overtim e, weekend, and holiday w ork----------------- ( ) ,( ) 2. 3 ( ) ( ) 2. 3 ( ) 2. 3 ( ) ( ) 2. 3

Shift differentials _ _______________________________ (*) (M 1 . 0 (M (M 1 . 1 (*) (*) 1 . 0 ( ) ( ) 1 . 1

Pay for leave time ______________________________________ 8 . 2 7. 6 8 .4 8 . 2 7 .6 8 . 4 8 . 5 7. 8 8 . 7 8 . 5 7. 8 8 . 7

4. 5 5. 5 4. 2 4. 5 5. 5 4. 3 4. 7 5. 7 4 .4 4. 7 5. 7 4. 4

Holidays_____ ________________________________________ 1. 9 (*) 2 .4 1. 9 .7 2 .4 2 . 0 (1 2) 2. 5 2 . 0 . 7 2. 5

Sick leave_______ _________________________ — ------ 1. 7 2 . 0 1.6 1. 7 2 . 0 1.6 1. 7 2 . 1 1. 7 1 . 8 2 . 1 1. 7

Civic and personal le a v e ------------------------------------------ . 1 . 1 . 1 . 1 . 1 . 1 . 1

' 1

. 1 . 1 . 1 . 1

Nonproduction bonuses________________________ _________ . 2 (2 ) . 2 . 2 (2 ) . 3 . 2 (2) . 2 . 3 (2 ) . 3

Terminal payments _____________________________________ . 2 . 2 . 2 . 2 . 4 . 2 . 2 . 2 . 2 . 3 . 4 . 3

Legally required insurance programs 3----------------------- 3. 6 1 . 8 4 .6 3. 6 1 . 8 4 .6 3. 7 1. 9 4. 8 3. 7 1. 9 4. 8

Retirement income and protection------------------- ------ 2 . 2 1. 0 2. 5 2 . 2 1 . 0 2. 5 2. 3 1 . 0 2 . 6 2. 3 1 . 0 2 . 6

Unemployment compensation_______________________ . 9 .4 1. 1 . 9 . 4 1. 1 1 . 0 . 4 1 . 1 1. 0 . 4 1. 1

Occupational injury and illn e ss-------------------------------- . 5 . 4 . 5 . 5 . 4 . 5 . 5 . 4 . 5 . 5 . 4 . 5

Private welfare plans 4_---------------------------------------------------- 5. 2 1 1 . 2 3. 6 5. 3 11. 4 3. 7 5. 4 11.6 3. 7 5. 5 11. 9 3. 9

Life, accident, and health insurance --------------------- 1. 0 . 7 1 . 1 1 . 0 . 7 1. 1 1 . 0 . 7 1. 1 1. 1 . 8 1. 2

Pension and retirement plans---------------------------------- 4. 2 10. 5 2. 5 4. 5 10. 7 2 . 8 4. 3 1 0 . 8 2 . 6 4. 6 1 1 . 1 2. 9

Certificated air carriers

Premium payments ___________________________________ — ( \ ) (!) 3. 2 (M (M 3. 2 < > < > 3. 3 (!) 3. 3

Overtime, weekend, and holiday w o rk -------------- ( ) )

2 . 1

( ) ( ) 2 . 1 ( ) (,) 2 . 2

( ) ( ) 2 . 2

Shift differentials------------------------------------------------------- (M (M 1 . 1 <M ( ) 1 . 1 (l ) )

1 . 1 (M 0 )

1 . 1

Pay for leave time ______________________________________ 8 . 4 7. 7 8 . 6 8 . 4 7. 7 8 .6 8 . 7 8 . 0 8 . 9 8 . 7 8 . 0 8 . 9

Vacations _____________________________________________ 4. 6 5. 6 4. 4 4. 6 5. 6 4. 4 4. 8 5. 8 4. 5 4. 8 5. 8 4. 5

Holidays------------------------------------------------------------------------ 1. 9 - 2. 5 1. 9 - 2. 5 1. 9 - 2. 5 1. 9 - 2. 5

Sick leave--------------------------------------------------------------------- 1. 8 2 . 0 1. 7 1 . 8 2 . 0 1. 7 1 . 8 2 . 1 1 . 8 1 . 8 2 . 1 1 . 8

Civic and personal le a v e ------------------------------------------ . 1 . 1 . 1 . 1 . 1 . 1 . 1 . 1 . 1 . 1 . 1 . 1

Nonproduction bonuses_________________________ ________ . 1 (2 ) . 1 . 1 (2) . 2 . 1 (2) . 1 . 1 (2) . 2

Terminal payments______________________________________ . 2 . 2 . 2 . 2 . 4 . 2 . 2 . 2 . 2 . 3 . 4 . 2

Legally required insurance program s3 ----------------------- 3. 4 1. 7 4. 5 3. 4 1. 7 4. 5 3. 6 1. 8 4. 7 3. 6 1 . 8 4. 7

Retirement income and protection-------------------------- 2 . 1 1 . 0 2. 5 2 . 1 1 . 0 2. 5 2 . 2 1 . 0 2 . 6 2 . 2 1 . 0 2 . 6

Unemployment compensation----------------------------------- . 9 . 4 1 . 0 . 9 . 4 1. 0 . 9 . 4 1 . 1 . 9 . 4 1 . 1

Occupational injury and illn e ss ------------------------------- .4 . 4 . 5 . 4 . 4 . 5 . 5 . 4 . 5 . 5 . 4 . 5

Private welfare plans 4 ------------------------------------------------ — 5. 5 11. 5 3.7 5. 5 11. 5 3. 7 5- 7 11. 9 3. 8 5. 7 11.9 3. 9

Life, accident, and health insurance --------------------- . 9 . 7 1 . 0 1 . 0 . 7 1 . 0 1 . 0 . 7 1 . 1 1 . 0 . 8 1. 1

Pension and retirement plans---------------------------------- 4. 5 1 0 . 8 2 . 6 4. 5 1 0 . 8 2 . 8 4. 7 1 1 . 1 2. 7 4. 7 1 1 . 1 2 . 8

1 Data do not meet publication criteria.

2 Less than 0. 05 percent.

3 Includes other legally required insurance programs, principally State temporary disability insurance, not presented separately.

4 Includes savings and thrift plans not presented separately.

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Appendix B. Scope and Method of Survey

Scope of Survey and Industry C lassification

This study of em ployer expenditures for the com pensation of em ployees cov ers all 

com panies in SIC 45— Transportation by A ir— classified in accordance with the 1957 edition 

of the Standard Industrial C lassification Manual (SIC) and 1963 Supplement prepared by the 

U .S . Bureau of the Budget. The industry is com posed o f the follow ing groups:

SIC 451—A ir Transportation, C ertificated C arriers

SIC 452—A ir Transportation, N oncertificated C arriers

SIC 458—Fixed F acilities and S ervices Related to A ir Transportation

Survey coverage extended to the 50 States and the D istrict of Colum bia. Data r e ­

late to the calendar year 1964 and are lim ited to irrevocable cash disbursem ents of em ployers (thus excluding amounts segregated in bookkeeping transactions over which the company 

retained control) for the com pensation o f em ployees.

Definition of T erm s *123

Com pensation, for purposes of this study, is defined as the sum of the paym ents, 

subject to F ederal withholding taxes, made by em ployers directly to their em ployees before 

deductions of any type; and the expenditures made by em ployers for legally required insurance 

program s and private w elfare plans to provide the w orker with full— or partial— econom ic 

security against a future contingency (e.g., unem ploym ent, retirem en t, m edical expense s, e tc .).

Hours paid for con sist of aggregate hours w orked, paid leave hours, rest p eriod s, 

coffee break s, and other nonleave hours paid for but not worked (such as those on duty but 

during which no w ork was perform ed) for which em ployers made d irect payments to w orkers 

during the year. See appendix C for a m ore detailed definition of total m an-hours for o p e rating em ployees. W orking tim e excludes paid leave tim e.

Expenditure ratios for "all com pan ies" represen t the expenditures for the practice 

divided by total com pensation for all com panies, both those with and without expenditures— 

w h ereas, the ratios for "com panies with expenditures for the p ra ctice " relate the same 

expenditures to the total com pensation of only those establishm ents that reported an actual 

expenditure. The expenditure rates represent the sam e expenditures divided by the c o r r e ­

sponding m an-hours.

The expenditures ratios used in the body of this report w ere obtained by using the 

follow ing form ulas:

1. Expenditures as a percent of com pensation*

____________ Expenditure for the practice____________ x 100

Total com pensation (com prised of gross payroll, 

private w elfa re, and legally required insurance 

expenditures).

2. Expenditures in cents per paid hour*

____________ Expenditure for the practice____________

Total paid hours including hours of paid leave.

3. Expenditures in cents per working hour*

____________ Expenditure for the practice____________

Total paid hours minus hours o f paid leave.

2 3

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The other term s used in this bulletin are defined on the questionnaire form s r e ­

produced in appendix C that was used in the study.

C ollection o f Data

Data w ere collected by personal visits and m ail questionnaires. P ersonal visits 

also w ere made to a sam ple o f com panies that had not responded to the two m ail requests.

Sampling P rocedures

The survey was conducted on the basis of a highly stratified probability sam ple. 

The sam ple was designed to perm it separate presentation of data for the air transportation 

industry (SIC 45) and d om estic certificated air ca rrie rs (part of SIC 451).

The list o f com panies from which the sam ple was selected was developed from lists 

maintained by the State agencies adm inistering the unem ployment com pensation law s, and 

from a list maintained by the C ivil Aeronautics Board for regulatory purposes.

The sam ple was so selected within the industry as to yield the m ost accurate e s tim ates possible with the resou rces available. This was done by requesting companywide 

reports and by including a greater proportion of larger com panies than o f sm all in the sam ple.

In gen eral, a com pany's chance o f selection was roughly proportionate to its em ­

ploym ent siz e .

Data w ere obtained from com panies that em ployed approxim ately 124,100 w ork ers— 

about 58 percent o f the total em ploym ent in the industry during 1964.

Method of Estim ation

Data for each sam ple m em ber w ere weighted in accordan ce with the probability o f 

selection of that com pany. F or instance, where 1 company out o f 2 was selected in a s iz e - 

industry cla s s , it was considered as representing itself as w ell as another com pany, i.e. , 

it was given a weight of two. Thus, if the com pany had 1,000 hours of vacation leave and

50.000 hours of paid hours of all cla ss e s, it would contribute 2,000 vacation hours and

100.000 total hours to the final estim ate.

Reporting P roblem s

Separate data by com pany and type o f supplementary com pensation p ractice w ere 

collected in m ost ca se s. H ow ever, all com panies do not keep record s in such a manner as 

to be able to furnish actual figures in this detail, and som e approxim ations had to be accepted. 

E stim ates, using colla tera l data, w ere made in certain cases w here record s w ere not kept 

or w ere sum m arized only for sp ecific p ra ctices.

It should be noted that e rro rs in the use of estim ating procedu res would have to be 

in the same d irection in each case (overstatem ent or understatem ent of actual values) to 

have a cumulative effect on the accu racy of the resu lts.

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Appendix C. Questionnaire

BLS2863

U.S. DEPARTMENT OF LABOR

BUREAU OF LABOR STATISTICS

Washington, D.C. 20212

Budget Bureau No. 44*6542 

Approval expires 6-30-66

Employer Expenditures for Selected Compensation Practices in Transportation Industries, 1964

Company Identification

Your reply w ill be 

held in confidence.

This report should cover all units of the company 

which are primarily engaged in transportation activities, and should not be limited to activities at the 

address shown. If the company was engaged in two 

or more substantially different transportation activities, e. g . , oil tanker and pipeline operations, 

separate reports should be submitted.

1. P r in c ip a l T r a n s p o r ta tio n A ctiv ity 

(Check o n l y o n e b o x )

A. | l Intercity bus line

B. I l Local or suburban transit

C. I 1 Taxicab operator

D. 1 1 Deep sea foreign transportation

E. 1 1 Other water transportation

2 . E m p lo y m e n t

For each employee category, enter the total number of full- and part-time em ­

ployees on the payroll who worked or received pay for any part of the payroll

period which included September 12, 1964, Include officers of corporations, but

exclude proprietors and partners of unincorporated firm s. Also exclude pensioners and members of the Armed Forces on active duty carried on the rolls

but not working during the period. (Definitions of the terms "operating" and

"nonoperating" employees are on page 2 of this questionnaire. If there were no

workers in one of the employee categories, enter "n one.")

Employment

Operating employees------------- -------------------------------

Nonoperating employees---------------- _ _ _ _ _ _

F. | | Marine cargo handling

G. | 1 Air transportation, certificated carrier

H. | 1 Pipelines, except natural gas

I. 1 | Other (specify) ______________

For BLS use only

Schedule

number Reg. State City

size SIC Est.

size Weight Special

char.

25

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GENERAL EXPLANATIONS

Please answer the questions which follow separately for operating and

nonoperating employees. If records do not permit reporting separate

figures for the two groups, and estimates cannot be made, enter a

combined figure and indicate that it is for operating and nonoperating

employees.

Operating Employees are supervisory and nonsupervisory employees

who work aboard moving vehicles, such as bus and taxi drivers;

marine engineers, seamen, cooks; and airline pilots. However, exclude workers who merely move vehicles to or from loading, maintenance, or parking areas and operators of construction equipment

or loading devices such as baggage or forklift trucks. Reports for

marine cargo handling should treat all pier personnel as operating

employees.

Nonoperating Employees include all supervisory and nonsupervisory

employees not classified as operating employees, such as pumpmen,

shop maintenance employees, and office workers. Reports for pipelines should treat all employees as nonoperating employees.

If the only figure available combines data for several lines on this

questionnaire, report the combined figure and bracket the lines included or otherwise indicate what is included in the figure 'reported.

If exact information is not available for an item, where possible please

provide a carefully considered estimate. If any of the figures reported are estimated, please list on page 8 the items which were

estimated and indicate how the estimates were made.

IF NO EXPENDITURES OR MAN-HOURS WERE INVOLVED DURING

1964 FOR A GIVEN ITEM, ENTER "0 " IN THE APPROPRIATE SPACE.

PLEASE DO NOT LEAVE ANY LINES BLANK.

COMPANIES IN THE AIR TRANSPORTATION, MARITIME, INTERCITY BUS, AND LOCAL TRANSIT INDUSTRIES SHOULD READ THE

ACCOMPANYING SUPPLEMENTARY EXPLANATION SHEET BEFORE

COMPLETING THIS QUESTIONNAIRE.

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3 . P a y m e n ts M a d e D ir e c tly to E m p lo y e e s a s P a rt o f th e P a y ro ll in 1 9 6 4

In this section report only payments which were part of the company's 1964 gross

payroll. Include only payments to employees as defined in Item 2. Do not report

payments to funds, trustees, insurance companies, or government agencies; these

payments should be reported in Item 5.

A. Gross Payroll;

Enter total employee earnings during 1964,

before deductions. This amount should equal the

sum of the figures shown on individual employees' W -2 forms under the heading "Total

Employer payments to L

Operating

employees

Nonoperating I

employees N

E

$ 1

B. Paid Leave:

Enter total amounts paid directly to employees

for each type of leave. Include payments under

formal plans and informal salary continuation

plans. If employees worked on paid holidays or

during vacations and received both pay instead

of time off and pay for work performed, include

here only the pay in lieu of time off.

1. Vac at ions-----------------—-----------—— —------—-----—— — 2

2. Holidays —--------------------------------------------------------------

3. Sick leave--------------------------------------------------------------

4. Military, jury, witness, voting, and personal

leave (excluding pay for serving as a witness

for the employer) —----------------- —----------------— ------

3

4

5

C. Premiums Above Regular Pay:

1. Premium pay for overtime, weekend, and

holiday work.

Enter total payments above the regular

straight-time pay for work performed. For

example, if overtime is paid for at time and

one-half, report only the half-time here.

For work on holidays, exclude pay at the

regular rate for work performed and pay in

lieu of time off; report only payments above

these sums (that is, if total pay for holiday

work is double time and one-half, include

only the half-time pay here) —-------------------------—

2. Shift differentials.

Enter total payments above rates for the day

shift. If late-shift workers receive 8 hours'

pay for 7*/z hours' work, compared with

8 hours' work for the day shift, report the

Vz hour's pay as a shift differential-------------------

6

7

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D.

E.

Nonproduction Bonuses:

Report total cash bonus payments that were not

directly related to employees' production. Include yearend and Christmas bonuses and

attendance, longevity, safety, suggestion, merit,

and related awards. Also include cash from

profit-sharing plans actually paid out to employees in 1964 in the form of bonuses. Exclude

production incentive payments, commissions,

premiums for hazardous work, cost-of-living

adjustments, terminal payments (reported below

in Item 3-E), payments for educational assistance, per diem, expense account payments, and

payments in the form of merchandise -------------------

Terminal Payments:

Report total payments made directly to employees because of temporary or permanent severance of employment. Include lump-sum cash

payments made to retiring employees. Exclude

payments to funds, trustees, or insurance

companies------------------------------------------------------------------

Employer’ payments to

Operating Nonoperating

employees employees

$ $

4 . M a n -h o u r s P a id F o r in 1 9 6 4

Report as total hours paid for those hours for which the payments reported in

Item 3-A were made. They consist of hours on duty (operating employees) or

paid for hours at the workplace (nonoperating employees), additional hours paid

for to make up guarantees, and the man-hours equivalent to direct employer payments for leave time. Do not convert overtime or other premium paid hours to

straight-time equivalent hours. Do not include hours equivalent to payments by

funds, trustees, or insurance companies.

Report as paid leave hours the man-hours for which the leave pay entered in

Item 3-B was made. Report only the man-hours equivalent to the pay received.

For example, if an employee who is regularly paid $2 an hour was given $5 for

a day's absence, report hours ($5 ~ $2).

A. Total Hours Paid For, Including Paid

Man-hou

Operating

employees

hrs.

rs paid for

Nonoperating

employees

hrs.

B. Paid Leave Hours:

1. Vacations-----------------------------------------------------------

2. Holidays —— —--------------------------------— ------————

3. Sick leave —------------------------------- —----------------- -----

4. Military, jury, witness, voting, and

personal leave (excluding pay for serving as

a witness for the employer)------------------------------

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5 . E m p lo y e r E x p e n d itu r e s in A d d itio n to P a y ro ll in 1 9 6 4

Private Welfare Plans:

Enter total employer expenditures for the plans listed below. Exclude employee contributions, employer payments already reported as payroll expenditures, those for legally required programs, and administrative costs (including actuarial and legal expenses) incurred by the company. Include

payments to funds, trustees, insurance companies, employees or their beneficiaries, and to plans financed through profit sharing. However, exclude

payments made by funds, trustees, or insurance companies and income earned

by funds. For payments to insurance carriers report only net expenditures

( i.e ., premiums less refunds). Include payments for current employees,

employees on layoff status, retired employees, and dependents of these em ­

ployee groups.

1. Health, accident, and life insurance.

Enter payments for life insurance; accidental death and dismemberment insurance;

death benefits; travel accident insurance;

hospitalization, surgical, medical, major

medircal, dental, optical, and drug plans; and

sickness and accident (wage and salary continuance) insurance. Exclude expenditures

for in-plant medical facilities-------------------------

2. Pension and retirement plans.

Include direct payments to pensioners under

a pay-as-you-go plan. For funded plans,

report payments in 1964 for past and

current service liabilities. Include payments under profit-sharing plans deferred

until retirement and payments for disability retirement programs-----------------------------

3. Vacation and holiday funds----------— ----------------

4. Severance or dismissal pay funds and/or

supplemental unemployment benefit funds . —

5. Savings and thrift plans (including company

expenditures for contributions in the form

of stock)---- -— -------------------------------- -------- — -----

6. Automation funds.

Report here payments to special automation

funds. Do not include these payments elsewhere on the questionnaire. For example,

if an automation fund provides retirement

benefits, report the payment to the fund

here and not in Item 5 - A -2, above. (However, do not report regular payments to

a retirement fund h ere.) Specify the name

of the automation fund and the benefit

provided. ______________________________________

7. Other (specify) _______________________________

Employer

expenditures for

Operating

employees

Nonoperating

employees

$ $

L

I

N

E

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B. Legally Required Insurance:

Report the company's net liability for 1964 under employee benefit programs

required by law. Exclude employee contributions. Report payments to government agencies, insurance companies, and directly to workers unde* selfinsured plans. Report net insurance premiums (i. e. , premiums less refunds).

If a self-insured plan was in effect, exclude the company's administrative

costs. Report the liability incurred in 1964 rather than the amount actually

paid during 1964. Do not report any expenditures that were entered in Item 3

as payroll expenditures.

L

I

N

E

1. Payments for pension programs (Social

Security and Railroad Retirement)--------

2. Unemployment insurance (State unemployment compensation and Railroad Unemployment Insurance)—

a. Payments to Federal Government------------

b. Payments to State government-----------------

3. Payments for work-connected disability.

Include payments under workmen's compensation laws, payments in companies subject to the Federal Employers' Liability Act,

and payments into the Ohio Disabled

Workmen's Relief Fund------------------------------------

Other, including State temporary disability

insurance.

Specify type of payment reported. If obligations under a State temporary disability

insurance law were met by employer expenditures reported elsewhere on this questionnaire, enter "O " and indicate the item

containing the expenditure. __________________

Employer

expenditures for

Operating

employees

Nonoperating

employees

$ $

6 . E sta b lis h m e n t P r a c t ic e s a n d P o lic ie s

A. Paid Holidays Observed During 1964:

Enter number of days per employee. If more than one practice existed in

an employee category, report that which applied to the greatest number in

the category. Do not include days for which premium rates were paid if work

was performed, but no pay was given if the days were not worked.

1. Full-day holidays---------------------------------

2. Half-day holidays---------------------------------

Days per employee

Operating

employees

Nonoperating

employees

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B. Paid Vacations:

Report below the approximate number of employees who received vacation pay

directly from the company according to the amount of pay received during 1964

and not the time taken l:or vacation. If vacation pay was not a direct multiple of

weekly or hourly rates, report according to the number of weeks equivalent

to the pay received. For example, if the amount of vacation pay was a percentage of annual earnings, report payments of about 2 percent as 1 week's

vacation pay, about 4 percent as 2 weeks' pay, etc. Exclude employees

whose vacation payments were received from funds.

Number of employees receiving—

Employee

category No

vacation

pay

Under

1 week's

pay

1 and

under

2 weeks'

pay

2 and

under

3 weeks'

pay

3 and

under

4 weeks1

pay

4 and

under

5 weeks1

pay

5 weeks'

pay or

more

Operating

Nonoperating

L

1 

N

E

1

2

C. Welfare and Pension Plans (Other Than Legally Required):

1 Were any employees covered by a private ____________________________

plan paid entirely or in part by the com- Operating Nonoperating

pany (other than company payments for employees employees

administrative expenses)? (Answer "y e s"

if there were such plans even if there (Check one ) (Check one)

were no employer expenditures in 1964.)

Yes No Yes No

a. Health, accident, or life insurance (as

defined in Item 5 - A - l ) ------------ ----------------

b. Pension or retirement benefits (as

defined in Item 5 - A - 2) -------------------------------

2. If "y e s" was answered to either or both parts

of C -l, did any employees contribute to the

costs of any of the benefits? (Check "n o" if

employee contributions only purchased supplemental benefits or dependents1 coverage.)

a. Health, accident, or life insurance------------ □ □

b. Pension or retirement benefits *_______ — □ □

 □ 5

□ □ 6

D. Collective Bargaining Agreements:

Did collective bargaining agreements cover a . _ _

majority of the nonsupervisory em ployees?_______ □ □ a a 7

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E. Normal Workweek for Nonoperating Employees:

How many hours per week were normally worked by the majority of employees

in each of the following categories (or the workweek applying to the largest

number of employees if no single workweek applied to a majority)? What

was the approximate average number of persons employed in each category?

1. Nonsupervisory clerical workers-----

2. Other nonsupervisory (nonoperating)

em ployees-------—---------------------------------

3. Executive, professional, and

supervisory employees.---------------------

Number of

hours per

week

Average

number of

employees

Remarks

List the items for which data were estimated and indicate the method of estimation.

Include any other pertinent explanation of the data you have reported.

Authorizing official______________________________________ Title_______________Date_________

(Please print or type)

Do you want a copy of the Bureau's report for this survey?--------- Yes □ N° □

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Employer Expenditures for Selected Compensation

P ractices in Transportation Industries, 1964

Supplemental Explanations for Airlines

Scope of Report

Foreign flag airlines should report data only for employees

based and paid in the United States.

Operating and Nonoperating Employees

For purposes of this survey, stewards and stewardesses are

to be considered as nonoperating employees.

Premium Pay for Overtime, Weekend, and Holiday Work

Report in Item 3 -C -l premiums above regular pay for work

outside regular straight-time working hours. Include such items as

premiums for flying on scheduled days off and for transcontinental

nonstop flights over 8 hours. Exclude premium or penalty pay not

related to the hours at which work is performed, for example, premiums for international override or for offshore operations.

Severance or Dismissal Pay

Include furlough pay.

Total Man-Hours

For operating employees, report as total hours paid for,

hours on duty plus other hours paid for, such as paid leave hours

and time involved in guaranty allowances. Hours on duty consist of

actual flight hours plus other hours in the employer^ service (whether

directly paid for or not) such as required duty periods before and

after flight time, training time, time spent in deadheading at the

employees direction, and time spent in surface transportation between

terminals.

* U.s. GOVERNMENT PRINTING OFFICE : 1967 0-280-643

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O th er B L S P u b lic a tio n s on C o m p ensation E xp e n d itu re s

and P a y ro ll Hours

Bulletin

number Price

1561 Compensation Expenditures and Payroll Hours:

Motor Passenger Transportation Industries, 1964

(1967). 40 cents

1528 Compensation Expenditures and Payroll Hours:

Pipelines, 1964 (1967). 25 cents

1470 Supplementary Compensation for Nonproduction

Workers, 1963 (1965). 70 cents *

1428 Employer Expenditures for Selected Supplementary

Compensation Practices for Production and Related

Workers; Composition of Payroll Hours: Manufacturing

Industries, 1962 (1965). $1.00

1419 Employer Expenditures for Selected Supplementary

Remuneration Practices in Finance, Insurance, and

Real Estate Industries, 1961 (1964). 45 cents

1413 Employer Expenditures for Selected Supplementary

Compensation Practices for Production and Related

Workers, Meatpacking and Processing Industries,

1962 (1964). 25 cents

1332 Employer Expenditures for Selected Supplementary

Remuneration Practices for Production Workers in

Mining Industries, I960 (1963). 45 cents *

1308 Employer Expenditures for Selected Supplementary

Remuneration Practices for Production Workers in

Manufacturing Industries, 1959 (1962). 65 cents *

* Out of print. These bulletins are generally available for reference

purposes at leading public, college, or university libraries, or in the Bureau's

regional offices,

NOTE: Publications may be ordered from the Superintendent of Documents,

U.S. Government Printing Office, Washington, D. C ,, 20402, or from the Bureau's

regional offices. (See inside front cover for addresses.) A 25-percent discount

is given for bundle orders of 100 copies or more.

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