Montana labor news., 1949-04-14
|State Federation Of Labor Opposition
To Freight Rate Increase Upheld

10 the operating cost 81 sad ran
roads, and
Whereas, increasing the cost OF
freight and passenger rates. iur-
Their increases the cost OF living
therefore be it
Resolved, that the delegates OF
this convention do herewith mstrsct
the Executive President and Exec
utivc Board OF this Federation to
notify members OF Montana Rail-
road Commission that this conven-
ton protests against the said Mon
tana Railroad Commission granting
any further increase in freight or
passenger rates and be it further
Resolved. that copies Of these
resolutions be sent to each mem
Der OF the Montana Railroad Com
mission and to the Montana mem
bers of Congress.
Decision OF the commission to
respect the requests al the railroad
Tor increased rates at this tim
marked a reversal OF past policy.
All previous applications TO bring
intrastate rates up TO those ap-
proved for interstate commerce had
been allowed in full or in part.
Three Major Grounds
The denial was on three major
grounds
|. Further interstate rate i'll
creases undoubtedly would tend
to divert additional business to
private carriers and shipper owned
trucks.
?. The ICC now is conducting
regional hearings on application
OF T.. nations railroads Tor Is
per cen permanent increase and
final arguments are scheduled in
May New dates gathered by the
lCC is expected to aid i'll a decision
on equitable readjustment OF intra-
state rates OF a permanent nature,
g.. The temporary advantage that
Montana shippers may have as a
result OF lower interstate rates
will help them overcome the eco
nomic handicap OF being in a long
haul territory.
The commission in denying :
request OF railroads for a / pei
cent temporary increase in ircigh
rates to conform to a boost re
Gently approved by the interStat,
commerce commission explained it
decision is without prejudice o
further order oil the ICC.". following
! a series Of regional hearing nov
: underway.
The motor carriers request 10
} a like increase was denied on tn
; grounds that in the absence Of
boost for the railroads it woul
I, mean disruption of the present com
! petitive status Of the two types c
carriers.
General Boost Denied
General 10 per cent increase i
: bus fares was denied but som
; boosts for noncompetitivc line
serving s%parsely settled areas wer
approved.
y The commission denied the ar
Y plications of the Burlington Trans
y portation Co.. Northland an
I Northwest Greyhound lines. Inter
mountain Transportation Co., an
III. II. Owings, who operates in con
d petition with 1nterm-umtain betwe'
Elmo and Kalispell.
1t approved a 10 per cent i
crease and establishment OF a 2
cent minimum fare for Glaci
al Transportation Co, Canyon Tran
ed ~portation Co, Roundup Tram
k Co.. Yellowstone Trail bus lii
a Powder River bus lines, Stend
he Transportation. Heinz bus line a
an Neville Transit Co., except on sc
no tons Of their routes. where tn
n are in competition with the lare
he operators.
H. On the denial OF bus rate
~crcascs the commission reported
mt major companies, most of viii
m operate in interstate commerce, h
a. shown no breakdown Of costs
an between business within the ST
nd and out but that generally Il
IN showed revenue per mile exceed
the cost per mile.