[Code of Federal Regulations]
[Title 29, Volume 3]
[Revised as of July 1, 2004]
From the U.S. Government Printing Office via GPO Access
[CITE: 29CFR782.8]

[Page 646-647]
 
                             TITLE 29--LABOR
 
         CHAPTER V--WAGE AND HOUR DIVISION, DEPARTMENT OF LABOR
 
PART 782_EXEMPTION FROM MAXIMUM HOURS PROVISIONS FOR CERTAIN EMPLOYEES OF 
MOTOR CARRIERS--Table of Contents
 
Sec. 782.8  Special classes of carriers.

    (a) The Interstate Commerce Commission consistently maintained that 
transportation with a State of consumable goods (such as food, coal, and 
ice) to railroad, docks, etc., for use of trains and steamships is not 
such transportation as is subject to its jurisdiction. (New Pittsburgh 
Coal Co. v. Hocking Valley Ry. Co., 24 I.C.C. 244; Corona Coal Co. v. 
Secretary of War, 69 I.C.C. 389; Bunker Coal from Alabama to Gulf Ports, 
227 I.C.C. 485.) The intrastate delivery of chandleries, including 
cordage, canvas, repair parts, wire rope, etc., to ocean-going vessels 
for use and consumption aboard such vessels which move in interstate or 
foreign commerce falls within this category. Employees of carriers so 
engaged are considered to be engaged in commerce, as that term is used 
in the Fair Labor Standards Act. These employees may also be engaged in 
the ``production of goods for commerce'' within the meaning of section 
3(j) of the Fair Labor Standards Act. See cases cited in Sec. 782.7(c), 
and see Mitchell v. Independent Ice Co., 294 F. 2d 186 (C.A. 5), 
certiorari denied 368 U.S. 952, and part 776 of this chapter. Since the 
Commission has disclaimed jurisdiction over this type of operation (see, 
in this connection Sec. 782.7(b)), it is the Division's opinion that 
drivers, driver's helpers, loaders, and mechanics employed by companies 
engaged in such activities are covered by the wage and hours provisions 
of the Fair Labor Standards Act, and are not within the exemption 
contained in section 13(b)(1). (See Hansen v. Salinas Valley Ice Co. 
(Cal. App.), 144 P. (2d) 896.)
    (b) Prior to June 14, 1972, when the Department of Transportation 
published a notice in the Federal Register (37 FR 11781) asserting its 
power to establish qualifications and maximum hours of service of 
employees of contract mail haulers, thereby reversing the long-standing 
position of the Interstate Commerce Commission, the Administrator of the 
Wage and Hour Division had taken the position that employees engaged in 
the transportation of mail under contract with the Postal Service were 
not within the exemption provided by section 13(b)(1) of the Fair Labor 
Standards Act. As the result of the notice of June 14, 1972, the 
Administrator will no longer assert that employees of contract mail 
carriers are not within the 13(b)(1) exemption for overtime work 
performed after June 14, 1972, pending authoritative court decisions to 
the contrary. This position is adopted without prejudice to the rights 
of individual employees under section 16(b) of the Fair Labor Standards 
Act.
    (c) Section 202(c)(2) of the Motor Carrier Act, as amended on May 
16, 1942, makes section 204 of that act ``relative to qualifications and 
maximum hours of service of employees and safety of operations and 
equipment,'' applicable ``to transportation by motor vehicle by any 
person (whether as agent or under a contractual arrangement) for a * * * 
railroad * * * express company * * * motor carrier * * * water carrier * 
* * or a freight forwarder * * * in the performance within terminal 
areas of transfer, collection, or delivery service.'' Thus, drivers, 
drivers' helpers, loaders, and mechanics of a motor carrier performing 
pickup and delivery service for a railroad, express company, or water 
carrier are to be regarded as within the 13(b)(1) exemption. (See 
Levinson v. Spector Motor Service, 330 U.S. 649 (footnote 10); cf. 
Cedarblade v. Parmelee Transp. Co. (C.A. 7), 166 F. (2d) 554, 14 Labor 
Cases, par. 64,340.) The same is true of drivers, drivers' helpers, 
loaders, and mechanics employed directly by a railroad, a water carrier 
or a freight forwarder in pickup and delivery service. Section 202(c)(1) 
of the Motor Carrier Act, as amended on May 16, 1942, includes employees 
employed by railroads, water carriers, and freight forwarders, in 
transfer, collection, and delivery service in terminal areas by motor 
vehicles within the Interstate Commerce Commission's regulatory power 
under section 204 of the same act. See Morris v. McComb, 332 U.S. 422 
and Sec. 782.2(a). (Such employees of a carrier subject to part I of 
the Interstate Commerce Act may come within the exemption from the 
overtime requirements provided by section 13(b)(2). Cf. Cedarblade v. 
Parmelee Transp. Co. (C.A. 7), 166 F. (2d) 554, 14

[[Page 647]]

Labor Cases, par. 64,340. Thus, only employees of a railroad, water 
carrier, or freight forwarder outside of the scope of part I of the 
Interstate Commerce Act and of the 13(b)(2) exemption are affected by 
the above on and after the date of the amendment.) Both before and after 
the amendments referred to, it has been the Division's position that the 
13(b)(1) exemption is applicable to drivers, drivers' helpers, loaders, 
and mechanics employed in pickup and delivery service to line-haul motor 
carrier depots or under contract with forwarding companies, since the 
Interstate Commerce Commission had determined that its regulatory power 
under section 204 of the Motor Carrier Act extended to such employees.
    (d) The determinations of the Interstate Commerce Commission 
discussed in paragraphs (a), (b), and (c) of this section have not been 
amended or revoked by the Secretary of Transportation. These 
determinations will continue to guide the Administrator of the Wage and 
Hour Division in his enforcement of section 13(b)(1) of the Fair Labor 
Standards Act.

[36 FR 21778, Nov. 13, 1971, as amended at 37 FR 23638, Nov. 7, 1972]