$4,126,848.26 less than in 1932 and that total operating expenses
in 1933 were $4,201,599.36 less than in 1932. The reduction in
operating expenses is due in large part to the ten percent (10%)
reduction in the salaries and wages of all officers and employees
of the System that became effective in August 1932, and in the
case of the surface lines part of the reduction in operating cost
is due to the extension of the use of one-man cars in place of
two-men cars. In addition, both on the rapid transit and surface
lines, progress has been made during the year in centralizing and
concentrating maintenance work so as to reduce unit costs without
any impairment of efficiency and without reducing the reserves for
depreciation. In bringing about this reduction in operating ex¬
penses commensurate with the decrease in revenues, each company
of the System has followed the policy of maintaining its staff of
employees at the same level as a year ago (except as to resignations,
retirements, deaths or dismissals for cause) and has endeavored to
spread the work available as equitably as possible among all em¬
ployees qualified for the various classes of work so that no undue
hardship would be imposed on any group of employees. While the
carrying out of this policy has resulted in a reduction of hours
worked per week for some employees, it has prevented any increase
in the general unemployment situation that has been so critical
during the past year. It is also worthy of note that the ten percent
(10%) reduction in wages effective in August 1932 is the only gen¬
eral reduction in wages for employees of the B-M.T. System that
has been made since the business depression began in 1929.

The total number of fare passengers carried on all lines of the
B-M.T. System—rapid transit lines, surface lines and bus routes—
during the fiscal year ended June 30, 1933, was 1,049,930,822, a
decrease of 78,487,851 passengers or 6.95% from the preceding
fiscal year.

RAPID TRANSIT LINES

The total number of fare passengers carried on the rapid
transit lines in the fiscal year ended June 30, 1933, was 612,998,307,
a decrease of 40,826,103 passengers or 6.2% from the preceding
fiscal year and a decrease of 101,435,309 passengers or 14.2% from
the fiscal year ended June 30, 1930, which was the year of maximum
trafiic on the rapid transit lines.

The total car miles operated in the 1933 fiscal year was
99,050,476, a decrease of 5,194,842 car miles or 5.1% from the
total car miles operated in the year ended June 30, 1930.