TAXICAB MERGER

New Zealand Herald, Volume LXXI, Issue 21882, 18 August 1934, Page 10

TAXICAB MERGER

OWNER-DRIVERS COMBINE

A LARGE ORGANISATION REDUCING OVERHEAD COSTS LARGE AREA TO BE SERVED An important merger of ownerdrivers of taxicabs in Auckland has been arranged, and will tako place in the course of the next few days, as a result of which a fleet of over 160 cars will operate under the Atta organisation. Owner-drivers of the Chess and Auto companies, together with all the assets of their concerns, are to be taken over, while, according to present indications, at least 50 Checker cabs will augment the Atta fleet.

The manager of tho Atta company, Mr. G. H. Boclger, said last evening that his company's fleet comprised 70 cars, each owned by an owner-driver. Under tho company's regulations, no owner-driver was allied more than ono share and, since the formation of the fleet not quite threo years ago, tho shares had increased considerably in value. There had been a movement on foot for somo time to combine all the owner-drivers of Auckland into one large company and, with the proposed absorption of the Chess and Auto concerns, involving tho change-over of about 45 cabs, a number of ownerdrivers in tho Checker company had undertaken that they also would reinforce the Atta company. Telephone Systems

"The new arrangement will enable a substantial reduction in overhead," Mr. Rodger said. "At present there is costly duplication of telephone systems. The Atta company alone is paying to the Post and Telegraph Department £6OO a year in telephone rentals. The development of one large system will mean a considerable saving, resulting in a corresponding reduction in tho weekly payments made by the drivers toward the expense of tho call system. It will also enable us to extend our activities to St. Heliers Bay, Mission Bay, Kohimarama, Onehunga and Avondale —districts which are at present outside our own telephone area and to obviate the extra charges outside the existing five-mile limit. ''The whole scheme will enable tho provision of a better service to the public, while the actual owners will ba working for themselves under the same control which our central organisation exercises at present." Question of Fares

The question of fares had not yet entered into the discussions, Mr. Rodger continued, but in view of the fact that the new arrangement was expected to prove more economical a reduction. in the general rates was probable. It was not yet known when the arrangements would be finalised and the full change-over would take place, but for a time, at any rate, Chess. Auto and Checker cabs which joined the Atta organisation would bo distinguished by the Atta sign and a grey band in place of the colours of the other companies.