UNIVERSITY OF FLORIDA 

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3 1262 08482 9844 

NATIONAL RECOVERY ADMINISTRATION 

CODE OF FAIR COMPETITION 

FOR THE 

MEN'S CLOTHING INDUSTRY 

AS SUBMITTED TO THE ADMINISTRATOR JULY 19, 1933 

AND AS APPROVED BY PRESIDENT ROOSEVELT 

ON AUGUST 26, 1933 

REGISTRY No. 216-1-06 

W& DO OUR PART 

' . . . 0 - -

UNITED STATES 

GOVERNMENT PRINTING OFFICE 

WASHINGTON : 1933 

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EXECUTIVE ORDER 

CoDE OF FAIR CoMPETITION FOR THE MEN's CLoTHING INDUSTRY 

An application having been duly made, pursuant to and in full 

compliance with the provisions of Title I of the National Industrial 

Recovery Act, approved June 16, 1933, for my approval of a Code of 

Fair Competition for the Men's Clothing Industry, and hearings 

having been held thereon and the Administrator having rendered 

his report containing an analysis of the said Code of Fair Competition 

together with his recommendations and findings with respect thereto, 

and the Administrator having found that the said Code of Fair Competition complies in all respects with the pertinent provisions of Title 

I of said Ac-t and that the requirements of clauses (1) and (2) of subsection (a) of Section 3 of the said Act have been met: 

Now, therefore, I, Franklin D. Roosevelt, President of the United 

States, pursuant to the authority vested in me by Title I of the 

National Industrial Recovery Act, approved June 16, 1933, and otherwise, do adopt and approve the report, recommendations, and findings 

of the Administrator and do order that the said Code of Fair Competition be and it is hereby approved. 

(Signed) FRANKLIN D. ROOSEVELT. 

(Signed) HuGH S. JoHNSON, 

Administrator. 

THE WHITE HousE, 

August 26, 1933. 

(1) 
CODE OF FAIR COMPETITION FOR THE MEN'S CLOTHING 

INDUSTRY 

To effectuate the policy of Title I of the National Industrial Recov- ery Act, during the period of the emergency, by reducing and relieving 

unemployment, improving the standards of labor, eliminating competitive practices destructive of the interests of the public, employees, 

and employers, relieving the disastrous effects of overcapacity, and 

otherwise rehabilitating the Clothing Industry and by increasing the 

consumption of industrial and agricultural products by increasing 

purchasing power, and in other respects, the following provisions are 

established as a code of fair competition for the Clothing Industry: 

I-DEFINITIONS 

The term ''Clothing Industry" as used herein is defined to mean 

the manufacture of men's, boys', and children's clothing, uniforms, single knee pants, single pants, and men's summer clothing (exclu ive 

of cotton wash suits). 

The term "effective date" as used herein is defined to be the ele\ - enth day of September 1933. 

The term " persons" shall include, but without limitation, natural 

persons, partnerships, associations, and corporations. 

II 

On and after the effective date, the minimum wage paid by employers in the Clothing Industry to any of their manufacturing em- ployees shall be at the rate of forty cents (40¢) per heur when em- ployed in the northern section of tbe Industry, and at the rate of 

thirty-seven cents (37¢) per hour when employed in the southern 

section of the Industry; and to any nonmanufacturing employee the 

minimum weekly wage paid shall be fourteen dolhtrs ($14.00) in the 

northern section and thirteen dollars ($13.00) in the southern section. 

"Southern section" shall include Alabama, Arkansas, Georgia, Louisiana, Mississippi, North Carolina, Oklahoma, South. Carolina, 

Tennessee, and Texas. 

The minimum wage paid by employers to employees working on 

single knee pants shall be at the rate of thirty-seven cents (37¢) per 

hour. 

(a) On and after the effective date, the minimum wage which shall 

be paid to cutters shall be at the rate of One Dollar ($1.00) per 

hour, and the minimum wage which shall be paid to off-pressers shall 

be at the rate of seventy-five cents (75¢) per hour. 

(b) The existing amounts by which wages in the higher-paid 

classes, up to classes of employees receiving Thirty Dollars ($30.00) 

per week, exceed wages in the lowest-paid substantial cla8ses shall 

be maintained. 

(2) 
3 

(c) Any increa.se of the n1inin1um wage made effective between the 

date of the filing of this Code, to wit, July 14, 1933, and the effective 

date, shall be disregarded and shall have no effect in connection with 

determining the wages to be paid in the higher-price classes as provided for in Section II (b) above. 

(d) The Men's Clothing Code Authority may appoint a committee 

to supervise the execution of the foregoing provisions. 

(e) The provisions for the minimum wage established in this Code 

shall constitute a guaranteed minimum rate of pay in connection with 

both a time rate or a piecework basis of compensation. 

(f) No increases in the amount of production or ·work shall be 

required of employees for the purpose of avoiding the benefits to 

employees prescribed by this Code in respect of wages and hours of 

employment. 

All requirements in respect of such increases shall be reported to 

the Men's Clothing Code Authority. 

III 

Three (3) months after the effective date a manufacturer shall not 

be permitted to have work done or labor performed on any garment or 

part thereof in the home of a worker. All work done for a manufacturer on a garment or part thereof shall be done in what is commonly 

known as an inside shop or in a contracting shop. 

IV 

On and after the effective date, the hours of employment for employees in the Clothing Industry, except repair shop crews, engineers, 

electricians, firemen, office and supervisory staff, stock clerks, shipping clerks, truck drivers, porters and watchmen, and except employees engaged in bona fide managerial or executive capacities shall not 

exceed thirty-six (36) hours per week nor eight (8 ) hours per day. 

Employers shall not operate productive machinery in the Clothing 

Industry more than one shift of thirty-six (36) hours per week. 

It is intended that the foregoing provisions for maximum hours shall 

establish the maximum hours of labor per week of every employee, 

other than those employees excepted therein, so that under no circumstances will an employee be employed or be permitted to work for 

any one or more employers in the Industry an aggregate L"l excess of 

the prescribed number of hours in any single week. 

Repair shop crews, engineers, electricians, firemen, office and supervisory staff, stock clerks, shipping clerks, truck drivers, porters, and 

watchmen shall not work in excess of an average of forty (40) hours 

per week during any year beginning with the effective date. It is intended that employees' wages shall not be reduced by reason 

of the reduction of the prescribed number of hours of employment. 

Tailoring to the Trade and manufacturers of uniforms shall be 

permitted overtime at regular rates during peak seasons, the number 

of hours and the number of weeks to be determined by The Men's 

Clothing Code Authority. 

v 

All garments manufactured or distributed shall bear an N.R.A. 

label, which shall remain attached to such garments. Such labels 
4 

shall bear a registration number specially assigned to each manufac· 

turer in the Industry. The privilege of using such labels shall be 

granted and such labels shall be issued to any manufacturer from time 

to time engaged in the Clothing Industry upon application therefor 

to the Code Authority, accompanied by a statement of compliance 

with the standards of operation prescribed by thi~ Code. The privilege of using such labels and the issuance thereof may be withdrawn 

and cease or may be suspended in respect of any such manufacturer 

whose operations, after appropriate hearing by The Men's Clothing 

Code Authority and review by the Administrator, shall be found to 

be in substantial violation of such standards. Manufacturers shall 

be entitled to obtain and use such labels if they comply with the provisions of this Code. 

The Men's Clothing Code Authority may establish appropriate 

machinery for the issuance of sucll labels in accordance with the 

foregoing provisions. 

VI 

On and after the effective date, employers in the Clothing Industry 

shall not employ any minor under the age of sixteen (16) years. 

VII 

Safe, h ealthful, and otherwise satisfactory working conditions shall 

be provided for all employees, which conditions shall as a minimum 

comply with the highest standards respecting sanitation, cleanliness, 

light, and safety specified in the Factory Laws of any State in which 

the manufacturer operates. 

VIII 

With a view of keeping the President informed as to the observance 

or nonobservance of this code of fair competition, and as to whether 

the Clothing Industry is taking appropria te steps to effectuate the 

declared policy of the National Industrial Recovery Act, each person 

engaged in the Clothing Industry will furnish every four weeks duly 

certified reports showing in substance: 

(a) Pay-roll data, showing by sex and occupation, number of people 

employed, number of hours worked, and the rates of wages paid. 

(b) Production data showing the number and type of garments cut 

and made up, in such form as may hereafter be provided by the Men's 

Clothing Code Authority. 

The Men's Clothing Code Authority as hereinafter provided 1s 

constituted the agency to collect and receive such reports. 

IX 

Where the costs of executing contracts already entered into in the 

Clothing Industry are incre.ased as a result of the enactment of the 

National Industrial Recovery Act and by the provisions of this Code, 

it is equi,table and promotive of the purposes of the Act that appropriate adjustments of such contracts to reflect such increased costs. be 

arrived at by arbitral proceedings or otherwise and the Men's Clothing 

Code Authority, as hereinafter provided, is designated to assist in 

effecting such adjustments. 
5 

X 

On and after the effective date, it shall be unfair competition for 

any manufacturer in the Clothing Industry, either directly or indirectly, to sell its manufactured product at a price below its cost as 

deternuned without any subterfuge in accordance with sound accounting practice. Cost shall include the cost of piece goods consumed, 

trimmings, cutting, and making; and a percentage on the selling 

price to cover all overhead. 

There shall be excepted, however, from the provisions of this 

Section, seasonal clearances of merchandise, and the following dates 

are fL1(ed for such seasonal sales: 

Wool Suits, Spring Season _____ __________ ______ On and after May 15th. 

Wool Suits, Fall Season _______________________ On and after November 15th. 

Summer Clothing ____________________________ On and after June 15th. 

Overcoats ___________________________________ On and after December 15th. 

Dropped lines or surplus stocks, sometimes designated as 

"closeouts", or inventories which must be converted into cash to 

meet immediate needs, may be sold on dates prior to those mentioned 

in the preceding clause, at such prices as are necessary to move the 

merchandise into "Buyers' hands. However, all such stocks must 

first be reported to the Men's Clothing Code Authority. 

XI 

On and after the effective date, no contractor shall be permitted 

to contract for the n1a.nufacture of any garment or part thereof at 

a price below its cost as determined without any subterfuge in accordance with sound accounting practice, the cost to include a percentage 

on the contract price to cover general overhead. 

XII 

The following rules of fair trade practices are hereby established 

for the clothing industry: 

(a) The sale of garments on consignment is prohibited as an unfair 

method of competition. The term "consignment" as herein used 

shall include the delivery by a manufacturer to any distributor, as 

agent, purchaser, or otherwise, under any agreement or understanding, 

expressed or implied, pursuant to which the seller retains any lien 

upon or title to or interest in the goods delivered, or pursuant to 

which the distributor may at his option return any of the goods or 

claim any credits with respect thereto. This prohibition shall not 

apply to contracts entered into prior to July 14, 1933, the term of 

which expires within one year from the date of the enactment of the 

National Industrial Recovery Act. 

(b) A manufacturer or a contractor shall not make garments from 

fabrics, trimmings, and/or other materials owned or supplied by a 

retail distributor or the agent, representative, or corporate subsidiary 

or affiliate of such retail distributor; nor shall he manufacture garments from fabrics, trimmings, and/or other materials, the purcha e 

of which is made upon the credit of or the payment for ' hich is 

guaranteed by such retail distributor or the ao- nt, r presentativ , or 

corporate subsidiary or affiliate of such retail distributor. This sec-
6 

tion shall not prohibit the operations of retail distributors owmng 

and operating their own plants, shops, or factories who distribute 

products manufactured therein directly to consumers. 

XIII 

A board known as The Men's Clothing Code Authority shall be 

established, and for the purpose of effecting membership therein. 

representative of the entire industry, such Board shall be constituted 

as follows: 

Ten (10) members representative of. members of The Clothing 

:1tlanufacturers A sociation of the United States of America, and 

Five (5) members representative of employers in the Clothing 

Industry who are not members of The Clothing Manufacturers 

Association of the United States of America, shall be appointed by 

this Association. 

Two (2) members representative of other employers may be chosen 

by the foregoing members. 

Five (5) members representative of labor shall be appointed by the 

Administrator on nomination by the Labor Advisory Board. 

One (1) member may be appointed by the Administrator. 

Subject to the approval of the Administrator, The 11en's Clothing 

Code Authority shall have responsibility for the n.dm.inistration and 

the enforcement of the provisions of this Code, the standard of opera- tion set forth therein, and all appropriate rules and regulations made 

puJ'suant thereto. 

In connection with such responsibility The 11en's Clothing Code 

Authority shall have the following authorities and powers: 

(a) Authority and power to examine all books of accounts and 

record of employers in the Clothing Industry so far as practicable 

for the purpose of ascertaining their respecti e observance or non- observance of the provisions of this Code and the standards of 

operation set forth therein. 

(b) Authority and power to cooperate, so far as possible, with the 

Administrator in making investigations as to the functioning and 

observance of the provisions of this Code and the standards of 

operation set forth therein, at its own instance or on complaint by 

any person affected, and to report its findings to the Administrator. 

(c) Authority and power to investigate and inform the Adminis- trator, on behalf of the Clothing Industry, as to importation of com- petitive articles into the United States of ... 1\.merica in substantial 

quantities or increasing ratio to domestic production, on such terms 

and under such conditions as to render ineffective or SBriously to 

endanger the maintenance of this Code, and to make complaint, on 

behalf of the Clothing Industry, under the provisions of the National 

Industrial Recovery Act with respect thereto. 

(d) Authority and power to consider and to make recommendations 

to the Administrator and to the President of the United States in 

respect of the following matters: 

(1) Reconunendations as to the requirement by the Administrator 

of such other and further reports from persons engaged in the Clothing 

Industry of statistical information and the keeping of uniform 

accounts as may be required to secure the proper observance of ·the 

Code and promote the proper balancing of production, distribution 
7 

and consumption, and the stabilization of the indu try and 

employment. 

(2) Recomn1endations for the setting up of a Servic Bureau for 

engineering, accounting, credit, or any other purposes that may 

aid in the conditions of this emergency and the requirement of this 

Code. 

(3) Recommendations for the making of rul s by the Adnlinistrator as to practices by persons engaged in the Clothing Industry as 

to methods and conditions of trading, the naming and r porting of 

prices which may be appropriate to avoid discrimination, to promote 

the stabilization of the Industry, to prevent and eliminate unfair 

and destructive prices and practices. 

(4) Recommendations for regulating the dispo al of distress merchandise in a way that "'rill secure the protection of the owners 

thereof and at the same time promote sound and stable conditions 

in the Industry. 

(5) Recommendations as to the making available to the suppliers 

of credit to those engaged in the Industry, all information regarding 

terms of and actual functioning of any or all of the provisions of the 

Code, the conditions of the Industry and regarding the operations of 

any and all persons engaged in the Industry and covered by this 

Code, to the end that during the period of the emergency, available 

credit may be adapted to the needs of the Clothing Industry, considered as a whole, and to the needs of the small as well as of the large 

units. 

(6) Recommendations for dealing with any inequalities that may 

otherwise arise that may endanger the stability of the Industry and/or 

production and employment. 

Such recommendations, when approved by the President of the 

United States, shall have the same force and effect as any other provision of this Code. 

(e) Authority and power to appoint such officers, agents, and other 

employees as may reasonably be required for the effective discharge 

of its functions. 

Except for the purposes provided in Section VIII of this Code 

and except so far as may be necessary or appropriate for the 

enforcement of the provisions of this Code and the standards of 

operation set forth therein, the data in respect of employers in the 

Clothing Industry reported to or secured by The Men's Clothing 

Code Authority shall be treated as confidential and shall not be published or othermse disseminated throughout the Industry, except as 

individually undisclosed portions of aggregate compilations. 

None of the powers or authorities vested by this Code in The 

Men's Clothing Code Authority shall be utilized or availed of for any 

purpose other than the supervision and enforcement of the pro i ions 

of this Code or the standards of operation set forth therein, and for 

purposes of advice and information and recommendation ubstan- tially as provided for in this Code. 

None of the powers or authorities ve ted by this Code in The 

J\1en's Clothing Code Authority in respect of the operation of 

employers in the Clothing Industry shall be mad ffectiYe in 

such manner as to preclude an appropriate review th reo£ by the 

Ad minis tra tor. 

8002°-33-2 
8 

The expense of maintaining The Men's Clothing Code Authority 

shall be borne by employers in the Clothing Industry in such reasonable proportions and amounts and in such manner as may properly 

be allocated· by the Administrator, upon the rec01nmendation of The 

Men's Clothing Code Authority. 

XIV 

Employees shall have the right to organize and bargain collectively 

through representative of their own choosing, and shall be free from 

the interference, restraint, or coercion of employers of labor, or their 

agents, in the designation of such representatives or in self-organization or in other concerted activities for the purpose of collective bargaining or other mutual aid or protection; no employee and no one 

seeking employment shall be required as a condition of employment 

to join any company union or to refrain from joining, organizing, or 

assisting a labor organization of his own choosing; and employers 

shall comply ,;vith the maximum hours of labor, minimum rates of 

pay, and other conditions of employment, approved or prescribed by 

the President. 

XV 

This Code and all the provisions thereof are expressly made subject 

to the right of the President, in accordance with the provision of 

Clause 10 (b) of the National Industrial Recovery Act, from time to 

time to cancel or modify any order, approyal, license, rule, or regulation, iss11ed under Title I of said Act, and specifically to the right of 

the President to cancel or modify his approval of this Code or any 

conditions imposed by him upon his approval thereof. 

XVI 

The Men's Clothing Code Authority shall designate the National 

Association of Uniform Manufacturers to aid the Administrator in 

the administration of this Code in respect of the manufacture and 

distribution of uniform apparel and shall make recommendation to 

the Administrator in respect of the rade practices desirable for this 

branch in the industry. 

XVII 

Such of the provisions of this Code as are not required to be included 

therein by the National Industrial Recovery Act, may with the 

approval of the President, be modified or eliminated as changes in 

circumstances or experience may indicate. 
REPORT ON THE CODE OF FAIR COMPETITION FOR THE 

MEN'S CLOTHING INDUSTRY 

The Code for the Men's Clothing Industry, approval of which is 

recommended herewith, will apply to an industry composed of more 

than two thousand (2,000) manufacturing units, employing one 

hundred and fifty thousand (150,000) workers. By reason of a 

decreased production within recent years, and a high degree of seasonality of operations, the industry has been faced by a serious 

unemployment problem. During the last decade, the yearly value 

of the products of the industry was greatest in 1923, when its output 

was valued at more than a billion dollars ($1,000,000,000). By the 

year 1931, the value of the output had decreased almost fifty percent 

(50%). 

THE Two AssociATIONS AND THE Two CoDES 

For this industry two codes were submitted. One was presented 

by the Clothing Manufacturers Association of the United States of 

America, and one by the Industrial Recovery Association of Clothing 

Manufacturers. On July 19, 1933, the codes were published as 

submitted to the Administrator. Public hearings were held on 

July 26 and 27. Numerous conferences then took place between the 

interested parties and the Administrator and on August 17, 1933, a 

code drastically revised by the Clothing Manufacturers Association 

was resubmitted to the Administrator and published. This code is 

now recommended for approval. The delay resulted from the fact 

that there were material differences between the two codes in respect 

of the protection above the minimum which was to be afforded to 

semislrilled and skilled workers and in respect of the administrative 

machinery to carry out the provisions of the code. 

A fundamental difference in the points of view of the two As ociations appeared in respect of Section VII (a). The code submitted 

by the Clothing Manufacturers Association did no more than quote 

the mandatory provisions of the National Indu trial Recovery Act. 

On the other hand, the Industrial Recovery Association proposed the 

addition to Section VII (a) of the following language: "Employees 

not members of a labor union shall be free from interference, re traint, 

or coercion by any labor union, its members or agents. Employers 

and employees may bargain individually or collectively as may be 

mutually sati factory to them." The fact that this Code sought in 

effect to interpret and possibly amend an Act of Congre ' di clo es 

the principal rea on why two codes were pre ented by the two 

as ociations in the M n' Clothing Indu try. One a ociation-thc 

Clothing Manufacturers As ociation-is compo ed largely of union 

manufacturers. The Industrial Recovery Association i compo d 

of nonunion manufacturer . Immediately after the pa age of the 

National Indu trial RecoY ry Act there had b en negotiation bet\\ n 

the two associations looking to agreement on a single code but the 

(9) 
10 

negotiations had failed and in the hearings the associations were 

arrayed against each other. 

There is no difference between the kinds of clothing made by the 

manufacturers in the two associations. From testimony at the 

hearings it would appear that the Clothing Manufacturers Associa- tion represents between sixty-five percent (65%) and seventy-five 

perc nt (75%) of the industry. The testimony, however, failed to 

disclose any valid ground on which it might be concluded that the 

minority association represented a subdivision of an industry within 

the meaning of the National Industrial Recovery Act (Section 3 (a) ) . 

Certain possible grounds were suggested but on analysis, all of them 

disappeared. There is no subdivision on a geographical basis. To 

be sure, the Clothing Manufacturers Association has its main strength 

in the four great markets of Chicago, New York, Rochester, and 

Philadelphia ; but its members are in many other markers as well. 

The Industrial Recovery Association has its main strength outside 

of the markets mentioned but among its members are to be found 

manufacturers in Chicago, New York, Rochester, and Philadelphia. 

Nor did . a distinction between two systems of production stand 

analysis. In the great markets, the so-called contractor system is an 

important method of production. The manufacturer, that is to say, 

does not have a factory of his own but cuts the garments and sends 

them out to be made up by contractors for whose labor standards he 

accepts responsibility. But in the great markets there are many 

manufacturers who have inside shops. On the other hand, while a 

large majority of the members of the Industrial Recovery Association 

operate their own factories and do not send out cut garments, the 

membership of the Association includes manufacturers who do use 

con tractors. 

No industrial subdivision could be recognized because of a distinction between expensive and cheap clothing. Price ranges for the 

members of one association were practically the same as price ranges 

for members of the other association; and if it be true that the members 

of one association are more prominent factors in the production of 

garments within a certain price range, this is no reason for the division of the industry into two associations and for two codes. 

The real cleavage-which appeared clearly in the hearingsresulted from the fact that the Amalgamated Clothing Workers of 

America have collective agreements with the bulk of the employers 

in the Clothing Manufacturers Association, while the bulk of the 

employers in the Industrial Recovery Association are nonunion. It 

seems clear, however, that because a union has been recognized by one 

group of employers and has not been recognized by another group 

of employers is no valid reason for dividing an industry into two 

parts. There must be one code for the industry and one agency to 

administer this code. The administ;rative agency must be absolutely 

neutral in respect of the cleavage referred to and must show a proper 

regard for the fact that administration in the large centers-particularly in respect of the manufacturer-contractor system-presents 

problems different from the problems of administration in other 

sections of the country where manufacturing is direct and where labor 

may be less skilled. Neither of the two groups-between which, as 

has been said, save for labor relations, only artificial divergencies of 

interest exist-should be in a position to dictate to the other group. 
11 

The code presented by the Industrial Recovery Association sugge. ted an administrative and advisory agency which would consist 

of fiye (5) representatives from the Industrial Recovery Association 

and five (5) members from the Clothing Manufacturers Association, 

in addition to a representative appointed by the National Recovery 

Administration. The manifest purpose of this separate representation was to protect the men1bers o£ tbe Industrial Recovery Association in respect of interests which they f lt required protection. 

That was a legitimate objective. But to reach such an objective 

through the method. proposed would have meant a division of responsibility with resulting hesitation and inefficiency. For the administration of a code there must be an administrative machinery in 

respect of which responsibility is not divided. 

When the codes were submitted to the Administrator, administration by a trade association was contemplated. The device of administration by a Code Authority had not yet evolved. The Code as 

recommended provides for a Code Authority but with proper representation for divergent interests in the industry on a basis which will 

be discussed later in this report, and which it is believed will quiet 

the fears of the Industrial Recovery Association. 

After the conclusion of the hearings, there were a number of conferences between representatives of the two associations. It appeared, 

however, that no matter how extended the conferences became, it 

would not be possible for the two associations to agree on a single code. 

The Industrial Recovery Association withdrew its proposed addition 

to Section VII (a), but on wages above the minimum and on administrative machinery its representatives were adamant. Indeed, they 

were compelled to be ada1nant because they did not have sufficient 

authority from the membership of their Association freely to negotiate. 

Under its bylaws, moreover, the Industrial Recovery Association 

refused admission to manufacturers who had collective agreements 

with the Amalgamated Clothing Workers of America and this it was 

argued was an 11 inequitable restriction on admission to membership" 

within the meaning of the National Industrial Recovery Act (Section 3 (a)). 

In view of these circumstances, the wise course appeared to be for 

the Clothing Manufacturers Association to revise its code on the basis 

of the considerations adduced at the hearings and at subsequent conferences with representatives of the Industrial Recovery Association. 

Such a revised code would be resubmitted to the Administrator. 

Discu sions with labor representatives on wages and hours would take 

place and the Industrial Recovery Association's members would be 

invited to give their approval to the new code as sub1nitted and 

recommended. This procedure was followed. The revisions and 

drafting were greatly aided by representatives of important neutral 

factors in the industry, that is, factors which did not belong to either 

of the proposing associations. The re"'\i ed code was resubmitted and 

published on August 16, 1933, and is herewith re ommended for executive approval. 

THE CoDE AS REVI ED Ar D RE EMITTED 

The Code a re ubmitt d n1ay b!) ummariz d a follo,vs: 

Section I d fines the term 11 Clothing Indu try." 
12 

Section II provides a minjnnnn wage of forty cents (40¢) per hour 

in the northern section of the industry and thirty-seven cents (37¢) 

per hour in the southern section. 

Subsections a, b, c, d, e, and f, safeguard previously existing 

differentials for workers above the rojnimum, prevent increases in the 

amount of production an.d. work to avoid benefits to employees in 

respect of the Code's provisiOns on hours and wages, and authorize the 

Code Authority to nppoint a comrojttee to supervise the execution of 

the wage provisions. 

Section III abolishes home work. 

Section IV establi hes thirty-six (36) as the maximum number of 

hours per week for manufacturing employees and forty (40) hours per 

week for nonmanufacturing employees and makes special provisions 

for overtime in the subdivision of the industry known as "Tailoring 

to the Trade" and uniform manufacturers. 

Section V provides for the use of an N .R.A. label to be attached to 

all garments manufactured under the Code. 

Section VI forbids the employment of any rojnor under the age of 

sixteen (16) years. 

Section VII provides that working conditions for employees shall as 

a rojnimum comply with the highest standards of sanitation, etc., 

specified in the factory laws of the appropriate state. 

Section VIII provides for the collection and publication by the 

Code Authority of certain information. 

Section IX authorizes the Code Authority to aid in making equitable 

adjustments in respect of the cost of executing contracts entered into 

before the adoption of the Code. · Sections X and XI declare it to be unfair competition to sell below 

cost. 

Section XII forbids the sale of garments "on consignment" and 

bars the practice of "cut, make, and trim" which all factors in the 

industry agree in pronouncing pernicious. 

Section XIII provides for the constitution of a Men's Clothing 

Code Authority and confers on it certain powers. 

Section XIV sets forth the mandatory provisions of Section VII (a). 

Section XV reserves to the President the right to amend, cancel, or 

modify any provision of the Code. 

Section XVI makes special provision for administrative autonomy 

under The Men's Clothing Code Authority for uniform manufacturers. 

Section XVII provides that provisions of the Code not required to 

be included by the National Industrial Recovery Act "may, with the 

approval of the President, be modified or eliminated as changes in the 

circumstances or experience may dictate." 

Several provisions of this Code warrant further comment: 

DEFINITIONS 

As is probably inevitable in respect of every large industry, there 

were differences of opinion as to what the Code for the industry should 

properly cover. Raincoats, when worn by men, for example, are 

undoubtedly men's clothing. But is their manufacture so much like 

the manufacture of outer garments made from wool that the two 

articles should be classed under the same code? Similar questions 

arose in respect of leather coats and men's wash suits. Both of these 
13 

subindustries had joined with the International Association of Garment Manufacturers in offering to come under a code for the cotton 

garment industry. Leather Goats are in 1nany factories closely allied 

to the manufacture of work clothing. Summer clothing for men is 

made only in small part by manufacturers of wool clothing. The 

bulk of the production of men's wash suits is by firn1s who are primarily cotton garment manufacturers. The class of labor and 

methods of production are entirely different fron1 the class of labor 

and methods of production of woolen men's clothing. As a result 

of the evidence presented at the hearings and of the arguments pro 

and con in the subsequent conferences, the definition of the ~len's 

Clothing Industry was made that which appears in Section I of the 

Code as recommended. 

TAILORS TO THE TRADE 

Other questions 11rose whi~h related to the consideration, if any, 

which should be given to different types of manufacture of men's 

clothing. The most important of these concerned Tailors to the 

Trade who do three or four times the volume of business in 11arch 

or April than they can do in January or February and who are subject to similar fluctuations in the autumn season. It was argued 

(stenographic record, page 77 -FF) that workers in the tailoring industry would be discriminated against if they were not allowed to 

work longer hours during the peak seasons. The tailoring houses 

as1ced for two shifts in order to make prompt deliveries and for the 

privilege of varying the working hours per day while remaining within 

a n1aximum number of hours per week. It was estimated that there 

were thirty-five (35) Tailors to the Tra-de establishments employing 

twenty thousand (20,000) workers. This request was supported by 

both the Clothing Manufacturers Association and the Industrial 

Recovery Association. (Stenographic record, page 212-FF.) This 

matter was settled by authorizing the Code Authority to make the 

exceptions which seem to it equitable and desirable. (Code Section 

IV.) In addition, the Code Authority will be able to accord special 

treatn1e-nt for uniform m ..anuiacturers to enable them to meet rush 

orders or the requirements of public contracts. 

CoNSTITUTION oF ConE AuTHORI'rY 

As has been said above, a code resubmitted by a trade associn.tion 

composed largely of union manufacturers but intended t.o apply to a 

whole industry must give representation on its Code Authority to 

the nonunion sections of the industry. This problem has, it i 

believed, been succ.essfully resolved by providing for a Code Authority 

constituted as follows: The Clothing Manufa turers A ociation 

appoints ten (10) members. Five (5) members of the Code Authority 

are to be selected by the Clothing 1vlanufacturer3 A sociation to 

represent manufacturers who are not member of that Asso iati n, 

i.e., the manufacturers who were n1embers of the Indw trial Recovery 

Association. The3e five (5) representative will, it is belie d, be 

more than the Indu trial Recovery Association is entitled to under 

the basis of the number of workers its member employ or the total 

annual value of production. Designation of these repr sentati s by 
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the Clothing 11anufacturers Association will, it is anticipated, put 

the responsibility on that Association to give the fairest kind of representation to the part of the industry which is not within its membership. To make the employer members of a Code Authority even 'more representative, it is provided that the fifteen (15) members thus 

chosen may add two (2) other members to the employer's group. In 

this way independent factors in the industry can be given representation. Proviswn is made for the appointment of five (5) labor representatives by the Administrator on nomination of the Labor Advisory 

Board. 

HouRs AND WAGES 

A work week of thirty-six (36) hours for manufacturing employees is 

provided by the Code as recommended. It is estimated that this 

provision will result in the reemployment of almost twenty thousand 

(20,000) employees who are now attached to the industry but for 

whom employment has not been provided within recent years. In 

addition, it is anticipated that this hours provision will result in a 

significant diminution in the number of employees who are shorttime workers. A statistical discussion of this matter is contained in 

the attached report from the Division of Research and Planning. 

The Code as submitted requires the payment of at least forty cents 

(40¢) per hour in the northern section of the industry and thirtyseven cents (37¢) per hour in the South. Other minimum earnings 

provided are thirty-seven cents (37¢) per hour for workers on single 

knee pants, seventy-five cents (75¢) an hour for off-pressers and one 

dollar ($1.00) per hour for cutters. The Research and Planning Division has estimated that the establishment of a forty-cent (40¢) minimum hourly rate in conjunction with a thirty-six (36) hour week 

will result in a twenty-eight percent (28%) increase in the total payroll of the industry which will in the future total almost one hundred 

million dollars ($100,000,000) a year. 

CONCLUDING REMARK 

Sweatshops have never been the problem in the men's clothing 

industry that they have been in the manufacture of women's clothing. 

It clearly appeared at the hearings, nevertheless, that in comparison 

with the prevailing standards throughout the greater part of the 

industry there are a number of manufacturing units which must be 

classed as substandard. The provisions in the Code for maximum 

hours and minimum wa,ges-with protection for skilled workers above 

the minimum-will, it is believed, eliminate this substandard competition, enable the industry to level off the seasonal peaks of operation, 

and provide greater employment for workers on men's clothing. 

FINDINGS 

The Deputy Administrator finds that: 

(a) The Code as recommended complies in all respects with the 

pertinent provisions of Title I of the Act, including, without limitation, subsection (a) of Section 7, and subsection (b) of Section 10 

thereof; and that 
15 

(b) The Clothing 1V1anufacturers A sociation of the United tates 

of America imposes no inequitable restrictions on admission to membership therein and is truly representative of the Mens Clothing In- dustry; and that 

(c) The Code as recommended ir::; not designed to promote monopolies or to eliminate or oppress small enterprises and will not operate 

to discriminate against them, and will tend to effectuate the policy 

of Title I of the National Industrial Recovery Act. 

LINDSAY RoGERS, Deputy Administrator. 

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