V/

Registry No. 1735-04

NATIONAL RECOVERY ADMINISTRATION

PROPOSED CODE OF FAIR COMPETITION

FOR THE

LINEN SUPPLY INDUSTRY

AS SUBMITTED ON AUGUST 29, 1933

MEMBER

U.S.

WE DO OUR PART

The Code for the Linen Supply Industry

in its present form merely reflects the proposal of the above-mentioned

industry, and none of the provisions contained therein are

to be regarded as having received the approval of

the National Recovery Administration

as applying to this industry

UNITED STATES

GOVERNMENT PRINTING OFFICE

WASHINGTON: 1933

For sale by theSuperintendent of Documents, Washington, D.C. - - - - - - - - - Price 5 cents
SUBMITTED BY

LINEN SUPPLY ASSOCIATION OF AMERICA

(II)
CODE OF FAIR COMPETITION FOR THE LINEN SUPPLY

INDUSTRY

ARTICLE I-AUTHORITY AND PURPOSE OF CODE

SECTION 1. This code is adopted pursuant to Title I of the National

Industrial Recovery Act.

SEC. 2. The purpose of the code is to effectuate the policy of Title

I of the National Industrial Recovery Act insofar as it is applicable

to the linen supply industry.

ARTICLE II-DEFINITIONS

SECTION 1. The term " the industry" as used in this code shall

be deemed to refer to and to mean the linen supply industry throughout the United tSates of America.

SEC. 2. The term " the linen supply industry " is defined to mean

the business of supplying or renting clean laundered articles, the

property of the supplier, in a regular service of exchanging, periodically, clean articles for soiled for a fixed compensation for each clean

article delivered or for each period of service. It does not include

any allied industries such as the laundry industry, the dry-cleansing

industry, or the manufacturing industry. The processes and operations of the linen supply industry limited as aforesaid excludes any

of the processes and operations in laundering, dry cleansing, or

manufacturing.

SEC. 3. Persons engaged in the linen supply industry as hereinabove defined may also be engaged in the laundry industry, drycleansing industry, manufacturing industry, and/or other allied

industries. The provisions of this code shall apply to and affect

only that part of the business of such person which is included in

the linen supply industry as hereinabove defined.

SEC. 4 (a). The term " member of the industry " and the term

"person engaged in the industry " is defined to mean and to include

any and every person, firm, association, or corporation operating

any business within the definition of the term " the industry " hereinabove set forth.

(b) The term " employer " as used herein shall include every person actively engaged in any business included in the linen supply

industry as hereinabove defined.

(c) The term " employee " means only a person employed in the

conduct of any business falling within the definition of the linen

supply industry hereinabove set forth.

SEC. 5. The term " effective date of the code " as used herein is

defined to be the tenth day after this code shall have been approved

by the President of the United States.

9152-33 (1)
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ARTICLE III-CONDITIONS OF THE CODE As REQUIRED BY SECTION 7-A

oF TITLE I OF THE NATIONAL INDUSTRIAL RECOVERY ACT

SECTION 1. Employees shall have the right to organize and bargain

collectively through representatives 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 any other concerted activities for the purpose

of collective bargaining or other mutual aid or protection.

SEC. 2. 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.

SEC. 3. Employers shall comply with the maximum hours of labor, minimum rates of pay, and other conditions of employment approved

or prescribed by the President.

ARTICLE IV-CHILD LABOR

SECTION 1. On and after the effective date of this code, no member of the industry shall employ in or about his business any person

under the age of sixteen years, except that persons between fourteen

and sixteen years of age may be employed for not to exceed three

hours per day, provided that such hours of employment shall be

between 7 A.M. and 7 P.M., and provided further that such hours of

employment will not interfere with hours of day school.

SEC. 2. Provided, however, that where a State law provides a

higher minimum age, no person below the age specified by such State

law shall be employed within that State.

ARTICLE V-MINIMUM WAGES

SECTION 1. Regional wage differentials have existed in the industry

as well as in all other industries due to differences in living costs and

other economic conditions. The units in the industry in different

localities have developed under such differences in wages. A survey

of the matters bearing on such differences in various sections of the

Nation, for the purpose of establishing a minimum wage in the industry under this code, has been made, and regional wage districts have

been established as hereinafter specified.

SEC. 2. On and after the effective date the minimum wages that

shall be paid by any employer to any employee in the classifications

hereinafter set forth shall be as follows:
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General Minimuw Wage Per Hour

I. North Atlantic District -. 350 IV. Mid-Western District- 32%/,

New England States. Iowa.

New York. Missouri.

New Jersey. Arkansas.

Pennsylvania. North Dakota.

Delaware. South Dakota.

Maryland. Nebraska.

District of Columbia. Kansas.

II. North Central District_- 35 Oklahoma.

Illinois. Texas.

Ohio. Montana.

Indiana. Wyoming. Minnesota. Colorado.

Wisconsin. New Mexico.

Michigan. Idaho.

III. South Eastern District. 300 Utah.

Virginia. Arizona.

West Virginia. Nevada.

Kentucky. V. Western District.-------- 35

Tennessee. California.

North Carolina. Washington.

South Carolina. Oregon.

Georgia.

Florida.

Alabama.

Mississippi.

Louisiana.

SEC. 3. Where a member of the industry whose place of business

is located in one of the districts enumerated in Section 2 of this

Article, but whose trade shall extend into another district mentioned in said Section 2, then the minimum wages that shall be paid

to the employees of such member shall be governed by the higher of

the minimum wage scales therein set for the said respective districts,

anything to the contrary therein contained notwithstanding.

SEC. 4. Provided, however, that where a State law provides a

higher minimum wage, than is provided in this Code, no person employed within that State shall be paid a wage below that required by

such State law.

ARTICLE VI-MAIMUM HOURS

SECTION 1. On and after the effective date, no productive labor

or office employees shall be required or permitted to work more than

45 hours in any one week, except watchmen, janitors, maintenance

employees, and those engaged exclusively in an executive capacity.

No watchmen, janitors, or maintenance employees shall be required

or permitted to work more than 50 hours in any one week.

SEC. 2. The term " productive labor ", as used herein, is defined to

include (1) any inside employee, and (2) any owner or manager

or member of the family thereof engaged in inside labor, unless

engaged exclusively in an executive capacity. The term " office em-
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ployees ", as used herein, is defined to include all clerical, accounting, and service employees working in the office of any member of the

industry.

ARTICLE VII-ADMINISTRATIVE AGENCY-RECORDS TO BE KEPT AND

REPORTS TO BE MADE

SECTION 1. (a) The Linen Supply Association of America is

hereby constituted the agency for administering, supervising, and

promoting the performance of the provisions of this code by members

of the industry.

(b) Regional aggregations of employers having a common interest.

and common problems shall be grouped by the Linen Supply Association of America for administrative purposes in various classifications

or subdivisions. In each classification and in each regional subdivision there shall be a supervisory agency designated by the Linen

Supply Association of America. If a formal complaint is made to

the Linen Supply Association of America that the provisions of this

code have been violated by any member of the industry the proper

supervisory agency shall investigate the facts and to that end may

cause such investigation, examination, or audit to be made as may

be deemed necessary.

SEC. 2. After the effective date, each and every person engaged

in the linen supply industry shall keep true, accurate, and complete

books and records of account in his business and shall furnish therefrom reports as hereinafter provided.

SEC. 3. The reports referred to in Section 2 of this Article shall be

in such form and shall be furnished at such intervals as shall be

prescribed by the Linen Supply Association of America and shall

contain such information relevant to the purposes of this code as

shall be prescribed by the said Association from time to time, including information with respect to the following or related subjects:

1. Employment, hours, wages, and wage rates.

2. Cost data.

SEC. 4. The Linen Supply Association of America may require that

the reports aforementioned and all information therein contained

be sworn to or otherwise certified or authenticated as it shall prescribe. The said Association shall have the right from time to time

to designate certified public accountants to examine the books and

records of any member of the industry for the purpose of verifying

the information contained in the reports furnished by such member.

SEC. 3. Wherever in this Article the Linen Supply Association of

America is authorized to do any act or to receive any report, suih

authority shall extend to the subsidiary supervisory agencies to be

designated by the Linen Supply Association of America.

ARTICLE VIII-UNIFORMr COST ACCOUNT'ING

SECTION 1. The Linen Supply Association of America shall immediately following the approval of this code by the President of the

United States adopt and publishi a uniform and standard method of

cost accounting and each member of the industry shall use the said

uniform and standard method of cost accounting with such variations therefroim as may be required by the individual conditions
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affecting any employer or group of employers and as may be approved by the Linen Supply Association of America or the subsidiary supervisory agency, and no member of the industry in computing his costs shall exclude any item of cost included in such uniform accounting system nor include any item of cost not included

in such uniform accounting system.

ARTICLE IX-UNFAIR TRADE PRACTICES

SECTION 1. Induiments, rebates, and speCwal considerat;on.-No

member of the industry shall give or offer to give to any customer or

prospective customer any inducements for the purchase by such

customer of such member's service other than the service itself. To

that end .no member shall give or offer to such customer or prospective customer any cash considerations, free service, fixtures, signs,

or other tangible property, nor shall such member make or offer to

make any loans or capital investments for the purpose of inducing such customer or prospective customer to give his patronage to such

member. The foregoing shall not be deemed or be construed to prevent any member from furnishing cabinets, laundry baskets, or any

other articles which are recognized in the trade as a part of or an

appurtenance to the service rendered.

SEC. 2. No member shall render to any customer or prospective

customer any service unless fair compensation for such service shall

be paid by such customer.

SEC. 3. Racketeering.-(a) A great evil existing in certain territories has been the activity of certain individuals who threaten to

deprive members of the industry of customers long served by them

unless cash considerations are paid directly or indirectly to such

individuals or to groups or associations which they claim to represent. The influence of such individuals over such customers arises

out of threats, coercion, and intimidation exercised by such individuals. Compliance with such demands has only strengthened the

individuals in their coercive methods both on supplier and on customer. In order to defeat this growing practice, it is hereby provided that no member of the industry shall give or offer to give

to any such individuals or to any group or association of customers

whom such individuals claim to represent, directly or indirectly,

any cash payments or other property for the purpose of inducing the

continuance of patronage.

(b) No member of the industry shall use any means, directly or

indirectly, to intimidate or coerce any prospective customer to accept

service from such member.

SEC. 4. No member shall make or promise to make to any customer

or prospective customer, or to any officer, employee, agent, or representative of any such customer or prospective customer, any bribe, gratuity, or gift, directly or indirectly.

SEC. 5. No member shall induce or attempt to induce, by any

means, any customer who is a party to a contract with another

member, to violate such contract.

SEC. 6. No member of the industry shall entice any employee from

another member of the industry nor make any inducements to such

employee to leave the employ ol a member of the industry. Nothing

herein contained shall be deemed to prevent an employee from chang-
UNIVERSITY OF FLORIDA

6 3 1262 08582 9082

ing his employment of his own volition and without special enticement or inducement of a member of the industry seeking such employee. Nothing contained in this section, however, shall be deemed

to authorize any employee to breach any contract under which he

may be employed.

ARTICLE X-GENERAL PRovISIONS

SECTION 1. The President may from time to time cancel or modify

any order, approval, license, rule, or regulation issued under Title I

of the National Industrial Recovery Act.

SEC. 2. Such of the provisions of this code as are not required by

the National Industrial Recovery Act to be included herein may

with the approval of the President of the United States be modified

or eliminated as changed circumstances or experiences may indicate.

This code is intended to be a basic code and study of the trade

practices of the linen-supply industry will be continued by the

Linen Supply Association of America and its subsidiary agencies

with the intention of submitting from time to time additional and

amendments to this code applicable to all members of the industry

and supplemental codes applicable to one or more branches or subdivisions or service classifications of the industry.

SEC. 3. Partial invalidity.-If any provision of this code is declared invalid or unenforcible the remaining provisions thereof shall

nevertheless continue in full force and effect in the same manner as

if they had been presented for approval and approved by the President of the United States.

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