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3 1262 08486 7 513 Registry No. 228-01 

NATIONAL RECOVERY ADMINISTRATION 

CODE OF FAIR COMPETITION 

FOR THE 

DRESS MANUFACTURING 

INDUSTRY 

AS APPROVED ON OCTOBER 31, 1933 

BY 

PRESIDENT ROOSEVELT 

v 

1. Executive Order 

2. Letter of Transmittal 

3. Code 

UNITED STATES 

GOVERNMENT PRINTING OFFICE 

WASHINGTON : 1933 

For sale by the Sl!perintendent of Documents, Washington, D.C. Price 5 cents 
l 

This publication is for sale by the Superintendent of Documents, Governm€nt 

Printing Office, Washington, D.C., and by district offices of the Bureau of 

Foreign and Domestic Commerce. 

DISTRICT OFFICES OF THE DEPARTMENT OF COI'tiMERCE 

Atlanta, Ga.: 504 P ost Office Building. 

Birmingham, .Ala. : 257 Federal Building. 

Boston, Ma ss. : 1801 Customhouse. 

Buffa lo, N.Y.: Chamber of Commerce Building. 

Charleston, S.C. : Chamber of Commerce Building. 

Chicago, Ill.: Suite 1706, 201 North Wells Street. 

Cleveland, Ohio : Chamber of Commerce. 

Dallas, Tex. : Chamber of Commerce Building. 

De troit, 1\iich.: 2213 First National Bank Building. 

Houston, Tex.: Chamber of Commerce Building. 

India napolis, Ind.: Chamber of Commerce Building. 

Jacksonville, Fla.: Chamber of Commerce Building. 

Ka nsas Clty, 1\io.: 1028 Baltimore AYenue. 

Los Ange- les. Calif.: 1163 South Broad\Yay. 

Louisville, K y.: 408 F ederal Building. 

1\ILmphis, Tenn. : 229 Federal Building. 

l\linneapolis, Minn. : 213 F ederal Building. 

New Orlean s, L a.: R oom 225-A. Cu stomhouse. 

New York, N.Y. : 734 Cu t omhouse. 

Norfolk, Va .: 406 East Plume Street. 

P l1ilac1elphia, Pa. : 933 Commercial Trust Building. 

P ittsburgh, Pa.: Chamber of Commerce Building. 

Portland, Oreg.: 215 New Post Office Building. 

St. Louis, Mo.: 506 Olive Street. 

San Franci. co, Calif. : 310 Customhouse. 

Seattle, Wash. : 809 Federal Building. 

(II) 
EXECUTIVE ORDER 

CoDE oF FAIR CoMPETITION FOR THE DREss MANUFACTURING 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 Dress Manufacturing 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 act 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 Statesi' pursuant to the authority vested in me by title I 

of the National ndustrial Recovery Act, approved June 16, 1933, 

and otherwise, do hereby 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, subject to 

the following conditions: 

1. Penaing the prompt holding of such further hearing on such 

notice as the Administrator in his discretion may fix, further orders 

in this regard, and the final determination of the issues raised concerning the application of the wage scale provided in this code for 

the western area (as defined in the code), the application of the wage 

scale provided in section 6, article IV of said code for said western 

area, except as to the metropolitan areas, as defined in the 1930 

census, of the cities of Chicago and Cleveland, shall be and the 

same is hereby stayed until said determination, and 

2. Upon the :further conditions that, and it is hereby ordered that 

during the period of such stay, section 7, of article IV shall be considered to Include within its terms all employees included in this 

stay, irrespective of craft, in said western area, and 

3. The application of this code is stayed as to the manufacture 

of dresses in chief content of cotton which in the custom and practice of the trade are merchandised in what is known in the trade as 

the house dress or wash dress departments of recognized department 

stores and other retailers o:f women's garments, and which cotton 

dresses, under the established custom and practice o:f the trade, are 

customarily bought :from the manufacturer by or sold by the manufacturer to the buyer o:f house or wash dresses, pending the holding of such hearing on such notice as the Administrator in his 

discretion may fix, :further orders in this regard and a final determination o:f the issues raised concerning the application o:f this code 

to such manufacturer. 

FRANKLIN D. ROOSEVELT. 

THE WHITE HousE, 

October 31, 1933. 

Approval recommended: 

HuaH S. JoHNSON. 

18575°--.--188-109----33 (DIT) 
The PREsiDENT, 

The WhiteHouse. 

SIR: This Code is a conspicuous example of the effectiveness of the 

National Industrial Recovery Act in rehabilitating a disorganized 

and demoralized industry. So pressing was the need for some such 

helpful influence that the Act and the forces released by the Act met 

with no great opposition. The Code herewith presented, while embodying some compromise, represents a remarkable reconciliation of 

interests widely divergent and hitherto in bitter opposition. 

The outstanding features of this Code are: 

1. Establishment of a thirty-five-hour week. 

2. Establishment of minimum wage scales which increase the purchasing power not only of the unskilled but also the skilled labor 

throughout the industry. They are satisfactory to organized labor 

and will make impossible the operations of exploiters of labor and 

" sweat shops." 

3. Fixing responsibility for standards of industrial relations upon 

the outside manufacturer or "jobber", which hitherto has been most 

inadequately and unjustly loaded upon the feeble and incompetent 

shoulders of the contractor. 

4. Elimination of the ancient abuses of child labor and home work. 

5. Establishment of a Code Authority on which are represented all 

important interests of the industry. Equipped with administrative 

power, reinforced by authority to Issue or withhold an N.R.A. label, 

it n1ay be expected to develop into a powerful agency of self-government in the industry, the lack of which has kept the dress industry 

in turmoil and confusion for decades. All its actions, however, ar·e 

subject to the approval of the Administrator. 

SUMMARY OF THE CODE 

The Code may be summarized as follows: 

Article I sets forth the purposes of the Code. 

Article II establishes certain necessary definitions. 

Article III :provides that no manufacturing employee shall work 

in excess of thirty-five hours per week and that no nonmanufacturing employee shall work in excess of forty hours per week. Overtime 

may be permitted at the discretion of the Administrator, but for 

not more than six weeks in any one season. 

Article IV enumerates the wage scales which shall be paid to 

workers in the various crafts. These wage scales vary from fourteen 

dollars per week to forty-five dollars per week. Because of variations 

in working condition and the efficiency of workers, separate wage 

classifications are made as between lower-priced and higher-priced 

garments, between piece rates and week rates, and between the city 

of New York, the Eastern metropolitan area, the Eastern area, and 

(IV) 
v 

.the Western area. This article also contains the substance of paragraph seven of the President's Reemployment Agreement. In addition, provision is made for the employment of handicapped persons 

at rates below the basic minimum established in this article. This 

provision is inserted for humanitarian reasons, but it is so hedged 

about with restrictions that abuse will be difficult, and it is hoped 

impossible. 

Article V abolishes child labor (minors under sixteen) as well as 

home work, and provides that manufacturing shall be carried on 

under sanitary conditions. In this article are included the mandatory labar provisions. Article VI establishes a Code Authority representative of all 

the organized interests in the industry including organized labor. 

This Authority is clothed with ample powers to administer and 

enforce the Code, subject always to the approval of the Administrator. 

Article VII regulates the relationships between outside manufacturers and contractors in respect to (1) the responsibility of 

manufacturers for the payment to contractors of amounts sufficient 

to cover the wages provided for by this Code and in addition a reasonable amount for overhead expense; and, (2), the selection and 

retention of contractors by the manufacturers to protect the contractor and his employees against unjust discrimination in the 

distribution of work. 

Article VIII provides than an N.R.A. label be attached to every 

garment manufactured under this Code. This label will bear a 

registration number specifically assigned to each employer in the 

industry and will remain attached to each garment when placed on 

sale by the retail distributor. The Dress Code Authority is given 

sole authority, with the approval of the Administrator, to administer 

the issuance of these labels. This provision will facilitate the administration of the code, and in particular will provide sufficient 

revenue to finance the activities of the Code Authority. 

Article IX deals with trade practices, providing unlformity in the 

relations between buyers and sellers, in such matters as : ( 1) return 

of merchandise, (2) uniform order blanks containing the terms of 

the contract, ( 3) protection of original styles, ( 4) discounts, ( 5) 

selling on consignment or at retail, and ( 6) secret rebates, etc. 

Article X contains the mandatory clause protecting small enterprises against monopolistic practices. 

Articles XI and XII provide for modifications and amendments 

to this Code. 

Article XIII names the effective date of this Code. 

PROBLEMS OF THE INDUSTRY 

The Dress Industry of the United States as it is now constituted 

is one of the youngest industries of the country. It is only about 

thirty years old ; but from very small beginnings it was able to 

reach a wholesale turnover of about eight hundred million dollars 

in 1929. The present volume, however, has decreased to about five 

hundred million dollars. The industry is concerned with the manufacture and distribution of women's and children's dresses, ensembles, etc. It does not include, however, what is commonly known as 
VI 

house dresses or cotton wash dresses, which types of apparel fall 

tmder the jurisdiction of the Cotton Garment Code. Particular care 

has been taken that there be as little overlapping as possible between 

these two codes. 

New York City is the dress manufacturing center of the country. 

In 1931, 66.4 percent of the total number of manufacturing establishments were located there, and the annual sales volume of these 

establishments represented 78.6 percent of the total business transact-ed. Chicago, Philadelphia, Boston, and Los Angeles are next in 

importance. Other localities are St. Louis, San Francisco, Cleveland, 

and Baltimore. The geographical distribution of the industry may 

be summarized by the following table, prepared from data supplied 

by the National Credit Office. 

Number Per cent 

City_ of con- Sales of total 

cerns sales 

Nevv Chical:ork g ____CitY-------------------------------------------------- _____ _______________________________________________ _ _ 1, 383 $633,183,000.00 78.6 

180 44, 399,000.00 5.5 Philadelphia __________________________________________ ~ __________ _ 109 30,466,000.00 3.8 - Los Angeles ____ _______ ----- __ ---- _____________ ----- _____________ _ 95 22,184,000.00 2.8 Boston ____ _________________________ • _____________________________ _ Cleveland _______________________________________________________ _ 79 20,251,000. 00 2. 5 

22 9, 136,000. 00 1.1 

Baltimore 8 t. Louis ____ ______________ ---_----- _______________ --------------- 40 8,963,000.00 1.1 __ _____________________________________________________ _ 10 2,875,000.00 .4 San Francisco ___________________________________________________ _ 18 2,529,000. 00 . 3 

llll others--------------------------------------------------------- 114 31,197,000.00 3.9 

1rotal ______________________________________________________ _ 2,080 805,183,000.00 100.0 

78.6% of the total sales of dresses throughout the country were 

manufactured and sold in New York City, leaving 21.4% for distribution by the rest of the country. The reasons given for the 

predominance of New York City oYer the rest of the country were 

as follows: New York City is recognized as the leading style center; 

there is an adequate supply of skilled labor; transportation facilities 

are of the best; adequate financing is available; the fabric market is 

immediately adjacent. 

Obviously, this code has given due recognition to the conditions 

prevailing in the city of New York and its environs, particularly with 

reference to the jobber-contractor system of production, 

In New York, the dress industry is composed of four principal 

elements: Jobbers or wholesalers, inside manufacturers, contractors, 

and submanufacturers. Inside nu.nufacturers create their own 

styles, manufacture on their own premises, use their own material, 

and sell, largely, directly to retailers. Many of these inside manufacturers likewise make use of contractors, particularly at the height 

of the season. 

Jobbers and wholesalers concern themselves chiefly with the problems of style and distribution, and the purchase of piece-goods, materials, trimmings, etc. Submanufacturers and contractors manufacture the garments in accordance with the styles decided upon by the 

jobber. In the low-end price range most jobbers employ cutters on 

their own premises to cut the work. Such partially finished garments are then let out to contractors, who complete the operations. 

The term contractors " is generally used to include submanufacturers; generally speaking, however, the contractor merely com-
vn 

pletes the manufacture of garments which have already been cut on 

the premises of a jobber or a manufacturer. The submanufacturer 

produces directly for a jobber or a manufacturer from materials and 

trimmings furnished by the latter. 

It has been estimated that contractors and submanufacturers produce about eighty percent of the dresses manufactured in New 

York City. There are approximately 1,800 contractors and submanufacturers located in the New York metropolitan area. Not many years ago virtually all dress contractors were located 

within the confines of the City of Greater New York; in recent years, however, in an effort to find a cheaper labor market, factories have 

been established in adjoining districts, particularly in New Jersey, 

Connecticut, and Pennsylvania. 'Yorkers in the e areas have been 

unduly exploited. Fifty-four hours per week or even more have 

been by no means uncommon, and wages have been pitifully low. 

These out-of-town contractors are engaged largely in the production 

of the cheaper lines of dresses, that is, dresses which wholesale at 

$3.7 5 and less. 

The development of the contracting system in the dress industry 

is easily explained. For one thing, dresses are created in a great 

variety of styles. A comparatively small number of each style is 

produced and sold. Experience has proven that efficient production 

can be obtained only when these dresses are produced in comparatively small units of shop production. Each operator produces virtually a complete dress. Unlike other industries, there is no possibility of splitting up machine or hand operations and introducing 

standardization. The perfection and efficiency of the workers depend 

not so much on the management of the plant as it does on the individual skill and ability of the particular worker. 

The personal element is extremely important. The Contractor, 

having a smaller group to supervise, knows the particular abilities 

and skill of each of his workers. He is a specialist in the manufacture of ladies' garments; the jobber likewise is a specialist in the 

distribution and sale of the manufactured garments. Each serves 

more efficiently in his specialized field. 

Another reason for the development of the contracting system in 

the dress industry is the insurance it gives against sudden stoppage 

or curtailment of the production because of strikes or other labor 

troubles. Under the jobber-contractor system, if a labor disput~ 

develops among the workers in any particular contractor's factory, 

it usually does not affect the output of the other contractor who 

supplies the particular jobber. 

During the past few years, competition among the various factors 

has been so keen and the prices paid to the contractors have been so 

low, that in many instances prices paid by the jobber were hardly 

sufficient to pay the actual labor costs, not to mention the overhead 

expenses of the contractor, or payment to the contractor for his 

services. The result has been that the contractor's savings have been 

wiped out. His plants are heavily mortgaged, and he has incurred 

debts in all available sources. Factory removals have become almost 

institutional. 

The problem of jobber-contractor relations has received special 

consideration in the formation of this Code. Indeed, without the 
vm 

help of the National Recovery Administration, it is difficult to 

imagine how these relationships, so unjust and unsatisfactory, could 

be placed on a decent basis. 

This result was not accomplished, however, without numerous and 

prolonged conferences both in Washington and New York. The provisions of Article VII represent a compromise in which· both parties 

made concessions from their extreme positions. 

The contractors had convinced themselves that the Code would 

not give them the advantages they desired unless the competition 

between themselves were eliminated or mitigated. To attain this 

end they insisted that the manufacturers be strictly limited as to the 

number of contractors theY. might employ. 

While admitting the evils of unrestrained competition among the 

contractors1 the manufacturers believed that the remedy suggested, 

i.e., limitatwn of contractors, would create new evils. If the manufacturer were not free to allocate his work to the contractor best 

fitted to perform it, as to quality, price, and delivery, he would be 

intolerably handicapped in meeting market requirements. 

It seemed obvious that in this matter, fraught with dangers to the 

success of the Code, great caution was advisable. Provisions were 

suggested by which substantial steps in the direction of controlled 

competition could be taken and further steps provided for as experience demonstrated their practicability. For many weeks, these 

proposals were refused but finally the extreme demands were 

abandoned and the matter settled by the clauses in Article VII, 

now a part of the Code. 

LABOR 

Prior to the restriction of immigration, additional workers were 

recruited into the industry from Russia and Italy. Most, if not all, 

of these workers had plied their respective crafts in their own 

count~·ies, and had already a fairly high degree of skill and 

expenence. 

In late years, however, the racial distribution of workers has 

changed quite markedly. There have come into the industry Cubans, 

Portuguese7 Spanish, and Greek girls and women. This new type 

of worker 1s slow to learn and requires a longer period of time to 

attain a reasonable degree of efficiency. Their earnings today at 

piece rate and week rate range from six to sixteen dollars per week 

outside of New York City, and from ten to twenty dollars per week 

in New York City. 

The economic depression has also influenced the type of worker 

engaged in the industry. During the last three years there has been 

a great influx of temporary workers, particularly in the areas outside of the City of New York. In New York sixty percent of the 

workers are female, whereas outside New York ninety-five percent 

are female. Many of these are married women. Many have gravitated to the industry as a result of the economic depression ; they have 

been compelled to become the main supports of their families. A 

good proportion of such workers will return to their homes as soon 

as their husbands or children are able to earn a fair livelihood. 

One more feature peculiar to the labor supply of this industry 

must be realized. As noted above, a substantial majority of the work-
IX 

ers are women. The labor turnover, consequently, is high because of 

the tendency of women to discontinue industrial pursuits upon marriage when economic conditions permit. 

For all of these reasons, it is desirable that some provision b.e made 

whereby the industry may, without unduly burdening itself, maintain 

an adequate supply of trained workers. 

At the same time, because of the large volume of unemployment in 

the industry, the unrestricted employment of apprentices would be 

highly undesirable. The Code Authority has been charged with the 

responsibility of studying the problem and of recommending to the 

Administrator appropriate regulations for the control of apprenticeship employment. 

THE DREss STRIKE AND ITs SETTLEMENT 

About a week prior to the date of hearing, a strike occurred in 

New York which became general throughout the industry in that 

city. JVIr. Grover vVhalen, representative of the National Labor 

Board, took charge and was able to effect a settlement by collective 

agreements among all parties before the hearing date. In view of 

the difficulties of the situation this was a remarkable achievement. 

The la ting service of Mr. Whalen was acclaimed by all the leaders 

in the industry. 

Strikes in the Chicago, Cleveland, St. Louis, and other markets 

were settled in a similar manner and collective agreements with the 

union entered into. Mr. Max 1\feyer, of New York, Industrial 

Adviser at the hearing, rendered important service in these events. 

The principal organizations participating in the public hearing 

a?d in subsequent conferences, representing all the markets of any 

size, were: 

A. The National Dress Manufacturers As ociation, whose membe~·ship consists of about six hundred firms. This Association comprises: 

1. Jobbers whose entire product is made by contractors to whom 

the jobber furnishes the materials for the making of his garments 

from samples furnished by the contractor. 

2. Jobbers who style their own merchandise and for whom the 

contractor makes up the dresses. 

3. Jobbers who make their amples and also maintain cutting 

departments, furnishing cut bundles to contractors for completion. 

4. Employers who maintain inside factories for part of their product and use contractors for another part of their output. 

B. The Affiliated Dress :Th-fanufacturers, Inc., whose membership of 

one hundred twenty-five firms comprise the manufacturers of the 

finest garments. Their work is carried on largely on the premises, 

although part of their production is made in contractor's shops. 

C. The United Association of Dress Manufacturers, Inc., which 

comprises a majority of the dress contractors working for the abovementioned jobbers and manufacturers. This organization has a large 

membership, largely recruited since the settlement of the strike. 

D. The out-of-town associations consist of the Western Group, 

taking in the cities of Chicago, CleYeland, Indianapolis, San Fran185750----188-109----33----2 
X 

cisco, and Los Angeles. Another association represents the Boston 

market, and still another Philadelphia. 

Labor wa represented by the International Ladies Garment 

'Vorkers Union and al o by a representative. of the Needle Trades 

Indu trial "T orkers Union of New York City, claiming a membership of fifteen thousand workers. 

The hearing develop ed substantial agreement on most question , 

particularly on the question of hours. Exceptions were voiced by 

representative of the Western Group regarding differentials agreed 

upon by the New York manufacturers and unions for the production of dresses selling at $3.75 and under. The Western Group 

dis ented from the differential of ten percent proposed in their favor 

for all operations, demanding for their group a differential varying 

from fifteen to twenty-five percent. Within the Eastern Area requests were made for differentials greater than ten percent but 

could not be granted because of competitive conditions. 

LABELS 

The advisability for an N.I.R.A. label has already been recognized 

in the code adopted for the coat and suit industry. The arguments 

advanced at the hearings on the Coat and Suit Code apply with 

even greater force to the Dress Code. The u e of the N.I.R.A. label will serve to identify the concerns 

who have complied with the Code. It will be a most effective means 

of certifying both the factory or plants as well as its output. Under 

proper safeguards for the issuance of the label, the identity and 

location of each factory can be readily ascertained. Effective supervision of the physical surroundings of the factory and the compliance 

with the provi ions of the code can thus be more readily instituted 

by the Code Authority, or any other agency delegated for the task. 

REEM:PLO YM:ENT 

Between 1929 and 1931, the average number of workers employed 

. in the industry decreased from 88,223 to 79,724. The estimated total 

number of workers employed in 1932 was 66,344. From these figures, 

it appears that in 1932 in excess of 21,000 workers were unemployed. 

T aking into account the seasonality of the industry, however, the 

excess labor supply in that year was somewhat less than 20,000. 

The full-time week in this industry consisted, so far as may be determined from the meagre statistical information available, of about 

forty-eight hours. By the introduction of the thirty-five hour week, 

therefore, employment during busy seasons should increase about 

thirty-seven percent. It is hoped also that the restricted week will 

materially reduce the seasonal fluctuations in employment. 

The average annual wage declined from $1,344.00 in 1929 to 

$880.00 in 1932. Unfortunately it is impossible to estimate the probable increase which the wage scales provided in the Code will bring 

about. It is conceded by all concerned, however, that the increase 

will be considerable. It is possible, on the other hand, to estimate the 

inc-L·ease in pay roll which the thirty-five hour week will necessitate. 

The reemployment of thirty-seYen per cent more workers will add to 

the annual pay roll about twenty-one million dollars. 
XI 

With respect. to the wage and hour provisions of the Code, therefore, it may be expected that the purposes of the National Industrial 

Recovery Act will be effectuated. 

The Deputy Administrator finds that: 

(a) The Code 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) o:f Section 10 thereof; and that 

(b) The trade association submitting said Code imposes no inequitable restrictions on admission to membership therein and is 

truly representative o:f the Dress Manufacturing Industry; and that 

(c) The Code is not designed to promote monopolies or to limit 

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. 

I recommend that the Code be approved. 

Respectfully, 

HUGH s. JOHNSON' 

Administrator. 

CODE OF FAIR COMPETITION FOR THE DRESS 

MANUFACTURING INDUSTRY 

ARTICLE I-PURPOSES 

To effectuate the policies of Title I of the National Industrial 

Recovery Act, the following provisions are submitted as a Code of 

Fair Competition and upon approval by the President shall be the 

standard of fair competition for such Industry and shall .be binding 

upon every member thereof. 

ARTICLE II-DEFINITIO ~ Ts 

1. The term "Dress Manufacturing Industry" as used herein 

includes the manufacture and sale by the manufacturer (as defined 

in paragraphs 6 and 7 of this Article) in whole or in part, in the 

United States on the North American Continent, of women's, misses', 

and juniors' dresses, dressmakers' ensembles, and waists when used 

with ensembles, whether such manufacture and distribution shall be 

by inside or outside manufacturers, contractors, or otherwise;_ provided that nothing in this definition shall include the manufacture 

of inexpensive dresses made of material of which cotton is the chief 

content and generally known in the trade as a house dress or house 

dresses. 

Making of garments in what is known as the "custom trade", 

to individual measure on individual order of the wearer if (1) such 

garments are sold on the premises of the maker, or (2) the garments 

are made by employers employing less than 10 employees is not a 

part of this Industry. 

2. The term "lower-priced garments " includes those garments 

regularly sold in wholesale quantities for $3.75 each or less. 

3. The term "higher-priced garments" includes all garments 

manufactured in this Industry except those included in the definition 

of lower-priced garments. 

The term "employee" or "worker" as used herein includes any- one engaged in the Industry in any capacity receiving compensation for his services, irrespective of the nature or method of payment 

of such compensation. 

5. The term" employer" as used herein includes all those by whom 

any such employee is compensated or employed. 

6. The term "outside manufacturer " or " jobber", which are 

synonymously used in this Code, include all those for whom and/ or 

under whose direction or orders garments in the Dress Manufacturing Industry are manufactured in whole or in part by contractors 

and/ or other manufacturers, and who act as wholesale distributors 

of such garments. 

(1) 
2 

7. The term 'inside manufacturer" includes all those who manufacture garment in the Dress :Manufacturing Industry out of their 

O\\n material in a factory maintained and operated by them. 

8. The term ' contractor" includes all those who manufacture 

garments in the Dress Manufacturing Industry from materials provided for them by a manufacturer, Jobber, or others. 

9. For the purpo es of this Code, four ( 4) areas are hereby 

established : 

(a) ' City of New York " as used herein means and includes the 

five boroughs of New York City. 

(b) "Ea tern Metropolitan Area" as used herein, means and includes the metropolitan areas as defined by the 1930 Cen u of 

Philadelphia, Boston, and Baltimore. 

(c) "Eastern Area" as used herein means and includes the New 

England States, New York, Pennsylvania, New Jersey, Delaware, 

and :Maryland, exclusively of the City of New York and Eastern 

Metropolitan Area as defined above. 

(d) " Western Area " as used herein means and includes all portions of the United States on the North American Continent not 

included in the above three areas. 

10. The terms "President", "Act", and "Administrator" as used 

herein shall mean, respectively, the President of the United States, 

the National Industrial Recovery Act, and the Administrator of 

Title I of said Act. 

ARTICLE III-HouRs 

1. No employee, employer, or individual operating on his own account shall work or be permitted to work in the mechanical processes 

of manufacture in excess of 35 hours, nor more than 5 days, in any 

one week. 

2. All other employees shall not work or be permitted to work 

in excess of 40 hours in any one week, except foremen and executives 

receiving $35 or more per week, and except salesmen, designers, and 

watchmen. Watchmen shall not work or be permitted to work more 

than six days in any one week. 

3. Exceptions from the two last preceding paragraphs may be 

allowed by the Code Authority for a period of not more than six 

weeks in any one season; provided that the employer shall be required to pay one and one half times the normal wage for such 

overtime work. 

4. Employers shall not operate or be permitted to operate more 

than one shift in any one day. 

ARTICLE IV-W .AGES 

1. Employees engaged in the mechanical processes of manufacture 

of higher-priced garments in the City of New York shall be paid not 

less than the following minimum wages: 

Cutters ___________________________________________ $45 per week of 35 hours. 

Sample makers___________________________________ 30 per week of 35 hours. 

Drapers__________________________________________ Zl per week of 35 hours. 

Examiners________________________________________ 21 per week of 35 hours. 

Cleaners & Pinkers________________________________ 15 per week of 35 hours. 
3 

Op rators____________________________________ 90¢ per hour. 

Pressers________________________________ _________ $1 per hour. 

Finishers _________________________________________ 65¢ per hour. 

2. Employees engaged in the mechanical processes of manufacture 

of lower-priced garments in the City of New York shall be paid not 

less than the following minimum wages : 

Cutters __________________________________________ _ $46 per week of 35 hours. 

Machine Cutters_________________________________ 37 per week of 35 hours. 

Stretchers________________________________________ 27 per "\\eek of 35 hours. 

Sample Makers__________________ _________________ 30 per week of 35 hours. 

Examiners________________________________________ 20 per week of 35 hours. 

Cleaners & Pinkers________________________________ 15 per week of 35 hours. 

Operators _________________________________________ 75¢ per hour. 

Pressers- --------------------- ------------------ 85¢ per hour. Finishers _________________________________________ 57¢ per hour. 

3. Eastern Metropolitan Area.-W orkers or employees in the 

Eastern Metropolitan Area engaged in the mechanical processes of 

manufacture of higher-priced garments and/ or lower-priced garments, respectively, shall be paid at least 90% of the minimum wages 

herein set forth for the City of New York for the various crafts in 

the two classifications of garments, respectively; provided, however, 

that cleaners and pinkers shall not receive less than $15 per week. 

4. Eastern Area.-Employees engaged in the mechanical processes 

of manufacture of higher-priced garments in the Eastern Area shall 

be paid not less than 90% of the wages herein provided for said 

garments in the City of New York for the various crafts; provided, 

however, that cleaners and pinkers shall not receive less than $15 

per week. 

5. Employees engaged in the mechanical processes of manufacture 

of lower-priced garments in the Eastern Area shall be paid not less 

than the following minimum wages: 

Cutters___________________________________________ $45 per week of 35 hours. 

Machine cutters____________________________________ 37 per week of 35 hours. 

Stretchers_________________________________________ 27 per week of 35 hours. 

Sample makers____________________________________ 30 per week of 35 hours. 

Examiners_______________________________________ 17 per week of 35 hours. 

Cleaners and pinkers_______________________________ 15 per week of 35 hours. 

Operators------------------------------------------ 63¢ per hour. Pressers ___________________________________________ 70¢ per hour. 

Finishers----------------------~------------------ · 50¢ per hour. 

6. W estern A rea.-Em ployees in the Western Area engaged in 

the mechanical processes of manufacture of higher-priced garments 

andj or lower-priced garments, respectively, shall be paid not less 

than 85% of the minimum wages established herein for the City 

of New York for the various crafts in the two classifications of 

garments, respectively; provided, however, that cleaners and pinkers 

shall receive not less than $14 per week. 

The Pacific Coast or other markets in the Western Area mav 

petition the Administrator for a change in the wage differentials 

allowed herein. The Administrator, after such hearings as he may 

deem proper, after taking into consideration the competitive advantages and/ or disadvantages of such markets, may modify the 

aforesaid differentials provided in this Section. 

7. All other employees in any and all of such areas shall be paid 

not less than the rate of $14 per week for the maximum hourly work 

week as herein established. 
4 

8. The above wage scales provide a guaranteed minimum regardless of whether the employee is compensated on a time rate, piece 

rate, or other ba is. Cutters, sample makers, drapers, examiners, 

cleaners and pinkers, machine cutters, and stretchers shall be 

employed and paid on a week-work basis. 

9. No employee shall receive a lesser rate than is required to 

provide the same earnings for the hourly work week herein established as was received for that class of work for the longer work 

week prevailing immediately prior to the date of approval of this 

Code; provided, however, that this clause shall not be interpreted 

to require an increase in rate to any employee. in excess of 20%. 

Nothing herein contained shall relieve any employer from paying 

the other minimum wage rates established in this code. 

10. Exceptions from the above minimum-wage rates are granted 

for apprentices until the Code Authority shall make further report 

in those cases now existing in which apprentice rates have been 

established after legitimate collective bargaining. 

11. To insure employment to employees who are physically or 

mentally handicapped or who are otherwise subnormal in their 

production, such employees may be exempted by the Code Authority 

on such terms as the Code Authority may specify from the wage 

provisions of this Code, subject to review by the Administrator; 

provided that such employees shall not exceed in number 10% of 

the total number of workers employed by any one employer. 

ARTICLE V-GENERAL LABOR PROVISIONS 

1. No person under the age of 16 shall be employed in the Dress 

:Manufacturing Industry. 

2. 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 other concerted activities for the purpose of 

collective bargaining or other mutual aid or protection. 

3. 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 

4. Employers shall comply with the maximum hours of labor, 

minimum rates of pay, and other conditions of employment approved 

or prescribed by the President. · 

5. Within each State this Code shall not supersede any laws of 

such State imposing more stringent requirements regulating the age 

of employees, wages, hours of work, or health, fire, or general working conditions than under this Code. 

6. Employers shall not reclassify employees so as to defeat the 

purposes of the Act. 

7. Each employer shall post in conspicuous places full copie of the 

applicable labor provisions of this Code. 

8. No work shall be carried on in homes or tenement houses, ba ements, or in unsanitary buildings, or in buildings unsafe on account 

of fire or dangerous to health. 
5 

ARTICLE VI-CODE AUTHORITY 

1. To further effectuate the policies of the Act, a Code Authority 

is hereby set up to cooperate with the Administrator in the admin- istration of this Code. 

(a) The Code Authority shall consist of sixteen individuals, or 

such other number as may be approved from time to time by the 

Administrator, to be selected as hereinafter set-forth. The Administrator, in his discretion, may appoint not more than 3 additional 

members to represent the Administrator as he may desire. 

(b) The above members of the Code Authority shall be selected by 

a fair method of election to be approved by the Administrator, by 

each association, group, or geographic subdivision of the Industry 

hereinafter designated, and each such association, group, or geographic subdivision of the Industry shall elect the following number 

of individuals to said Code Authority, respectively: 

National Wholesale Dress Manufactmers Association ____________________________________ , 3 members. 

Affiliated Dress Manufacturers Association ______ 3 members. 

United Association of Dress Manufacturers, Incorporated __________________________________ 3 members. 

Eastern Metropolitan Area and Eastern Area _____ 1 member to represent dress 

manufacturers, 1 member 

to represent contractors. 

Western Area __________________ ________________ 2 members. 

International Ladies' Garment Workers' Union_ __ 3 members. 

(c) Each trade or industrial association directly or indirectly participating in the selection or activities of the Code Authoritx shall: 

(1) Impose no inequitable restrictions on membership and (2) submit to the Administrator true copies of its Articles of Association, 

Bylaws, Regulations, and any amendments when made thereto, 

together with such other information as to membership, organization, and activities as the Administrator may deem necessary to 

effectuate the purposes of the Act. 

(d) In order that the Code Authority shall at all times be truly 

representative of the Industry and in other respects comply with the 

provisions of the Act, the Administrator may provide such hearings 

as he may deem proper; and thereafter if he shall find that the Code 

Authority is not truly representative or does not in other respects 

comply with the provisions of the Act may require an appropriate 

modification in the method of selection of the Code Authority. 

(e) Should a vacancy occur on the Code Authority, it shall be 

filled in accordance herewith by the organization, group, or geographic subdivision formerly represented by the place on the Code 

Authority in which the vacancy occurs. 

2. The Code Authority shall have the following duties and powers 

to the extent permitted by the Act. The Administrator on review 

shall have the right to veto or modify any action taken by the Code 

Authority: 

(a) The Code Authority shall adopt bylaws and shall furnish to 

the Administrator true and correct copies of the bylaws and all 

amendments thereto immediately upoJl their adoption, together with 

true and correct copies of all rules and regulations which may be 

adopted by the Code Authority and true and correct minutes of all 

of its meetings, all certified by the Secretary of the Code Authority. 
6 

- (b) To elect officers 3:nd to .appoint ag~pts and. employees and to 

assign to them such du~Ies as It may consider advisable, a~d to provide rules for the selectiOn of members of the Code Authonty by the 

Industry. The Code Authority shall keep the Administrator advised 

of the personnel of its administrative employees. 

(c) To administer and enforce the provisions of this Code. 

' 

(d) To obtain from time to time from employers in the Industry 

who shall furnish reports in respect to wages, hours of labor, conditions of employment, number of employees, and other matters pertinent to the purposes of this Code as the Code Authority may prescribe and to submit periodical reports to the Administrator in such 

form and at such times as he may require, in order that the President may be kept informed with respect to the observance thereof, 

to furnish governmental agencies with such statistical and other information as the Administrator may deem necessary for the purpose 

recited in Section 3 (a) of the Act. 

Except where alleged violations are being heard, all individual reports furnished pursuant hereto shall be treated as confidential information by the administrative staff of the Code Authority, and 

shall not otherwise be revealed to competitors of those furnishing the 

information except as part of summarized reports. 

(e) To use such trade associations and other agencies as it deems 

proper for the carrying out of any of its activities provided for 

herein and to pay such trade associations and agencies the cost 

thereof, provided that nothing herein shall relieve the Code Authority of its duties or responsibilities under this Code and that such 

trade associations and agencies shall at all times be subject to and 

comply with the provisions hereof . . 

(f) To coordinate the administration of this Code with such other 

Codes, if any, as may be related to the Dress Manufacturing Industry or any subdivision thereof, with a view to promoting joint and 

harmonious action upon matters of common interest. 

(g) To initiate, consider, and submit to the Administrator 

proposals for amendments to or modifications of this Code. 

(h) To provide ways and means for financing the operation of 

said Code Authority and to determine an equitable method of apportioning in the Industry the Cost of administering this Code. Money 

raised in any manner shall not exceed in amount such reasonable 

cost. 

(i) The Code Authority shall provide rules and regulations by 

which the distinction between " higher-priced garments " as herein 

defined, and "lower-priced garments" shall be determined. In so 

doing2 the Code Authority shall be guided by the wholesale prices 

prevailing on August 15, 1933, or thereabouts, as representing the 

intention of the framers of this Code. 

(j) The Code Authority upon the adoption of this Code shall 

immediately make a thorough study for the purpose of introducing 

apprentice systems into the Industry, taking into consideration the 

school and other requirements of the respective states. On the basis 

of this study, the Code Authority shall make recommendations 

before January 1, 1934, to the Administrator for a provision for 

apprentice systems suggested as an amendment to this Code. 
7 

(k) The Code Authority shall immediately make investigation 

into the problem of style piracy, and make recmnmendations in 

connection therewith to the Administrator within sixty days after 

the effective date of this Code. 

ARTICLE VII-RELATIONS BETWEEN MANUFACTURERS AND 

CoNTRACTORS 

1. (a) All manufacturers andjor jobbers who cause their garments to be made by contractors shall adhere to the payment of 

rates for such production in an amount sufficient to enable the contractor to pay the employees the wages and earnings provided in this 

Code and in addition a reasonable payment to the contractors to 

cover overhead. 

Where a contractor establishes that there has been an underpayment made by any manufacturer and/or jobber under the provisions of this Article, such manufacturer and/or jobber shall be 

liable for such underpayment, provided that claim for such underpayment shall have been made within two weeks of the next following customary accounting settlement period. When any such 

claim for underpayment has been made by a contractor, such contractor shall open his books of account bearing on such claim for 

inspection. This clause shall not be construed as diminishing the 

rights of any employee to any claim for underpayment against the 

parties who caused such underpayment. 

(b) Manufacturers and jobbers who cause their garments to be 

made by contractors shall immediately designate the number of 

contractors to meet their business requirements. vVithin one week of 

the effective date of this Code the manufacturers and jobbers shall 

register the contractors so designated with the Code Authority, anu 

thereafter register any and all subsequent changes. 

(c) This does not abridge the right of the manufacturer or jobbers to add to, subtract from, or change their contractors, provided 

that such additions, subtractions, or changes conform to the business 

requirements of the manufacturers or jobbers, and is not intended 

to discriminate against the contractors or workers; and provided 

further, that such changes, or additions, are not made for the purpose of evading the ~stablished wage scale provided for in this Code 

plus the contractor's overhead. 

(d) The Code Authority, subject to veto by, the Administrator, 

shall have the power to prevent a practice on the part of a jobber 

or manufacturer of unjustly or unreasonably discriminating in the 

distribution of work as between contractors which might unfairly 

deprive groups of workers of an opportunity to work. . (e) In the distribution of work, manufacturers and jobbers shall 

have the right to employ contractors on the basis of type and the 

quality of the work performed; on a competitive price basis, provided the price is sufficient to pay the minimum wages provided for 

in this Code and a reasonable overhead to the contractor; and according to experience in obtaining deliveries on schedule; but this 

shall not be exercised as a devicEZ to evade the purpose of this Article. 
8 

(£) After further study the Code Authority, with the approval of 

the Administrator, shall make rules and regulations to further effectuate the purpose of this Article as stated herein. 

2. It shall be unfair competition for any manufacturer and/or 

jobber to employ a contractor, or for any contractor to accept employment from a manufacturer andj or jobber except by use of the 

uniform order blank to be promulgated by the Code Authority after 

being approved by the Administrator. 

ARTICLE VIII-LABELS 

All garments manufactured or distributed subject to the provisions 

of this Code shall bear an N.R.A. label to symbolize to purchasers 

of said garments the conditions under which they were manufactured. Under the powers vested in him by Executive Order of October 14, 1933, and under grant of the necessary authority by the 

Administrator, the Code Authority shall have the exclusive right in 

this Industry to issue and furnish said labels to the members thereof. 

Each label shall bear a registration number especially assigned to 

each employer by the Code Authority and remain attached to such 

garment when sold to the retail distributor. Any and all employers 

may apply to the Code Authority for a permit to use such N.R.A. 

label, which permit to use the label shall be granted to them, but 

only if and so long as they comply with this Code. The Code 

Authority, subject to approval by the Administrator, shall establish 

rules and regulations and appropriate machinery for the issuance of 

labels and the inspection, examination and supervision of the practices of employers using such labels in observing the provisions of 

this Code for the purpose of ascertaining the right of said employer 

to the continued use of said labels; of protecting purchasers in relying on said labels; of insuring to each individual employer that the 

symbolism of said label will be maintained by virtue of compliance 

with the practices herein contained by all other employers using 

said label. 

The charge made for such labels by the Code Authority shall at 

all times be subject to supervision and orders of the Administrator 

and shall be not more than an amount necessary to cover the actual 

reasonable cost thereof, including actual printing, distribution, and 

administration and supervision of the use thereof as hereinabove set 

forth. 

ARTICLE IX-TRADE PRACTICES 

The following practices constitute unfair methods of competition 

for members of the Industry and are prohibited: 

1. No returned merchandise may be accepted for credit except 

for defects in manufacture, delay in delivery, or errors in shipment. 

Further recommendations on this subject may be made by the Code 

Authority. 

2. The Code Authority shall immediately formulate a uniform 

order blank to be used in the sale of products. After such notice and 

such hearing as the Administrator may provide, he may approve 

said uniform order blank after which it will be unfair trade practice 

for anyone engaged in the Industry to sell to any purchaser except 

by the use of said uniform order blank. 
9 

3 . . It shall be unfair trade pr actice to sell merchandise at a cash 

discount in excess of 8% ten days E .O.lVI. (end of month) except 

that merchandise shipped after the 25th day of any month may be 

dated as of the first clay of the following month. Anticipation shall 

not be allowed at a rate in excess of 6% per annum. 

4. The Code Authority shall immediately formulate regulations 

defining the practice of selling on memorandum, consignment, or at 

retail. After such regulations are approved by the Administrator, it 

shall be unfair trade practice for anyone engaged in this Industry to 

sell merchandise on memorandum, consignment, or at retail in violation thereof. 5. It shall be unfair trade practice to make secret payment of 

allowances or refunds, rebates, commissions, credits, or unearned 

discounts, whether in the form of money or otherwise, or the secret 

extension to certain purchasers, or to others also engaged in this 

I ndustry of special services or privileges, not openly extended to all 

on like terms and conditions. 

6. I t shall be unfair trade practice to sell merchandise except upon 

terms as expressly stated upon the invoices pertinent to such sale. 

7. I t shall be unfair trade practice to resort to subterfuge to evade 

t his Code. ARTICLE X-MONOPOLIES 

This Code shall not be construed or applied to promote or permit 

monopolies or monopolistic practi es or to eliminate or oppress small 

enterprises or to discriminate against them. 

ARTICLE XI-1\.IomFICATIONS 

1. This Code and all the provisions thereof are expres ly made 

subject to the right of the President, in accordance with the provisions of subsection (b) of Sectjon 10 of the National Industrial 

Recovery Act, from time to time to cancel or modify any order, 

approva"I. licen e, rule, or regulation i sued under Title I of said 

Act and specifically, but without limitation, to the right of the 

P resident to cancel or modify his approval of thi Code or any 

conditions imposed by him upon his approYal thereof. 

2. This Code, except as to provisions required by the Act, may be 

modified on the bas]s of experience or changes in circumstances, such 

modification to be based upon application to the Administrator and 

such notice of hearing as he shall specify, and to become effective 

on approval by the President. 

ARTICLE XII 

T he Administrator may after such notice and hearing and after 

making such appropriate ~mendme 1ts as may in his discretion ~e 

necessary extend the operabon of th1s Code to such other geographical divisions as may be subject to the Act. 

ARTICLE XIII- EFFECTIVE DATE 

The effecti-ve date of this Code shall be the second J\fonday after 

it is approved by the President of the United States. 

0