Approved Code No. 170 Registry o. 1001- 03 

NATIONAL RECOVERY ADMINISTRATION 

CODE OF FAIR COMPETITION 

FOR THE 

GRINDING WHEEL INDUSTRY 

u 

AS APPROVED ON DECEMBER 21, 1933 

BY 

PRESIDENT ROOSEVELT 

1. Executive Order 

2. Letter of Transmittal 

3. Code 

UNITED STATES 

GOVERNMENT PRINTI G OFFICE 

WASHINGTON : 1933 

\ 

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Approved Code No. 170 

CODE OF FAIR COMPETITION 

FOR THE 

GRINDING WHEEL INDUSTRY 

As Approved on December 21, 1933 

BY 

PRESIDENT ROOSEVELT 

Executive Order 

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

compliance with the provisions of title I of the National Industrial 

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

of Fair Competition for the Grinding Wheel 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 Admini trator having found that the said code of fair competition complie in all re pects with the pertinent provisions of title 

I of aid act and that the requirements of clauses (1) and (2) of 

sub ection (a) of section 3 of the said act have been met: ,.. TO\\ THEREFORE, I, Franklin D. Roosevelt, President of the 

United tate pursuant to the authority vested in me by title I of the 

National Indu trial Recovery Act, approved June 16, 1933 and other-

"i e, do adopt and appro, e the report and recommendations and 

findings of the Administrator and do order that the said code of fair 

competition be, and it is hereby, approved. 

FRA l{LIN D. ROOSEVELT. 

ApproYal re ommencled: 

Huon S. Jon o.i: 

Administ1·ator. 

THE , r HITE HousE 

Decem,ber Bl 1933. 

(287) 

27G4G0 - 2DG-ll--33 
DECEMBER 8, 1933. 

The PRESIDENT, 

The lV hite Howe. 

Sm: This is a report on the Code of Fair Competition for the 

Grinding Wheel Industry in the United States, the hearing having 

be.en conducted in Washington on October 26, 1933, in accordance 

with the provisions of the National Industrial Recovery Act. 

PROVISIONS FOR HOURS AND WAGES 

The maximum of 40 hours a week and 8 hours a day is provided 

for factory employees except during peak periods when they will be 

permitted 36 additional hours in any 3-month period, but not more 

than 48 hours in any one week. Time and a half will be paid for 

hours in excess of 40 per week and 8 per day to the above employees 

including emergency maintenance and repair workers who will not 

be limited in hours, and to shipping crews who will have a tolerance 

of 10 percent over the normal maximum hours. Kiln tenders will 

be limited to 48 hours a week, and watchmen to 56 hours. Office 

employees will be limited to an average of 40 hours in any one week 

over a 3-month period, and 48 hours in any one week. Those in a 

managerial, executive, or supervisory capacity will not be limited in 

hours. · 

The minimum wage to factory workers will be 40 cents to male 

and female employees engaged in the same work. To female employees not engaged in the same work as men, the minimum pay will 

be 35 cents. Learners will receive no less than 80 percent of the 

above minimum rates. Office employees will be paid $15 per week, 

except for office boys and girls and messengers, who will receive 80 

percent of this minimum. 

CHILD LABOR 

The minimum age of employees in this industry will be 16 years, 

except in hazardous occupations, where the minimum age will be 18 

years. 

ECONOMIC EFFECT OF CODE 

The 40-hour maximum week adopted by the President's Reemployment Agreement and provided by the Code, and the new business 

since June 1933, have increased employment 30 percent. The maxi1num hours during the early part of 1933 and in previous years were 

as high as 60 per week. The average working time in 1D29 was 511⁄2 

hours per week. Employment dropped from 4,254 persons in 1929 

to 2,160 in the early part of 1933 or 49 percent. Since June, this 

figure has increased to 2,674, or almost to the 1931 employment level. 

(288) 
289 

The minimum pay :for employees in this inclu try in 1929 and 1nce 

June 1933 has been 30 cent and less than this during the clepre ion. 

Thu the minimum of 40 and 35 cents provided by the Code hould 

rai e the standard of wage· appreciably. 

ale of this Indu try ha-ve decreased from $2~\9 0.000 in 1929 to 

$7 647 000 in 1932 or o er 74 percent. In 1929 sales were 62 percent 

of the $48 000 000 production capacity of 41 concern · and in 1932, 15 

percent of the $50,000,000 capacity of the pre ent 42 concerns. 

FINDINGS 

The Administrator finds that: 

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

pertinent proYisions of Title I of the Act, including, without limita• 

tion, subsection (a) of Section 7 and subsection (b) of Section 10 

thereof; and that 

(b) The applicant group imposes no inequitable restrictions on 

admission to membership therein and is truly representative of the 

Industry; and that 

( c) The 1"1ode as recommended is not designed to promote monop• 

olies 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. 

It is recommended, therefore, that this Code is approved. 

Re pectfully, 

HUGH S. JOHNSON, 

Administrator. 
CODE OF FAIR COMPETITION 

FOR THE 

GRINDING \VHEEL INDUSTRY 

.AnTICLE 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 for the Grinding Wheel Industry, and upon 

approval by the President shall be the standard of fair competition 

for this industry, and binding upon every member thereof. 

ARTICLE II-DEFINITIONS 

The terin " Grinding Wheel Industry " or " Industry " as used 

herein shall mean the manufacture and the sale by the manufacturers of grinding wheels, bricks, stones, segments, blocks, and solid 

discs which are employed in grinding, sharpening, polishing, and for 

the removal of stock of metal, stone, wood, and other materials, but 

is not defined to mean the fashioning and selling of natural sandstone 

wheels, including natural sandstone pulpstones. 

The term ".As ociation" means the Grinding ,vheel Manufacturer. ' .Association. 

The term" employee" as used herein, includes any and all persons 

engaged in the Industry, however compensated, except a member of 

the Industry. The term "employer" as used herein, includes anyone for whose 

benefit such an employee is so engaged. 

The term" learner" as used herein, means a person having no preYious experience in the Industry and whose period of employment in 

the Industry as such shall not exceed three months. 

The t erm "member of the Industry" includes, but without limitation, any individual, partnership, association, corporation, or other 

form of enterprise engaged in the Industry, either as an employer or 

on his or its own behalf. 

The term " member of the Code " includes any member of the 

Inclnstry who shall expressly signify assent to this Code. 

The term "Act" means Title I of the National Industry RecoYery 

At. 

The term "A lministrator" means the Administrator for Industrial Recoverv. 

The term " .. Administration" means the National Recovery Administration. 

" Eff cti ·e date '' a used herein, means the third ~1onday after the 

day thi: Code shall haYc been approved by the President of the 

Unit t1 Stat ~-

(~90) 
291 

ARTICLE III-I-Io1IBs 

SECTION 1. No accounting, cleri al, office, ·ervi e or sales employees 

( cxc pt out ide sale men), or any other employee shall, except as 

hereinafter provided, work or be permitted to work more than a 

maximum week of forty ( 40) hours averaged over a three-month 

period; provided, however, that such employees shall not be employed 

more than forty-eight ( 48) hours in any week; and provided further 

that no employees to whom this Section 1 applies shall work more 

than six (6) days in any calendar week. 

SEc. 2. No factory or mechanical worker or artisan shall, except 

as hereinafter provided, work or be permitted to work in excess of 

forty ( 40) hours in any seven (7) day period, or eight (8) hours in 

any twenty-four (24) hour period; provided, however, that, during 

any period in which a concentrated demand upon any division of 

the Industry shall place an unusual and temporary burden for production upon its facilities, an employee of such division may be 

permitted to work not more than thirty-six (36) additional hours 

in any three (3) month period, but not more than forty-eight ( 48) 

hours in any seven (7) day period; and provided further that no 

employee to whom this Section 2 applies shall work more than six 

(6) days in any calendar week. 

SEC. 3. The maximum hours fixed in the foregoing paragraphs 

shall not apply to employees in a 1nanagerial, executive, or supervisory capacity (not including underforemen or bosses engaged on 

production work) receiving thirty-five (35) dollars or more per 

week, nor to employees engaged in taking annual inventory, or 

on emergency, maintenance, and repair work involving break-downs 

or protection of life and property. 

SEc. 4. All employees to whom Sections 2 and 3 of this Article 

III apply, except managerial, executive, and supervisory employees 

receiving thirty-five (35) dollars or more per week, who work more 

than forty ( 40) hours in any seven (7) day period or more than 

eight (8) hours in any t wenty-four (24) hour period, shall be paid 

not less than one and one half (11⁄2) times their normal rate of 

pay for said excess. · SEc. 5. No watchmen shall be permitted to work in excess of 

fifty-six ( 56) hours in any one week. SEc. 6. Kiln tenders shall be permitted to work a ,maximum of 

forty-eight ( 48 ) hours per week to meet the demand of emergency 

peaks in production. 

SEC. 7. Employees engao-ed on shipping crews, including truck 

drivers, shall be permitted a tolerance of t en (10) fercent over the 

maximum hours provi led in Sections (1) and (2) o this Article III. 

ARTICLE Iv-,v AoEs 

SECTION 1. No mal employee, except as hereinafter proYicLd, ·hall 

be paid at less than the rate of forty ( 40) cents an J10ur and no 

female mployee hall be paid at less than the rate of tlurty-five (35) 

cent an hour; provid d however that learn r · may be paid not 

les than 80% of sn ·h minimum ·wt ge. The nnmber of employe 

s paid a. learner shall no c.~ cl - / of he total number of em-
292 

ployees of any one employer; but in any case such employer shall 

be entitled to two (2) such employees. 

SE·. 2. This Article IV establishes minimum rates of pay, regarc.lless of Yd1ether the employee is compensated on the ba is of a 

time-rate or a piecework performance, or otherwise. 

SEC. 3. A person whose earning capacity is limite l because of 

age or physical or mental handicap may be employed on light work 

n.t a wage below the minimum established by this Code if the employer obtains from the State authority designated by the United 

States Department of Labor a certificate authorizing his employment at such wages and for such hours as shall be stated in the 

certificate. Each employer shall file with the Code Authority a list 

of all such persons employed by him. 

SEc. 4. The minimum wage that shall be paid to employees to 

whom Section (1-) of Article III applies, shall not be less than 

fifteen (15) dollars per week; provided, however, that office boys 

and girls and messengers shall be paid at a rate not less than eighty 

(80) percent of the minimum salary provided in this Section (4) 

of Article IV; and provided further that the number of such office 

boys and girls and messengers so paid shall constitute not more than 

five (5) percent of the total number of employees of any one employer, and in any case, such employE-r shall be entitled to two (2) 

such employees. 

SEc. 5. Female employees performing substantially the same wo.rk 

as male employees shall receive the same rate of pay as male 

employees. 

SEc. 6. The wage rates for all operations and duties shall be equitably adjusted when this Code becomes effective, and in making such 

adjustments, in no case shall the hourly rate be decreased. Each 

member of the industry shall report all such adjustments to the Code 

Authority within 30 days of the effective date. 

SEc. 7. No employer shall reclassify employees or duties of occupations performed, or engage in any other subterfuge for the purpose 

of defeating the purposes or provisions of the Act or of this Code. 

ARTICLE V- CIIILD LABOR 

No person under sixteen (16) years of age shall be employed in 

the Industry. No person under eighteen (18) years of age shall be 

employed at operations or occupat10ns which are hazardous in nature or dangerous to health. The Code Authority shall submit to 

the administrator before February 1, 1934, a list of such operations 

or occupations. In any State an employer shall be deemed to have 

complied with this provision as to age if he shall have on file a certificate or permit duly signed by the Authority in such State empowered to issue employment or age certificates or permits showing that 

the employee is of the required age. 

AnTICLE VI- GENERAL LAnon PROVISIONS 

SECTION 1. Employees hall have the right to organize and bargain collectively through repre entatives of their own choosing, and 

shall be free from the interference, restraint, or coercion of employ-
293 

ers of labor, or their agents, in the designation of . u h rq re cnta- tives or in self-organization or in other concerted activitie for the 

purpose of collective bargaining or other mutual ail or protBction. 

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 a si ting a labor organization 

of his own choosing. SEC. 3. Employers shall comply with the maximum hour. of labor, 

minimum rates of pay, and other conditions of employment approYed 

or prescribed by the President. 

SEC. 4. Within each State, no provision of this Code shall 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. SEc. 5. Every employer shall make reasonable provisions for the 

safety and health of his employees at the place and during the hours 

of their employment. 

SEc. 6. All employers shall post complete copies of the labor provisions of this Code in conspicuous places acces ible to employees. 

ARTICLE VII-ADMINISTTIATION 

SECTION 1. (a) To effectuate the policies of Title I of the National 

Industrial Recovery Act a Code Authority is hereby designated to 

cooperate with the Administrator as a Planning and Fair Practice 

Agency for the Grinding Wheel Industry. The Code Authority 

shall consist of seven (7) members of the Industry who are members of the Association and one member of the Industry who is not 

a member of the Association, selected by a fair method of selection, pro-,ided any nonmembers of the Association in the I ndu try desire 

such representation. 

(b) In addition to membership as above provided, there may be 

from one to three members, without vote, as representatives of the 

Administrator, to be appointed by him, to serve :for terms of ix (6) 

months to one (1) year from the date of appointment. 

( c) The Board of Directors of the Grinding Wheel ~Ianufacturer Association shall appoint the members of the Code Authority 

to represent the said As ociation and those may or may not be 

member. of the Board of Directors, and the nonmembers of the 

As ·ociation shall nominate and elect their member by a :fair method 

subject to the approval of the Administrator. 

( c1) Each trade or industrial association directly or indirectly participating in the selection or actiYities of the Code Authority hall 

(1) impo e no inequitable restriction on membership, and (2) submit 

to the Administrator true copies of its articles of a sociation, bylaw , 

rerrulations and any amendments when made thereto, together with 

such other information as to member hip, organization and actiYities 

a the -'- dmini -trator may leem nece sa ry to ffe tuatc the purpo e 

of the Act. 

(e) In o~d r that the ode 1. uthority hall at all tim b truly 

repre ·ent_ative of the In lu tr. and in other re pect~ ompl with 

the pro,Lions of the ct th .Admini trator may pre. rib ~uch 

hearing as he may deem proper; and thcr after if he hall find 
294 

that the Code Authority is not truly representative or does not in 

other re ·pects comply with the provisions of the Act, may require 

an appropriate modjficntion in the method of selection of the Code 

Authority. 

(f) Members of the Industry shall be entitled to participate in 

an 1 share the benefits of the activitie of the Code Authority and 

to participate in the selection of the members thereof by assenting 

to and complying with the requirements of this Code and sustaining 

their reasonable slutre of the expenses of its administration. Such 

reasonable share of the expenses of administration shall be determined by the Code Authority, subject to review by the Administrator, on the basis of volume of business and/or such other factors 

as may be deemed equitable. 

SEc. 2. The Code Authority shall have the following further 

powers and duties, the exercise of which shall be reported to the 

Administrator and shall be subject to his right, on review, to approve 

or disapprove any action taken by the Code Authority: 

(a) To collect from every member of the Industry such information concerning wage rates and hours of work as may be required 

to enable the Code Authority to determine whether there has been 

compliance with the provisions of the National Industrial Recovery 

Act and with the provisions of this Code, and such further information as may be required to enable the Industry through said Code 

Authority to report required information to the Administrator. 

In addition to information required to be submitted to the Code 

Authority, there shall be furnished to government agencies such 

statistical information as the Administrator may deem necessary for 

the purposes recited in Section 3 (a) of the National Industrial 

Recovery Act. 

(b) The Code Authority shall study this Code and the operation 

thereof and shall make any r ecommendations from_ time to time to 

the Administrator which it deems desirable for modification or addition thereto which upon approval of the President of the United 

States, after such hearing as he may prescribe, shall become a part 

of this Code and have full force and effect as provisions hereof. 

ARTICLE VIII-TRADE PRACTICES 

It shall be an unfair method of competition and a violation of this 

Code for any member of the Industry to engage in any of the following practices : 

(1) The false marking or branding of the products of the Industry, with the intent of misleading or deceiving purchasers with 

respect to the quantity, quality, size, or substance of the goods 

purchased. 

(2) Making or causing or permitting to be made or published any 

false, untrue1 or deceptive statement by way of advertisement or 

otherwise concerning the quality, quantity, substance, character, nature, origin, size, or preparation of any product of the Industry, 

having the tendency and capacity to mislead or deceive purchasers or 

prospective purchasers or to affect injuriously the business of competitors. 

(3) The imitation of the trade marks, trade names, slogans, nr 

other marks o-f identifiction of competitors, having the tendency and 
295 

capacity to mi. -lead or deceive purcha ers or pro~pective purcha. ers, 

or to affect injuriously the bu iness of such competitors. ( 4) The lefomation of comp titors by falsely imp 1ting to them 

dishonorable conduct, inability to perform contra t ·, or que tionable 

credit tanding, or by other fal e represen ation r t he ful ·e disparagement of the quality of their goods. ( 5) Wilfully in lucing 01· attempting to induce the breach of existing contracts between competitors and their customers, or interfering 

with or obstructing the performance of any uch contractual duties 

or services, with the purpose and effect of hamperin°·, injurin O' or 

embarrassing competitors in their business. (6) Initiating negotiations with employees of competitors to ntice 

them away or induce them to violate their products. 

(7) The making of promises of delivery that are mi leadinO' or 

that cannot reasonably be fulfilled. 

(8) The secret payment or allowance to any en tomer of rebates, 

refunds, or credits, whether in the form o:f money or otherwi e. 

(9) The paying or promising to pay the customers or their employees or prospective customers, of a commis ion or consideration 

of any character; or unwarranted entertainment or improper gratuities for the purpo e of inducing or compensating for a ale. This 

provision shall not be construed to prohibit free and general distribution of articles commonly used for advertis0 ment except so far 

as such articles are actually used for commercial bribery as hereinabove defined. 

(10) The sale or offering for sale of any products under a guarantee of performance because of the impossibility of defining and 

maintaining the conditions under which such a guarantee can honestly be made. Guarantee of material and workmanship nre quite 

proper. . 

(11) The shipping of products not conforming in respect to 

dimensional tolerances to the standards of the Association to a user 

of products for. trial or on regular orders, unless specified by the 

user_ thus putting his competitor at a disadvantage when the consumer compiles relative cost figures ; provided, however, that if the 

application of these standard should at any time TI"ork unju. -t hardship upon any member of the Industry, such member may a1 peal to 

the Code Authority, which shall have the power to grant such relief 

as justice may reqnire. If the Co le Authority should deny relief or 

should fail to take action upon any application for relief within 

twenty (20) days from the elate of said application, such member 

may appeal to the Admini trator, who shall have power to o-rant 

such relief. 

(12) No member of the Industry shall sell or exchange any products at a price below hi. own individual cost, except to meet the cost 

of a lower cost producer who is not Yiolating the provisions of this 

Code, provided that nothing in this paragraph (12) shall prohibit 

the ale below co t of ob olete or di continue l line , di tr merchandi. e, or any oth r article jnf rior to the stn.nclarcl I roduct where 

such concliti n · o.f ob. olctcn ·, lamag or inf riority i clearly 

indicated. 

(13) Ea h member of th Industry ·hall ·within thirt_ (30 ) lays 

after the ffoctiYc elate of th Code file "·ith th ll Anth rit.v a 
UNIVERSITY OF FLORIDA 

II I II IIIIII Ill Ill lllll lllll II IIIIII II IIII IIII IIIIII Ill llll llll I I 

29 3 1262 08486 8529 

net price list or a price list and discount sheet, as the case may be, 

individually prepared by him, showing his current prices or prices 

and discounts and terms of payment, and if he so desires the name of 

his customers to whom limit prices are quoted. This information 

will be open to examination at the office of the Code Authority and 

each member of the Industry will have a right to examination of 

these records to the same degree that he has furnished similar information. No member of the Industry will deviate from his lists 

thus filed until revised lists have been filed with the Code Authority 

and copies thereof shall be available for examination by all members 

of the Industry to the same degree as they are supplying revised 

information. No member of the Industry shall sell his products at 

prices or terms more favorable than those provided in his current 

net price list or price lists and discount sheets as submitted to the 

Code Authority, except as otherwise provided herein. 

(14) vVheels may be furnished for trial purposes under the following terms: Full payment is to be made if wheels are satisfactory, 

or if partially satisfactory and usable, to be paid for on the basis of 

Yalue received, or if unusable, to be returned for full credit. All trial 

shipments shall be invoiced at the member's established prices. Any 

deviation from these terms except where the amount involved is less 

than two ($2.00) dollars shall be considered unfair competition. 

(15) The giving away of or offering free trial wheels or products 

except where the amount involved is less than two ($2.00) dollars 

is hereby considered as unfair competition. 

(16) Price guarantees shall be given only on bona fide orders 

covering definite quantities of definite specifications and the price 

prevailing on the elate the order is placed may apply only to all 

orders calling for shipment within eight (8) weeks of the date of 

the order. On such shipments as may be deferred beyond the eight 

(8) weeks' period at the request of the customer, the price prevailing at the time of shipment shall apply. Provided further, that 

notwithstanding the provisions of Section ( 13) of this Article VIII, 

any written quotation accepted by a customer within ten days for 

shipment within eight (8) weeks may be filled at the prices shown 

on such written quotation. 

ARTICLE IX-MODIFICATION 

SECTION 1. This Code and all the provisions thereof are expressly 

made subject to the right of the President, in accordance with the 

provisions of subsection (b) of Section 10 of the National Industrial 

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

approval, license, rule1 or regulation issued under Title I of said 

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

President to cancel or 1noclify his approval of this Code or any conditions imposed by him upon his approval thereof. -

Approved Code No. 170. 

Registry No. 1001-03. 

0