Approved Code No. ttt Registry No. 1741-2--04 

NATIONAL RECOVERY ADMINISTRATION 

C·ODE OF FAIR COMPETITION 

l'OB TBB 

AIR TRANSPORT INDUSTRY 

AS APPROVED ON NOVEMBER 14, 1933 

BY 

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PRESIDENT ROOSEVELT 

WI DO OUR PART 

L Executive Order 

2. Letter of Transmittal 

3. CA>de 

UNITED STATES 

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WASHINGTON z 193S 

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Birmingham, Ala. : 257 Federal Building. 

Boston, Mass. : 1801 Customhouse. 

Buffalo, 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. 

Detroit, Mich.: 2213 First National Bank Building. 

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Jacksonville, Fla.: Chamber of Commerce Building. 

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San Francisco, Calif. : 310 Customhouse. 

Seattle, Wash.: 809 Federal Building. 

(Il) 
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EXECUTIVE ORDER 

CoDE OF F Am CoMPETITION FOR 'l'HE Am TRANSPORT 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 Air Transport 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 such a said code of fair competition complies in all respects with the pertinent provisions of title 

I of said actt and that the requirements of clauses (1) and (2) of 

subsection ( a J o:f section 3 of said act have been met. 

NOW, THEREFORE, I, Franklin D. Roosevelt, President of 

the United States, pursuant to the authority vested in me by title I 

of the National Industrial Recovery Actl. approved June 16, 1933-1 

and otherwise, do adopt the findings and approve the report anct 

recommendations of the Administrator and do order that the said 

code of fair competition be and it is hereby approved. 

THE WHITE HousE, 

November 14, 1933. 

Approval recommended : 

HUGH s. JOHNSON' 

.A. dt,ninistrator. 

21128°-244-2-88 

FRANKLIN D. ROOSEVELT. 

(ill) 
NOVEMBER 10, 1983. 

THE PRESIDENT, 

The White H o'IJJ8e. 

Sm: This is a report of the Hearing on the Code of Fair Competition for the Air Transport Industry of the United States and the 

Territory of Alaska, conducted in Washington on the 31st of August 

1933, in accordance with the provisions of the National Industrial 

Recovery Act. 

PROVISIONS OF THIS CODE AS TO w AGES AND HOURS 

Maximum hours for emplo_yees are established as follows: Clerical 

employees-40 hours per week. Shop mechanics and shop mechanics' 

helpers-40 hours per week, averaged over a period of 4 weeks with a 

maximum of 48 hours in any one week. Service mechanics and service mechanics' helpers-48 hours per week, averaged over a period of 

8 weeks with a maximum of 54 hours in any one week. Ground radio 

operators and field clerks not more than 48 hours in any one week. 

W atchmen-54 hours in any one week. Chauffeurs-48 hours per 

week, averaged over a period of 6 weeks with a maximum of 54 hours 

in any one week. 

No employee shall be paid less than at the rate of $15.00 a week. 

Provision is made that rates of pay for employees whose hours of 

employment have been reduced by the provisions of this Code shall 

be increased by a readjustment so that equitable differentials in ~arnings will be maintained and the rates of pay of employees whose hours 

have not been reduced shall not be decreased. 

Employment of any person under 16 years of age and anyone 

under 18 years of age at occupations hazardous in nature or dangerous 

to health is prohibited. 

In recommending the approval of the hour provisions of this Code 

it has been necessary to recognize that ·air transportation is a public 

service requiring 24 hours per day operation throughout the year and 

that its schedules are continuously subject to interferences by weather 

conditions. · 

ECONOMIC EFFECT OF THE CODE 

The Air Transport Industry represents an exception in the present depression in that it has added to its personnel and expanded 

steadily from year to year. Its personnel increased from about 

1,861 in 1929 to about 4,260 in June 1933. Under the recommended 

Code the Industry will show an additional increase in personnel of 

about 14.5%. The total increase in pay roll will be about 20%. 

It is considered that this is a substantial contribution to the Reemployment Program in view of the fact that the Post Office Department's mail payments which form the largest item of the air-line 

income have been reduced approximately 28% for 1933. 

(IV) 

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Through the provisions of this Code the Industry has an opportunity to :provide for the control of new operations so that it will 

not be subJect to uneconomic paralleling of lines and the destructive 

competition experienced during the course of development by the 

railroads and bus lines. 

It is believed that the provisions in this Code permit adequate control and at the same time insure development and sound expansion. 

FINDINGS 

The Administrator finds that: 

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

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

thereof; and that 

(b) The applicant group imposes no inequitable restrictions on 

admission to membership therein, and is truly representative of the 

Air Transport Industry; and that 

( c) The Code as recommended is not designed to promote monopolies or to eliminate or oppress small enterprises and will not 

operate to discriminate against them, and will tend to effectuate 

the policy of Title I of the National Industrial Recovery Act. 

From evidence adduced during this hearing and from recommendations and reports of the various Advisory Boards, it is believed 

that this Code as now proposed and revised is satisfactory to this 

Industry, labor, the public, and this Administration. It is recommended, therefore, that this Code, as herewith submitted, be 

approved. 

Respectfully, 

• 

HUGH s. JOHNSON' 

Administrator . 

CODE OF FAIR COMPETITION FOR THE AIR TRANSPORT 

INDUSTRY 

ARTICLE I-PURPOSE 

To effectuate the policies of Title I of the National Industrial 

Recovery Act the following provisions are established as a Code of 

Fair Competition for the Air Transport Industry, 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-DEFINITIONS 

As used in this Code : 

(1) The term "President" means the President of the United 

States. 

(2) The terms "Act" and "Administrator" mean respectively the 

National Industrial Recovery Act, and the Administrator of Title I 

of said Act. 

( 3) The term " Industry " includes all public carriers for hire by 

aircraft for passengers, and/or mail, and/or cargo on scheduled 

operations and services incidental thereto within the several States 

of the United States, the District of Columbia. and the territory o:f 

Alaska., and such branches or subdivisions thereof as may from time 

to time be included by the President under the provisions of this 

Code, but does not include scheduled operations and/ or services 

incidental thereto not within the several States of the United States, 

the District of Columbia, and the territory of Alaska. 

( 4) The term "employee" includes any person engaged in any 

phase of the Industry in any capacity, receiving compensation £or 

his services, irrespective of the method of payment of such 

compensation. , (5) The term "employer" includes anyone engaged in the 

Industry by whom any employee is compensated or employed. 

( 6) The term " member of the Industry " includes anyone engaged 

in the Industry as above defined, either as an employer or on his 

own behalf. 

(7) The term "Chamber" means the Aeronautical Chamber of 

Commerce of America, Inc., a trade association organized under the 

laws of the State of New York. 

· ARTICLE III-Hor:Rs 

1. No employee in the Industry shall be permitted to work in 

excess of forty ( 40) hours in any one week except as follows: 

a. Shop mechanics and shop mechanics' helpers not more than 

forty ( 40) hours per week averaged over a period of £our ( 4) weeks, 

with a maximum of forty-eight ( 48) hours in any one week. 

(1) 
2 

b. Service mechanics and service mechanics' helpers not more 

than :forty-eight ( 48) hours per week averaged over a period of eight 

(8) weeks with a maximum of fifty-four (54) hours in any one week. 

c. Ground radio operators and field clerks not more than fortyeight ( 48) hours in any one week. 

d. vVatchmen not more than fi:fty-:four (54) hours in any one week. 

e. Chauffeurs not more than forty-eight ( 48) hours m any one 

week averaged over a period of six (6) weeks, with a maximum of 

fifty-:four ( 54) hours in any one week. 

f. The number of employees classified as ground radio operators, 

field clerks, and watchmen shall not exceed fifteen per cent {15%) 

of the total number of employees of any employer. 

2. No employee shall be permitted to work :for a total number of 

hours in excess of the number of hours prescribed herein whether 

employed by one or more employers. 

3. No employee shall be regularly employed more than six (6) days 

in any seven (7) day feriod. 

4. The provisions o this Article shall not apply to any employee 

on emergency maintenance or emergency repair work involving accidents endangering life or property, nor to persons who receive more 

than $35.00 a week em:r,loyed in a managerial, executive, or professional capacity, or as pilots or copilots. 

ARTICLE IV-WAGES 

1. No employee shall be paid less than at the rate of $15.00 a week. 

2. The rates of pay of all employees included in Article III whose 

hours of employment have been reduced by the provisions of this 

Code but whose wages have not been increased by the foregoing seetion of this Article shall be increased by a readjustment so that 

equitable differentials in earnings will be maintained, and the rates 

of pay of such employees included in Article III whose hours have 

not been reduced shall not be decreased. 

3. Those employees included in paragraph (a) Article III above 

who work in excess of eight (8) hours per day, or in excess of forty 

( 40) hours per week and those employees included in :paragraph (b) 

Article III above who work in excess of forty-eight ( 48) hours per 

week, shall be compensated by not less than one and one third times 

the normal rate of pay for such excess. All other employees on emergency maintenance or emergency repair work involvmg accidents 

endangering life or property shall receive at least time and one third 

pay per hours' work in excess of the maximum hours herein provided. 

4. Any employee shall be classified according to the classification 

of his occupation existing on June 16, 19337 provided he is still performing the same duties. If he is performmg other duties, he shall 

be classified as to occupation on the basis of such duties as of said 

date. 

ARTICLE V-LABOR PROVISIONS 

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-or~anizat10n or in other concerted activities for the purpose 

of collective bargaining or other mutual aid or protection. 
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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. 

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

minimum rates of /ay, and other conditions of employment, approved or prescribe by the President. 

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

the Industry nor anyone under e1_ghteen (18) years of age at operations or occupations hazardous m nature or dangerous to health. 

The Code Authority shall submit to the Administrator before March 

1, 1934, a list of such occupations. An employer shall be deemed to 

have complied with these provisions if he shall have on file a certificate or permit duly issued by the Authority in such state empowered to issue employment or age certificates or permits showing 

that the employee is of the required age. 

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

such State imposing more stringent requirements regulating the age 

of employees, hours of work, or general working conditions than 

under this Code, nor shall_ it supersede the provisions of the Air 

Commerce Act of 1926, or any regulations issued thereunder or 

pursuant thereto. 

ARTICLE VI-ADMINISTRATION 

To effectuate further the purJ>OSes of the Act, a Code Authority 

ls hereby set up to cooperate with the Administrator in the administration of this Code. . 

1. The Code Authority shall be composed of seven (7) voting 

members and one or more nonvoting members. Not more than five 

(5) voting members shall be chosen by the Chamber. Not more 

than two (2) voting members may be chosen by those assenting to 

the Code who are not members of the Chamber. One or more nonvoting members may be appointed by the Administrator to serve 

without cost to the Industry. The method of selection of the voting 

members of the Code Authority shall be subject to the approval of 

the Administrator. 

2. Any trade or industrial association participating in the selection of or activities of the Code Authority shall comply with the 

following requirements: (a) it shall impose no inequitable restrictions on membership, (b) it shall not violate any rule or regulation 

prescribed by the President under the Act, and ( c) it shall submit 

to the Administrator true copies of its articles of association, bylaws, 

regulations, and amendments when made thereto, together with such 

other information as to membership, organization, and activities as 

the Administrator may require to effectuate the policies of this Act. 

3. The Administrator may provide such hearings as he may deem 

proper for those claiming the right to be represented on the Code 

Authority, and may thereafter change the method of selection and 

the organizations selecting the members of the Code Authority in 

order that the Code Authority shall be truly representative of the 

Industry. 
4 

4. An appeal from any action by the Code Authority affecting 

the rights of any employer or employee in the Industry may be 

taken to the Administrator. 

5. Only employers assenting to this Code shall be entitled to participate in the selection of the Code Authority and to share in its 

activities as hereinafter set forth. 

6. The Code Authority shall have the following duties and powers, 

to the extent permitted by this Act, subject to review by the 

Administrator : 

a. To elect officers and assign to them such duties as it may consider advisable, and to provide reasonable rules for its own procedure. 

b. To receive complaints of violations of this Code, make investigations thereof, provide hearings thereon, and adjust such complaints, and bring to the attention of the Administrator for 

prosecution, recommendations, and information relative to unadJusted violations. 

c. To require periodical reports from the members of the Industry with respect to revenues, expenses, and other charges, wages, 

hours of labor, conditions of employment, number of employees, and 

other matters pertinent to the purposes of this Code, in order that 

the President may be kept informed with respect to the observance 

thereof. In addition to the information required to be submitted 

to the Code Authority as set forth in this Article 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 A.ct. 

d. To recommend to the Administrator a uniform system of 

accounting which upon his approv.;11 shall be used in furnishing the 

aforesaid reports. 

e. To initiate, consider, and submit proposals for amendments or 

modifications to this Code, which upon approval by the President, 

after such hearings as he may prescribe, shall be incorporated herein 

with the same force and effect as if originally made a part hereof. 

f. To determine and collect with the approval of the Administrator, from those assenting to the Code their equitable and proportionate shares of the expense of maintaining the Code Authority 

and its activities. 

g. To COOJ?erate with the Administrator in regulating the use of 

the N.R.A. msignia solely by those who have agreed to and do 

comply with this Code. , 7. Nothing contained in this Code shall constitute the members of 

the Code Authority partners for any purpose. Nor shall any member of the Code Authority be liable in any manner to anyone for any 

act of any other member, officer, agent, or employee of the Code 

Authority. Nor shall any member of the Code Authority be liable 

to anyone for any action or omission to act under the Code, except 

for his own willful mis£ easance or nonfeasance. 

8. The Code Authority shall have the powers and duties elsewhere 

provided in this Code, subject to the right of the Administrator, on 

review, to disapprove or modify any action taken by the Code 

Authority. 
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ARTrCLE VII-TRADE PRAOTICES 

Within sjxty (60) days from the date of approval of this Code 

with respect to existing routes7 and within thirty (30) days after 

the establishment of any extension of an existing route, and prior to 

the establishment of any new route or service, each member of the 

Industry shall file with the Code Authority the :following: 

1. A certified copy of a letter or certificate of authority to operate, 

issued by the United States Department of Commerce permitting 

service over such route or extension thereof. 

2. Such information in respect to routes, schedules, tariffs, working conditions, and other matters pertinent to the purpose of this 

Code as the Code Authority with the approval of the Administrator 

may from time to time prescribe in order to inform the President as 

to the observance of this Code. 

3. Evidence of compliance with such standards and conditions of 

operation, other than those required by the Department of Commerce, as the Administrator upon the recommendation of the Code 

Authority, after such notice and hearing as he shall prescribe, may 

approve as reasonable and in the interests of :fair competition. 

ARTICLE VIII-GENERAL 

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

subject to the ris-ht of the President, in accordance with the provisions of subsect10n (b) of Section 10 of the National Industrial 

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

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

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

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

2. Nothing in this Code shall permit monopolies or monopolistic 

practices or eliminate or oppress or discriminate against small 

enterprises. 

3. Each member shall post in a conspicuous place in each workshop a full copy of this Code. 

4. This Code shall become effective on the second l\!Ionday after 

it shall have been approved by the President of the United States. 

0 
UNIVERSITY OF FLORIDA 

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