UNIVERSITY OF FLORIDA 

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3 1262 08486 7794 

Approved Code No. 149 Registry No. 299-1-16 

NATIONAL RECOVERY ADMINISTRATION 

C·ODE OF FAIR COMPETITION 

FOR THE 

MACHINED WASTE 

MANUFACTURING INDUSTRY 

l 

AS APPROVED ON DECEMBER 7, 1933 

BY 

n - ' • ' u -. 

PRESIDENT ROOSEVELT 

WI DO OUR PART 

1. Executive Order 

2. Letter of Transmittal 

s·. Code 

UNITED STATES 

GOVERNMENT PRINTING OFFICE 

WASHINGTON : 1933 

For sale by the Superintendent of Documen ts, Washington , D.C. - - - - - - - - Price 5 cents 

v 
This publication is for sale by the Superintendent of Documents, Government 

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

Foreign and Domestk Commerce. 

DISTRICT OFFICES OF THE DEPARTMENT OF COMMERCE 

Atlanta. Ga.: 504 Post Office Building. 

Birmingham, Ala.: 257 Federal Building. 

Boston, l\'Iass.: 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.: OhambeT of Commerce Building. 

Detroit, Mich.: 2213 First National Bank Building. 

Houston, Tex.: Chamber of Commerce Building. 

Indianapolis, Ind.: Chamber of Commerce Building. 

Jacksonville, Fla.: Chamber of Commerce Building. 

Kansas City, Mo.: 1028 Baltimore Avenue. 

Los Angeles, Calif.: 1163 South Broadway. 

Louisville, Ky.: 408 Federal Building. 

Memphis, Tenn. : 229 Federal Building. 

Minneapolis, Minn. : 213 Federal Building. 

New Orleans, La.: Room 225-A, Customhouse. 

New York, N.Y.: 734 Customhouse. 

Norfolk, Va.: 406 East Plume Street. 

Pltiladelphi , Pa. : 933 Commercial Trust Building. 

Pittsburgh, Pa. : Chamber of Commerce Building. 

Portland, Oreg. : 215 New Post Office Building. 

St. Louis, Mo.: 506 Olive Street. 

San Francisco, Calif. : 310 Customhouse. 

Seattle, Wash.: 809 Federal Building. 
Approved Code No. 149 

CODE OF FAIR COMPETITION 

FOR THE 

MACHINED WASTE MANUFACTURING INDUSTRY: 

As Approved on December 7, 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 

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

of Fair Competition for the ~1achined Waste Manufacturing Industry, and hearings having been held thereon and the Administrator having rendered his report containin&" an analysis of the. said 

Code of Fair Competition) together with h1s 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: 

NO,iV, THEREFORE, I , Franklin D. Roosevelt, President of the 

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

the National Industrial Recovery Act, approved June 16, 1933, and 

otherwise, do adopt and approve the report, recommendations, and 

findings of the Administrator, and do order that the said Code of 

Fair Competition be, and it is hereby, approved. 

Approval recommended: 

HuGHS. JoHNSON, A dmini8trator. 

THE WHITE HousE, Decernber 7, 1933. 

FRANKLIN D. ROOSEVELT. 

256ss·----244-14U----33 (607) 
N OVEl\IBER 25, 1933. 

The PREsiDENT, 

Th e White House. 

Sm: This is a report on the Hearing on the Code of Fair Competition for the Machined Waste Manufacturing Industry, held in accordance wii.h the provisions of the National Industrial Recovery Act in 

the Caucus Room of the Old House Office Building, on November 6, 

1933. The Code which is attached was presented by duly qualified 

and authorized representatives of the Industry, con1.plying with 

statutory requirements, said to represent 60 percent in number and 

85 percent in volwne of the Industry. 

In accordance with the customary procedure every person who had 

filed a request for an appearance was freely heard in public, and all 

statutory and regulatory requirements were complied with. 

THE INDUSTRY 

The Industry comprises about 40 concerns, having an investment 

in 1933 of $4,500,000. In 1928 and 1929 the Industry provided employment for 1,600 full-tune workers. This figure has declined to 

about 900 full and part-time wo.rkers in 1933. The aggregate annual sales have fallen from 130,000,000 pounds in 1928 to an estin1.ated 

65,000,000 pounds in 1933. 

The wages specified in this Code according to testimony are in 

excess by more than 30% of the highest 1929 wages paid in the 

South. The increase from the low of 1933 is considerably in excass 

of 100% according to testi1nony given. While the same percentage 

increase is not to be fotmd in the other districts, the improvement 

is all that could be expected in the situation. 

Hours of work have be-en reduced fr01n 48 and more than 50, in 

some instances, to 40, and employment is thereby increased in the 

same proportions. 

PROVISIONS OF THE CODE 

The Code provides for a minilnum wage in the North of 32lj2¢ an 

hour, and 30¢ an hour in the South. Hours of work are limited to 

40 hours in any one week and 8 hours in any 24-hour period with 

the following exceptions: maintenance employees are permitted to 

work 44 hours per week; truckn1.en, 48 hours per week; watchmen, 

56 hours per week; employees in a supervisory capacity receiving 

$35.00 per week or more, and outside salesrr:en are not limited to 

hours; employees on emergency repair work are excepted but are 

to be paid time and one third for hours worked in excess of 44 hours 

per week. Provision is made for the maintenance of differentials 

between wages above the minimum. Operations are limited to one 

shift of 40 hours. 

Representation on the Code Authority is provided for all members 

of the 1ndustry. 

(608) 
609 

There are no highly restrictive provisions in the Code itself. Provision is made for recommendations by the Code Authority to the 

Administrator for licensing all new installations and in other ways 

to regulate the industry. No such provisions, however, will become 

effective without further approval of the Administrator. 

FINDINGS 

I find that: 

(a) This Code complies in all respects with the pertinent provisions of Title I of the National Industrial Recovery Act, includin~ 

without limitation subsection (a) of Section 7 and subsection (b J 

of Section 10 thereof and further provides for the reporting of any 

pertinent statistical information desired by the Administration. 

(b) The 'Vaste Manufacturers Association to be truly representative of the :Machined Waste Manufacturing Industry. The ByLaws of this Association provide no inequitable restrictions to 

membership. 

(c) The Code 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. 

(d) The wages specified in this Code are substantially higher 

than those prevailing prior to June 16, 1933. 

(e) The trade practices have the support of the preponderant 

majority of the industry and should increase uniformity of practice. 

I recommend that the Code be approved. 

Respectfully, 

Huon S. JOHNSON, 

'Administrator. 
CODE OF FAIR COMPETITION 

FOR THE 

MACHINED WASTE 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 o:f 

Fair Competition for the Machined Waste Manufacturing Industry, 

and, upon approval by the President, shall be the standard of fair 

co~petition for such industry and shall be binding upon every 

member thereof. 

ARTICLE II-DEFINITIONS 

1. The term " Industry" as used herein includes the manufacture 

and sale of machined wiping waste and journal-box packing, and 

branches or subdivisions thereof as may from time to time be 

included under the provisions of this Code. 

2. The term "member of the Industry " includes anyone engaged 

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

behalf. 

3. The term "Association" means the Waste :Th1anufacturers 

Association. 

4. The term "President", "Act", and "Administrator" as used 

herein, shall mean, respectively, the President of the United States2 the National Industrial Recovery Act, and the Administrator ot 

title I of said Act. 

5. The term "employee" as used herein includes anyone engaged 

in the Industry in any capacity receiving compensation for his service, irrespective of the nature or method of payment of such 

compensation. 

6. The term" employer" as used herein includes anyone by whom 

any such employee is compensated or employed. 

7. The term "productive machinery" as used herein is defined to 

mean wa;;te pullers. 

ARTICLE III-HouRs 

1. No employee shall work or be permitted to work in excess o.f 

forty (40) hours in any one week or eight (8) hours in any twentyfour (24) hour period, except that: · 

(a) executives and employees in a managerial or supervisory capacity who receive thirty-five ($35.00) dollars or more per week 

and outside salesmen are excepted .from the maximum-hour provisions of this Section. 

(610) 
611 

(b) repair-shop crews, firemen, engineers, electrician,s, outside 

crews, and cleaners shall be permitted to work 10% in excess of the 

maximum hours specified above. 

(c) truckmen shall be permitted to work forty -eight ( 48) hours 

per week. 

(d) watchmen are permitted to work not in excess of fifty-six 

(56) hours per week. 

(e) employees on emergency maintenance or emergency repair 

work involving breakdowns or protection of life or property may 

work in excess of the maximum hours specified above, but in any 

such special case at least time and one-third shall be paid for all 

overtime work. At the end of each calendar month every employer 

shall report to the Code Authority, hereinafter provided for, in such 

detail as may be required, the number of man-hours worked in that 

month for emergency reasons and the ratio which said emergency 

man-hours bear to the tot.al number of man-hours of labor during 

said month. 

2. Members of the Industry shall not operate productive machinery in the Machined Waste Manufacturing Industry for more than 

one shift of forty ( 40) hours per week. 

ARTICLE IV-WAGES 

1. No employee shall be paid at less than the rate of thirty-two 

and one-half (32¥2¢) cents per hour in the North and thirty (30¢) 

cents per hour in the South. The South shall include the states of 

Virginia, North Carolina, South Carolina,__, Georgia, Tennessee, Alabama, Mississippi, Louisiana, Texas, and l11orida. The North shall 

mean the rest of the United States. 

2. This Article establishes a minimum rate of pay, regardless of 

whether an employee is compensated on a time-rate, piecework, or 

other basis. 

3. The compensation for employment now in excess of the miniInurn wages hereby provided shall not be reduced (notwithstanding 

that the hours worked in such employment may be hereby reduced). 

Wage differentials existing prior to June 16, 1933, shall be maintained for all employees receiving thirty-five ($35.00) dollars or 

less per week. 

4. Female employees performing substantially the same work as 

male employees shall receive the same rates of pay as male employees. 

ARTICLE V-GENERAL LABOR PROVISIONS 

1. No person under 16 years of age shall be employed in this 

Industry, nor anyone under 18 years of age at operations or occupations hazardous in nature or detrimental to health. The Code 

Authority shall submit to the Administrator within ninety (90) 

days after approval a list of such occupations. In any State an 

employer shall be deemed to have complied with this provision if 

he shall have on file a certificate duly issued by the authority empowered to issue employment certificates, showing that the employees 

are of the required age. 
612 

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. 

4. Employ.ers 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 members of the Industry shall comply with 

any laws in such State imposing more stringent requirements, regulating the age of employees, wages, hours of work, or health, welfare, or general working conditions than are provided in this Code. 

6. Each employer shall post in conspicuous places full copies of 

this Code. 

ARTICLE VI-ADMINISTRATION 

To further effectuate the policies of the Act, a Code Authority is 

hereby constituted to cooperate with the Administrator in the 

administration of this Code. 

1. Organization and constitution of Code Authority. 

(a) The Code Authority shall consist of five ( 5) individuals, or 

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

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

by the Administrator. The President, in his discretion, may appoint 

from one (1) to three (3) additional members without vote. 

Each member of the industry shall have one vote in selecting the 

members of the Code Authority. 

(b) 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. 

(c) Each trade or industrial association directly or indirectly 

participating in the selection or activities of the Code Authority 

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. 

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

to the extent permitted by this Act. The Administrator shall have 

the right to review and veto or modify any action taken by the 

Code Authority. 
613 

(a) The Code Authority may from time to time present to th~ 

Administrator recommendations based on conditions in this Industry as they may develop which will tend to effectuate the operation 

of the provisions of this Code. Such recommendations when approved by the Administrator after such notice or hearing as he shall 

specify shall have the same force and effect as any provision of 

this Code. Such recommendations may include: 

( 1) Recommendations (a) for the requirement by th~ Adminis 4 

trator of registration by persons engaged in the Machined Waste 

Manufacturing Industry of all productive machinery, (b) for the 

requirement by the Administrator that prior to the installation of 

additional productive machinery by persons engaged or engaging 

in this Industry (except for the replacement of machinery of equal 

capacity or to establish balance in existing machinery) such persons 

shall secure certificates that such installation shall be consistent with 

effectuating the policy of the National Industrial Recovery Act 

during the period of emergency, and (c) for the granting or withholding by the Administrator of such certificates as so required by 

him. 

(2) Recommendations for a plan to prevent demoralization in the 

Industry whenever operations are below 35 percent of registered 

capacity and after approval by members of the Industry representing 

80 percent of the volume of production. 

(b) The Code Authority shall cooperate with the Administrator 

in making investigations as to the functioning and observance of 

any provisions of this Code, at its own instance or on complaint by 

any person, and to report the same to the Administrator. 

(c) ~1embers of the Industry shall be entitled to participate in 

and share the benefits of the activities 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 proper share of the reasonable expenses of its administration. The proper share of the expenses of administration shall be 

determined by the Code Authority, on the basis of volume of business and/or such other factors as may be deemed equitable to be 

taken into consideration. 

(d) Members of the Industry shall file with the Code Authority, 

at such time and in such manner as may be prescribed, statistics cov- ering number of employees, wage rates, employee earnings, hour of 

work, production, shipments, stocks, prices, and such other data 

pert~nent to the effec~u~tion of the pu~·poses of. this code as may be 

required by the Administrator. Such InformatiOn shall be received 

assembled, and reported to the Code Authority by a confidential 

agency in no way connected with the Industry. This agency hall 

disclose to the Code Authority only the general findino·s. 

(e) In addition to the information required to be submitted to the 

Code Authority, there shall be furnished to go--rernment ao-encies 

such statistical information as the Administrator may deem c~esc:ary 

for the purposes recited in Section 3 (a) of the Act. 

(f) T~e Code Au.thority may from time to time appoint such 

subconunittees ?r designate such agencies, and may delegate to any of 

them s~ch of Its powers and duties, ~~ it shall deem necessa ry or 

proper In order to carry out the provisions of this Code. 
614 

_ (g) Any interested party shall have the right of appeal to the 

Administrator, under such rules and regulations as he may prescribe in respect to any rule, regulation, or other course of action 

issued or taken by the Code Authority. 

ARTICLE VII-TRADE PROVISIONS 

1. No member o:f this Industry shall sell or exchange any product 

. of the Industry below his own cost as may be determined as hereafter provided. When a uniform and standard system of Cost Ac- . counting, prescribed by the Code Authority, shall be approved by 

. the Administrator, every member o:f the Industry shall install a system o:f accounting which conforms to the principles o:f and is at least 

- as detailed as such system. The Code Authority shall, subject to 

the approval of the Administrator, determine the cost factors to be 

included in such system, and the manner o:f calculating raw material 

00~ : 

2. Any violation o:f the unfair trade practices set :forth in Schedule A attached hereto, or hereafter approved by the President, shall 

constitute a violation o:f this Code. 

ARTICLE VIII-MoDIFICATION 

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

subject to the right o:f the President, in accordance with the provisions o:f subsection (b) o:f Section 10 o:f the National Industrial Recovery Act, :from time to time to cancel or modify any order, approval, license, rule, or regulation issued under Title I o:f said Act 

and specifically, but without limitation, to the right o:f the President to cancel or modify his approval o:f this Code or any conditions 

imposed by him upon his approval thereof. 

2. After due notice and hearing, this Code, except as to provisions 

required by the Act, may be modified on the basis of experience or 

changes in circumstances; such modifications shall be based on the 

recommendation o:f the Code Authority or of any interested party 

or group or on the Administrator's own initiative and shall become 

effective on approval o:f the President. 

ARTICLE IX-MONOPOLIES 

No provision o:f this Code shall be so applied as to permit monopolies or monopolistic practices, or to eliminate, oppress, or discriminate against small enterprises. 

ARTICLE X-EFFECTIVE DATE 

This Code shall become effective on the tenth day after its approval 

by the President. 

Approved Code No. 149. 

Registry No. 299-1-16. 
615 

SCHEDULE A 

1. Open Price Provis-ions.-Members of this Industry shall file with the Code Authority n schedule o! prices, terms, discounts, and conditions of sale for the products of the 

Industry within twenty (20) days after the effective date of the Code. Such price lists 

may be revised only upon 5 days' notice to the Code Authority. The Code Authority shall 

immediately send copies of all price lists so filed to all members of the Industry. Members of the Industry shall not sell their products at other prices or on other terms or conditions than set forth in their own price list. When any member of the Industry revises his price list, any other member of the Industry may revise his price list accordingly, to become effective on the same date as the revised price list first fi led. 

Ob.l'!dlete merchandise and merchandise that must be sold in emergencies may be sold 

at other than the price list of the member of the Industry, with the approval of the Code 

Authority. The Code Authority shall have the power to suspend the operation of the provisions of this Section. 

2. Tet·ms of Sale.-The t erms of sale shall be: To railroads and the Government-1 o/o 

10 days, net 30 days; To other customers-not more than 2o/o 25th proximo. 3. Commissions.-On shipments made direct to consumers, commissions may be paid to 

those whose business is not regularly that of selling wiping waste and/ or journal-box pack- ing, at the rate of not more than 4 o/o, and at the rate of 5o/o to bona fide salesmen of 

such products. On shipments to be ca·rried in stock by r epresentatives, the commission 

may be %¢ per pound based on listed selling prices. 4. Price Changes.-Members ot the Industry shall not make guarantees against decline 

In prices. 

5. Qu.otations.-Protection on quotations shall be limited to forty-eight ( 48) hours 

from tlle receipt thereof, or from closing date of the inquiry covered. All quotations shall 

bear- tile following notation : "The price quoted herein is subject to acceptance on (aate) ; otherwise quotatiol). Is 

subject to market change and our acceptance." 6. Oontracts.-(a) Shipment on contracts shall be released within the contract period and in no case shall members of the Industry make shipment on any contract after 

thirty (30) days from its expiration date. 

(b) Contracts shan be either for the entire requirements of the customer for the con- tract period, or for a specified poundage, with a tolerance of not over 15 % . 7. Untait· Trade Practices.-The following unfair trad e practices are prohibited. (a) The secret payment or allowance of rebates, refunds, commissions, credits, or unearned discounts, w.hether in the form of money or otherwise, or the secret extension 

to certain purchasers of special services or privileges not extended to all purchasers on like terms and conditions. 

(b) Entering into any contract for furnishing any products of the Industry contingent 

upon the sale or purchase of any other thing, the performance of any other service or any other contingency not appearing in the contract. 

(c) Obtaining or soliciting orders from railroads directly or indirectly on the basis ot 

traffic considerations, by means of practices which have been condemned by the Federal 

Trade Commission. 

0