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v 

NATIONAL RECOVERY ADMINISTRATION 

CODE OF FAIR COMPETITION 

FOR THE 

DRY GOODS 

COTTON BATTING INDUSTRY 

AS APPROVED ON APRIL 21, 1934 

WE DO OUR PART 

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UNITED STATES 

GOVERNMENT PRINTING OFFICE 

WASHINGTON: 1934 

For sale by the Superintendent of Documents, Washington, D.C. - - - - - - - - Price 5 cents 
This publication is for sale by tbe Superintendent of Documents, Government 

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

and Domestic Commerce. 

DISTRICT OFFICES OF THE DEP ARDlENT OF COMMERCE 

Atlanta, Ga.: 504 Post Office Building. 

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 Nortll Wells Street. 

Cleveland, Ohio: Chamber of Commerce. 

Dallas, 'l'ex.: Chamber of Commerc-e Building. 

Detroit, l\lich.: 801 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. 

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New York, N.Y.: 734 Customhouse. 

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Philadelphia, Pa.: 422 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 Office Building. 
Approved Code No. 404 

CODE OF FAIR COMPETITION 

FOR THE 

DRY GOODS COTTON BATTING INDUSTRY 

As Approved on April 21, 1934 

ORDER 

ConE OF FAIR CoMPETITION FOR THE DRY Goons CoTToN BATTING 

INDUSTRY 

An application having been duly made pusuant to and in full 

compliance with the provisions of Title I of the National Industrial 

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

Fair Competition for the Dry Goods Cotton Batting Industry, and 

hearings having been duly held thereon and the annexed report on 

said Code, containing findings with respect thereto, having been 

made and directed to the President: 

NOvV, THEREFORE, on behalf of the President of the United 

States, I, Hugh S. Johnson, Administrator for Industrial Recovery, 

pursuant to authority vested in me by Executive Orders of the 

President, including Executive Ord~r No. 6543-A, dated December 

30, 1933, and otherwise ; do hereby incorporate by reference said 

annexed report and do find that said Code complies in all respects 

with the pertinent provisions and will promote the policy and purposes of said Title of said Act; and do hereby order that said Code 

of Fair Competition be and it is hereby approved. 

HuGHS. JoHNSoN, 

Adndnistrator for lndU'st?ial Recovery. 

Approval recomm~nded: 

w. A. HARRIMAN' 

Acting Division Administrator. 

wASHINGTON, D.C., 

April ~1, 1931,.. 

54393°----482-138----34 (441) 
REPORT TO THE PRESIDENT 

The PRESIDENT, 

The White House. 

Srn: This is a report on the Hearing on the Code of Fair Competition for the Dry Goods Cotton Batting Industry, conducted in 

Washington, D.C., on January 30, 1934. · 

In accordance with the customary procedure every person who 

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

statutory and regulatory requirements were complied with. 

The Code which is attached, was presented by duly qualified and 

authorized representatives of the Industry, claiming to represent 

90 per cent of the volume of the Industry. 

GENERAL CHARA 'TERISTIOS OF THE INDUSTRY 

The term Dry Goods Cotton Batting Industry includes the manufacture of carded or garnetted cotton or other fibre into "hatts ", 

sold through the Dry Goods Trade and similar channels for the 

manufacture of comforts, quilts, pads, pillows, and similar articles 

for miscellaneous household uses. 

There are 22 manufacturers in the Industry, the majority of which 

are comparatively small and are located in towns of relatively small 

population. 

Employment in this Industry has increased ne·arly 43% over the 

total employment in 1929, so that the Industry is now employing 

about 300 more men than it did in that period. It. is felt by the 

I nclustry that this increase in the rate of employn1ent is due to the. 

operation of the temporary Code for the Industry ove·r the latter 

part of the year 1933. 

It i reported that during the first 6 months of 1933 wages had 

been reduced approximately 25 % below the scale of 1929. During 

the latter part of 1933, however, wages advanced to a figure in excess 

of the wages paid in 1929. It is felt that this increase is due to the. 

operation of the temporary Code. Thus, for the Industry there 

ha been an increase of approximately $233,000.00 in payrolls. 

PROVISIONS OF THE CODE 

The labor provisions of this Code are similar in many ways to 

those of the Code of Fair Competition for the Bedding Industry, 

because of. the fact that many of the manufacturers. of dry goods 

cotton batting are also manufacturers of products wh1ch go into the 

manufacture of mattresses. 

The minimum wage in the northern section of the United States 

is 321h¢ per hour while the minium wage in the southern section is 

30¢ per hour. This rate is similar to that established in the Code of 

Fair Competition for the Cotton Textile Industry. 

(442) 
443 

Provisions relative to maximum hours call for a work week of 

40 hours with a maximum of 48 hours for 8 weeks during any 6 

months period, as a peak period is necessary to the Industry in v1ew 

of the seasonal demand with which this Industry must contend. 

This Industry requests but one Trade Pr~tice. This Trade Practice prohibits the use of second hand materials, which has been detrimental to this and similar Industries for many years. 

FINDINGS 

The Deputy Administrator in his final report to me on said Code 

having found as herein set forth and on the basis of all the proceedings in this matter ; 

I find that: · 

(a) Said Code is well designed to promote the policies and purposes of Title I of the National Industrial Recovery Act, including 

removal of obstructions to the free flow of interstate and foreign 

commerce which tend to diminish the amount thereof and will provide for the general welfare by promoting the organization of indus- try for the purpose of cooperative action among the trade groups, by 

inducing and maintaining united action of labor and management 

under adequate governmental sanctions and supervision, by eliminating unfair competitive practices, by promoting the fullest possible 

utilization of the present productive capacity of industries, by avoiding undue restriction of production (except as may be temporarily 

required), by increasing the consumption of industrial and agricultural products through increasing purchasing power, by reducing 

and relieving unemployment, by improving standards of labor, and 

by otherwise rehabilitating industry. 

(b) Said Industry normally employs not more than 50,000 employees; and is not cl'assified by me as a major industry. 

(c) The Code as approved complies in all respects with the pertinent provisions of said Title of said Act, including without limitation 

Subsection (a) of Section 3, Subsection (a) of Section 7, and Subsection (b) of Section 10 thereof; and that the applicant association 

is an industrial association truly representative of the arforesaid 

Industry; and that said association imposes no inequitable restrictions 

on admission to membership therein. 

(d) The Code is not designed to and will not permit m.onopolies 

or monopolistic practices. 

(e) The Code is not designated to and will not eliminate or oppress 

small enterprises and will not operate to discriminate against them. 

(f) Those engaged in other steps of the economic process have not 

been deprived of the right to be heard prior to approval of said Code. 

For these reasons, the Code has been approved. 

Respectfully, 

APRIL 21, 1934. 

HuGH S. JoHNsoN, 

Administrator. 
CODE OF FAIR COMPETITION FOR THE DRY GOODS 

COTTON BATTING 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 Dry Goods Batting Industry, and shall be 

the standard of fair competition for this industry and shall be binding upon every member thereof. 

ARTICLE II-DEFINITIONS 

1. The term" Dry Goods Cotton Batting Industry" or" Industry" 

as used herein means and includes the manufacture of garnetted 

and/or carded cotton or other fibre usually put up in the form of 

paper-banded andjor paper wrapped "batt " sold primarily to the 

Dry Goods Trade and through similar channels for consumption by 

the ultimate purchaser in the making of comforts, quilts, pads, pillows and other similar articles, and for miscellaneous household uses. 

2. The term "Association", as applied to the Industry means the 

National Association of Dry Goods Cotton Batting Manufacturers. 

3. The term " Secretary " means the Secretary of such Association. 

4. The term "member of the Industry" includes but without limitation any individual, partnership, association, corporation or other 

form of enterprise engaged in the Industry as above defined, whether 

as an employer or on his own behalf. 

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

in the above defined Industry in any capacity receiving compensation 

for his services irrespective of the nature or method of payment of 

such compensation. 

6. The term "employer" as used herein includes anyone by whon1 

any such employee is compen ated or employed in this Industry. 

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

herein shall 1nean respectively, the President of the United States, 

Title I of the National Industrial Recovery Act, and the Administrator for Industrial Recovery. 

ARTicLE III-HoURS 

1. No employee shall be permitted to work in excess of forty (40) 

hour per week except that for eight ( 8) weeks during any six ( 6) 

months' period employees may be permitted to work forty-eight (48) 

hours per week. The foregoing provisions do not apply to: 

(a) Outside salesmen, or employees engaged in emergency maintenance or emergency repair work or persons employed in a managerial, 

supervisory or executive capacity who earn not less than thirty-five 

dollars ($35.00) per week. 

(444) 
445 

(b) Firemen, engineers, cleaners, truck drivers~ and shipping 

crews, who may be permitted a 10% tolerance over the hours specified. 

(c) Watchmen who shall not be permitted to work more than 

fifty-six (56) hours a week. 

ARTICLE IV-WAGES 

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

and one half cents (321;2¢) per hour in the Northern Section of 

the United States, or thirty cents (30¢) per hour in the Southern 

Section of the United States. 

(a) The Southern Section is define'd as comprising North Carolina, South Carolina, Florida, Georgia, Alabama, Tennessee, Mississippi, Arkansas, Louisiana, Oklahoma, Texas, and Virginia; and 

the Northern Section is defined to include all other States in the 

United States proper including the District of Columbia. 

(b) Learners without previous experience in this Industry may 

be employed at a minimum wage rate of eighty per cent ( 80%) of 

the minimum wage rate prescribed by this Article provided that the 

period of learning shall be not more than thirty (30) days and 

IJrovided further, that the number of such learners shall, at no 

time, exceed five per cent (5%) of the total employees in any particular plant in this Industry; provided further, that no employee 

may serve more than one learning period within this above Industry. 

2. A person whose earning capacity is limited because of age, 

physical or mental handicap, or other infirmity, may be employed on 

light work at a wag-e below the minimum established by this Code, if 

the employer obtams from the Staw authority, designated by the 

U.S. Department of Labor, a certificate authorizing such person's 

employment at such wages and for such hours as shall be stated in 

the certificate. Such authority shall be guided by the instructions 

of the U.S. Department of Labor in issuing certificates to such persons. Each employer shall file monthly with the Code Authority a 

list of all such persons employed by him, showing the wages paid to, 

and the maximum hours of work for such employee. 

3. This Article establishes minimum rates of pay, which shall 

apply irrespective of whether an employee is actually compensated 

on a time-rate, piecework, or other basis. 

4. Rates of pay in excess of the minimum hereinbefore prescribed 

shall be equitably adjusted in order to preserve equitable differentials. 

All such adjustments made since June 1, 1933 shall be reported 

to the Code Authority. 

ARTICLE V-GENERAL LABOR PROVISIONS 

1. On and after the effective date of this Code no employer shall 

employ anyone under the age of sixteen (16) years, nor anyone 

under eighteen (18) years of age at operations or occupations hazardous in nature or dangerous to health. In any State an employer 

shall be deemed to have complied with this provision 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 

per1nits showing that the employee is of the required age. 
446 

2. In compliance with Section 7 (a) of Title I of the Act: 

(a) Employees shall have the right to organize and bargain collectively through representative 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 pnrpose of collective ba.rgaining or other mutual a.id or protection. 

(b) 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 

(c) Employers shall comply with the maximum hours of labor, 

minimum rates of pay, and other conditions of employment, 

approved or prescribed by the President. 

3. Every employer shall provide for the safety and health of all 

employees during the hours and at the places of their employment. 

Standards for safety and health shall be submitted by the Code 

Authority to the Administrat<:>r within six months after the effective 

date of the Code. 

4. No employer shall reclassify employees or duties of occupations 

performed or engage in any subterfuge for the purpose of defeating 

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

5. Each employer shall post in conspicuous places full copies 

of Articles III, IV and V of this Code, and such other Articles 

and in accordance with such regulations as are required by the 

Administrator. 

ARTICLE VI-Am\HNIS'l'RA TION 

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

representing said Industry is hereby constituted to cooperate with 

the Administrator in the administration of this Code. 

(a) The Code Authority shall consist of five ( 5) members, four 

( 4) members to be elected by and from the members of the Association, and one (1) to be elected by and from the non-members. The m~thod of election shall be approved by the Administrator. 

(b) The Administrator may appoint not more than three ( 3) 

members without vote or expense to the Industry to represent the 

Administrator on the Code Authority. 

(c) The Code Authority shall be elected within twenty (20) days 

after the approval of this Code. 

(d) If the representative of the non-member group to the Code 

Authority is not elected within thirty (30) days after the approval 

of the Code, the Board of Directors of the Association may elect a 

member to the Code Authority to fill that place, subject to the approval of the Administrator. 

2. 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. 
447 

3. 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 Ad1ninistrator may prescribe such hearings 

as he 1nay 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. 

4. Members 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 1nembers thereof. as provided in Section 1 (a) of this Article, by assenting to and complying with the 

requirements of this Code and sustaining their reasonable share of 

the cost and expenses of its administration. Such reasonable share 

of the expenses of administration shall be determined by the Code 

.Authority, subject to approval by the Administrator, on the basis 

of volume of business and/ or such other factors a · may be deemed 

equitable. 

5. Powe1·s atnd Duties of the Code Authority.-The Code Authority shall have the following further powers and duties: 

(a) To insure the execution of the provisions of this Code and to 

provide, subject to rules and regulations established by the Administrator, for the compliance of the Industry with the provisions of the 

.Act; provided, however, that this shall not be construed to deprive 

duly authorized g'Overnmental agencies of their power to en-force 

the provisions of this Code or of the Act. 

(b) To 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 of any person affected and shall 

report the same to the Administrator. 

(c) To make recommendations to the Administrator for the coordination of the administration of this Code with such other codes, 

if any, as may be related to the lndustry. 

(d) Subject to the approval of the Administrator to assess upon 

members of the Industry an equitable and proportionate share of the 

reasonable cost and expenses of maintaining the Code and the activities of the Code Authority, which amount shall be paid by each 

member of this Industry. 

(e) To obtain from members of the Industry such information 

and reports as are required for the administration of the Code and 

in addition to information required to be submitted to any Code 

Authority, all or any of the persons subject to this Code shall furnish 

such statistical information as the Administrator may deem necessary 

for the purpose recited in Section 3 (a) of the Act to such Federal 

and State agencies as the Administrator may de ignate; nor shall 

anything in any Code relieve any person of existing obligations 

to furnish reports to government agencies. No individual reports 

shall be disclosed to any other member of the Industry or any other 

party except to such governmental agencies as may be directed by 

the President. 

(f) To present to the Administrator from time to time recommendations for modification of this Code, based on conditions in 

the Industry as they may develop which will tend to effectuate the 

operation of the provisions of this Code. 
448 

(g) To cooperate with the Administrator in regulating the use 

of any National Recovery Administration Code Insignia solely by 

those members of the Industry who are complying with this Code. 

6. Any member of the Industry shall have the right to 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. 

7. Nothing contained in this Code shall constitute the members 

of the Code Authority or members of the Association participating 

in the activities of the Code Authority partners for any purpose. 

Nor shall any member of the Code Authority or members of the 

Association participating in the activities 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 hereinbefore mentioned. Nor shall any member of the Code Authority exercising 

reasonable diligence in the conduct of his duties hereunder, be liable 

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

for his own willful misfeasance or nonfeasance. 

8. If the Administrator shall determine that any action of a code 

authority or any agency thereof may be unfair or unjust or contrary to the public interest, the Administrator may require that such 

action b€ suspended to afford an opportunity for investigation of the 

merits of such action and further consideration by such code authority or agency pending final action which shall not be effective 

unless the Administrator ap~roves or unless he shall fail to disapprove after thirty (30) days notice to him of intention to proceed 

with such action in its original or modified form. 

ARTICLE VII-UNFAIR TRADE PRACTICES 

1. The following practice constitutes an unfair method of competition for members of the Dry Goods Cotton Batting Industry and 

is prohibited: 

(a) The use of second-hand or previously used cotton material 

or product andj or kindred material in the manufacture of a product. 

" Previously used " cotton and kindred materials is defined to mean 

any such materials which have been processed and used in the manufacture of any finished product which has been used by a consumer. 

This provision shall not prohibit the use of the by-products produced in the manufacture of new fabrics nor material reclaimed from 

new fabric, but it shall prohibit the use of second hand material 

such as may be reclaimed from old comforters, mattresses, old bedding or upholstery of any kind. 

ARTICLE VIII-MoDIFICATioN 

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, rule, or regulation issued under Title I of said Act thereof. 

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

modified on the basis of experience or changes in circumstances, such 

modification to be based upon application of the Administrator and 
449 

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

on approval of the Administrator. 

ARTICLE IX 

No provisions in this Code shall supersede any State or Federal 

law which imposes more stringent requirements on employers as to 

age of employees, wages, hours of work, or as to safety, health, or 

sanitary conditions, than are imposed by this Code . 

. A.RTICLE X-MoNoroLIEs, ETc. 

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

AnTICLE XI-SPECIAL AGREEMENTS 

Reasonable notice of the submission of any agreement authorized 

to be submitted to the President by virtue and under authority of 

Section 4 (a.) of the Act shall be given to the Code Authority of this 

Industry by any member of the Industry who proposes to make such 

agreement. 

ARTICLE XII-EF.FEOTIYE DATE 

· This Code shall become effective on the second Monday after its 

approval and shall continue in effect during the period of the 

National Industrial Recovery Act. 

Approved Code No. 404 . 

. Registry No. 299L51. 

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