Approved Code No. 122 Registry No. 1149-23 

NATIONAL RECOVERY ADMINISTRATION 

CODE OF FAIR COMPETITION 

FOR THE 

SPECIAL TOOL, DIE, AND 

MACHINE SHOP INDUSTRY 

, . 

U.S 

AS APPROVED ON NOVEMBER 17, 1933 

BY 

PRESIDENT ROOSEVELT 

WE DO OUR PAR't 

1. Executive Order 

2. Letter of Transmittal 

3. Code 

U riTED STATES 

GOVERNMENT PRINTING OFFICE 

WASHINGTON : 1933 

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

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

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DISTRICT OFFICES OF THE DEPARTMENT OF COMMERCE 

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Birmingham, Ala.: 257 Federal Building. 

Bo ton, l\la s. : 1801 Customhouse. 

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

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

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

Cleveland, Ohio: Chamber of Commerce. 

Dallas, T x. : Chambe r of Commerce Building. 

Detroit, l\li ·h.: :.?213 First National Bank Building. 

Houston, Tex.: Ch amber of Commerce Building. 

Indianapolis, Ind.: Chamber of Commerce Building. 

Jack sonYill e. Fla.: Chamb r of Commerce Building. 

Kansas City, Mo.: 1028 Baltimore Avenue. 

Los Angeles, Calif. : 1163 South Broadway. 

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Memphis, Tenn. : 229 Federal Building. 

Minneapoli , linn.: :213 Federal Building. 

New Orleans, La.: Room 225-A, Cu t mhou~e. 

New York, N.Y. : 734 Cu~tomhouse. 

Norfolk, Va.: 406 East Plume Street. 

Philadelphia, Pa.: 933 Commercial Tru t Building. 

Pittsburgh, Pa. : Chamber of Commerce Building. 

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San Francisco, Calif.: 310 Cu ·tomhouse. 

Seattle, Wash.: 809 Federal Building. 

(Il) 
EXE UTIVE ORDER 

CoDE oF FAIR Co:i\IPETITION FOR THE SPECIAL TooL, Dm A:ND ~lACHINE 

SHOP 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 Special Tool, Die and ~1achine Shop 

Indu try and bearings having been held thereon and the Administrator having rendered his report containing an analysis of the 

said code of fair competition together with his recommendations and 

findings with respect thereto, and the Administrator having found 

that the said code of fair competition complies in all respects with 

the pertinent provisions of title I of said act and that the requirements of clauses (1) and (2) of subsection (a) of section 3 of the 

said act have been met: 

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

United 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 apl?rove 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. 

THE WHITE HousE, 

N oven1-ber 17, 1933. 

Approval recommended: 

HuGHS. JoHN oN, 

Administrator. 

210~~ "---- 244 31 ---- 33 

FRANKLIN D. ROOSEVELT. 

(III) 
NOVEMBER 10, 1933. 

THE PRESIDENT, 

The White House. 

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

Special Tool, Die, and Machine Shop Industry, held in Washington on November 2, 1933, in accordance with the provisions of the 

National Industrial Recovery Act. 

PROVISIONS .AS TO HOURS .AND WAGES 

Employees are limited to forty ( 40) hours per week except during 

peak periods when they may work an average of forty-eight ( 48) 

hours per week for eight (8) weeks in any six (6) months' period, 

provided that no unemployed workers possessing the necessary skill 

are available. Time and one half will be paid to employees working in excess of eight (8) hours per day, or forty-eight (48) hours 

per week. 

The above limitations do not apply to executives, managers or 

supervisors, receiving more than thirty-five ($35.00) dollars per 

week, or to outside salesmen. 

The minimum wage for factory employees will be forty cents 

( 40¢) per hour. Superannuated or disabled employees will receive 

not Jess than eighty percent (80 % ) of the minimum, and such superannuated employees and learners are not to exceed five percent 

( 5% ) of the average total number of employees. The wage differentials in all cla ses will be equitably readjusted and will not be 

decreased. No distinction in wage rates shall be made between male 

and fe1nale employees. A maximum average of forty ( 40) hours per week during any 

five week period is provided for employees engaged in accounting, 

clerical, service and sales work, and who may be employed not more 

than forty-eight ( 48) hours per week during any one week. The 

minimum wage will be not less than fifteen ($15.00) dollars per 

week, except that office boys and girls and messengers~ to a total of 

not more than five percent ( 5% ) of the total number of employees, 

will receive not less than eighty percent (80%) of this minimum 

wage. 

CHILD LABOR 

The minimum age will be sixteen (16) years and no person under 

eighteen (18) years of age will be employed in any hazardous 

occupation. 

ECONOMIC EFFECT OF THE CODE 

Because of the very recent organization of this Industry into an 

a sociation accurate and full statistics are Iiot yet available. The 

Industry produces special tools for the production work of many 

{IV) 
v 

oth r indu trie and dep nd UI on th re1 lac n ent of equipm nt 

in th indu tri . High and low p aks of mployment exist to 

meet ud l n demand for tool . 

pproximat ly 11 000 emr lo r s were enga ed in th work of 

the Indu try in 19.--9 but thi number ''"as reduced to about 4,700 in 

1931. It i timut d that approximat ly 25 p r ent additional employee will be put to work by pro I ective new business and through 

the operation of the schedule of hours provided in this code. Pay 

roll , for the arne reason are expected to be increased approximately 

thirty-three ( 33) percent. 

FINDIKGS 

The Administrator finds that-

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

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

thereof· and that 

(b) The applicant group imposes no inequitable restrictions on 

admissjon to membership therein and is truly representative of the 

Special Tool, Die, and Machine Shop 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 again t them, and will tend to effectuate the policy 

of Title I of the National Industrial Recovery Act. 

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

Re pectfully, 

HUGH s. JOHNSON' 

Administ?'ator. 

CODE OF FAIR COMPETITION FOR THE SPECIAL TOOL, 

DIE, AND MACHINE SHOP INDUSTRY 

ARTI LE I-PURPOSES 

To effe tuate the polic of Title I of the National Indu trial RecoYer Act during the period of the emergency by reducing and 

r li ing un mployment, improving the tandards of labor, eliminating competiti ·e practices destructive to the interests of the public, 

emplo e and employer , and otherwi e rehabilitating the Special 

Tool Die and :Machine Shop Industry, and by increasing the consumption of indu trial products by increasing purcha ing power, 

and in ther re pects the following provisions are established as a 

Code of Fair Competition for the Special Tool, Die, and Machine 

hop Industry. 

ARTICLE II-DEFINITIONS 

The term "employee" a used herein includes anyone engaged 

in the indu try in any capacity receiving compensation for his 

er ice . irre pective of the nature or method of paym.ent of such 

ompen ation. 

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

any such employee is compensated or employed. 

The t rm "industry" as used herein is defined to include the 

d ign de elopment, manufacture, repair, and/or as embly for sale 

of . pecial tool , special dies, moulds, pressure moulds, special jigs, 

"I ecial gauging fixture , machinery of a special custom-built nature 

not no or hereafter reo·ularly produced in another product cia sifiation, andjor machined parts of like character. 

The term" member of the indu try" includes anyone in the industr. r a above defined, either as an employer or on his own behalf. 

The term ' member of the code" mean any member of the industr who hall have become a member of the Code a hereinafter, 

in Article VI provided. 

The term Institute" as u ed herein means "The Special Tool, 

Die and Machine Shop Institute", a national trade a ociation. 

The term 'Authorjt as u ed herein means the code authority or 

agency et UJ> pur uant to the provisions of Article VI herein. 

The term Admini trator " as u eel herein mean the admini trator 

of Titl I of the National Industrial Recovery Act. 

The t rm 'A t a used herein m ans the National Indu trial 

Recovery A t. 

The term' Pre id nt ", a u d herein, m ans the President of the 

United States. 

The term 'learn r ' a u l h rein, m ans an mployee without 

previous mechanical xp rienc ngaged to becom omp tent none 

or more machine peration but who hall not be o cla ified af er 

(1) 
2 

ninety (90) days' experience in the industry irrespective of whether 

they are or have been employed by one or more employers. 

The tenn "apprentice", as used herein, shall mean a person, usually a minor, indentured to serve an employer for a specified term 

of years in order to learn a trade, art, or profession. 

llRTICLE III--IIouRs 

1. No employee shall be permitted to work in excess of 40 hours 

per "·eek; provided, however, that during any period ·in which a 

concentrated deman l upon any division of the industry shall place 

an unusual and temporary burden for production upon its facilities, 

and no unemployed workers possessing the necessary skill to perform said production work are available, an employee of such division may be permitted to work an average of not more than 48 hours 

for not more than 8 weeks in any 6 months' period, and provided further that these limitations shall not apply to employees on emergency, 

1naintenance, or repair work, or to very special cases where restriction of hours of highly skilled workers would unavoidably reduce or 

delay production, or to employees engaged in try-out, and/or installation work where products of the industry must be tried out and/ or 

installed or demonstrated in the user's plant. 

2. vVhere in any case an employee, other than a salaried employee, -works in excess of 8 hours per day, or 48 hours per week, such 

extra time shall be compensated for at not less than one and one half 

times the hourly rate of such employee, excepting, however, watchmen and firemen, who shall be exempt from the provisions of Section 

I of this Article, but who shall not work in excess of six days or 

more than 5G hours in any one week. 

3. Employees engaged in executive, managerial, or supervisory 

capacities who earn not less than $35.00 per week, and outside salesmen, shall not be limited by any provision of this Article. 

4. No one employed at manual labor, and no draftsman or designer earning less than $35.00 per week, shall be deemed to be engaged in an executive or n1.anagerial capacity, and excepted from the 

maximum hours provided herein. 

5. No employer shall knowingly engage any employee for any 

time, which, \Yhen totaled with that already performed with another employer, or employers, exceeds the maximum permitted 

herein. 

6. Accounting, clerical, service, and delivery employees may be 

employed an average of 40 hours per week for any five weeks period 

and not more than 48 hours in any one week. 

ARTICLE IV-'V AGES 

1. The minimum rate that shall be paid to any employee in the 

Industry hall not be less than forty ( 40¢) cents per hour, excepting 

superannuated or disabled employees not employed on skilled operations and learners who shall receive not less than 80 percent of the 

minimum, provided, however, that the total number of such learner,s, su_ferannuated, or disabled employees, employed by any one 

member of the Industry shall be restricted to five (5) percent of 
3 

th a' rag t tal numb r f hi mpl yec. 

Cod · pr nde l how " r that any member 

empl at 1 a t o 2) u h 1 arn r anti 

able employ e . 

-· N thin in thi Al'ti 1 I mploy apprenti d to any mpl 1n pur- uan of th law fan· tat f th nit l at unl ran apprenti e ,._ y tem e tabli h d and maintain c1 by an~ r mpl· yer. 

3. Th minimum wa o· that hall b I aid to an. ffi or an ther 

emrlo:ree n t OT'ere l in e tion 1 of thi. Arti l IV h, ll not be 

le tl1an 15.00 p r we k, except that office or erran boy or girls 

or me enaer who hall be limited in number to 5 p rcent of the 

total number of office mploy e in any .factory or plant rna b paid 

not le~ than 0 p rcent of the minimum· provided, how ' r that 

at I a t two (2) .. uch office or errand boys or girl or me enaer may 

b employed in any factory or plant. 

4. Equitable readju tment shall be made of all hourly waa rates 

aboV"e the minimum (unle uch readjustments have been made ·ince 

J ul 1. 1933) and a: report of all such readjustments hall be made to 

the ode Authority within thirty (30) days of the effectiV"e date of 

this ode. 

5. No distinction in rates shall be made between male and female 

emplo} ee where the same class of work is performed regardle s of 

whether compen ation is ba ed on a monthly, piecework or other 

ba i . 

ARTICLE V-GENERAL LABOR PROVI IONS 

1. No per on under 16 years of age shall be employed in the 

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

Auth rity haH ubmit to the Administrator within ninety (90) days 

after the Pre ident s approval of this Code, a list of such occupation . In any tate an emplo er shall be deemed to have complied 

with thi provi ion if he hall have on file a certificate or permit duly 

i ued by the authority in , uch tate empowered to issue employment 

or age certificate or permits, showing that the employee i of the 

required age. 

2. Employee hall have the right to organize and bargain collective! through repr entath es of their own choosing, and shall 

b free from the interference, restraint, or coercion of employers of 

labor or their a ent , in the designation of such repre entatives or 

in elf-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 hall be r quired 

a a condition of employment to join any company union or to refrain from joining organizina or a i ting a lab r organization of 

hi own choo ing. 

4. Employ r hall mply with th maximum hour f labor, 

minimum rates of pa. an 1 ther on ition. of mploym nt approved 

or pre cribed by the Pre i l nt . 

. Within ea h tate thi." ' tle hall not . up r. e l an la "r of 

such State impo ing mor 5trino nt r 1uir m nt n empl y r r gu-
4 

lating age of employees1 wages, or health, fire, or general working 

conditions than under th1s Code. 

6. 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. 

7. 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 not more than seven nor 

less than five voting members. Five voting members of the Code 

Authority shall be selected by the Executive Committee of the Institute, and two by mem_bers of the Industry who are not members 

of the Institute, if they so desire. In addition, the Administrator 

may if he so desires appoint not to exceed three members without 

vote to represent him or such groups or interests as may be agreed 

npon. 

(b) JVIembers of the Industry shall be entitled to larticipate in 

and share the benefits of the activities of the Code uthority and 

to participate in the selection of the members thereof by assenting 

to and complying with the requirements uf this Code and sustaining 

their reasonable share of the expenses of its administration. The 

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 to be taken into consideration. 

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

representatiYe 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. 

2. The Cole Authorit:y shall have the following powers and 

duties, the exercise of whiCh shall be reported to the Administrator 

and shall be subject to his right, on review, to disapprove or modify 

any action taken by the Code Authority. 

(a) Such Code Authority may from time to time present to the 

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

(b) To collect from members of the Code all statistics and data 

required by this Code or by the President, or reasonably pertinent 

to the effectuation of Title I of the Act, and to compile same, and 

disseminate among the members of the Code summaries thereof, 

all in such form and manner as the Code Anthority shall reasonably 

prescribe, subject to approval by the Administrator. 
5 

(c ) To reprc ent the member of the Indu try in confer n e with 

th Admini tr t r r lati v t th appli ation of this ode an 1 of the 

Ac and any re ulation i ued th r und r. The Code uthority 

hall hold it elf in r adine to a i t an ke p the Admini trator 

fully advi d and t me t with the mini tr·ator's repre entative 

from timet tim a r que ted to con ider an l tudy any sua e tions 

r propo al pr ent n b half of the Administrator or any memb r of the ode r garding the operation, ob ervance, or administration of thi Co . (d) In ad liti n to the information rrquired to be submitt d to the 

ode Authorit ther hall be furni heel to government agencie such 

tati tical informati n a the Admini trator may deem nee ary for 

th purpo e r ite lin ction 3 (a) of the Act. 

ARTICLE VII- TRADE PRACTI ES 

The following practice constitute unfair method of competition 

for memb r of the Indu tr.r and are prohibited: 

1. elling below cost.- The willful or intentional sale of any of 

the products or services of the Industry below the vendors cost, 

th latter to be determined in accordance with a system of account- ing acceptable to or e tablished by the Code Authority with the 

approval of the Administrator. 

2. Secret Rebates.-To give or offer unearned or secret rebates, 

r fund , allowances, discounts, or special services, directly or inErectly in connection with any product or service of the Industry. 

3. ) ttbcont?·acting.- To subcontract any of the products or service of the Industry in whole or in part, to any employee upon 

term or condition which may directly or indirectly result in the 

payment to ucl employee of less than the minimum hourly rates 

f pay prevailing for such class of work; provided that eYery emIlo e o employe 1 be informed in advance of the minimum hourly 

rat to which he is entitled. 

4. Pi1·ating.- Ap1 ropriating or attemptino· to appropriate i leas, 

ket he , de ie:ns, or drawings originat cl and ovrned by another in 

the Industr without the owner's con nt . 

. False or rnisl ading ad e1·tising.- To make, cau e, or I ermit 

to b made or publi 'hed, any false, untrue, or deceptive tatem nt in 

a lv rti ing catalogue, or otherwi e, concerning the grade, weight, 

quality, ub tance, chc ra ter, nature, origin, ize, or preparation of 

any product and/or serYi cs of the Industry, having the tendency and 

capacity to mi l ad or 1 cei e purcha ers or prospective purchaser . 6. Rent 01' lease to hop woTlcers.-To rent, 1 a e, or allow the u. e 

of an floor pace b n ·h pace and/ or machin apacity or quipment to hop work r for the purpo of manufacturing for ale or 

for n e any of the pr clu t, and/or servi of the Indu tr. by any 

n mber of th Inlu try who i k er ing his plant open for th purpo of perating in mp titian with oth r m mb r of the In lu try. 

ARTICLE , ... III- I DIFI Tl ~ ' 

I t is ont n plat d the t upplemcntary provi. i n. or amrn lm nt.· 

of thi ode, or a llitional od · appli ·abl to the . pecial To 1, 1 , 
6 

and Machine Shop Industry, may from time to time be submitted in 

behalf of the Institute for the approval of the President. 

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 

and specifically, but without limitation, 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. 

ARTICLE IX-MONOPOLIES 

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. 

ARTICLE X-PRICE INCREASES 

Whereas the policy of the Act to increase real purchasing power 

will be made impossible of consunnnation if prices of goods and 

services increase as rapidly as wages, it is recognized that price increases should be delayed and that, when made, the same should, so 

f ar as reasonably possible, be limited to actual increase in the seller's 

costs. 

ARTICLE XI-EFFECTIVE DATE 

This Code shall become effective and binding on the fifth day 

after its approval by the President. 

0