V 

Appro,ed Code No. 474 Registry No. 231-16 

NATIONAL RECOVERY ADMINISTRATION 

CODE OF FAIR COMPETITION 

FOR THE 

NEEDLEWORK INDUSTRY 

IN 

PUERTO RICO 

AS APPROVED ON JUNE 28, 1934 

BY 

' . 

PRESIDENT ROOSEVELT 

WE DO OUR PART 

T 

I 

UNITED ST ATES 

COVERNMENT PRINTING OFFICE 

WASHINGTON: 1934 

I I I/ 

For sale by the Su~rinte ndent of Dl)cuments, Washington, D.C. - - - - - - · - - Price 5 cents 
This publication is for sale by the Superinten-dent of Documents, Government 

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

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Approved Code No. 474 

CODE OF FAIR COMPETITION 

FOR THE 

NEEDLEWORK INDUSTRY IN PUERTO RICO 

As Approved on June 28, 1934 

EXECUTIVE ORDER 

CODE OF FAIR COMPETITION FOR THE NEEDLEWORK INDUSTRY IN PUERTO 

Rrco 

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 Needlework Industry in Puerto Rico, 

and hearings having been held thereon and the Administrator having 

rendered his report containing an analysis of this Code of Fair 

Competition, together with his recommendations and findings with 

respect thereto, and the Administrator having found that this 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,v, 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 

finding of the Administrator and do order that this Code of Fair 

Competition be and it is hereby approved, subject to the following 

condition : 

(1) That any member of this Industry as de.fined in this Code 

under Article II, Section 1, shall in engaging in this industry in 

Puerto Rico be exempt from the provisions of the following Codes 

of Fr..ir Competition : 

( n) The I-!andkerchief Industry. (b) The Dress 1\1:anufacturing · Industry 

( c) The Cotton Garment Industry 

( d) The Blou e and Skirt Manufacturing Industries 

( e) The Light Sewing Indu try Except Garments 

(f) The Art N edlework Indu.-try 

(g) The Infant ' and Children's Wear Industry 

70058°-057-173-34-•-L (175) 
176 

(h) The Undergarment and Negligee Industry 

(i) The Underwear and Allied Products Manufacturing Industry 

(j) The Pleating, Stitching and Bonnaz and Hand Embroidery 

Industry 

(k) The Schjffii, the Hand J\1achine Embroidery and the Embroidery Thread and Scallop Cutting Industries. 

(2) vVhere articles are manufactured or processed, in part, in 

Puerto Rico, under the provisions of this Code, and in part in the 

Continental United States under a Code of Fair Competition which 

prescribes the use of labels bearing N.R.A. insignia upon such articles, the Code Authorities of such Codes ad the Code Authority 

of this Code shall, within a period of sixty days from the effective 

date of this Code, formulate and submit for the approval of the 

.Administrator a plan for the issuance and use of labels upon such 

articles, and such special regulations relating thereto as may be necessary. Pending the approval of such plan and regulations, unless 

the Administrator shall order otherwise, continental manufacturers, 

as defined in this Code, shall not be required to comply with the label 

provisions of their respective Continental Codes as to products 

manufactured or processed, wholly or in part, in Puerto Rico, and 

bearing labels affixed to them pursuant to the provisions of this 

Code. 

(3) That any contractor or manufacturer as defined in this Code, 

in the manufacture or processing or whose products homeworkers 

a.re engaged as employees, shall be bound to pay such employees any 

deficiency in the wages actually received by them below the amount 

of wages which they should receive under the provisions of this 

Code. Such contractor or manufacturer shall be responsible for 

the delivery to such homeworkers of all their wages. 

( 4) That there shall be appointed by the Administrator for the 

Industrial Recovery, within ten (10) days after the effective elate 

hereof, a Puerto Rican N e-edlework Commission consisting of three 

persons : one of whom shall be nominated by the Coe.le Authority for 

the Needlework Industry in Puerto Rico, another of whom shall be 

nominated by the several Code Authorities of related industries in 

continental United States, and a third person to serve as chairman, 

":ihall be nominated by the National Recovery Administration. This 

commission shall study the operation of this Code together with the 

operation of such codes as have jurisclicti.on over the manufacture of 

competitive products in the United States with a view to determining 

the relative effect of the operation of this Code upon the manufactnre of such items in the several States and in Puerto Rico. Such 

Commission shall be empowered to make recommendations to the 

Administrator for such modifications in this Code as may, in the 

opinion of the commission, be necessary in order to maintain fair 

c:impetition in the needlework trade in the several Stutes and on 

the I land of Puerto Rico and in order to effectuate the purpo. es of 

the National Industrial Recovery Act. 

( 5) That the choice of the impartial chairman of the Piece Rates 

Commission, shall be subject to the approval of the Administrator 

nnd that the piece rates established pursuant to the provisions of 

Section 5 of Article IV of the code shall be binding upon members 

of the Industry, for not more than a period of ninety days, from the 
177 

e:ff ectiYe date of this code. The N eecllework Commission and the 

Piece Rates Commission shall, either jointly or severally, within 

ninety days after the effective date of this Code, recommend the con- tinuation of said established minimum piecework rates or changes 

in such rates, or recommend a point system or other system for 

adjusting the minimum comp€nsation of employees to the minimum 

wage rates provided in this Code. Such recommendations shall, 

upon approval of the Administrator, after uch notice and hearing 

as he may prescribe, be binding upon all members of the Industry, as the rates provided for in said section. 

FRANKLIN D. ROOSEVELT. 

Appro,-al recommended. 

HUGH S. JOHNSON' 

Administrator. 

THE 1V HITE HousE, 

June f8, 1934-
LETTER OF TRANSTh1:ITTAL 

The PRESIDENT, 

The lV hite House. 

Srn: This is a report on public hearings and conferences held for 

the purpose of obtaining a Code of Fair Competition for the Jeecllework Industry in Puerto Rico. 

On January 30, 1934, thirty-five clays after the Deputy Administrator for Puerto Rico had arrived on the Island, the Puerto Rican 

Needlework Association submitted a code of fair competition. Following preliminary conferences held at San Juan during the months 

of January and February, a public hearing -n-as held in the San Juan 

Municipal Theatre on February 28 and on March 1. This hearing 

was attended by approximately seventy-five members of the industry 

and about 1800 representatives of labor. The San Juan hearing was 

later re-convened in \Vashington to afford mainland manufacturers 

an opportunity to be heard. At the ,v ashington hearing there were 

present representatives of the code authorities of the affected industries. All of those who reque ted an appearance were fairly 

heard in accordance with the usual requirements of the National 

Recovery Administration. 

THE PUERTO RICO NEEDLEWORK ASSOCIATION 

The Puerto Rican Needlework Association which acted as sponsor 

of this code is the recognized needlework trade association in Puerto 

Rico and represents in excess of 90 per cent of the volume of the 

business and of the membership of the Puerto Rican Needlework 

Industry. 

The experience of these members, under Code Authority direction, 

should prove invaluable in code administration, particularly in protecting the interests of homeworkers. 

NATURE OF THE NEEDLEWORK INDUSTRY IN PUERTO RICO 

The Needlework Industry is the second largest in Puerto Rico, 

employing approximately 7,000 workers in 85 or more factories. 

Although no precise figures are available, it is estimated that there 

are more than 70,000 homeworkers, about 25,000 of whom live adja- cent to towns, within easy access of the factories, while the remaining 

45,000 live well inland. The industry is located primarily in or near 

the towns of Th1ayaguez, Ponce, Arecibo, Aguadilla, Guayama and 

San Juan, although homeworkers are employed throughout the 

I land. 

The Needlework Industry in Puerto Rico is relatively new, having 

grown up during the last twenty years. It began to attain volume 

production when mainland chain store undertook the distribution 

of dresses, handkerchiefs, linens, underwear, and other hand-orna-

(178) 
179 

mented articles. Relatively speaking, however, the development o:f 

the industry has been rapid, considering its obstacles and h andicaps. 

The members of the industry manufacture or process a great 

variety of articles which would come principally under seven of the 

apparel codes approved for the United States, including handkerchiefs, infant's, children's and women's wear, cotton and silk undergarments, blouses, linens, bridge sets, tablecloths, napkins, bedspreads 

and pillows. 

Practically all Puerto Rican garments carry dr awn work or hand 

embroidery, found on few articles of like nature made on the mainland. These hand embellished garments may be otherwise of the 

same type as mainland products-though in finished appearance they 

more nearly resemble articles from the Philippines, China, the Madeira Islands, Belgium or France, with which countries they compet(),. 

The outstanding feature of the Puerto Rican Needlework Industry 

is that few of its members are specialists. Some members of the 

industry, it is true, have preferences. For example, one company 

may prefer to deal in handkerchiefs, but, given the opportunity, will 

quite readily divert its facilities to the processing of any other article 

which appears to be profitable. Thus during the several seasons of 

the year, a company might be engaged in several different phases 

of needlework production, depending largely upon market requirements. 

I:f each branch of the Puerto Rican Needlework Industry were 

given a separate code or brought under the mainland code for that 

article or articles, each member of the industry would find himself 

operating under continually changing conditions with respect to 

wages and hours and other conditions of employment. This explains 

the existence of a single trade association in Puerto Rico and the · submission of one code covering all its needlework trade . 

The Needlework Industry on the Island is dependent upon orders 

from the States for work to be performed upon linen from Ireland, 

silk from Japan or China, or cotton from the mainland. These materials usually are issued by the manufacturer, wholesaler or jobber 

who has a sales organization on the mainland to distribute products 

processed in Puerto Rico. 

The selling prices of the products are not r egulated by mainland 

prices alone; buyers, in an effort to obtain new and attractive products, have open to them the factories of other countries-the most 

notable competitors to Puerto Rico being the Philippine Islands, China, the :Madeira Islands, France, Belgium and Ireland. If the 

prices of Puerto Rican products are raised excessively it well may 

be that buyers will be quickly driven to the factories of other nations 

f or sources of supply. 

P uerto Rico view the anticipated burden of r estricted hours and 

increased wages with apprehension, which is in no wise relie11ed 

by the prospect of continued uncertainty as to the regulations under 

which the industry will operate or when they will go into effect. The 

indu try is young-its management is of the first generation-and its 

capital and experience is limited. ,vith the exception of fulfilling 

contracts now in effect operations are decidedly curtailed, since the 

industry has no way of knowing how to plan for the future. In 

effect, its hands are tied. In fairness to itself, it can effect no 
180 

future contracts until a decision is re.ached upon the proposed code. 

In the meantime, manufacturers in the Philippines, il,l China and 

elsewhere, suffering no such handicap, are profiting at the expense of 

Puerto Rican industry and labor. In a somewhat modified sense 

this is true also of manufacturers in the United States. 

HOURS AND WAGES 

The average working week for employees in the Needlework Industry in Puerto Rico has been approximately 48 hours. Industry 

on the Island is seasonal to some extent as it is on the mainland. 

There is, however, one factor on the Island which does not exist 

on the mainland, i.e., the fact that goods are manufactured for 

shipme.nt to the mainland and that shipments are made only once 

each week. This frequently necessitates working far into the night. 

To correct this practice it is provided in the code that all overtime 

shall be paid for at double the regular rate. 

The reduction from 48 to 40 hours per week under the code will 

increase employment approximately 163⁄4 per cent, and wages approximate.ly 20 per cent. 

Measured by American standards, Puerto Rican wages always 

have been low. Factory machine workers, now paid on an average 

of $3.32 per week of 48 hours, are to receive a minimum of $5.00 for 

40 hours, representing an increase of 50.6 per cent, which, with the 

added 20 per cent increase in wages resulting from the 16o/3 per cent 

decrease in hours, will amount to a total increase of about 70 per 

cent. It should be noted that the $3.32 fig11re is an average, not a 

minimum wage. The present wage, which is indeterminate, would · be much lower and the percentage of wage increase under the code., 

correspondingly higher. Even greater benefits will accrue to home 

machine workers who, under the code, will likewise receive this 

$5.00 minimum. 

F actory hand sewing and hand embroidery workers, normally paid 

in the average case from $2.00 to $2.10, are to receive $3.00 per week, 

an increase of 46.3 per cent, which, plus the 20 per cent increase 

from shortened hours, will amount to about 66 per cent. 

No accurately representative rates of payment have been determined for homeworkers. The Commissioner of Labor for Puerto 

Rico and labor representatives in the Territory indicate that about 

three persons work on the same product in one home; that each of 

the three is engaged on this needlework for 60 to 70 hours a week; 

that the three, in the aggregate, earn about $1.00. 

The code provides that no employee engaged in home work shall 

be paid less than $2.00 per week. It is provided further that there 

shall be established immediately upon approval of the code a Piece 

Rates Commission, consisting of one member representina labor, 

~me member representing industry and a chairman agreeable°to both 

interests, which commission shall devote itself to the time study of 

h?me work productio:11 in_ an endeavor to fix adequate and equitable 

piece work rates, which in no event shall yield less than $2.00 per 

week. 

If this plan functions properly and if conditions in the home are 

as heretofore stated, three persons in one home could no longer be 
181 

paid a pittance amounting to $1.00 in the aggregate for GO to 70 

hours' work, but would receive instead $G.OO or more for 40 hours 

work. This would represent a tremendous increase of oYer 500 per 

cent and should be of great moral as well as financial benefit to the 

home11orkers. 

THE HOME WORK PROBLEM 

Second only to agriculture comes needlework, which gives the 

womenfolk opportunity to supplement the family income, while caring for the aged and infant in the home. Most rural families live 

rent free, with parcel of land thrown in upon which they can raise 

whatever they like- ·without having to 1ivide with the landlord. 

,Yith agriculture as the basis. needlework helps to su tain the family 

earnings-in some cases supplying the main source of income. 

l\Iuch of the home work is done under conditions closely parallel 

to those of the sub ·istence homestead. 

I~ancl home work in Puerto Rico repre ents a much greater portion 

of the total ,·olume of production than it does in the United States. 

The Code does not propose the elimination of home work but 

rather its control and regulation, with a Yiew to bringing the hours 

and wages and working conditions of homeworkers up to a standard 

which will provide both fair competition with factory production 

and enable the homeworkers to enjoy a better standard of living. It 

is anticipated that a certain percentage of the work now done in 

hemes may, within a reasonable time, be transferred to community 

workrooms. The approval of this code will make possible a beginning of work toward this encl. 

SPECIAL PROVISIONS SUGGESTED BY LABOR 

Island industry has granted to Puerto Rican labor nearly everything that it ha asked, as hereafter shown, except the minimum wage 

requested by labor. The reason this was not granted was the fear 

that it would reduce the volume of business sent to the Island, thus 

reacting against rather than in favor of insular labor. 

The following provisions were included at the request of labor: 

Article III-1: Labor desired that the 48 hour minimum be reduced 

to 40 hours; this was done. 

Article III-3: Labor wished it stipulated that no overtime should 

be worked nnless all machines and/or tables of that same type were 

occupied ; this was granted. · Article III-3: Labor requested that double the normal wage be 

paid for overtime; the industry agreed. Article III-4: Labor requested that the exemption for managers 

and executives be fixed at $12.00 instead of the $10.00 figure proposed 

by the indu try; this was clone. 

Article IV-5: Labor requested that homeworkers and their com- pensation be regulated; the Piece Rates Commission was provided 

for to serYe this encl. Article IV-7: Labor wanted a guarantee that employees receiving 

above the code minimum for the normal work week prior to its 

70958°-652-173--34--2 
182 

adoption should not have their wages reduced for the shorter work 

week provided in the Code; this section gives that guarantee. 

Article IV-8: Labor wished it made mandatory that all piece rates 

for factory employees should be increased at least proportionately 

to the decrease in hours worked, to fnrthe-:.· jnsnre employees ao-ainst 

a possible lowering of wages by their employers; inclustr:v concurred. 

Article V-7: Labor asked that the use of se·wing machines in the 

home be aboli heel. This could not be gu:mted on a-econnt of the 

number of poor people en°·rrg;ec1 in operating their 01111 machines at 

home for their hvelihoocl. It was arranged, ho-wever, that labor 

would permit home sewing only on machines commercially utilized 

prior to April, 1934, proYiclecl that work thereon should be paid for 

at the factory sca le and that all home11·orkers, machine 011ners and 

machines shonld be registered 11·ith the Code Authority. 

\.rticle V-8: Labor desired to see the number of homeworkers reduceJ if possible and sug;ge tecl the Community "\V crkroom Plan 

as a means.. to that end. This section provides for a commi sion to 

study and make recommen lations on the f easibility of thi or an 

altenrnte plan. 

Article VI-1: In accordance w·ith labor's rcque~t, no member of 

the industry may cause any goods to be manufactured or processed 

in any factory not registered ,Yith the Code Authority. 

Article VI-2: Labor asked that member · of the industry causing 

goods to be manufactnrecl by contractors or sub-contractors shonld 

be required to pay rates sufficjent to enable nch contractors or subcontractors to pay their emplo:vees the minimums proYided in the 

code. The inclu -try is so obligated under the code. 

Article VII-8 (h) : Upon tht reque t of the Labor Advisory 

Board and the Research and Planning Division, registration is provided for all contractors, sub-contractors, delivery agents, and 

homeworkers. 

It appears from the aboYe sections that the Needlework Industry 

in Puerto Rico has made a conscientious effort to collaborate with 

labor in its attempt to improve working and living conditions on 

the Island. 

COl\IPLIANCE 

A Compliance organization has been recently set up at San Juan 

and is prepared to function on this code the moment it is approved. 

FINDI GS 

The Deputy Administrator, in his final report to me on said code, 

having found as herein set forth and on the ba is of all the proceed- ing in this matter, 

I find that: 

(a) The code will promote the policies and purposes of Title I 

of the Act, in that it will provide the first effort at regulation of an 

indu try which has suffered severely through drastic and at times 

unwarranted competition. 

(b) The Puerto Rican Needlework Industry normally employs 

more than 50,000 workers, and i · classified by me as a major industry. 
183 

( c) The code complies in all rc'spc"ts with the pertinent provisions of Title I of the Act, indnding without limitation sub-section 

(a) of Section 3, sub-section (a) of Section 7, and ub-::;ection (b) 

o-f Se ·tion 10, thereof; and that the applicant .assu<'iation is an 

industrial association truly repre~entative uf the aforesaid industry; 

and that the saicl assoriatiun imposes no inequitable r estrictions to 

membership therein. 

( cl) The code is not designed t o and wiil not permit monopolies 

or monopolisti practices. 

( e) Those engaged in other steps of the economic process have 

not been deprived of the right to be heard prior to the approval of 

this Code. 

I recommend approval subj ect to the follO\ving condition: 

That there ·hall be appointed by the Administrator £or Industrial 

Recovery, ,Yi thin ten <lays after the effective date hereof, a Puerto 

Rican Needlework Commission consisting of three persons : one of 

whom shall be nominated by t he Code Authority for the Needlework 

Inclm;try in Puerto Rico, another of whom shall be nominated by 

the several code authorities of related indu tries in continental 

United States, and a third person, to serve as chairman, shall be 

nominated by the National Recovery Admini. {ration. 

This commi sion shall study the operation of this code together 

with the operation of such codes .as have jurisdiction over the manufacture of competitive products in the United States with a view -~o 

determining whether the operation of this code is such as to encourage the manu:fa cture of products on the Island of Puerto Rico and 

to di courage the manufacture of such item within the several 

states. Such commission shall be empowered to make recommendations to the Administr.ator for such modifications in this code as 

may, in the opinion of the commission, be necessary in order to 

maintain fair competition in the needlework trades in the several 

states and on the Island of Puerto Rico and in order to effectuate 

the purposes of the National Industrial Recovery Act. 

Respectfully, 

JUNE 28, 1934 

HuaH S. Jm-rNsoN, 

Ad11iinist1·ator. 
CODE OF FAI R COJ\1PE1'ITION FOR THE NEEDLEWORI( 

INDUSTRY IN P UERTO R I CO 

ARTICLE I-PURPOSES 

To effectuate the policy of Title I of the National I ndu trial 

Recovery Act, this Code i · e tablished as a Code of Fair Competition for the Needlework Industry in Puerto Rico, and its provisions 

shall be the standards of fair competition for such industry and 

shall be binding upon eYery member thereof. 

AnTICLE II- DEFINITIONS 1 

1. The t erm "Industry" as usecl herein includes the manufacturing and proces. ing, including sewing, wholly or in part, within the 

Territory of Puerto Rjco, of articles haYing drawn ,York and/ or 

embroidery done upon t hem by machine and/or by h and including 

the busine ·s of contrRcting with r"ference thereto. 

2. The term "Employee" as u eel herein indudes anyone engaged 

in the industry in any capacity receiving compensation :for his 

ser,·ices irre ·pectiYe of the nature or method of such compensation, 

except a member of the industr} . 

3. The term" Employer" as used herein includes anyone by ·whom 

any ·uch employee i compensated or employed. 

4. The term ' JVIember of the Industry" as n eel herein includes 

but without limitation, any individual, partnership, as:-ociation, 

corporation, or other form of enterprise engaged in the industry as 

aboYe defined, either as an employer or on his or its own behalf, 

whether n · manufacturer, contractor or sub-contractor. 

5. Tht> term "::.\Ianufacturer ' as used herein includes any inc1iYi<lual, partnership, as. ociation, corporation, or other form of enterpri~e, operatino· his or it own factory, work room, shop, or other 

mannfactnring e. tablishment in the Territory of Puerto Rico. 

G. The term " Continental-1\Ianufacturer' include · but \\'"ithout 

limitation, nny incliYiclual partnership, association corpo:ration, or 

other form of enterpri ·e selling at wholesale to cu tomer. located 

el. ewhere than in Puerto Rico products of tl e I:ndu try manufactnr cl arn1/ or proces~ecl from materials in part supplie l by him or it. 

7. Th 0 term '· Contractor" includes, but without limitation, any 

individual, partnership associrrtion, corporation or other form of 

enterprise which contracts to manufacture and/or process in the 

Territory of Puerto Rico product of the Industry for a manufac- turer or continental manufacturer. 

8. _Th~ .term " ub-contra tor· includes, but without limitation, 

any md1 v1dual, partner hip, a. sociation corporation or other form 

1 8;:oe parngraj1b 2 (1) of crc:cr npproviug tl.is Code. 

(184) 
185 

of enterprise which contracts to manufacture, in whole or in part in 

the Territory of Puerto Rico products of the Industry, for a contractor or sub-contractor in Puerto Rico. 

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

herein, mean respectively the President of the United C.:tates, Title I 

of the National Industrial Recovery Act and the Administrator for 

Industrial Ileco,;ery. 

AnTICLE III-Houns 

1. No employee shall be permitted to work in exces,s of forty (40 ) 

hours in any one week or eight (8) hours in any twenty-four (24 ) 

hours period~ except as hereinafter provided. 

2. No office employee, chauffeur, shipping and/ or stock clerk or. 

watchman shall be permitted to work in excess of forty-four ( 44) 

hours in any one week. 

3. The maximum number of hours o-f overtime which any employeQ 

may be permitted to work in any calendar year shall not be in excess 

of seventy-two (72) hour,s. In no event shall any employee be permitted to work more than two (2) hours overtime in any day or more 

than six ( 6) hours overtime in any week. All overtime shall be 

paid for at not less than twice the normal wage rate. Overtime for 

any particular manufacturing process shall only be permitted if all 

available ma chines and/ or tables of that same type are occupied. 

Machines or tables temporarily vacant on account of sicknes,s or absenc~ ?f an employee shall not be construed to be vacant for this 

prov1s10n. 

The Code Authority shall be notified in writing at least one day in 

advance of the use of overtime by any member of this industry, and 

such notification shall contain a statement of the need for overtime 

and the manner in ,Yhich it will be utilized. 

4. The provisions of this Article shall not apply to persons engaged 

in a managerial or executive capacity who earn not less than $12.00 

per week. 

5. No employer shall knowingly permit any employee to work for 

any time which, '"hen added to the time spent at work for another 

employer or employers (in this industry or otherwise) exceeds the 

maximum permitted herein. 

ARTICLE IV-\V AGES 2 

1. No employee shall be paid in any pay period less than at the 

rate of $5.00 per week except as hereinafter provided. 

2. No employee engaged in a factory doing hand sewing or embroidery shall be paid in any pay period less than at a rate of three 

dollar ($3.00) per "TI"eek. 

3. o employee engaged in work in a home shall be paid less than 

at a rate of Two Dollars ($2:.00) per week. 

4. Apprentices, not to exceed five percent ( 5%) of the total 

number of employees in any factory, may be employed in factories 

2 See paragraph 2 (3) of order approving tltis Code. 
186 

and shall be puicl not le es than ·ixty per cent ( 60%) of the minim nm 

wage herein e. tablislwcl during the first six ( G) weeks of their employment in the industry, and not less than eighty per cent (80% )· of the minimum wage herein c. tablishecl, during the second six ( 6) 

weeks of their emplo>·ment in the indu try. o employer shall 

knowingly employ as an appl'<~ntice any per ·on who has been employed in the industry for a total period of timP excee ling twelve 

(12) weeks. Apprentices shall be paid nt the piecework rate paid 

regular piecew·ork employees in the same factory for the same class 

of work, provided compensation based upon nch rate is greater than 

that herein provided. 5. There shall be established immediately npon the adoption of thi 

Code a Piece Rates Commic:sion, which commi ·sion shall consi. t of 

• one member appointed by the Code Authority, one labor nwmber 

appointed by the Admini -trator and the two member shall then 

choose an impartial chairman. 3 

Such Piece Rate: Commission ·hall e tablish, within thirty (30 ) 

clays after the effective elate of this Code, minimum piece work rates 

that shall be paid to all employees engaged in hand work at home, 

basing such rates on a minimum rate of pay of $2.00 per week, and 

jn every case such piece work rates shall be established on actual 

study of the time neces ary for the average employee to produce each 

article. l\finimum piece work rates when established by the P iece 

Rates Commission shall be binding upon all members of the industry 

until such time as said rates are revised or changed. Such rates, 

h°'veyer, shall at all time be subject to change on review by the 

Administrator. 4 

6. This Article establi heel minimum rates of pay ,vhich shall 

applv irrespective of whether or not the employee is actually com- pensated on a time rate, piece rate or other ba is. 

7. No employee shall receive a lesser rate of pay than is required 

to provide the same weekly earnings as were received for that class 

of work for the four weeks ending April 30, 1934. 

8. All piece rates for employees engaged in any factory shall be 

increased at least proportionately for the decrease in hours worked, 

to proYide not less than the same ,veekly earnings for employees 

engaged on a piece work basis under the maximum hours herein 

establi heel as were received for that class of work for the longer week 

prevailing for the four weeks ending April 30, 1934. 

9. Female employees performing substantially the same work as 

male employees shall be paid the same rate of pay as male employees. 

10. A person whose earning capacity is limited because of age or 

physical or mental handicap may be employed on light work at a 

wage below the minimum established by this Code if the employer 

obtains from the proper I nsular Authority, a certifi cate authorizing 

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

in the certificate. Each employer shall file monthly with t he 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. 

• See para.graph 2 (5) of order appr,oving this Code. ' See paragraph 2 ( 4) of order approving this Code. 
187 

ARTICLE V-GENERAL LA.non PnovrsroNs 

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

the industry. No person under eighteen (1 ) ye3,rs of age shall be 

employed at operations or occupations whi h are hazardous in nature 

or detrimental to health. The Cotle Authority shall submit to the 

Administrator not later than sixty (GO) days after the effective elate 

hereof. a list of such operation or occupations. An employer hall 

be deemed to haYe complied y,,ith this proYision as to age if he ·hall 

have on file a certificate or permit duly is-·necl by the Authority in 

Puerto Rico empowered to issue employment or age certificates or 

permits showing that the employees are of the required a,ge. 

2. (a) Employees shall ha ye the right to organize and baro-ai n collecti Yely, through rcpr sentatives of their o-wn choosing, an 1 shall 

be free from th,, interferencei re~traint or coercion of employers of 

labor, or their agents, in the clec:ignation of such representatives or 

in self-organization or in other concerted activitie::; for the purpose 

of collectiYe bargaining or other mutual aid or protection. 

(b) No employee and no one seeking employment hall be required 

as a condition of employment to join any company union or to 

refrain from joining, organizing, or as. isting a labor organization 

of hi o,Yn choosing, and 

( c) Employer. shall comply ,Yith the ma:,;jmum hours of labor, 

minimum rates of pay, and other conditions of employment appr-oyed 

or prescribed by the President. 3. No employer shall reclassify employees or dntie of occupations performed or engage in any other subterfuge so as to defeat 

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

4. r" o proYisions in this Code shall super ede any law of Pnerto 

Rico which impo ·es more stringent requirements on employer as to 

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

sanitar:v conditions or insurance, or fire protection, or general working conditions, than are imposed by this Code. 

5. Each member of the indu try shall be furnished by the Code 

Authority with official copies of the provisions of this Code relating 

to honrs of labor rates of pay, and other conditions of employment. 

Such official copie · of such provisions shall contain direction for 

filing complaints of violations of such provi ·ions, and hall be kept 

conspicuously posted at all times by such members of the industry 

in each shop, establishment or separate unit, tq the extent nece sary 

to make them freely accessible to all employees. ,Vhenever any 

rnodificatio:a of, or exemption or exception from this Code permits 

any person to pay lower ,,ages or work his employees longer hours, 

ore tablish conditions of employment less favorable to his employees 

than those prescribed by the proYisions of this Code, the Code Au- thority, at the request of such per on shall furnish him with certified 

ropies of uch modifications, exemptions, or exception in sufficient 

number for po ting alongside of such official copies of Code 

prov1 ·10ns. 

No member of the Industry shall display or furnish any incorrect 

copies of such provisions, directions, modification, exemptions or 

exception. Copies of these labor provisions shall be printed both 

in English and Spanish. 
188 

G. Every employer shall provide for the safety and health of 

employees during tho hours and at their places of employment. 

Stanclanb of c.,nfoty trn(1 health shall be submitted by the Code · 

Auth~riiy to the Administrator within six months after the effective 

elate of this Cocle. 

7. N" c member of Ihe In~lm-try shall allow any stamping cutting, 

wa hing, pre.:.:sing, folding, ribboning, ticketing or machine sewing 

in a homp on proch.icts of this Industry. J\1embers of the Industry 

may, hm-.ever, employ workers who lrn,;e been employed at machine 

se-,Ying in homes during the year immediately preceding the approYal of this code, to do machine . ewjng at home on those machines 

owned by home workers as of the elate of approval of this Code 

upon which they have theretofore done such machine ewing, provided every }::Heh homo worker is r egistered with the Code Authority, 

and provided further i.ha t the machine used by such home ,Yorker 

is registered y•.;ith t he Cod Authority as provided for in Article 

VII, Section 8 (i) of this Code. .All work done in homes on sewing 

machines rnnst be paid for at a rate not less than the rate for similar 

w·ork done in the factoq, and in no case a.t less than a rate of $5.00 

per \Yeek of forty ( 40) hours. 

8. The Administrator shall appoint a Commission, on or after 

the effective elate of this code, to study the Community ,v ork Room 

plan. and if that plnn is not adjudo-ecl to be feasible to propo e an 

alternate plan tho object of which shall be to take from homes to 

Community Y{ ork Rooms or Factories as many home workers as 

practicab~e. The Commi~sion shall report its findings on the Community '\York Room or alternate plan within ninety (90) days after 

its first meeting. 

ARTICLE VI-CONTRACTORS 

1. No 111.ember of the industry shall cause any goods to be manufa ctured or processed in any factory not registered with the Code 

Authority in accordance with regulations to be issued by the Code 

Authority c:ubject to the apnroval of the Deputy Administr ator. 

2. All 'members of the Industry causing any goods to be manufactm.-ed by contractors or sub-contractors shall pay to such contractor or sub-contractor for such products, rates at least sufficient 

to enable such contractor or sub-contractor to pay their employees 

working on c:uch goods the minimum wage provided for by this 

Code anrl all such payments received by such contractor or subcontractor shall be first applied in the payment of wages to the 

employee working on such goods. 

3. No member of the Industry shall accept any goods to be 

manufactured or proces eel from any continental manufacturer unless 

. uch continental manufacturer shall pay an amount sufficient to 

enaule such member of this industry to pay to his employees the 

rates of l ay as e tablishell by this Code. 

4. The Administrator may request the Code Authority to study 

the problem of jobber-contractor and contractor sub-contractor relationships. The Code Authority shall make recommendations to 

the Administrator regarding the establishment as part of this Code, 

of such rule and regulations as will tend to stabilize the r elationship between jobbers and contractors and contractors and sub-
189 

contractors and further effectuate the purposes of this Act and of 

this code, which recommendations upon the approval of the Administrator and after such notice and hearing as he may prescribe, shall 

become effective as part of this Code. 

ARTICLE VII-ADUINISTRATION 

ORGANIZATION, POWERS AND DUTIES OF THE CODE AUTHORITY 

1. A Code Authority is hereby established consisting of: 

(a) Thirteen ( 13) representativ~s or such larger number as may 

be approved from time to time by the Deputy Administrator for the 

Territory of Puerto Rico, to be selected as hereinafter provided. 

(b) Such additional members, without vote, not to exceed three 

( 3), as the Administrator may appoint to represent such groups or 

such interests or such governmental agencies and for such periods 

as he may designate. 

2. Four ( 4) members of the Code Authority representing the 

Industry shall be selected from those members of the Industry whose 

chief product is handkerchiefs; two members from those whose chief 

product is silk underwear; two members from those whose chief 

product is ladies' cotton underwear; two members from those whose 

chief products are women's and children's dresses ; and two members 

from those whose chief products are table and fancy linens. The 

manner of selecting such Code Authority members shall be governed 

by such plan of procedure as may be proposed by the Code sponsors 

to the Deputy Administrator within thirty (30) days after the 

effective date hereof and thereafter approved by the Deputy 

Administrator. . 3. 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 membersLip, and (2) submit to the Administrator true copies of its articles of association, 

by-laws, 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. 

4. 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 of the Code Authority. 

5. Nothing c0ntained 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 wilful malfeasance or non-feasance. 
190 

6. I f the Administrator shall determine that any action of the 

Code Authority or any agency thereof may be unfair or unjust or 

contr ary to the public interest, the Administrator may require that 

such action be suspended to afford an opportunity for investigation 

of the merits of such action and further consideration by the Code 

Authority or agency pending final action, which shall not be effective 

unless the Administrator approves 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. 

7. The Code Authority hall obtain from members of the Industry 

such information and reports as are required for the administration 

of the Code. In addition to the information required to be submitted to the Code Authority members of the Industry shall furnish 

such statistical information as the Administrator may deem necessary for the purposes recited in Section 3 (a) of the National Industrial Recovery Act to such United States and Puerto Rico Government agencies as he may designate, provided that nothing in this 

Code shall relieve any member of this industry of any existing 

obligations to furnish reports to any Government agency. 

8. Subject to such rules and regulations as may be issued by the 

Administrator, the Code Authority shall have the following powers 

and duties in addition to those authorized by other provisions of 

this Code: 

(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 by the members of the Industry with 

the provisions of the Act: Provided, however, that this shall not be 

construed to deprive duly authorized Government agencies of their 

power to enforce the provisions of this Code or the Act. 

(b) To adopt by-laws and rules and regulations for its procedure 

e.nd for the administration of the Code. 

( c) To obtain through a confidential agency from members of the 

Industry periodical reports in such form and at such times with 

respect to wages, hours of labor, conditions of employment, number of employees, and such other matter pertinent to the purposes 

of this Code as the Code Authority, with the approval of the Administrator, may require for the administration of this Code, and to 

submit reports to the Administrator in such form and at such times 

as he may require in order that the President may be informed as 

to the observance or non-observance of the Code and to further 

effectuate the policies of the Act. 

The confidential agency shall be in no way engaged in the industry 

nor connected with any member thereof, and all reports received by 

it shall be held as secret and confidential, except that they shall b3 

made a, ailable to the Administrator. 

Such agency shall analyze, digest, and consolidate such reports 

and shall disclose only general fin dings based thereon. Such general 

findings hall be made a,ailable to the Code Authority and such 

n1ernber of the Industry as ha,e assented to this Code. 

(cl) To u e such trade as ociation and other agencies including 

the P iece Rates Commission, as it deems proper for the carrying out 

of any of its activities provided for therein, and to pay such agencies 
191 

the cost thereof; provided, that such agencies shall at all times be 

subject to and comply with the provisions of this Code; and provided 

further, that nothing herein shall relieve the Code Authority of any 

of its duties and responsibilities thereunder. 

( e) To make rec,mmendations to the Administrator for the coordination of the administration of this Code with such other codes, 

if any, as may be related to or affect members of this industry. 

(f) To recommend to the Administrator any action or mea ures 

deemed advisable, including further fair trade practice provisions to 

govern members of the Industry in their relations with each other 

or with other industries; measures for industrial planning, and 

stabilization of employment; and including modifications of this 

Code which shall become effective as part hereof upon approval by 

the Administrator after such notice and hearing as he may specify. 

(g) To initiate, consider, and make recommendations for the modification or amendment of this Code, which when approved by the 

Administrator shall become binding upon all members of the industry as part of this Code. 

(h) The Code Authority shall obtain from manufacturers lists 

of all contractors, sub-contractors or delivery agents to whom they 

supply materials for processing or manufacture into products of the 

Industry, whether by such contractors, sub-contractors or delivery 

agents or others; from contractors, lists of all subcontractors to whom 

they supply materials for such purposes; and from all members of 

the Industry, lists of every home-worker to whom they supply materials for such purposes, including the address or best location possible of each home-worker. The Code Authority shall obtain reports 

of all changes in such lists. 

(i) "\Vithin ninety days following the date this code becomes effective the Code Authority shall register all sewing machines used in 

homes in the manufacture or processing of products of this industry 

on or before April 1, 1934, with the serial number of each such 

machine, its type and age, the name and address of the owner and 

of the person operating such machine during the year preceding 

April 1, 1934, and the name and address of any person holding a 

chattel mortgage or conditional sale contract for such machine. 

(j) To make complaint to the President on behalf of the industry, 

as authorized by the Act, whenever any article is being imported into 

the United States in substantial quantities or increasing ratio to 

Porto Rican production of any competitive article or articles and on 

such terms or under such conditions as to r ender ineffective or seriously to endanger the maintenance of this Code. · (k) The Code Authority shall obtain from every member of the 

Industry certified reports based on two or four week operations, 

giving a complete list of all home-workers employed by such member 

whether the work done by the home-worker was done by hand or 

on machine, the number of items or articles so produced and the 

amount paid to each home-worker. . (1) (1) It being found necessary in order to support the administration of this code and to maintain the standards of fair corn.petition 

established hereunder and to effectuate the policy of the Act, the 

Code Authority is authorized: 
192 

(a) To incur such reasonable obligations as are necessary and 

proper for the foregoing purposes, and to meet such obligations out 

of funds which may be raised as hereinafter provided and which 

shall be held in trust for the purposes of the Code; · (b) To submit to the Administrator for his approval, subject to 

such notice and opportunity to be heard as he may deem necessary 

( 1) an itemized budget of its estimated expenses for the foregoing 

purposes, and (2) an equitable basis upon which the funds necessary 

to support such budget shall b3 contributed by members of the 

industry; 

( c) After such budget and basis of contribution have been approved by the Administrator, to determine and obtain equitable contribution as above set forth by all members of the industry, and 

to that end, if necessary, to institute legal proceedings therefor in 

its own name. 

2. Each member of the industry shall pay his or its equitable 

contribution to the expenses of the maintenance of the Code Authority, determined as hereinabove provided, and subject to rules and regulations pertaining thereto issued by the Administrator. Only members of the industry complying with the code and contributing to 

the expenses of its administration as hereinabove provided;... shall be 

entitled to participate in the selection of members of the lJode Authority or to receive the benefits of any of its voluntary activities 

or to make use of any emblem or insignia of the National Recovery 

Administration. 

3. The Code Authority shall neither incur nor pay any obligation 

in excess of the amount thereof as estimated in its approved budget, 

except upon approval of the Administrator; and no subsequent 

budget shall contain any deficiency item for expenditures in excess 

of prior budget estimates except those which the Administrator 

shall have so a pprovecl. 

ARTICLE VIII-N .R.A. LABEL 5 

1. Any kind of article manufactured or processed subject to the 

provisions of this Code shall bear an N.R.A. label or an authorized 

substitute therefor to symbolize to purchasers of said goods the 

conditions under which said goods have been manufactured, if the 

Code Authority, subject to the approval of the Deputy Administrator for Puerto Rico, shall so determine. 

2. Subject to such rules and regulations as the Administrator may 

from time to tim-e pref2r;rib 0 , the Code Authority shall have the 

exclusive right in this industry to issue and furnish said labels to 

the members thereof, and/ or to negotiate with the Code Authority 

administering the Code from which the members of the industry 

in Puerto Rico are exempted, to secure and distribute labels issued 

by the latter Code Authority. 

3. Each label shall bear a registration number especially assigned 

to each member of the industry by the Code Authority, and shall 

remain attached to all such goods when sold to the retail distributor. 

~ See paragraph 2 (2) of order approving this Code. 
193 

4. Subject to the approval o:f the Administrator, the Code Authority shall_ establ~sh rules ~nd _regulations an~ ~ppropriate machinery 

for the inspect10n, exammat10n and superv1s10n of the practices o:f 

m~~bers of t~e industry using such l~bels tor the purposes of ascertaimng the right of such members of the industry to the continued 

use of s~id 13:bels; of pro~ec~i~g purchasers in relying on said labels ; 

and of _insuring _to each in?1vidual !nen:ber of th_e industry that the 

~y_mbohsm of. s~1d label :will be mamtained by virtue of compliance 

with the provis10ns of this Code by all other members of the industry 

using said label. 

5. The charge made for such labels by the Code Authority shall at 

all times be subject to supervision and orders of the Adm1nistrator 

and shall be not more than an amount necessary to cover the actual 

reasonable cost thereof, including actual printing, distribution, 

administration, and supervision of the use thereof as hereinabove 

set forth. 

ARTICLE IX- TnADE PRACTICES 

1. The standards of fair competition for the industry with reference to pricing practices are declared to be as follows ( for definition 

of terms see subsection ( d) 

(a) The Principle.- ( I ) Destructive price cutting is an unfair method of competition 

and is forbidden at all times, irrespective of the existence of an 

emergency; 

(2) When no declared emergency exists as to any given product, 

there is to be no fixed minimum basis for prices but it is intended 

that sound cost estimating methods should be used; 

(3) vVhen an emergency exists as to any given product, sale below 

the lowest reasonable cost of such product, in violation of subsection 

( c) hereof is forbidden. 

(b) N or1nal provision ( 0 ost estimating m,ethods) .-The Code 

Authority shall cause to be formulated methods of accounting and 

cost finding and/ or estimating capable of use by all members of the 

indu try and shall submit such methods to the Administrator for 

review and possible disapproval. Full details and instructions concerning such m.ethods shall be made available to all members of the 

industry an<l to the Administrator and thereafter all members shall 

utilize the principles of such methods. 

(c) Emergency provision (lowest reasonable cost) .-"'\Vhen an 

emergency exists, the CodB Authority may cause a.n impartial agency 

t.o investigate costs and to determine the lowest reasonable cost of 

the product affected by the emergency. Such determination shall 

exclude all cost elements set forth in, and shall be in all respects 

subject to, such rules and regulations as may be issued by the Administrator, and shall become effective upon his approval or modification after such notice and opportunity to be heard as he may 

prescribe. The Code Authority or the Administrator may, from 

time to time, cause such determinations to be reviewed or reconsidered 

and appropriate action taken. 

( cl) Definitioris.-An "Emergency" exists whenever the Administrator determines that destructive price cutting is rendering in-
194 

effective or seriously endangering the maintenance of the provisions 

of this Code. 

"Destructive price cutting' - ( 1) When no emergency exists, the term hall ha-ve the meaning 

declared in rules and regulations promulgated by the Administrator 

on recommendation of the Code Authority or on his own motion ; 

(2) 1Vhen an emergency exists. the term. shall mean any sale in 

violation of subsection ( c) hereof; 

(3) It shall be an absolute defen e to any charge of destructive 

price cutting, if an impartial agency, designated or approved by the 

Administrator, shall find : 

( aa) That the price complained of is justified by existing competition, evidence of which has been reported to the Code Authority; 

(bb) That the price complained of is justified as a method of disposal of distress merchandise, dropped lines or seconds, provided 

the Code Authority has been notified of the intention to dispose of 

the same; or 

(cc) When no declared emergency exists that the member charged 

with destructive price cutting has in good faith endeavored to make 

proper use of the announced cost estimating methods. 

2. No member of the industry shall,. for the purpose or with the 

intent of evading any of the provisions of this code: 

(a) Allow deductions to be made from the actual invoice by reason of banking or exchange charges; 

(b) Ship products to the mainland from Puerto Rico at other than 

f .o.b. factory terms, or pay for freight charges on raw materials 

shipped by a continental manufacturer to be manufactured or processed wholly or in part by any member of this industry: 

( c) Furnish without charging therefor not less than cost, ribbon or ribbons, findings or other trimming to any "manufacturer" 

or " continental manufacturer "; 

(d) If a contractor or subcontractor pay premiums for fire or 

theft insurance on products of a manufacturer or continental manufacturer above said contractor's or subcontractor's individual interest without charging the manufacturer or continental manufacturer for such premiums paid. 

3. No member of the Industry shall secretly off er or secretly make 

any payment or allowance of rebate, refund, commission credit, unearned discount, or excess allowance whether in the form of money 

or otherwise; nor shall a member of the Industry secretly off er or 

extend to any customer any special service or privilege not extended 

to all customers of the same class, for the purpose of influencing 

a sale. 

4. No member of the Industry shall wilfully induce or attempt to 

induce the breach of existing contracts between any manufacturer 

or continental manufacturer and his contractor or sub-contractor 

by any false or deceptive means, or interfere with or obstruct the 

performance of any such contractual duties or services by any such 

means. 

5. No contractor or manufacturer shall agree to manufacture 

samples for less than production cost plus overhead cost. 
195 

6. No member of the Industry shall agree to manufacture any 

products of the Industry on terms in excess of ten (10) days from 

date of shipment. 

7. No merchandise shall be manufactured for any member of the 

Industry in any prison, prison camp, penitentiary, reformatory or 

other correctional institution or in any place by means of prison 

labor except in any such institution which has subscribed to, or 

when any such institution hereafter subscribes to, this Code or any 

compact, or has entered into or may hereafter enter into a binding 

agreement of any other nature which satisfies the Industry that 

merchandise produced in such institution or by the inmates thereof 

will not be sold except upon a fair competitive basis with similar 

merchandise not so produced. Nothing in this Section shall be con- strued to supersede or interfere with the operation of the Act of 

Congress approved on January 19, 1929, being Public No. 669 of the 

70th Congress and entitled "An Act to Divest Goods, ,v ares and 

Merchandise Manufactured, Produced or Mined by Convicts or 

Prisoners of Their Interstate Character in Certain Cases", which 

Act is known as the Hawes-Cooper Act, or the provisions of any 

State or Territorial legislation enacted, under or effective upon the 

effective date of the said Hawes-Cooper Act, the said effective date 

being January 19, 1934. 

ARTICLE X-MODIFIGATIONS 

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

subject to the right of the President, in accordance with the provisions of Sub-section (b) of Section 10 of the 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. 

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

modified in such manner as may be indicated by the needs of the 

public, by experience, or by changes in circumstances, such modification to be based upon application to the Administrator and such 

notice of hearing as he shall specify, and to become effective on 

approval by the President. 

ARTICLE XI-MONOPOLIES 

1. No prov1s10n of this Code shall be so applied as to permit 

monopolies or monopolistic practices, or to eliminate, oppress, or 

discriminate against small enterprises. 

ARTICLE XII-GENERAL 

1. Any employer who at any time shall manufacture · any article 

or articles subject to the provisions of this Code, shall be b_ound by 

all the provisions of this Code as to all employees engaged 1n whole 

or in part in such manufacture. In case any employee shall be 
111 11 11111~im~m ~1'i ll11 [ 1f 11111\1ll~i1l1]11111111 1 

196 3 1262 08486 8065 

engaged partly in such manufacture and partly in the manufacture 

of goods of another character this Code hall only apply to such 

portion of such employees work as is performed in connection with 

the manufacture of articles subject to this Code. 

ARTICLE XIII-EFFECTIYE DATE 

1. This Code shall become effective three weeks after its approval. 

Approved Code No. 474. 

Registry No. 231-16. 

0