Approved Code No. 129 Registry No. 17

NATIONAL RECOVERY ADMINISTRATION

CODE OF FAIR COMPETITION

FOR THE

RADIO BROADCASTING

INDUSTRY

AS APPROVED ON NOVEMBER 27, 1933

BY

PRESIDENT ROOSEVELT

MEMBER

LVL WE OUR PART

1. Executive Order

2. Letter of Transmittal

3. Code

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Approved Code No. 129

CODE OF FAIR COMPETITION

FOR THE

RADIO BROADCASTING INDUSTRY

As Approved on November 27, 1933

BY

PRESIDENT ROOSEVELT

Executive Order

An application having been duly made, pursuant to an

compliance with the provisions of title I of the National I

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

Fair Competition for the Radio Broadcasting Industry, a

ings having been held thereon and the Administrator hav

r

dered his report containing an analysis of the said code of 

petition together with his recommendations and findings wit

r

thereto, and the Administrator having found that the said 

fair competition complies in all respects with the pertine

p

sions of title I of said act and that the requirements of cl

and (2) of subsection (a) of section 3 of the said Act have b

NOW, THEREFORE, I, Franklin D. Roosevelt, Preside

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

National Industrial Recovery Act, approved June 16, 1

otherwise, do approve the report and recommendations, a

the findings of the Administrator and do order that the sai

fair competition be and it is hereby approved.

FRANKLIN D. ROOSE

Approval recommended:

THE 237780-244-97-33 HUGH WHITE November S. HOUSE, JOHNSON, Admin'i8trator. 27, 1933. (353)
NOvEMBER 23, 

The PRESIDENT,

T he IVhite House.

SIR: A proposed Code of Fair Competition for the Radio 

casting Industry was submitted to the Administrator on Au

1933, by the National Association of Broadcasters, Inc. Th

ciation is an established trade association of long standing 

the only trade association in the Industry. It represents a

mately forty-five (45%) percent of the stations by numb

over eighty-three (83%) percent of the volume of busine

within the Industry.

A Hearing was conducted in Washington, D.C., on Septem

1933, and the Code was revised during the recess of this Hear

is submitted in its present form for approval. Every pers

requested an appearance was heard in accordance with statut

regulatory requirements. Communications received from in

parties who had not requested to be heard were read into the r

Radio Broadcasting in its present form is a comparativ

development. It embraces the complete operation of all 

or networks designed for broadcasting, including in connecti

such operations, the preparation and production of programb

sponsored and unsponsored for the purpose of providing en

ment, instruction, and general service through the agency r

broadcasting.

ARTICLE h1I--hOURS

This Article provides that no employee shall be permitted 

in excess of 40 hours in any one week, except that such hour

tations do not apply to employees in managerial or executive 

who receive not less than $35 per week in the larger stations

the same class of employees who receive not less than $25 p

in radio broadcasting stations in which, on July 1, 1933, n

than ten persons were regularly employed. Further, such 

and daily limitations do not apply to employees on emergenc

tenance or emergency repair work, but overtime is to be p

hours worked in excess of the maximum. Broadcast technic

permitted to work 48 hours per week. Regarding this 

employees there was a lack of reliable statistics covering the 

of hours which they now work, and faced with this lack of s

it days. hours Deputy. hours of the Tho-e was the next per todeemed The Code stations a. ninety wek maximum hours Authority necessary are which (90) of limited such of days nowon tover employees to allow a. operate has those study 80. (354) been a, Approval 48-hour hours on now to given the bvary andbasis made wek by of from mayf the within a pending a 48-hour not a Advisers lesser minimuincreaninenuthwr
355

working week for broadcast technicians to 48. Overtime i

p

mitted within the Industry except in the case of an e

worker.

It is the first time within the Industry that there has been 

fication of workers, minimum rates of pay, or maximum n

hours of employment. The reduction in hours will requir

employment of some 765 men, or an increase of 350 men 

total employed within the Industry for any previous perio

ARTICLE IV-WAGES

Nontechnical employees are guaranteed the wages provid

President's Reemployment Agreement. The guaranteed 

broadcast operators and control men varies in amount acc

the Federal Radio Commission classification of the station 

they are employed, as follows:

(a) Clear channel or high-power regional stations not 

$40 per week;

(b) Clear channel part-time or low-power regional sta

less than $30 per week;

(c) Low-power part-time regional, local unlimited, or l

p

time stations not less than $20 per week. Such employe

past have been paid as little as $9 per week in some of 

stations. Announcers and program production employe

receive not less than $20 per week, except in the very sma

where they are to receive not less than $15.

The employers agree not to reduce the compensation fo

ment now in excess of minimum wages, notwithstanding 

hours may be reduced, and to increase the pay for such em

by an equitable readjustment.

There is no discrimination between the sexes in rates of p

ARTICLE V-GENERAL LABOR PROVISIONS

No one under sixteen years of age is to be employed w

Industry, except as talent on programs and then for not m

three hours per day, and those hours to be such as will not 

with school hours.

This Article embodies Paragraph (a) Section 7 of Title 

National Industrial Recovery Act. It further provides tha

conditions shall not be changed to frustrate the intent and p

of this Code.

In the proposed Code there is constituted a named Code 

of nine (9) comprising representatives of independent sta

Special on in Administrator. experience there required ministrator istrationddition the might Code, Adviser, of and thethat for not be two no Code. training a more The body, the representatives permanent delay members Industrial than andinwithin in instituting three form making of the of Adviser, members the of the Industry, recommendations organization the Code broadcasting investigations and to Authority, be were the appointefor Labor nmenetwthto wA
356

ECONOMIC EFFECT

The provisions of the Code will require reemployment of 7

m

and will increase existing pay rolls and the buying powet

group at the estimated rate of $1,328,000 per year. The tp

rolls under the Code will be more than double those of 192M

stations are now in operation and more individuals emplot

there were in 1929. My information indicates that there wbn

increase in rates charged for facilities, so the consumer sh

n

be adversely affected. The Industry will be required to ab

t

greater operating costs.

The Research and Planning Division reports that the C

i

designed to improve conditions in the Radio Broadcasting I

and that they are satisfied with the Code as it stands.

FINDINGS

The Administrator finds that:

(a) This Code complies in all respects with the pertinen

p

of Title I of the Act, including without limitation, subsectio

Section 7, and subsection (b) of Section 10 thereof;

(b) The Committee which proposes the Code is truly re

tive of the Radio Broadcasting Industry, and the By-Law

t

Association representing the divisions thereof provide no in

restrictions to membership;

(c) The Code is not designed to promote monopolies or te

nate or oppress small enterprises and will not operate to disc

against them, and will tend to effectuate the policy of Title I t

National Industrial Recovery Act.

It is recommended, therefore, that this Code be approved

Respectfully,

HuGH S. JOHNSO

Adminis
CODE OF FAIR COMPETITION

FOR THE

RADIO BROADCASTING INDUSTRY

ARTICLE I-PURPOsES

To effectuate the policy of Title I of the National I

Recovery Act, the following provisions are submitted as a 

Fair Competition for the Radio Broadcasting Industry, 

u

approval by the President shall be the standard of fair co

for such Industry and shall be binding on every member th

ARTICLE II-DEFINITioNS

1. Radio Broadcasting, as used herein, means the tran

through space by means of any radio frequency of signals 

to be received, whether audibly or visually, directly by the p

2. Radio Broadcasting Industry, as used herein, embraces 

plete operations of all broadcasters, or networks designed f

b

casting as above defined, including, in connection with su

tions, the preparation and production of programs, both 

and unsponsored, for the purpose of providing entertainm

struction, and general service through the agency of radb

casting.

3. Broadcaster, as used herein, means any individual, pa

corporation, association, or other form of enterprise engag

radio-broadcasting industry as above defined.

4. Network, as used herein, means any individual, pa

corporation, association, or other form of enterprise in the b

of regularly supplying, by wire or wireless, programs fo

b

casting, simultaneously to two or more radio-broadcasting 

5. Employee, as used herein, means any person engage

industry and employed by a broadcaster or network at 

r

hourly, daily, weekly, or monthly salary or wage, as dist

from an independent contractor or a professional person wh

p

by the job or performance.

6. Employer, as used herein, means any broadcaster or 

engaged in the industry.

7. Broadcast Technician, as used herein, means any pe

ployed for the operation or maintenance of any transmitting

or Industrial hours ated of 8. 1. input the Act in No in paragraph National equipment employee any and Recovery. one Administrator, Industrial week, number shall usedARTICLE except in b. two radio Recovery permitted as those hereof. (357) used III--1OURS broadcasting. included herein, Act toand work mean in the the in Adminisrespectivexcess clases 
358

2. The maximum hours fixed in the foregoing paragraph n

one shall not apply to:

(a) Employees in a managerial or executive capacity (inc

announcers, production men, and chief operators) who receive 

than thirty-five dollars per week; employees in a manager

executive capacity (including announcers, production men, and 

operators) who receive more than twenty-five dollars per w

radio broadcasting stations in which on July 1, 1933, not mor

ten persons were regularly employed.

(b) Outside salesmen.

(c) Employees on emergency maintenance and emergency r

work but at least one and one-half times the normal rate sh

b

paid such employees for hours worked in excess of the max

hours provided in Section 1 of this article.

(d) Broadcast Technicians, with respect to whom the max

hours of work shall not exceed forty-eight hours per week.

(e) Persons employed on special event programs of public in

with respect to whom the maximum hours of work shall not 

the number of hours herein prescribed for their class of work 

aged over any six weeks' period.

ARTICLE I--WAGES

1. No employee, except those enumerated in paragraphs (a

and (c) hereof shall be paid at less than the weekly rate of 

dollars per week in any city of over 500,000 population or 

immediate retail trade area of such city; or at less than the r

fourteen dollars and fifty cents per week in any city of b

250,000 and 500,000 population or in the immediate retail trad

of such city; or at less than the rate of fourteen dollars pe

in any city of between 2,500 and 250,000 population or in the 

diate retail trade area of such city; or at less than the rate of 

dollars per week in any town or place of less than 2,500 popu

Population for the purpose of this Code, shall be determined 

1930 Federal Census.

(a) Broadcast operators and control men shall be paid at 

r

of not less than forty dollars per week when they are emplo

any radio broadcasting station classified by the Federal Radio 

mission as a clear channel or high-power regional station; o

rate of not less than thirty dollars per week when they are em

at any broadcasting station classified by the Federal Radio 

mission as a clear channel part-time or low-power regional s

unless such station on July 1, 1933, regularly employed no

than three broadcast operators and control men, in which ca

rate of pay shall be not less than twenty dollars per week; 

station the part-time a ployers apprenticeship period more ratechnique than of of classified shall notregional, twelve one, less be ofwithin shall radio enttled by than moths. local the not broadcasting twentyhe Federal unlimited, to exceed Industry The employ dollars number five Radio or control as percent shall per local apprentices Commission of week not and persons part-time of exceed transmission. the at any persons total so as station. a broadcemploya cumnumlowle
359

regular employees of each employer. The rate of pay of ap

shall be not less than twelve dollars per week.

(b) Announcers and program production employees sha

bp

at a rate of not less than $20 per week, except that where b

caster regularly employed not more than ten persons on Jul

such announcers and program production employees may be p

less than $15 per week.

(c) The minimum rate of pay herein provided shall not 

outside salesmen working on commission only.

2. Employers agree not to reduce the compensation for 

ment now in excess of the minimum wages hereby agreed 

withstanding that the hours worked in such employmen

hereby reduced) and to increase the pay for such emplo

an equitable readjustment of all pay schedules. Where a 

provides a higher minimum wage than is provided in t

no person employed within that State shall be paid a wa

b

that required by such State law.

ARTICLE V-GENERAL LABOR PRovIsIoNS

1. After the effective date of this Code, employers will no

any person under sixteen years of age, except that perso

sixteen may be used as talent on programs for not more th

hours per day, and those hours to be such as will not inter

their schooling. Provided, however, that where a State p

vides a higher minimum age, such State law shall be control

2. Employees shall have the right to organize and bar

lectively through representatives of their own choosing, 

be free from the interference, restraint, or coercion of e

of labor, or their agents, in the designation of such repres

or in self-organization, or in other concerted activities, for 

p

pose of collective bargaining or other mutual aid or protec

3. No employee and no one seeking employment shall be r

as a condition of employment to join any company uni

refrain from joining, organizing, or assisting a labor org

of his own choosing.

4. Employers shall comply with maximum hours of lab

mum rates of pay, and other conditions of employment, 

or prescribed by the President.

5. Working conditions in any broadcasting station or 

shall not be changed to frustrate the intent and purpose of t

Where on November 1, 1933 any broadcaster paid broadc

nicians wages in excess of the minimum herein provide

worked such employees a lesser number of hours per w

herein permitted, such higher wages and such lesser number 

scaletations. are shall ployees in 6. force, established Nothing of be whose wages deemed where herein rats and by such to labor maximum be of minimum contained and wages, agreement, are number hours, rates hereby shall understandings'or of and/or be of pay declared construed hours are weekly higher with to be to full-timrespecand applpracthe 
360

mum number of hours per week are lower than those 

herein above.

i. All employers shall post complete copies of this Cod

spicuous places accessible to employees.

ARTICLE VI-ADMINISTRATION

To further effectuate the policies of the Act, a Code Au

hereby constituted to cooperate with the Administrator in 

ministration of this Code.

1. The Code Authority shall consist of James W. Baldw

Z. Buckwalter, John Elmer, James Kiernan, Alfred J. M

Edward N. Nockels, N. R. Runyon, Frank M. Russell, John 

III, and in addition thereto there may be three members wit

to be appointed by the Administrator, who, together with 

A

ministrator, shall be given notice of and may sit at all me

the Code Authority.

2. In order that the Code Authority shall at all times b

representative of the industry and in other respects com

the provisions of the Act, the Administrator may prov

hearings as he may deem proper; and thereafter if he s

that the Code Authority is not truly representative or do

other respects comply with the provisions of the Act, may r

an appropriate modification in the method of selection of 

Authority.

3. The Code Authority shall investigate the hours of l

the wages of radio artists and performers (other than mu

and upon the completion of its investigation shall report

to the Administrator.

4. The Code Authority shall investigate the hours of labo

and working conditions of broadcast technicians and the r

thereof to general conditions within the industry, and within 

p

of ninety days from the effective date of this Code, sha

r

thereon to the Administrator.

5. As and when any question directly or indirectly affec

class of employees engaged in the Radio Broadcasting 

is to be considered by the Code Authority, one represen

such class, selected by the Administrator from nominatio

by such class in such manner as may be prescribed by the 

istrator, shall sit with and become for such purposes a m

the Code Authority with a right to vote.

6. In addition to information required to be submitte

Code Authority there shall be furnished such statistical inf

as the Administrator may deem necessary for the purpose

r

in Section 3 (a) of the National Industrial Recovery Act

thority permanent ticipate sustaining tion. assenting 7. 8The Members Such andin Code to their form and to reasonable and of participate Authority share of reasonable complying the organization broadcasting the share benefits in shall share withthe of the recommend for selection the of of industry expenses the the the requirements administration expenses activities of shall toef the administratmembers be of of Adminientitled itshis the of adthtCCp
361

be determined by the Code Authority, subject to review b

A

ministrator, on the basis of volume of business and/or s

factors as may be deemed equitable.

9. Nothing contained in this Code shall constitute the m

the Code Authority partners for any purpose. Nor shall 

ber of the Code Authority be liable in any manner to anyon

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

Authority exercising reasonable diligence in the conduct of 

hereunder, or be liable to anyone for any action or omiss

under the Code, except for his own willful misfeasance 

feasance.

10. The Code Authority shall have the following powers a

in addition to those elsewhere provided in this Code, subj

right of the Administrator, on review, to disapprove or m

action taken by the Code Authority:

(a) To adopt bylaws and rules and regulations for its p

and for the administration and enforcement of the Code, 

ance with the powers herein granted, and to submit the sa

Administrator for his approval together with true copie

amendments or additions when made thereto, minutes of 

when held, and such other information as to its activiti

Administrator may deem .necessary to effect the purpos

Act.

(b) To obtain from members of the industry for use of 

Authority, for the Administrator in the administration and 

ment of the Code, and for the information of the Presidenr

based on such periods as may be determined by the Code 

as soon as the necessary readjustment within the industr

made and to give assistance to members of the industry in i

methods, or in prescribing a uniform system, of accountinr

porting. All individual reports shall be kept confidential 

members of the industry and only general summaries thereob

published.

(c) To receive complaints of violations of this Code, mak

gations thereof, provide hearings thereon and adjust such co

and bring to the attention of the Administrator for pr

recommendations, and information relative to unadjusted v

in no event shall the Code Authority proceed to prosecut

notice to and approval by the Administrator.

(d) To use such trade associations and other agencies as 

proper for the carrying out of any of its activities pro

herein and to pay such trade associations and agencies 

thereof, provided that nothing herein shall relieve the Cod

ity of its duties or responsibilities under this Code and 

trade associations and agencies shall at all times be subje

complydes, thereof, the and penses members (e) (f) approval buarmonious To if To ofwith andany, of coordinate secure maintaining the theo of as delegate the Industry. provisions action may an Administrator, equitable the be upon the to administration related hereof. any Code matters and other to Authority proportionate such the. of administrative industry, of powers common this and Code as payment interest. or its will any with auoactivpromsusj
362

(g) To cooperate with the Administrator in regulating t

the N.R.A. Code Insignia solely by those employers w

assented to and are complying with this Code.

(h) Where the operations of the provisions of this Code i

unusual or undue hardship upon any broadcaster or netw

broadcaster or network may make application for relief to 

ministrator or to his duly authorized agent, and the Adm

or his agent may, after such public notice and hearing as he m

necessary, grant such exception to or modification of the p

of this Code as may be required to effectuate the purpo

National Industrial Recovery Act.

(i) To initiate, consider, and make recommendations for 

fication or amendment of this Code.

11. An appeal from any action by the Code Authority 

the rights of any employer or employee in the Industry may 

to the Administrator.

ARTICLE VII-TRADE PRACTICES

1. Rates, Co/m missions, and Discounts.-(a) Each br

and network shall forthwith publish and file with the Code 

ity a schedule of all its rates regularly and currently ch

advertisers for the use of broadcasting time, together wit

counts, rebates, refunds, and commissions which shall be a

the users of such time or to their recognized agents, such sc

be known as the Rate Card. No Rate Card or rate charg

under shall be modified until fifteen days after the filing 

Code Authority of the Rate Card with the proposed mod

Charges for the use of broadcasting time, and discounts

refunds, and commissions allowed to the users of such time 

recognized agents shall be in exact accordance with such R

except that under conditions not specifically covered by 

Card, charges for the use of broadcasting time may be 

rates provided a full written statement of such special r

conditions is filed immediately with the Code Authorit

authority shall be authorized to publish such statement 

In no event shall modifications of the Rate Card, special 

special conditions violate any of the terms of this Code.

(b) Any attempt to evade the provisions of this Code 

the offer or payment of excessive or unearnedI commissions, 

rebates, refunds, gratuities, or free time (other than legitim

gram announcements) and any business done on a. cost pe

contingent, or percentage basis shall be deemed unfair tra

tice within the meaning of this Code.

cluding visions shall it filedacilities (a) 3. 2. of No Special immediately Sales such supply of outside broadcaster be special this o- supplied Services for Talent, Code. pickups commercial services with Litera1 or and below the ntwork or Facilities.- or Code wire costprograms facilities and Authority shall for lines, Musical the (a) sell unless at special purpose less or No Rights, and a furnish broadcaster than technical full in of no Recordigthe written evading event for actufacicoo
363

programs, talent, or special recordings, or literary or mus

r

of any sort, not provided for in the Rate Card at less than t

cost to the broadcaster or network of such talent or spec

r

ings, or literary or musical rights unless a full written sta

such sale below cost is filed immediately with the Code A

and in no event shall such sale below cost be for the purpos

ing the provisions of this Code.

4. General Provisions.-(a) This Code shall apply t

tracts iade on or after the date on which this Code become

and after that date shall apply to all renewals or extens

m

of contracts made prior thereto unless there is vested i

p

other than the broadcaster or network a right to renew 

the then-existing contract.

(b) No broadcaster or network shall defame or d

competitor, directly or indirectly, by words or acts which u

fully call in question such competitor's business integrity, 

t

perform contracts, credit standing, or quality of service.

(c) No broadcaster or network shall claim for its 

character, scope, or quality which cannot be substantiated, n

it claim as regular characteristics of its service features w

i

knows to be purely temporary or accidental.

(d) No broadcaster or network shall accept or knowing

p

any performer, singer, musician, or orchestra leader regu

ployed by such broadcaster or network to accept any m

bonus, refund, rebate, royalty service, favor, or any othe

t

act of value from any music publisher, composer, author, 

owner, or the agents or assignees of any such persons for p

or having performed any musical or other composition f

broadcaster or network when the purpose is to induce su

p

to sing, play, or perform, or to have sung, played, or perfo

such works.

(e) No broadcaster or network shall knowingly permit t

b

casting of any advertisement of, or information concernin

l

tery, gift enterprise, or similar scheme, offering prizes dep

i

whole or in part upon lot or chance, or any list of the pri

or awarded by means of such lottery, gift enterprise, 

whether said list contains any part or all of such prizes.

(f) Where a station or network is broadcasting a susta

p

gram utilizing the services of any band or orchestra, i

b

deemed an unfair practice under this Code to make any c

announcement advertising an commodity either before, 

after the program the effect of which is to create falsely thi

sion that the music is furnished or paid for by any perso

f

other than the actual employer of such band or orchestra

(g) It shall be considered an unfair trade practice ut

Code bands establishment the agents for (h) United any for It orto broadcaster shall any orchestras demand States station employ be considered Government. that toby or any broadcast any network causing specific hotel, an unfair to booking without band night destroy trade or club, being orchestra. offices, practice fair restaurant, duly competitiartist under authbtb
364

(i) No broadcaster or network shall use any subterfuge to 

trate the spirit and intent of this Code, and the violation 

of the provisions of this Article VII of this Code shall be d

an unfair trade practice.

ARTICLE VIII-MoDIFICATIoN

1. The President of the United States may, from time to 

cancel or modify any order, approval, license, rule, or reg

issued under Title I of the Act.

2. Nothing in this Code, however, shall be construed as au

ing or consenting to the imposition of any requirement whic

conflict with the Radio Act of 1927, as amended, or the rul

regulations promulgated thereunder.

ARTICLE IX-MONOPOLIEs, ETC.

No provision of this Code shall be so applied as to permit m

olies or monopolistic practices, or to eliminate, oppress, or d

inate against small enterprises.

ARTICLE X-EFFECTIvE DATE

This Code shall become effective on the second Monday af

approval by the President.

Approved Code No. 129

Registry No. 1742-09

0
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UNIVERSITY O

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