Approved Code No. 285 Registry No. 1414-05 

NATIONAL RECOVERY ADMINISTRATION 

CODE OF FAIR COMPETITION 

FOR THE 

RAILWAY CAR 

BUILDING INDUSTRY 

AS APPROVED ON FEBRUARY 16, 1934 

WE DO OUR PART 

UNITED STATES 

GOVERNMENT PRINTING OFFICE 

WASIDNGTON : 1934 

I I 

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

Printing Office, Washington, D . . , and by di trict offices of the Burea u of Foreign 

and Domestic Commerce. 

DISTRICT OFFICES OF THE DEPARTMENT OF COMMERCE 

Atlanta, Ga. : 504 Post Office Building. 

Birmingham, Ala. : 257 Federal Building. Boston, Mass. : 1801 Customhouse. 

Buffalo, N.Y.: Chamber of Commer ce Building. 

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

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

Cleveland, Ohio : Chamber of Commerce. 

Dallas, Tex.: Chamber of Commerce Building. Detroit, Mich.: 801 First National Bank Building 

Houston, Tex. : Chamber of Commerce Building. 

Indianapolis, Ind. : Chamber of Commerce Building. Jacksonville, Fla.: Chamber of Commerce Building. 

Kansas City, Mo.: 1028. Baltimore A venue. 

Los Angeles, Calif. : 1163 South Broadway. 

Louisville, Ky.: 408 Federa l Building. 

Memphis, Tenn. : 220 FederHl Building. 

Minneapolis, Minn. : 213 Federal Building. 

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

New York, N.Y.: 734 Customhouse. 

Norfolk, Va.: 406 East Plume Street. 

Philadelphia, Pa. : 422 Commercial Trust Building. 

Pittsburgh, Pa.: Chamber of Commerce Building. 

Portland, Oreg.: 215 New Post Office Building. 

St. Louis, Mo.: 506 Olive Street. 

San Francisco, Calif. : 310 Customhouse. 

Seattle, Wash.: 809 Federal Office Building. 
Approved Code No. 285 

CODE OF FAIR COMPETITION 

FOR THE 

RAILWAY CAR BUILDING INDUSTRY 

As Approved on February 16, 1934 

ORDER 

ArrR ING CoDE oF FAIR CoMPETITION FOR THE Ra.ILw Y C R 

BUILDING INDUSTRY 

\n application haYing been duly made pur uant tD and in full 

compliance with the provi ions of Title I of theN ational Indu trial 

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

Fair Competition for the Railway Car Building Industry, and hearings having been duly held thereon and the annexed report on said 

Code, containing findings with re pect thereto, having been made 

and directed to the President: 

NOW THEREFORE, on behalf of the President of the United 

States, I, Hugh S. John on, Adn1inistrator for Industrial Recovery, 

pur uant to authority vested in me by Executive Orders of the Pre ident, including Executive Order No. 6543-A dated December 30, 

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

report and do find that said Code complies in all respects with the 

pertinent provisions and will promote the policy and purposes of ·aid 1 itle of said Act; and do hereby order that said Code of Fair 

Competition be and it is hereby approved ubject to the follo·w·ing 

conditions: that the Definition of the Railway Car Building Indu - try as contained in Article II be deleted therefrom and the word 

' The term 'Railway Car Building Indu try' or 'Indu try' means 

and includes the manufacturing or building for sale and elling 

or comn1ercially repairing within the United State of pas. en()"er, 

freight, tank, service and maintenance cars of every kind (including trackless and other trolley cars), however drawn, operated or 

propelled, used on and/or in the operation and/or maintenance of 

steam and/ or electric railways and/or trolley lines, or any of such 

cars, andjor parts and acces ories manufactured by a memb r of 

this Industry when uch parts and acce ories are to be assembl<1d 

by the manufacturer for sale a part of the finished product ' he 

substituted therefor; that the Definition of the product of the 

Industry as contained in Article II be deleted therefrom and the 

words ' The term 'Products of the Indu try ' means and include::s 

40875°----376-84----34 (551) 
552 

passenger, freight, tank, service and maintenance car of every 

kind (1ncluding trackless and other trolle) cars) however drawn, 

operated or propelled, used on andj or in the operation andj or maint enan e of steam and/ or electric railway andj or trolley lines, or 

nny of uch cars.t.- and/or parts and acces orie manufactured by a 

member of this lndu try, when such parts and acce ories are to 

be as embled by the manufacturer for ale a part of the finished 

product be sub tituted therefor; that the word and their re- spective staffs " as contained in Article III cti n 2 (a) be deleted therefrom; that the words 'fifty- ix (5G) h ur in any one 

week " as contained in Arti le III. ection 3 be deleted therefrom 

and that the words "forty-five (45) hour. in an. one week or nine 

( 9) hours in any one day ' be sub tituted therefor· that the word 

"and their respectiYe staffs ' as contained in Article IV, Section 5, 

b deleted therefrom; that the continued participation of the American Railway Car Institute in the Code Authority after thirty (30) 

days from the effective date of this Code shall be contingent upon 

its amending its Constitution and By-Law · to the ati faction of 

the Administrator. 

Huon . JoHK ~, 

Admini.strator for lndustrz:al Recove1·y. 

Approval recommended: 

w. A. HARRIMAN, 

Division Adrninutrator. 

WASHINGTON, D.C., 

February 16, 1934. 
REPORT TO THE PRESIDENT 

Th PRE IDENT, 

The TV luite House. 

IR: This is a report on the Code of air om petition for the 

Railway ar Buil ing Indt try a revised aft r the Public Hearing condu t d thereon in 'Va hinaton, D.C., on December 27, 1933, 

in accordance with the pr Yi ions of the ational Indu trial 

Recov ry Act. 

PROYI I N A TO HO R AND WAGE 

The Code e tabli hes a 40-hour w ek and an 8-hour day, except as 

hereinafter provided. 

1. The above provision shall not apply to those mployed in 

an executive, supervisory, or admini trative capacity, r in technical ork, who receive at lea t $35 per week, nor to outside sal men. 2. Employees engaged in emerg ncy, maintenance, or repair work 

involving breakdowns, or the protection of life or property will 

be excepted provided that they shall be paid at the rate of one 

and one-half times the normal rates of pay for all work in exce. s 

of the standard number of hours. The Industry will be allowed a 

period of 6 weeks in each cons cuti ve 6 month ' period, beginning 

on the effective date of the Code, during which overtin1e shall not 

exceed 8 hours in any one week and time and one-half again hall 

be paid for work in exce s of tandard. 

3. Power plant employees may be employed a maximum of 45 

hours in any one week, but not more than 9 hours in any one da;r. 4. Watchmen may work a maximum of 56 hours per week. 

The minimum wage for all employees engaged in plant operation shall be 40¢ per hour except as hereinafter outlined. 

1. A minimum wage of from 35¢ to 37¢ has been pro ided for 

12 cities individually listed in the Code. Al o, plants located in 

North Carolina, South Carolina, Georgia, Alabama, Florida, Tennessee, Louisiana, and ~1i sissippi shall be permitted a minimum 

wage of 32¢ per hour. 

2. Female employees performing sub tantially the same work 

as male employees shall receive the same rates of pay although they 

may be paid 87lj2% of the minimum rates if they do not perfonn 

substantially the same type of work as male employees. 

3. Apprentices and learners the total number of whom may not 

e:x_ce.ed 5% of the employees, shan be paid not less than 80% of the 

mrn1m urn wage. 

4. Clerical and office employees shall be paid a minimum wage 

ranging from $15 a week in cities of 500,000 population or over, 

to 14 a week in cities or towns of less than 250,000 population. 

Office boys and girls may be paid not less than 80% of this minimum, but their number shall not exceed 5% of the total. 

There shall Le one day of rest in every seven. 

(553) 
554 

GENERAL STATEMENT 

The Railway Car Building Industry is a capital good industry 

and is engaged in the manufacture and building for sale and for 

rebuilding and repairing of (a) pas enger freight, tank, service, 

and maintenance cars of every kind used for or on steam and electric railways or trolley lines; and (b) fabricated or processed component, repair, or replacement parts produced for such cars. 

This Indu try has been seriou ly aff cted by the depression as 

its prosperity is in direct ratio to the purchasing power of the railroad . Available statistics show a total production for the entire 

Industry in 1929 of $328 220,204, wherea in 1931 this decreased 

to $99,657,122, and undoubtedly the figures for 1933 when available, will show a continued decrease. The American Railway Car 

Institute, representing 79% of the Indu(;;try, has pre ented the Code. 

This Institute is comprised of 21 concerns operating 52 plants representing a capital investment of $259 955,000 in 1929 and $270,-

905,000 in 1933, an increase of 4.2%. The e 21 concerns showed a 

total volume of production in 1929 of $258 927.000 and in 1931, 

of $51.749,000. Figures submitted by the Indu. try for the first 6 

months of 1933 show a volume of only $7,001 000, indicating a 

further dra tic decrease from previou years. 

Competition within the Industry is limited, but the railroads themselves maintain their own shops for repair work and also build cars. 

In 1929, there were 1,851 such shop which produced a volume of 

$433,930,272 in repair work and, in addition, built cars having a total 

value of $24 235,151. Of the total amount of repair work done on 

railway cars, approximately 19% i commercial and 81% is done by 

railway repair shops. 

Employment for the entire Industry in 1929 amounted to 46,119. 

In 1933, this number decreased 60% to 16 508. The 21 concern mentioned above employed 37,731 persons in 1929, but only 6 556 in 1933. 

The Northern wage districts account for 93% of the total employment, and 70% of all employment is centered in the five States of 

Illinois, Pennsylvania, Indiana, New York, and Massachusetts. 

The 21 concerns above paid an average hourly rate of 62¢ in 1929 

and of 44¢ in 1933. Weekly wages in the former year average $27.40 

in the latter, $16.85. In operating under the Code, the hourly rates 

will be restored to the 1929 level and in some cases over that level, 

showing an approximate increase over 1933 of 35%. Factory employment under the Code will show an increase of 10.6% over 1933, 

and, given similar conditions, an increase of 30% over 1929. There 

will be no material increase in salaries at the present time, although 

it is estimated that payrolls will increa e 29% over 1933 and, given 

similar conditions, will increase 6% over 192·9. 

Increased employment will be largely dependent upon general improvement in business. The government's program of making funds 

available to railroads for the purchase of new equipment will greatly 

help this Industry. 

FINDIKGS 

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

having found as herein set forth and on the basis of all the proceedings in this matter: 
555 

I find that: 

(a) Said Code is well de igned to promote the policies and purpo es of Title I of the National Indu tri, l Reco ery A t, including 

remo al of obstructions to the free flow of interstate and foreign 

commer e whi h t nd to diminish the amount thereof and will pro-

\ide for the general welfare by prom ting th organization of in ustrv for the purpo e of cooperati action amon~ he trade groups, 

by indu ing and maintaining united action of labor and manageIll nt und r adequate governmental ancti ns and np rvi i n, by 

eliminating unfair competiti e practices by pr motino- the full st 

po ible utilization of the pre ent producti e capacity of indu tries, 

b. al"oiding undue re tri tion of production ( x ept a may be t mp rarily r quired), b. increa ing the on umr tion of indu trial and 

a0 ri ·ultural products through incr asing purcha ing I ower, by r -

du ing an relieving unemploym nt, by improving tandard · of 

lab r and by oth rwi e rehabilitating industry. 

(b) aid In u try normally employs not more than "' 0,000 empl y e ; and is not cla ified by me as a major indu try. 

( ) The Code as aJ?proved complies in all resr ect with th pertin nt provisions of said Title of said Act, including without limitation Sub ection (a) of Section 3, ub ection (a) of e tion 7, anJ 

Sub ection (b) of ection 10 thereof; and that the applicant group 

is an industrial groul? truly repre entative of the afore aid Indu try; 

and that said group Imposes no inequitable restrictions on admis ion 

to membership therein. 

(d) The Code is not designed to and will not 1 ermit 1nonopolies 

or monopoli tic practice . (e) The Code is not designed to and will not eliminate or oppre ·s 

mall enterprises and will not operate to discriminate again. t them. 

(f) Those engaged in other steps of the economic procc haYe not 

been deprived of the right to be heard prior to approYal of said 

Code. 

For the e rea ons therefore I have approved thi Code ubject to 

he followino- conditions: that the Definition of the Railway Car 

Buildino- Indu try as contained in Article II be deleted therefrom 

and the word ' The term 'Railway Car Building Indu try' or 

I ndu try' means and includes the manufa turing or building for 

ale and elling or commercially repairing within the United States 

of pas enger, freight, tank, service and maintenance cars of every 

kind (including trackless and other trolley cars), howeYer drawn, 

operated or propelled, used on and/or in the operation ancljor maintenance of team andjor electric railways andjor trolley line , or 

any of uch car , and/or parts and acces aries manufactured by a 

member of this Industry when uch part and acces orie are to be 

a cmbled by the manufacturer for ale as part of the fini hed 

product be ub tituted therefor; that the Definition of the r r duct 

of the Indu try as contained in Article II be deleted ther from and 

the word ' Th~ term Products of the Indu try ' m ans and include 

pa enger freicrht tank, ervice and maintenance car f every kin 1 

(includino- trackl.e sand other trolley cars), however drawn op rated 

or propelled used on andjor in the operation andjor maintenance 

of team andjor electric railways andjor trolley lines, or any of such 

cars, andjor parts and accessones manufactured by a member of this 
556 

Industry, when such parts and acces orie are to be assembled by the 

manufacturer for sale as part of the finished product" be substituted therefor; that the words ' and their re pective taffs ' as 

contained in Article III, Section 2 (a) be deleted therefrom · that 

the words "fifty-six (56) hours in any one w ek a contained in 

Article III, Section 3, be deleted therefrom, and that the words 

"forty-five (45) hours in any one week or nine (9) hours in any 

one day " be substituted therefor; that the word and their re pective staffs" as contained in Article IV, ection 5, be deleted therefrom; that the continued participation of the American Railway 

Car Institute in the Code Authority, after thirty (30) days from 

the effective date of this Code, shall be contingent upon it amending 

its Constitution and By-Laws to the sati~fa ·tion of the Ad mini tt·ator. 

Respectfully, 

WASHINGTON, D.C., 

Febr'Uary 16, 193,4. 

H GH S. JoHN oN 

Administ1·ator. 
F FAIR ~1PETITION F R THE RAIL"TA T AR 

IL IN INDU .RY 

ARTI LE I-PURPO E 

To eff tuat th p li i of Titl I of th .,. ational In u trial 

Re v ry t, th f ll wing pro i ion ar tabli h d a a ode 

of Fair , mr eti ion for th Railwav ar BuildinO' In u try and 

hall b th tandard of fair omp tition for uch In u try an l shall 

b binding ur on Yery 111I loyer engaged in uch Indu try. 

HTI LE II-DEFIXITION 

Th term Unit d tates" n1eans the contin ntal nit d tat , n t in ludin(Y Ala lm or the Panama Canal zone. 

The t rm ~ p r on' n1eans and includ s a natural per on a partner hip an a ocia ion a corporation, tru tee or receiv r or other 

form of nterpri . Th term Railwa3 Car Building Industry" or Indu try" 

means and include the manufacturing or buildinO' for ...:ale an l ·cllin(Y or ommercially repairing within the United State of (a) pa - en()' r, freio-ht tank, er ice and maintenance ars of eYery kind 

(including trackle and other trolley cars), howev r lrawn, operated or propelled, u ed on and/or in the operation and/ or maintenance of tea1n and/ or electric railways and/ or trolley line , or any 

f u h car and/ or (b) fabricated or processed component repair 

orr placement part for u e or for sale as such for installation in or 

for r I lacement or r pairs of any of such car but ex epting pecialtie (and compon nt r pajr and/ or rer lacement I art. therefor) 

manufa tur d, a embl d or sold by others than per on ngag d in 

th bu ine of building or comm rcially r pairing any of ·uch car .. x. 

The term Pr i lent ' "Act and 'Admini trntor mean r -

pectiYel , the Pre ident of the United States, Title I of th ational 

RecoYery Act and the dmini trator for Indu trial Re OYery. 

The term produ ts of the Industry " means and includ · (a) 

pas enger freight, tank ervice and maintenance car of very kind 

(inclu lin()' trackle and other trolley cars), howev r hawn, op rat d or propelled, u eel on an ljor in the operation and/ r maintcnan e of team andj or electric rail11ay and/ or trolley line or any 

of u h c, r and/ or (b) fabri a ted or proce ed component or repair 

or r placement part for u e or for sale as uch for in tallation in 

or for replacement or repairs of any of such cars but excepting 

pecialtie (and component repair and/or replacement parts th rcfor) manufactured, a cmble or sold by other · than per on nO'ao- in the bu ine f lmilding or commercially repairing any of 

u h ar .

2 

1, re paragraph 2 of or ler approving this ode. z ee pnragrapb 2 of ord r approving this Code. 

40 75°-37 84-34-2 (557) 
558 

The term "employ r ' means an<l inclu les any per on engaged 

in the busine .· of mantlfa tnrina or building for sale and selling or 

commercially repairing product.· of the Indu try or any of them. 

The term "emplovee ' m an · and in dude an employee emplo) ed 

in the Inclu. try by an) employer. 

The term "Institute" mean the \..m rican Raihvay Car In. titute, 

19 Rector treet Ne,-v York itv New York. 

The term "As ·enter to the v ode mean an employer who or 

w·hi h ha expres .. Jy as ented to the Code and paid or agreed to pay 

as and when asse. · etl his or it hare of the ex pen e of its administration, a hereinafter in Article VI, Section 2, provided. 

Th term "effective date ' means the late on \Thich the Code 

shall become effertiYe, a hereinafter provided. 

ARTICLE III- ,VoRKING HouR 

SE TION 1. .:]J axhm ..m1. H mu·s .-No employee shall be permitted 

to work in exce s of forty ( 40) hours in any one week or eight ( 8) 

hour in any twenty-four (24) hour period beginning at midnight, 

except a · herein otherwise provided, nor more than ix (6) days per 

week. 

SEcTION 2. E xceptions as to H ou1' .-(a) E x cutives, etc.-The 

pro-vi ions of Section 1 above shall not apply to executives, those 

employed in a supervisory or admini trative capacity or in technical 

work, an l their re pective staffs, compensated at the rate of thirtyfive (35) dollars or more per week, and out ide alesmen. 8 

(b) Emergen cy OvertinM.-The provisions of Section 1 above 

shall not apply to any employee on emergency maintenance or 

emergency repair work involving breakdown or protection of life 

or property, or on emergencies occasione l by the nece sity for ervices of specially skilled employees which cannot be cared for by the 

employment of additional men. But in any such special case at lea t 

one and one-half times the normal rate shall be paid for hours 

\Yorkecl in ::s:ces of the maximum provided in Section 1 aboYe. 

(c) 01·dinw·y ver tim~ for easonal Periods.-The maximmn 

hour. fixed in Section 1 above hall not ap:r;>ly fo·r six (6) week in 

each con ecutive ix (6) months' period begmning with the effective 

date, during which overtime shall not exceed eight (8) hours in any 

one week. In any such ca e at least one and one-half times the 

normal rate sha ll be paid for hours worked in exce s of eight (8) 

hour in any twenty-four (24) hours' period, or in excess of forty 

( 40) hour in any seven (7) days' period. 

SECTION 3. Power Plant Emp.Zoyees.-Power plant employe s 

who ·e regular occupation during the entire time of their employment 

is confined to the power hou e, andjor boiler hou e or to the hydraulic, air generating or electrical sub-station when such sub-station i 

not located within the power plant proper, may be regularly employed over the daily andj or weekly maximum number of hours 

above pecified up to but not exceeding fifty-six hours in any one 

week. 4 

8 See pa ragraph 2 of ordP t' approving thi Code. • See paragraph 2 of order approving this Code. 
559 

ECTlON 4. Wat ·hm n.-\Yat ·hm n may be r gnlarl mploy ~ 

ov r th daily and/ r ''" lly maximum number of hours a ove p Clfie l up t but n t xcee En fift '-.'ix (50) hours in an on ,,. ek. 

I TICL£ I\ -"'\Y .E. 

E TI "N 1. ( n) Th minimum rat f pay t b(' 1 ai 1 by any mpl y r to emplo ·c · enga e l in 1lant 1 ration. shall e f ort (40) 

ents p r hour ex pt a h r inafter pro,·i le l. 

(b) Th minimum rat of pa I er hour to b ) paid to emplo 

engaged in plant p rab n · in the foil " ·ing pla nt l lc ation · and 

th ir imm cliat Yi init • hull b th r l ~ tiY rat . h r inaft r · t 

forth Yiz: 

B t en lorf, IomJ _____________ ______________ ________ ____ ____ 37 

B r~ i k, Pa__________ __ __ __________ ________________ ___ __ __ 35 

Huntington, "'\Y . t Va_______ ____________________ ____________ 37 

J ff rs nyille, Ind______ ________ ______ ___ ________________ ___ M 

J hn to~ n, Pa______ ____ __ __ _________________ ______________ 37 ~Iadi on, Ill______________ ____________________ ___ ______ ____ 37 

Mil ton, Pa_ ------------------------------------------------ 35 Mt. Yernon, IlL____________________________ _________ ____ ___ 37 

Ri ·Iunoncl, Va_ __ __ ____ ___ ________ _____________ __ _____ _____ _ 37 

Roanoke, Va ______ ___ ___ ________ ______ __ _______ ____ __ _____ _ 37 

t. harl .~ . Mo____ ___________ ____ _______ __ __ ____ __________ 35 

T rr Hau , lnd________ ______________ _________ _________ __ _ 37 

( ) Th minimum rate f pay per hour to be pni 1 to mplo) ees 

engage l in plant operation at plant locat ed in North Carolina, 

South arolina: Geor ·ia, Alabama, Florida, Tennes:-:e Loui iana 

and ~1i ~ i. ippi hall be thirty two (32) cent.. 

ECTION 2. R ate for Female Employ e E1 gaged itz Pla nt Oz; 1'ations.-(a) Th minimum rate of pay for f male em1loye at any 

plant not performing the arne kind of work a · mal employ e at 

said plant hall be eio·hty even and one-half ( 7lj2 ) per ·ent of the 

minimum rate hereinbefore provided for. uch plant. 

(b) Female employe performing ub -tantially the sam \York as 

male empl037 ee shall receive the same rate of pa a uch male 

employe . 

ECTION 3. Apprenti · s and L earnm·s E nqaged hz Pla.nt OpeJ'ation .-The minimum rate of pay for apprentice for a period of one 

year and for learners for a penod of three month. hall be eio·ht 

(80) per cenLof the minimum rate hereinbefore provided for the 

plant where uch apprentices or learner work: proYided that appr nti e after a p eriod of one ear an 1 learner after a period of thre 

month shall no lono- r b cla d a uch. but the total number of 

uch apprentic an l learner paid by any employ r at u h reduced 

rate hall not xceed five (5) per ent of the total numb r of employe mploye l by su ·h emplo er in plant op ration, . 

"EcTION 4. Mini1num rat s for office and othe1' E mploy es.-The 

minimun1 rate f pay for all empl yee oth r than tho engage l in 

plant operation. , includino- offic employ e ~ hall be not les than at 

th rat of , 1 .00 per 1'r ek in any city of more than 500,000 population; n r l · than at th rate of 14.50 per week in any city of betw en 2. 0 000 and 500 000 population; nor le than at the rate of 

'14.00 per week in any city of le than 250 000 population, the rates 
560 

for each city to apply to the immediate trade area of such city, provided that learners and office boy and girl-· may be paid not less 

than eighty (80) per cent of such minimum wage, but the total number of such learners and office boys and o-irl who are paid such 

reduced rate shall not exceed five ( 5) per cent of the total number 

of employees covered by the pro'i'i ·ion of thi Section 4. The population, for the purpose of this Code, shall be d terminecl by reference 

to the 1930 Federal Census. 

SECTION 5. Adjustment in Rates of Pay.-The rate · of pay of all 

en1ployees receiYing more than the minimum rates of pay hereinbefore provided (except executiYes, those employed in a supervisory 

or administrative capacity or in technical work, and their respective 

staffs, receiving at the rate of thirty-five (35) dollars or more per 

week, and outside sales1nen), which have not subsequent to June 16, 

1933 been equitably adju ted, shall be so adjusted not later than 

fifteen (15) days subsequent to the effectiYe date of this Code, proYided, however, that in no event shall rates of pay of such employees 

be reduced. Not later than sixty (60) clays after the effective date 

of this Code the Code Authority hall report to the Administrator 

the action taken by all employers in the Industry since :May 1, 1933, 

in making such adjustments. 5 

SECTION 6. Piece Rates.-This Article establishes a minimmn rate 

of pay regardless of whether an employee is compen ated on a time 

rate, piece rate or other basis. 

SECTION 7. Handicapped W orken.-The minimum rate of pay for 

employees who by reason of disability and/ or infirmity are competent only for light employment shall be eighty (80) percent of the 

applicable minimum wage rates established in Sections 1 and 4 of 

this Article, and the total number of such employees employed at 

such reduced rates by any one employer shall not exceed two (2) 

percent of the total number of employees employed by such employer. 

ARTICLE V-GENERAL LABOR PRon IONS 

SECTION 1. Pursuant to Section 7 (a) of Title I of the Act, the 

Code shall be subject to the following conditions: 

" (a) That employees shall ha Ye the right to organize and bargain 

collectively through representati' es of their own choo ing and shall 

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

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

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

of collective bargaining or other mutual aid or protection: 

"(b) That no employee and no one seeking employment shall be 

required as a condition of employment to join any company union 

or to refrain from joining, organizing or assisting a labor organization of his own choosing ; and 

" (c) That employers shall comply with the maximum hours of 

labor, minimum rates of pay and other conditions of employment 

approYed or prescribed by the President." 

SECTION 2. No person under sixteen (16) years of age shall be 

employed in the Industry and no person under eighteen (18) years 

6 See paragraph 2 of order approving this Code. 
561 

of age hall be employed in an emr loyer's plant in the Indu try in 

the manu£ cture repair and/or han lling of the products of the 

Indu try. In any State an employer hall b d< em d to have 

complied with this pro i ion as to age if he shall hn ,, on file a 

ertlficate or permit duly sio-ned by the authorit. in such tate 

mpowered to i ue emplo m nt r age ertificate r 1 rmits 

bowing that the employ e i of the required age. 

SECTION 3. Within each State th ode sha ll not . uperce l any 

laws of uch State imposing mor stringent requirement on 

emplo er , regulating age of employee or wao-e and hour of work. 

SECTION 4. En1ployers shall not r la ify employe s or duties of 

o cupation performed or engage in any oth r subt dn.,.e f r the 

purpo e of defeating the purposes of the Act. E TION 5. All employ r hall po t complete copie · of thi ode 

in conspicuous places ace ible to all employees. 

ARTICLE YI-Ao~nxr 'TRATION 

SEcTION 1. A Code Authority, constituted and ele ted as hereinafter provided, shall be e tablished by the In lu -try to effectuate the 

purpo es of the Code and shall have such powers a ·hall enable it 

to administer, supervi e and facilitate the enforcement of the provisions of the Code. 

SECTION 2. Employers may become As enters to the Code and 

hall be entitled to participate in and share the benefits of the 

activities of the Code Authority and to participate in the selection of 

the Industry ~I embers by (a) assenting to the Code in a letter in 

the form or substantially the form hereto annexed as Schedule A, 

filed with the Institute, and (b) paying or agreeing to pay as and 

when a ses ed their respective proportionate shares of the expenses 

of the admini tration of the Code as determined by the Code 

Authority. Such expenses shall be borne by the A senters to the 

Code pro-rated in the proportion that the number of votes which 

the respective Assenters to the Code are at the time entitled to cast 

bears to the total number of Yotes which all the As enters to the 

Code are at the time entitled to cast at a meeting of Assenters to the 

Code. 

Any employer is eligible to membership in the Institute. 

SECTION 3. The Code Authority shall consist of seven (7) memb rs, 

to be elected as hereina.fter provided (hereinafter called the "Industry ~!embers"). In addition to the foregoing members there may 

be from one to three members (without vote) appointed by the 

Administrator (hereinafter called the "Admini trator's Representatives"). 

SECTION 4. For a period not exceeding sixty (60) days following 

the effective date and pending the election and appointment of the 

permanent Code Authority, as hereinafter provided, the members of 

the Board of Directors of the In titute as the Industry Members 

and the appointees, if any, of the Administrator (appointed a in 

Section 3 of this Article provided) a the Administrator's Representatives hall constitute a temporary Code Authority.6 

8 ee paragraph 2 of oruer approving this Code. 
562 

SECTIOX 5. The In titute, as oon as practicable after the approval 

by the President of the Code, shall, by written notice mailed to all 

employer known to the In titute, call a meeting of such employers 

for the purpo e of electing the Indu try l\1embers of the permanent 

Code Authority. At such meeting each employer who shall have 

become an As enter to the Code and shall have made report of the 

information specified in Section 1 of Article II as a basis for the 

computation of his or its vote to the Secretary of the Institute ·hall 

have the right to Yote in per on or by duly authorized proxy. The 

Industry Member to be elected at such meeting hall be cia sified. 

Two of such member shall be elected by a plurality of the votes ca t 

by such employer· pre ent or represented at such meeting-each such 

employer, for uch purpose, haYing the right to cast one yote. Five 

of U~"'h members shall be elected by such employers present or represented at such meeting by a majority of the votes that might be cast 

if all the A senters to the Code were present at such meeting-each 

such employer present or repre ented at the meeting, for such purpose, having the right to ca t the same number of votes which he or 

it would, pursuant to Section 1 of Article XI hereof, have the right 

to cast a.t a meeting of Assenters to the Code. Employers who are 

members of the same affiliated group, as that term is defined in Section 1 of Article XI hereof, shall, at elections of I ndustry Members 

of the permanent Code Authority, vote as one employer. More than 

one Industry Member from among the officers, agents, repre entatives 

or nominees of the corporations which are members of one affiliated 

group, as that term is defined in Section 1 of Article XI hereof, shall 

at no time be elected or appointed or, subject to Section 14 of this ' 

Article, allowed to serve on the permanent Code Authority. The 

Industry Members so elected at such meeting shall serve until the 

meeting of the As enters to the Code to be held in January, 1935, as 

hereinafter provided, and until their respective successors are elected 

and have qualified. The Industry Members so elected and the Administrator's Representatives, if any, shall constitute the permanent 

Code Authority. 

A meeting of the Assenters to the Code shall be held in January, 

1935, at the time and place of the annual meetings of members of the 

Institute, for the purpose of electing successors to the Industry Members of the Code Authority first elected as hereinabove provided. At 

such election the method of voting described above shall be employed. 

SECTION 6. With a view to keeping the President and the Administrator informed as to the observance or nonobservance b}T the Industry of the Code, and as to whether the Industry is taking appropriate 

measures to effectuate the declared policy of the Act, each employer 

shall prepare and file with the Secretary of the Institute or such 

other agency as the Code Authority shall designate, and at such 

times and in such manner as the Code Authority shall prescribe, 

statistics and data with respect to so much of the employer's business 

as is within the Industry, covering the number of employees employed, wage rates, earnings of employees, hours of work, and such 

other related data as may be necessary for the purposes stated in this 

Section. 

SECTION 7. All statistics, data, and information filed pursuant to 

the provisions of the Code shall, except as otherwise provided in the 
563 

Act or herein be kept an i tr ated as c nficl ntial and hall b u eel 

only f r th purpo e h r in et forth. No hing h rein ontained 

howe r hall pr Yent th publi ation y the ode Authority of 

g n ral ummari of uch . tati -tic , data and informati n. 

E '!'ION . Th ode Auth rity b it dnly an h riz0d r 1 r entative (who hall not b in th mpl y f any emplo r aff t d by 

th od ) ... hall hav ace to th tati tic an data fil d with the 

e r tary of the In titute or other agenc · d i<Ynat d y th ode 

Authority pur uant to th provi ion of ection 6 of thi Articl , for th purpos of admini t ring an l fa ilitating th nfor ement 

of th provi ion of the Cole. 

E TION 9. The ode Authority may, upon it own initiative or 

up n omplaint of any per on aff cted, make inve tiaati n a to th 

fun ti011ing and ob rvanc of any provi ion of the Co 1 and report 

the r ult of uch inve tigation to the Adn1ini trator. 

SECTION 10. The ode Authority may adopt ·u h rul . and regulation and constitute or appoint uch agen y or ag ncie a. it shall 

deem nece ary for the admini tration and/ r fa cilitation of the 

enforcement of the provisions of the Code. The Code Au hority 

shall b deem d to have di charged its full dpty under the ole with 

respe t to any violation or alleged violation of the Cod when the 

Code Authority or the agen y constituted or appoint l bv it to handle the matter shall have taken such action as may b legally available to it or hall have certified the facts available to it with re pect 

to such violation or alleged violation to the Admini trator. The 

Code Authority may adopt rule a.nd regulations for it o n procedure which hall not be inconsistent with the provision hereof. 

SECTION 11. The Code Authority may use andjor employ uch 

trade associations and other agencies as it deem proper including 

the Institute, for the carrying out of any of its a.ctivities or duties 

provided for herein. 

SECTION 12. At each meeting of the Code Authority each Industry 

l\1ember shall have one vote and the concurring vote of a majority of 

the full number of the Industry Memb€rs shall be necessary to 

carry any question. Due notice of all meetings of the Code Authority hall be given to the Administrator's Representatives. 

SECTION 13. Any vacancy among the Industry Members occurring 

by rea on of the death or resignation of a member or otherwise, shall 

be filled at a meeting of the employers called upon at least ten clays' 

notice. In electing an Industry Member to fill the vacancy the same 

method of voting shall be emplo:yed as was employed in electing the 

member -who has died, resigned or whose place has otherwi e become 

vacant. 

SECTION 14. Each Industry M mber may appoint and certify to 

the S cretary of the Institute an alternate who, during the absence 

or di ability of the Industry Member appointing him may attend 

and act at meetings of the Code Authority with the same rights, 

pow rs and duties that the Industry Member appointing him would 

have if pres nt. 

SECTION 15. If the Administrator shall determine that any action 

of the ode Authority or any agency thereof is unfair or unjust or 

contrary to the public interest the Administrator may require that 

su h action be suspended for a period of not to exceed thirty ( 30) 
564 

days to afford an opportunity for investigation of the merits of such 

action and further consideration by such Code Authority or agency 

pending final action, which shall be taken only after approval by the 

Administrator. 

ARTICLE VII-CoNCERNING SALES 

SECTION 1. In each case wherein two or more employers shall be 

invited to submit proposals or bids to manufacture or build and sell 

or to repair any products of the Industry, each employer so invited 

shall within forty-eight hours after receipt by him or it of such 

invitation notify in writing the Secretary of the Institute or other 

agency designated by the Code Authority of the receipt of such 

invitation, the name of the customer inviting the proposals or bids, 

the number and kind of products of the Industry and/ or repairs 

with respect to which the proposals or bids are invited, the date, if 

any, on or by which the proposals or bids are to be submitted to the 

customer and whether or not such employer intends to submit a proposal or bid and each employer sub1nitting a proposal or bid (a) 

shall reduce the same to writing, (b) shall state therein, among other 

things, terms of payment and delivery and the price, including the 

price of such alternates h.s shall be required or proposed, which price 

shall be not less than such employer's estimated cost (as hereinafter 

defined) in respect of the products and/ or repairs covered by said 

proposal or bid, and (c) shall1 coincident with the submission of such 

proposal or bid, send by ma11 or cause to be delivered (whichever 

shall be the more expeditious method of transmittal), a sealed, full, 

true and correct copy of such proposal or bid to the Secretary of the 

Institute or other agenct designated by the Code Authority for the 

purpose. The employers estimated cost shall be his or its estimated 

cost computed accordin~ to the method approved by the Code 

Anthority and the Administrator. The Secretary of the Institute 

or other agency designated as aforesaid shall on the. date on or by 

which the proposals or bids are to be submitted to the customer as · stated in the invitation for bids, or upon the receipt by him or it of 

proposals or bids from all the employers who or which shall, as 

aforesaid, have notified him of their intention to submit proposals 

or bids (whichever shall be earlier) open the sealed copie.s which 

shall have been deposited with the said Secretary or said other 

agency and send by mail or cause to be delivered (whichever shall 

be the more expeditious method of transmittal) to each employer 

from whom or which he shall have received a copy of a proposal or 

bid in respect to any given products of the Industry and/or repairs, 

a copy of every proposal or bid received by him from each other 

employer in respect of such products and/or repairs. A bidding 

employer failing or refusing in any case in accordance with the 

foregoing to submit a written proposal or bid and/or deliver a copy 

thereof to the said Secretary shall be guilty of a violation of the 

Code. No employer shall sell the products of the Industry at a 

price or on terms or conditions more favorable to the purchaser 

than the prices, terms and conditions set forth in that proposal or 

bid from among those of which a copy shall have been sent or delivered to the Secretary of the Institute or other designated agency, as 

aforesaid, most favorable to the purchaser, except upon the reopening 

of bids. 
565 

SECTION 2. For all the purpo e of Section 1 of this Articl , a propo al or bid ubmitted and a ale made and/ or r pair work done by 

any employer indirectly through any affiliate l company of such employer or otherw i e hall be d emed to b a propo al or bid submittel or a ale made and/ or r epair work done by uch mployer. 

ARTICLE \ III-ExPORT 

Nothing in Article VII hereof hall be deem d to apply to or 

affect any propo al or bid upon, or th sale of any pro luct of the 

indu try de tined for direct or ultimate hipment in export tra le. 

The term "export trade" as u ed herein mean. an<l include hipment made to foreign countries Ala ka , Panama Canal Zone and/ or 

the In ular Po e sions of the United State of America. 

ARTICLE IX-UNFAIR PRACTICE 

For all the purpo es of the Code, the following de cribed acts . hall 

con titute unfair practices: 

(a) The offering, giving, accepting or arranging for the giving 

of a secret rebate in any form or manner, which rebate is not stated 

in the quotation to the customer and results in lowering the price to 

the customer stated in the quotation. 

(b) The granting of an option or the making of an agreement in 

connection with an order for products of the In lustry, or any of 

them, wherein or whereunder the customer is given the right to 

require the employer to manufacture or build and deliver, but is 

under no obligation to take or pay for, any products of the Industry 

additionar to those stated in the order, at the price or approximately 

at the price stated in the order. 

The Code Authority shall within fifteen ( 15) days after the effective date formulate additional Trade Practice provisions for approval by the Admini trator. 

ARTICLE X-CANCELLATION OR MomFICATIO~ BY THE PRESIDENT 

As required by Section 10 (b) of Title I of the Act: 

The President may from time to time cancel or modify any order, 

approval, license, rule or regulation issued under Title I of the Act. 

ARTICLE XI-GENERAL PROVISIONS 

SECTION 1. At meetings of Assenters to the Code each Assenter 

to the Code shall be entitled to cast as many votes as shall equal 

the quotient obtained by dividing by 100,000 the amount in dollars 

of the average annual invoice value as reported to the Secretary of 

the Institute of (a) products of the Industry (other than cars built 

or manufactured for operation by such Assenter to the Code to a 

firm or corporation, which, or the successor of which, on January 1 

of the year in which the votes are cast is a member of the same 

affiliated group as such Assenter to the Code) completed, delivered 

and invoiced by such Assenter to the Code within the United States 

and (b) all repairs made within the United States to products of 

the Industry (other than repairs made by an Assenter to the Code 
566 

for a firm or corporation which, or the successor of which, on January 1 of the year in which the votes are cast is a member of the 

same affiliated group as such Assenter to the Code, or to cars owned 

by, under lease to or controlled by such Assenter to the Code, or a 

firm or corporation which, or the successor of which, on January 1 

of the year in which the votes are cast is a member of the same 

affiliated group as such As enter to the Code) by such Assenter to 

the Code during the preceding five calendar years, provided, however, that fractions in such quotient shall be disregarded and each 

Assenter to the Code shall have at least one vote. The term "sold" 

as used in this Section 1 includes conditional sales, bailment leases 

and similar forms of disposition of cars. The term " affiliated 

group" as used herein means one or more corporation connected 

through stock ownership with a conm1on parent corporation and 

the common parent corporation if (1) at least fifty per cent of the 

voting stock of each of such corporations (except such common 

parent corporation) is owned directly by the common parent corporation or (2) at least fifty per cent of the voting stock of each 

of such corporations except such parent corporation is owned directly by one or more of the other corporations and (3) such common 

parent corporation owns directly at least fifty per cent of the voting 

stock of at least one of the other corporations. All questions as to 

the number of votes which each Assenter to the Code shall be 

entitled to cast at any meeting of Assenters to the Code, other than 

the meeting at which the Industry Members of the permanent Code 

Authority a.re elected, shall be determined by the Code Authority. 

SECTION 2. At meetings of Assenters to the Code, each Assenter 

to the Code may vote in person or by proxy appointed by an instrument in writing duly executed by such Assenter to the Code and filed 

with the Secretary of the meeting. No employer who or which shall 

not also be an Assenter to the Code shall be entitled to vote at any 

meeting of Assenters to the Code. 

SECTION 3. Nothing contained 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 

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

of the Code Authority. Nor shall any member of the Code Authority, exercising reasonable diligence in the conduct of his duties hereunder, be liable to any one for any action or omission to act under 

this Code, except for his own wilful misfeasance or non-feasance. 

ARTICLE XII-AMENDl\IENTS 

SECTION 1. It is contemplated that as changed conditions or experience may indicate, the provisions of this Code other than those 

required by the Act to be included therein, may, with the approval 

of the President, if approval thereof by him shall then be required 

by law, be modified or eliminated and that from time to time amendments or revisions of, or additions or supplements to this Code may 

be submitted to the President for approval, if approval by him shall 

then be required as aforesaid, and that such amendments, additions1 revisions and/or supplements when approved by the President, it 

approval by him shall then be required as aforesaid, shall be in full 

force and effect. Any employer may submit for consideration of 
567 

Authorit 7 an 7 am n lment to the Cod whi h h r it conilr irabl. 

E TI N 2. The le may be am nclect r vi ed add 1 to r uppi m nted at an im and from time to tim in th mann r in this 

ti n 2 pr vid d. All am ndment and reYi ion of or additions 

and u pl m nt t thi de hall b pr I o l eith r (a) by the 

1 Auth rit 1 by re lu ion luly adopted at a r o-ular or p cial 

m ting f th e ... uthorit or (b) b a writt n propo al i ne 1 

by at 1 ast ne-thir in numb r of the A . enter to th o l , and ea h 

am n ment r Yi i n, a Jcliti n r upplement pr po d hall be 

ubmitted to a m eting of Assenter to th ode p ially called for 

that pnrpo e u n at lea t ten lay written notic€. If at uch m etino- A enter to th ode entitl d to cast at lea t a majority of all 

th vot that. might be ca t at the meeting if all the then A enters 

t the Code were pre ent thereat hall vote for the ad ption of the 

amendment revision, addition or supplement, uch am ndment, revision, addition or uppl ment shall be ubmitte l by the Code Authority to the Pr id nt f r hi approval, if approval th reof by 

him hall then b required by law. Every su ·h amendm nt, revision, addition or UJ pl ment hall take effect a a part of the Code 

upon the adoption ther of as above provided and the approval 

there f by the President if approval thereof by him .'hall then be 

re:quired a afore aid. 

ARTICLE XIII-EXPIRATIOX DATE 

In no event hall the Code continue in effect aft r the Act shall 

cea e to be in effect, nor shall it in any event continue in effect after 

June 16 1935 regardless of whether the Act shall then be in effect. 

ARTICLE XIV-MoNoPoLms, ETC. 

The Code is not designed to promote monopoly and hall not be so 

con trued or applied as to oppress or di ·criminate against small 

enterprise . 

ARTICLE XV-EFFECTIVE D ATE 

The Code shall become effective five (5) days after its approval 

by the President. 

Approved Code No. 285. 

Regi try No. 1414-05. 

• 
UNIVE RSITY OF FL OR IDA 

111 11 11111 11111111111111111 1111111111111111111111111111111111111 

3 1262 08728 6299 

SCHEDULE A 

AMERICAN RAILWAY CAR INSTITUTE, 

19 Rect01· Street, New York City. 

GENTLEMEN : The undersigned, desiring to become an Assenter to the Code ot 

Fair Competition for the Railway Car Building Industry, a copy of which is 

hereto annexed (hereinafter called the "Code"), hereby assents to all the 

terms and conditions of the Code and, effective on the date on which the Code 

is approved by the President of the United States or as of the date on which 

this letter is delivered, if delivery is malde after such date of approval by the 

said President, the undersigned by the signing and delivering of this letter 

becomes an Assenter to the Code as provided in and subject to the provisions 

of Article VI, Section 2 of the Code. 

Yours very truly, ______________________________ , 

Name of Corporatio-n. 

By -------------------------------------· Signature of A~~rtlwrized O{ficet·. 

------------------------------· Title of Autho?"ized Officer. 

(568) 

0 

•