I 

Approved €ode No. 225 Registry No. 1651-02 

NATIONAL RECOVERY ADMINISTRATION 

CODE O·F FAIR COMPETITION 

FOR THE 

SMOKING PIPE 

MANUFACTURING INDUSTRY 

AS APPROVED ON JANUARY 23, 1934 

' .. 

WE DO OUR PART 

I 

UNITED STATES 

GOVERNMENT PRINTING OFFICE 

WASHINGTON: 1934 

{ 

I 

For sale by the Superintendent of Documents, Washington, D.C. - - - - - - - - Price 5 cents 

v 
This publication is for sale ny the Superintendent of Documents, Government 

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

and Domestic Commerce. 

DISTRICT OFFICES OF THE DEP .ARTMENT OF COMMERC:S 

Atlanta, Ga.: 5()4 Post Office Building. 

Birmingham, Ala. : 257 Federal Building. 

Boston, Mass. : 1801 Customhouse. 

Buffalo, N.Y.: Chamber of Commerce Building. 

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

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

Cleveland, Ohio : Chamber of Commerce. 

Dallas, Tex. : Chamber of Commerce Building. 

Detroit, l\Iich. : 801 First K.ational Bank Building. 

Houston, Tex. : Chamber of Commerce Building. 

Indianavolis, Ind. : Chamber of Commerce Building. 

Jacksonville, Fla.: Chamber of Commerce Building. 

Kansas City, Mo. : 1028 Baltimore A venue. 

Los .A ngeles, Calif.: 1163 South Broadway. 

Louisville, Ky. : 408 Federal Building. 

Memphis, Tenn.: 229 Federal 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. 

Philaclelpbia. Pn. : 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, Wa b.: 809 Federal Office Building. 
Approved Code No. 225 

CODE OF FAIR COMPETITION 

FOR THE 

SMOKING PIPE MANUFACTUR!NG INDUSTRY 

As Approved on January 23, 1934 

ORDER 

APPROVING CODE OF FAIR COMPETITION 

FOR THE 

SMOKING PIPE MANUFACTURING INDUSTRY 

An application having been duly made pur uant to and in full 

compliance with the provisions of Title I of the National Industrial 

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

Fair Competition for the Smoking Pipe Manufacturing 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. Johnson, Administrator for Industrial Recovery, 

pursuant to authority vested in me by Executive Orders of the President, including Executive Order No. 6543-A, dated December 30, 

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

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

pertinent provisions and will promote the policy and purposes of 

said Title of said Act; and do hereby order that aiel Code of Fair 

Competition be nnd it is hereb) approYed. 

H GH s. JOHNSON' 

Administrator jo1' bulustrial Recot•ery. 

Approval Recommended : 

GEo. L. BERRY, 

Division ArlrninistTator. 

WASHIXGTON, D.C., 

J anUCIJ7'Y t33, 1934. 

2 :?!)4"-296-42-34 (3!)3) 
The PRESIDENT, 

The White House. 

SrR: A Public Hearing on the Code of Fair Competition for the 

Smoking Pipe M~nufacturing Industry, submitted by the Association of Smoking Pipe Manufacturers of the United States located 

in New York, was conducted in Washington on the 4th of October 

1933 in accordance \vith the provisions of the National Industrial 

Recovery Admini tration. The a.· ociation claim · to repre. ent 100 

percent of the Industry. 

The Code provides a maximum of forty hour per week. Office 

employees are permitted a maximum of 42112 hour per week. Persons employed in shipping and packing rooms, engineer. and firemen 

are permitted to work 48 hours per week except during the months 

of June, July, Augu t, and September, when engineer anu fireman 

shall not be mployed for more than 40 hours per week. 

Employees in a managerial or executive capacity, receiving $35.00 

or more per week, emero·ency repair crews, outside ales-men, and 

highly ·killed workers when engaged in work on continuous processes where the restriction of their hours of labor would reduce 

production, are excepted entirely from the hour of labor, provide l 

time and one half is paid emergency repair crews and highly killed 

worker for all hour worked in excess of forty per week. 

Census reports for 1929 showe l prevailing hours of labor to be 

between 45 and 48. The indu try states that 54 hours has been the 

average work week during the bu y seasons, with 48 hours the minimum. at any period. As uming 48 hours as the average work week 

prior to the signing of the Reemployment Agreement, it is estimated 

that the forty-hour week propo ed in the Code would give employment to an additional 475 per ons. 

The indu try states, and Cen u figure sub tantiate their claim 

that there is no unemployment in the industry at the present time, 

there being more workers employed now than in 1929. There has 

been a gra lual decline in employment since 1923, which wa the 

peak year for the industry, at which time 2,402 workers were employed in the indu. try. This decline has been consi tent until 1933 

when a gain is hown, due undoubtedly to the change in consumer 

demand which has recently been evidenced. 

This Code provides a minimum rate of 35 cent p r honr or $14.00 

per week, and this is establi l~ed as a minimum rate of pay, regardle s of whether an employee is eompensated on time rate, piecework 

performance or other basis. The Code also provide.· that employers 

.-hall endeaYor to increa e the pay of employees receiving wage above 

the minimum. 

Information on earnings of individual worker i very meager. 

However, aYerage annual wage can be computed from Census data. 

The average annual wage in 1929 was $1,167.00 as compared with an 

average of $1,315.00 for all industry combined. In 1931 the average 

annual . wage declined ten percent to $1,050.00 in this indu try, as 

(394) 
395 

compared with a 16 percent decline to $1,102.00 for all industry 

combined. 

The ~Vage bill in this industry claims a large share of the total 

value of products. In 1929 the rates of wage paid to value of 

products were 35.3 percent and in 1931 were 32 percent. \V ages for 

all manufacturing industries combined were 16 percent of the total 

value f product in 1929, and 17.4 percent in 1931. 

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

having found as herein et forth and on the ba ·is of all the proceeding in this matter ; 

I find that: 

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

removal of obstructions to the free flow of interstate and foreign 

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

inducing and maintaining united action of labor and management 

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

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

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

and relieving unemployment, by improving standards of labor, and 

by otherwise rehabilitating industry. 

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

(c) The Code as approved complies in all respects with the pertinent provisions of said Title of said Act, including without limitation Subsection (a) of Section 3, Subsection (a) of Section 7, and 

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

is a trade association truly representative of the aforesaid Industry; 

and that said association imposes no inequitable restrictions on 

admission to membership therein. -

(d) The Code is not designed to and will not permit monopolies 

or n1onopolistic practices. 

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

small enterprises and will not operate to discriminate against them. 

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

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

Code. 

This Indu try has cooperated in a most satisfactory manner with 

the Administration in the preparation of this Code. From the evidence adduced during the hearing and from recommendations and 

reports of the various advisory boards it is believed that this Code 

in its present form as approved represents an effective, practical, and 

equitable solution for this industry and for these reasons this Code 

has been approved. 

Respectfully, 

JANUARY 23, 1934. 

Huon S. JoHNSON, 

Administrator. 
CODE OF FAIR COMPETITION 

FOR THE 

SMOKING PIPE MANUFACTURING INDUSTRY 

ARTICLE I-PURPOSES 

To effectuate the policies of Title I of the N atioilal Industrial 

Recovery Act, this Code is submitted as a Code of Fair Competition 

:for the Smokin<Y Pipe Manufacturing Industry and its provisions 

shall be the standard of fair competition for such Industry and shall 

be binding upon every member thereof. 

ARTICLE II-DEFINITIONS 

1. The term" Smoking Pipe lVIanufacturing Industry" shall mean 

the manufacturing of any smoking pipe, cigar holder, and eigarette 

holder, produced from imported or domestic woods, or other materials. The manufacture of corn cob pipes i specifically excluded 

from this Code. 

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

in the Industry in any capacity receiving compensation for his services, irrespective of the nature or the method of payment of such 

compensation. 

3. The term" employer " a used herein, include anyone by whom 

any uch employee is compensated or employed. 

4. The term " member of the industry " includes anyone engaged 

in the industry as above defined, either as an employer or on his own 

behalf. 

5. The terms 'Act ' and "Administrator " as used herein, shall 

mean respectively Title I of the National Industrial Recovery Act 

and the Admini trator for Indu trial Recovery. 

ARTICLE III-HoURs 

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

forty (40) hours in any one week or eight (8) hours in any twentyfour (24) hour period except such employees pecifically excluded 

from the provisions hereof by Sections 2 and 3 post. 

2. Office employees shall not be employed for more than forty-two 

and one half ( 42%) hours per week and employees engaged in shipping and in packing rooms, together with engineers and firemen, 

shall not be employed for more than forty-eight ( 48) hours per week 

except that during the months of June July, August, and September 

engineers and firemen shall not be employed for more than forty 

( 40) hours p~r week. 

(396) 
397 

3. Empl ye in a managerial or xecutive capacity wh now re~ 

·eiYe thirty-five dollars ($35.00) p r TI""eek or more, out ide .al ·men, 

mergency repair re'" , and highly killed worker when engaged 

.in work on continuou processes where the restriction of their hours 

of labor 'Tould reduce production, are hereby specifically exempted 

:from the maximum hours set forth in paragraphs 1 and 2 ante; 

provided however, that highl:r skilled workers and emergency repair 

cre'v shall be paid at le.a t time and one half for all hour worked 

in exce · · of forty ( 40) hours per week. 

4. \Vatchmen may be employed in pairs and shall not work more 

than 36 and 4 hour on alternat "·eeks, or an average of 42 hours 

1 er "·eek. 

5. No employee shall work or be permitted to work for a total 

number of hours in exce s of the number of hours herein prescribed, 

whether he be emplo ed by one or more employers. 

ARTICLE IV-WAGES 

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

cent (35¢) per hour or fourteen dollars ($14.00) per week except 

as herein otherwise provided. 

(a) Employees engaged in wrapping and branding pipe and 

placing them on display cards may be paid at not le than the rate 

of thirty cents (30¢) per hour, provided that no such employee shall 

be engaged in any other productive or mechanical work unless paid 

at a rate not le s than the minimum wage above provided. Such 

employees ·hall in no case exceed fifteen percent (15% ) of the total 

number of employees of any one employer. 

(b) Apprentices, having no previous employment in this indu try, 

shall, for a period not to exceed six weeks, be paid not less than 80 

percent of the n1inimum wage ab ve provided. Such apprentice 

hall in no ca e exceed five percent of the total nun1ber of employees 

of any one employer. 

2. This Article establi hes a minin1um rate of pay regardle of 

whether an employee is ·ompen ated on a. time-rate, piece-work per~ 

formance, or other ba is. 

3. It is the policy of th members of this indu try to refrain from 

reducing the com pen ation for employment which compensation 

was, prior to J nne 16, 1933, in exce s of the minimum wage herein 

set :forth, notwithstanding that the hours of work in such employment may be reduced; and all members of thi industry shall endeavor to increase the pa of all employees in excess of the minimum 

wage as herein set forth by an equitable a lju tment of all pay 

chedules. 

ARTICLE \ -GENERAL LABOR PRon IONS 

1. No per on under 16 years of age hall be employed in the industry, nor anyone under 18 years of age at operations or occupations 

hazardous in nature or detrimental to health. The Code Authority 

shall submit to the Administrator before January 1, 1934, a list of 

. uch occupation . In any State an employer shall be deemed to 

have complied with thi proYi ion if he shall have on file a certificate 
398 

or permit duly issued by the authority in such State empowered to 

issue employment or age certificates or permits, showing that the 

employee is of the required age. 

2. Employees shall have the right to organize and bargain collectively through representatives of their own choosing, and shall be 

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

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

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

collective bargaining or other mutual aid or protection. 

3. 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 

4. Employers shall comply with the maximum hours of labor, minimum rates of pay, and other conditions of employment, approved 

or prescribed by the President. 

5. Y\Tithin each State this Code shall not supersede any laws of 

such State imposing more stringent requirements on employers regulating the age of employees, wages, hours of work, and general 

working conditions than under this Code. 

6. Employers shall not reclassify employees or duties of occupations performed by employees so as to defeat the purposes of the 

Act. 

7. Each employer shall post in conspicuous places full copies of 

this Code. 

ARTICLE VI-AmvnNISTRA TIOX 

To further effectuate the policies of the Act, a Code Authority is 

hereby established to cooperate with the Administrator in the administration of this Code. 

1. Organization and Constitution of Code Auth01'ity.- (a) The 

Code Authority shall consist of eight individuals, or such other number as may be approved from time to time by the Administrator, 

to be selected by a fair method of selection from and by the industry 

and appointed by the Administrator. In addition to these members 

the Administrator shall appoint a chairman, who is to vote only in 

the event of a tie, and, in his discretion, he may appoint not more 

than three additional members without vote to serve for such period 

of time as he may designate. 

(b) The Association of Smoking Pipe Manufacturers of the United 

States shall be the agencyhunder the Code Authority, for administering the provisions of t is Code, subject to the approval of the 

Administrator. This Association or any other trade or industrial 

association directly or indirectly participating in the selection or 

activities of the Code Authority shall: ( 1) Impose no inequitable 

restrictions on membership. (2) Submit to the Adminis.tra.tor true 

copie of its articles of association, bylaws, regulations, together with 

any amendment or amendments when made thereto and such other 

information as to membership, organization, and activities as the 

Administrator ma.y deem necessary and proper to effectuate the · 

purposes of the National Industrial Recovery Act. 
399 

(c) In or ler that the Code Authority hall at all times be truly 

representative of the industry and in other respects comply with the 

proYi ion of the Act the Administrator may provide such hearings 

a he may deem proper; and thereafter if he shall find that the Code 

Authority i not truly repre entative and does not in other respects 

comply with the proYision of the Act, may take ·u h action as may 

be v.roper in the premi e . (d) l\fember of the indu -try hall be entitled to participate in 

and hare the benefit of the a tivitie of the Code Authority and 

to participate in the selection of the member thereof by assenting 

to and complying with the requirem.ents of this Code and ustaining 

their reasonable share of the expenses of its adminstration. Such 

rea onable share of the expen es of a lministration shall be determined by the Code Authority, ubject to review by the Administrator, 

on the basis of volume of bu ·ine and/ or such other factors a may 

be deemed equitable. 

SEc. 2. Powe1·s amd Dttdies.-The Code Authority shall have the 

following further power and dutie , the exerci. e of which shall be 

reported to the Admini trator and shall be subject to his right, on 

review, to disapprove or modify any action taken by the Code 

Authority. 

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

provide for the compliance of the industry with the provision of 

the Act. 

(b) To adopt bylaw and rules and regulations for its proc dure 

and for the administration and enforcement of the Code. 

(c) To obtain from members of the industry such information 

and report as are required for the ad1ninistration of the Code and 

to provide for submission by n1embers of such information and 

reports as the Administrator may deem neces·sary for the purposes 

recited in Section 3 (a) of the Act, which information and reports 

shall be submitted by members to such administrative and/or government agencies as the Administrator may designate; provided that 

nothing in this Code shall relieve any member of the industry of any 

existing obligations to furnish reports to any government agency. 

No individual reports shall be disclosed to any other member of the 

industry or any other party except to such governmental agencies 

a may be directed by the Administrator. 

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

proper for the carrying out of any of its activities provided for 

herein, provided that nothing herein shall relieve the Code Authority 

of its duties or responsibilities under this Code and that such trade 

associations and agencie shall at all time be ubject to and comply 

with the provisions hereof. • 

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

if any, as 1nay be related to the indu try. 

(f) To secure from member of the industry an equitable and proportionate payment of the rea onable expense. of m.aintaining the 

Code Authority and its activities. 

(g) To cooperate with the A lministrator in regulating the use 

of any N.R.A. insignia olely by tho e member of the industry who 

have assented to, and are complying with, thi Code. 
400 

(h) To recommend to the Administrator further fair-trade prac~ 

tice provisions to govern members of the industry in their relations 

with each other or with other industries and to recommend to the 

Administrator measures for industrial planning, including stabiliza6on of employment. 

ARTICLE VII-TRADE PRACTICES 

The follmYing practices constitute unfair methods of competition 

for members of the industry and are prohibited: 

1. The selling or offering for sale of any product of the industry 

below cost, as determined by a standard cost-accounting system to 

be .approved by the Administrator. . 

2. The selling of dropped lines, surplus, and rejected merchandise 

and distress merchandise below cost except as approved by the Code 

Authority. 

(a) Dropped lines are defined as those lines of merchandise which 

a particular 1nanufacturer intends to discontinue but in no event shall 

any line be considered a dropped line unless it has been offered to the 

public for at least a period of six months. 

3. False ilfarking or Branding.-The false marking or branding of 

any product of the industry which has the tendency to mislead or 

deceive customers or prospective customers, whether as to the grade. 

quality, quantity, substance, character, nature, origin, size, finish, or 

preparatiOn of any product of the industry, or otherwise. 

4. Misrepresentation or False or Misleading Adve?"tising.-The 

making or causing or knowingly permitting to be made or published 

any false, materially inaccurate, or deceptive statement by way of 

advertisement or otherwise, whether concerning the grade, quality, 

quantity, substance, character, nature, origin, size, finish, or preparation of any product of the industry, or the credit terms, values, 

policies, or services of any member of the industry, or otherwise, 

having the tendency or capacity to mislead or deceive customers or 

prospective customers. 

5. Commercial Bribe1"'!J.-Directly or indirectly to give or permit 

to be given, or offer to give, money or anything of value to agents, 

employees, or representatives of customers or prospective customers, 

or to agents, employees, or representatives of competitors' customers 

or prospective customers, without the knowledge of their employers 

or principals, as an inducement to influence their employers or principals to purchase or contract to purchase from the makers of such 

gift or offer, or to influence . uch employers or principals to refrain 

from dealing or contracting to deal with competitors. 

6. Interference with.Oontract,ual R elations.-Maliciou ly inducing 

or attempting to induce the breach of an existing oral or written 

contract between a cop1petitor and his customer or source of supply, 

or interfering with or obstructing the performance of any such contractual duties or services. 7. S ee1·et R ebates.-The secret payment or allowance of rebates, 

refunds, · commissions, credits, Jr unearned discemnts, whether in 

the form of money or otherwise, or the secret extension to certain 

purchasers of special services or privileges not extended to all purchasers on like terms and conditions. 
401 

8. Giving of Priz Pl'em.iwns or Gift .-The offering or giving 

of prize , pr miums, or gift in connection with the ale of pro lucts 

or as an inducement thereto, by any chem which inYolves lottery, 

misrepre entation, or fraud. 

9. Defamation .-The defamation of competitor by falsely imputing to them di honorable nduct inability to perform contract , 

que tionable credit tanding, or by other false repre entation or by 

the fal e disparagement of the grade or quality of their good . 

10. Threats of Litigation.-The publishing or circularizing of 

threat or suits for infringement of patent or irade mark or of 

any other legal proceedings not in good faith with the tendency 

or effect of haras ing competitors or intimidating their cu tamer . 

11. Espionage of Oompetitors.-Securing confidential information 

concerning the businl> of a competitor by a false or misleading 

statement or representation, by a false impersonation of one in 

authority by bribery or by any other unfair method. 

12. Consigned llferchandi e.-No merchandise hall be old on 

con ignment. 

13. Trade Gual'antees.-Pipe priced for ale, at le. ·s than 0ne 

dollar ($1.00), hall not be sold upon any guarantee of replacement 

in the event that the same prove unsatisfactory; and no manufacturer 

hall accept the return of a used pipe or replace the . ame, except 

for defect of manufacture, uch adjustment to be made only 

between the manufacturer and the ultimate con umer. 

14. Othe-r Unfair Practices.-Nothing in this Code hall limit the 

effect of any adjudication by the Courts or holding by the Federal 

Trade Commission on complaint, finding, and order, that any practice or method is unfair providing that uch adjudication or holding 

is not incon istent with any provision of the Act or of the Code. 

AnTrCLE VIII-JHomFrc. \. TION 

1. This Code and all the provi ion thereof are expres lJ made 

subject to the right of the President. in accordance with the provisions of sub ection (b) of Section 10, of Title I of the National 

Indn trial Recovery Act, from time to time to cancel or modify any 

order, approval, licen e rule, or regulation i sued under Title I 

of said Act and pecifically, but without limitation, to the right of 

the President to cancel or modify hi approval of thi Code or any 

conditions impo eel by him upon his approval thereof. 

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

modified or amended on the basi of experience or changes in circumstance , uch modification or amendments to be ba ed upon application to the Administrator and uch notice and hearing as ho 

shall specify. and to become effective on approval of the Admini::;trator, unle otherwise provided. 

ARTICLE IX-~IOKOPOLIES 

1. No prov1 1011 of this Code hall be o applied as to permit 

monopolie or monopoli tic practice. or to eliminate: oppres , or 

discriminate again t .·mall enterpri e . 
UN IVERSITY OF FLOR IDA 

111111111111111111111111111 111111111111111111 11111111 1111111111 1 

402 3 1262 08728 6075 

ARTICLE X-PRICE INCREASES 

"Thereas the policy of the Act to increase real purchasing power 

will be made impossible of consummation if prices of goods and serv- ices increase a rapidly as wages, it is recognized that price increases 

should be delayed and that, when made, the same should, so far as 

reasonably possible, be limited to actual increases in the seller's costs. 

ARTICLE XI- -EFFECTIVE DATE 

This Code shall become effective on the tenth day after its approval 

by the President. 

ApproYed Code No. 225. 

Registry No. 1651- 02. 

0