Approved Code No. 357 Registry No. 1103-09 

NATIONAL RECOVERY ADMINISTRATION 

CODE OF FAIR COMPETITION 

FOR THE 

INDUSTRIAL FURNACE 

MANUFACTURING INDUSTRY 

AS APPROVED ON MARCH 23, 193-i 

WE DO OUR PART 

UNITED STATES 

GOY.ERNMENT PRINTING OFFICE 

WASHINGTON: 1934 

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Approved Code No. 357 

CODE OF FAIR COMPETITION 

FOR THE 

INDUSTRIAL FURNACE MANUFACTURING 

INDUSTRY 

As Approved on l\1arch 23, 1934 

ORDER 

APPROVING CoDE OF FAIR CoMPETITION FOR THE INDUSTRIAL FunN AGE 

MANUFACTURING INDUSTRY 

An application having been duly made pursuant to and in full 

compliance with the provisions of Title I of the National Industrial Recovery Act, approved June 16, 19331.-..for approval of a Code 

of Fair Comp~tition for the Industrial ~·urna(!e Manufacturing 

Industry, and hearings having been duly held thereon and the 

annexed report on said Code containing findings with respect 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 i 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 said Title of said Act j and do hereby order that said Code 

of Fair Competition be and it Is hereby approved. 

HuGH S. JoHNSON, 

Administrator for Industrial Recovery. 

Approval recommended: 

w. A. HARRIMAN, 

Division Administrator. 

WASHINGTON, D.C., 

March 3, 1931;. 

48302°----425-131----34 (387) 
REPORT TO THE PRESIDENT 

The PRESIDENT, 

The White House. 

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

Industrial Furnace Manufacturing Industry, as revised after a 

Public Hearing held in Washington on the 19th day of January, 

1934, in accordance with the provisions of the National Industrial 

Recovery Act. 

PROVISIONS AS TO HOURS AND WAGES 

Employment is limited to 8 hours per day and 40 hours per week 

and 6 days in any 7 -day period. To provide for seasonal demands, 

overtime is allowed to the extent of 8 hours per week for 6 weeks in 

any 6 months' period. 

Overtime in excess of 8 hours in any 24-hour period or in excess 

of 40 hours in any 7-day period will be paid for at one and one-half 

times the normal rate. 

Minimum wages of 40 cents per hour are established except that 

a minimum wage of 35 cents per hour shall be paid in Virginia, 

North Carolina, South Carolina, Georgia, Florida, Tennessee, Alabama, Mississippi, Louisiana, Texas, and Arkansas, and except office 

and clerical employees who may be paid at the rate of $15.00 per 

week and office boys at a rate of $12.00 per week. Females will be 

paid the same rate as males for substantially the same work. 

ECONOMIC EFFEOT OF THE CODE 

Before adoption of the reduced hourly schedule in 1933, this 

Industry, comprising approximately 48 companies, employed about 

270 persons. Through adoption of the 40 hour week as provided in 

this Code, employment has increased to about 310 persons or an 

increase of 11%. 

The invested capital of this Industry is about $2,290,000. Sales ·in 1932 totaled approximately $2,240,000, but sales for 1933 are estimated at $3,250 000 or an increase of 40%. 

FINDINGS 

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

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

I find that: 

(a) Said Code is well designed to promote 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 pro-

(388) 
389 

vide for the general welfare by promoting the organization of industry for the purpose o·f cooperative action among the trade groups, 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 indu tries, 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 Suh:~ection (b) of Section 10 thereof; and that the applicant association is an industrial association truly representative of the aforesaid Industry; and that said association imposes no inequitable 

restrictions on admission to mem.bership therein. 

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

or monopolistic 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. 

For these reasons, this Code has been approved by me. 

Respectfully, 

MARCH 23, 1934. 

HuGH S. JoHNSON, 

Administrator. 
CODE OF FAIR COMPETITION FOR THE INDUSTRIAL 

FURNACE MANUFACTURING INDUSTRY 

ARTICLE I-PURPOSES 

To effectuate the policies of Title I of the National Industrial 

Recovery Act, the following provisions are established as a Code of 

Fair Competition for the Industrial Furnace Manufacturing 

Industry and shall be the standard of fair competition for such 

Industry, and shall be binding upon every member thereof. 

ARTICLE II-DEFINITIONS 

The following terms are used herein, with the meanings set forth 

below: 

SECTION 1. "Industry." The Industrial Furnace Manufacturing 

Industry includes the design, manufacture, and sale, and/or installation, servicing and repairing by the manufacturer, of Industrial 

Furnaces, Ovens, Accessories and Allied Equipment for Heating 

Melting, Making, Refining, Heat Treating and/or the processing of 

Metals and other materials by means of heat, excepting all electrically heated products assembled in a manufacturer's plant and 

shipped as complete units by such manufacturer. 

SEcTION 2. "Employee." Anyone engaged in the Industry in any 

capacity, receiving compensation for his services, irrespective of the 

nature or method of payment of such compensation. 

SECTION 3. " Employer." Anyone by whom any such employee 

is compensated or employed. 

SECTION 4. "Member of the Industry" includes, but without limitation any individual, partnership, association, corporation, or other 

form of enterprise engaged in the industry, either as an employer or 

on his or its own behalf. 

SEcTION 5. "Association." The Industrial Furnace Manufacturers 

Association. 

SEcTION 6. "President", "Act", and "Administrator." Respectively the President of the United States of America, Title I of the 

National Industrial Recovery Act, and the Administrator for Industrial Recovery. 

ARTICLE III-HoURs 

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

forty ( 40) hours in any one ( 1) week or eight ( 8) hours in any 

twenty-four (24) hour period, or six (6) days in any seven (7) days~ 

except as hereinafter provided. 

SEcTION 2. The maximum hours fixed in Section 1 shall not apply 

during any period in which a concentrated demand on the industry 

shall place an unusual and temporary burden upon its production 

(390) 
391 

facilities. Such special period shall not exceed six ( 6) weeks in any 

six ( 6) months, during which period overtime shall not exceed eight 

(8) hours in any one week; provided, however, that in any such 

special case at least one and one-half (llh ) times the employee's normal rate shall be paid for all hours worked in excess of eight ( 8) 

hours per day or forty ( 40) hours per week. All such special cases 

o£ overtime shall be reported to the Code Authority. 

SEcTION 3. There shall be a tolerance o£ ten (10) percent for all 

employees engaged as stock or shipping clerks; provided that time 

and one-hal£ shall be paid for all hours worked in excess of eight 

(8) hours per day or forty ( 40) hours per week. 

SECTION 4. The limitations as to hours o£ labor shall not apply 

to persons in a managerial, executive, technical, research, or supervisory capa.city who receive thirty-five ($35.00) dollars or more per 

week, or to outside salesmen. 

SECTION 5. The limitations as to hours of work shall not apply to 

any employee on emergency maintenance or re.pair work involving 

breakdowns or protection o£ life or property, but in any such special 

case, at least one and one-half (llh) times the normal rate shall be 

paid for hours worked in excess of forty ( 40) hours per week or 

eight ( 8) hours per day. All such cases o£ emergency overtime shall 

be reported to the Code Authority. 

SECTION 6. Office and clerical employees shall not be permitted to 

work in excess o£ forty ( 40) hours per week or eight ( 8) hours per 

day· provided, however, that any such employee may be permitted to 

woric not more than forty-eight ( 48/ hours per week in not more than 

six (6) weeks in any six (6) months period and that one and one-hal:£ 

(1%) times the re[QUlar hourly rate be paid for all time worked in 

excess of forty ( 40 hours per week or eight ( 8) hours per day. 

SEcTION 7. Watc men may be permitted to work not more than 

fifty-six (56) hours in any one week; provided that they have one 

day of rest in seven (7) days. 

SECTION 8. No employee shall knowingly be permitted to work 

for a total number o£ hours in excess of the number of hours prescribed for each week and day, whether employed by one or more 

employers. 

ARTICLE IV-WAGES 

SECTION 1. The minimum hourly wage that shall be paid any 

employee shall be not less than at the rate of forty ( 40) cents 

per hour, except as hereinafter provided. 

(a) Employees in the following States shall be paid not less than 

at the rate of thirty-five (35) cents per hour: Virginia, North Carolina, South Carolina, Georgia, Florida, Tennessee, Alabama, :Mississippi, Louisiana, Texas and Arkansas. 

SECTION 2. These minimum wage rates shall apply to common 

labor or uns4':illed labor. Other classes o£ labor shall be compen- sated at rates above these minimum rates. 

SEcTION 3. All office employees shall be paid at the rate o£ not 

less than fifteen ($15.00) dollars per week, except office boys and 

girls, who shall be paid at a rate of not less than eighty (80) 

percent of this rate; provided that the number of such office boys 

and girls thus paid shall be limited to five ( 5) percent o£ the total 
392 

number of office employees, with a m1n1mum of two (2) such 

employees for each memb r of the industry. 

SEcTION 4. A per on ·whose earning capacity is limited because 

of age or physical or mental han heap may be employed on light 

work at a wage belo the minimum e tablished by this Code if the 

employer obtains from the State Authority designated by the 

United States Department of Labor a certificate authorizing his 

employment at uch wages and for such hours as ·hall be stated 

in the certificate. Such Authority shall be guided by the instructions of the United States Department of Labor in issuing certificates to such persons. Each employer shall file with the Code 

Authority a list of all such persons employed by him. 

SEcTION 5. This Article establishes a minimum compensation 

which shall apply, irrespective of whether an employee is actually 

compensated on a time rate, piece-work, or other basis. 

SECTION 6. Equitable adjustments in the rates of pay above the 

minimum shall be n1ade on the effective date of this Code by every 

employer who has not made such adjustments under the National 

Industrial Recovery Act. Withing thirty (30) days after the effective date of this Code, all such adjustments made under the Act 

shall be reported to the Code Authority and to the Administrator 

on request. In no case shall hourly or piece rates be reduced. 

SECTION 7. F emale employees performing substantially the same 

work as male employees shall receive the same rate of pay as male 

employees. 

ARTICLE V-GENERAL LABOR PROVISIONS 

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

employed in the Industry, nor anyone under eighteen (18) years of 

age at operations or occupations hazardous in nature or dangerous 

to health. In any State an employer shall be deemed to have complied with this provision if he shall have on file a certificate 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. Each member of the Industry shall submit 

to the Code Authority within sixty (60) days after the effective date 

of the Code, a list of such hazardous or dangerous occupations. 

SECTION 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-org-anization or in other concerted activities for the 

purpose of collective bargaining or other mutual aid or protection. 

SECTION 3. No em:ployee 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. 

SECTION 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. 

SECTION 5. No provision in this Code shall supersede any State 

or Federal law which imposes on employers more stringent requirements as to age of employees, wages, hours of work, or as to safety, 
393 

health, sanitary or general working conditions, or insurance, or fire 

protection, than are imposed by this Code. 

SECTION 6. Employers shall not reclassify employees or duti of 

occupations performed by employees or engage in any other subterfuge for the purpose of defeating the purpo es or provisions of the 

Act or of this Code. 

SECTION 7. Every employer shall make reasonable provision for 

the safety and health of his employees at the places and during the 

hours of their employment. Standards for safety and health hall 

be· submitted by the Code Authority to the Administrator for approval within six (6) months after the effective date of thi Code. 

SECTION 8. Within ten (10) days of the effective date, each em- ployer shall post and thereafter maintain, in conspicuous places accessible to employees full copies of this Code and any amendments 

or modifications which may later be approved. 

ARTICLE VI-ADMINISTRATION 

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

hereby constituted to co-operate with the Administrator in the administration of this Code. 

SECTION 1. Organization and Constitution of Code Authority. 

(a) The Code Authority shall consist of five ( 5) individuals, to be 

selected as hereinafter set forth. The Administrator, at his discretion, may appoint one (1) to three (3) additional members (without vote) to represent the Administrator or such groups ~r interests 

as may be agreed upon. 

Four ( 4) members of the Code Authority shall be elected by the 

members of the A sociation and one (1) member shall be elected by 

members of the Industry who are not members of the Association 

and who agree to share in the expense of the administration of this 

Code; said elections to be conducted in any fair manner approved 

by the Administrator. In case the non-members of the Association 

:fail to elect a representative to serve on the Code Authority, its membership will be automatically reduced to four individual . (b) Each trade or industrial association directly or indirectly participating in the selection or activities of the Code Authority shall: 

(1) Impose no inequitable restrictions on membership, and 

(2) Submit to the Administrator true copies of its articles of a - sociation, by-laws, regulations, and any amendments when made 

thereto together with uch other information as to membership organization and activities as the Administrator may deem nece sary 

to effectuate the purposes of the Act. 

( 3) In order that the Code Authority hall at all time be truly 

representative of the Industry and in other respects comply with 

the provisions of the Act, the Admini trator may provide uch hearings as he may deem proper; and thereafter if he shall find that the 

Code Authority is not truly representative or does not in other respects comply with the provisions of the Act, may require an appropriate modification in the method of el ction of the Code 

Authority. 

SECTION 2. The Code Authority shall have the following duties 

and' powers to the extent permitted by the Act: 
394 

(a) To cooperate with the Administrator in making investigations 

as to the functioning and observance of any provisions of this Code, 

at its own instance or on complaint by any party affected, under 

such rules and regulations as may be prescribed by the Administrator. 

(b) To pre cribe uniform proposal forms, subject to the approval 

of the Administrator. 

(c) To consider proposals for amendments or modifications and 

make recommendations thereon to the Adnlinistrator, which amendments or modifications will become effective as a part of this Cooe 

upon approval by the Administrator, after such notice and hearing 

as he rna y specify. 

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

and for the administration of the Code. 

(e) Obtain from members of the Industry such information and 

reports (sworn or unsworn as the Code Authority may specify) 

as are reguired for the administration of this Code. No individual 

information, statistics or reports shall be disclosed to any other 

member of the Industry or any other party except to such governmental agencies as may be designated by the Administrator. 

SECTION 3. Members of the Industry shall be entitled to participate 

in and share the benefits of the activities of the Code Authority 

and to participate in the selection of the members thereof, by assenting to and complying with the requirements of this Code and 

sustaining their reasonable share of the expense of its administration. 

(a) The · reasonable share of the expenses of administration shall 

be determined by the Code Authority, subject to review by the Administrator, on the basis of volume of business and/ or such other 

factors as may be deemed equitable to be taken into consideration. 

SECTION 4. In addition to the information required to be submitted to the Code Authority and the Administrator, there shall 

be furnished to government agencies such statistical information as 

the Administrator may deem necessary for the purposes recited in 

Section 3 (a) of the Act, provided that nothing herein shall relieve 

anyo~e of any existing obligation to furnish reports to government 

agencies. 

SECTION 5. If the Administrator shall determine that any action 

of the Code Authority or any agency thereof may be unfair or unjust or contrary to the public interest, the Administrator may require 

that such action be suspended to afford an opportunity for investigation of the merits of such action and further consideration by 

such Code Authority or agency pending final action which shall not 

be effective unless the Administrator approves or unless he shall fail 

to disapprove after thirty (30) days' notice to him of intention to 

proceed with such action in Its original or modified form. 

ARTICLE VII-TRADE PRACTICES 

The following practices constitute unfair methods of competition 

and are prohibited: 

SEcTION 1. Misrepresentation or False or Misleading Ad.vertising.-The making or causing or knowingly permitting to be made or 

published any false, materially inaccurate or deceptive statement by 
395 

way of advertisement or oth rwise, 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. 

SECTION 2. Oom.mercial Bribery.-The giving, permitting to be 

given, or directly offering to give, anything of value for the purpose of influencing or rewarding the action of any employee, agent, 

or representative of another in relation to the business of the employer of such employee, the principal of such agent or the represented party, without the knowledge of such employer, principal or 

party. Commercial bribery provisions shall not be construed to prohibit free and general distribution of articles commonly used for 

advertising except so far as such article are actually used for 

comn1ercial bribery as hereinabove defined. 

SECTION 3. Interference with Contractual Relations.-Maliciously 

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

written contract between a competitor and his customer or source of 

supply, or interfering with or obstructing the performance of any 

such contractual duties or services. 

SECTION 4. Defa11nation.-The defamation of competitors by 

falsely imputing to them dishonorable conduct, inability to perform 

contracts, questionable credit standing, or by other false representations or by the false disparagement of the grade or quality of their 

goods. 

SEcTION 5. Threats of Litigation.-The publishing or circulating 

of threats of suits for infringement of patents or trade marks or 

of any other legal proceedings not in good faith, with the tendency 

or effect of haras ing competitors or intimidating their customers. 

SECTION 6. Selling Below Oost.-Selling or offering to sell products of the Industry at prices below his individual cost, except: 

(a) To meet existing price competition of another whose costs 

under the Code are lower, provided that competition is not instigated 

directly or indirectly by the party desiring to meet such competition. 

Cost of production sha.U be determined by a method of accounting 

to be adopted by the Code Authority, subject to the approval of the 

Admini trator. 

(b) Dropped lines, distress merchandise, seconds, or inventories, 

which must be converted into cash to meet emergency needs, may be 

disposed of by any member at any price and on any term , and conditions, provided, such member has at least ten days prior to the 

date of such disposal filed with the Code Authority a notice in writing setting forth the reasons and nece sity therefor and a list of su h 

items. No product of the industry which is to be built to order subsequent to Its Sfr:l~ shall be classified as coming under the for going 

emergency provisiOn. 

SECTION 7. Fwrnishilng Drawings.-Furnishing the cu tomer with 

drawing , designs or equivalent confidential engineering information, 

excel?t that : 

(a) Sales sketches, photographs, or equivalent material1 to illustrate the equipment offered may be furnished with quotations. 
396 

(b) Maintenance information furnished to purchasers of the products of the Industry may include illustrative sketches, phantom 

drawings or the reasonable equivalent thereof, to permit identification and installation of repla cement part , and to provide information for the operation of the equipment. 

(c) Drawings andjor engineering specifications may be sold as 

such, providing the sale is made under a separate and individual 

contract committing the seller to accept the price named without 

reference to, or modification by, the sale of any other product or 

service. 

ARTICLE VIII-l\1omFICATION 

SECTION 1. This Code and all the provisions thereof are expressly 

made subject to the right of the President, in accordance with the 

provisions of Section 10 (b) of the Act, from time to time to cancer 

or modify any order, approval, licensei rule or regulation issued 

under Title I of said Act and specifica ly, but without limitation, 

to the right of the President to cancel or modify his approval of this 

Code or any conditions imposed by him upon his approval thereof. 

SECTION 2. This code, except as to provisions required by the Act, 

may be modified or supplemented on the basis of experience or 

changes in circumstances, such modification to be based upon application to the Administrator and such notice and hearing as he shall 

specify, and to become effective on approval of the Administrator. 

ARTicLE IX-MoNoPor.rEs 

No provision of this Code shall be so applied as to permit monopol'ies or monopolistic practices, or to eliminate, oppress or discriminate against small enterprises. 

ARTICLE X-PRICE INCREASE 

_ Whereas the policy of the Act to increase real purchasing power 

will be made impossible of consummation if :prices of goods and services increase as rapidly as wages, it is recognized that price increases 

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

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

ARTICLE XI-EFFECTIVE DATE OF THIS ConE 

This Code shall become effective on the el'eventh (11th) day after 

its approval by the President. 

Approved Code No. 357. 

Registry No. 1103-Q9. 

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UNIVERSITY OF FLORIDA 

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