Approved Code No. 292 Registry No. 1414-01

NATIONAL RECOVERY ADMINISTRATION

CODE OF FAIR COMPETITION

FOR THE

CHILLED CAR WHEEL

INDUSTRY

AS APPROVED ON FEBRUARY 17, 1934

ME MBER

U.S.

WE DO OUR PART

UNITED STATES

GOVERNMENT PRINTING OFFICE

WASHINGTON: 1934

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Approved Code No. 292

CODE OF FAIR COMPETITION

FOR THE

CHILLED CAR WHEEL INDUSTRY

As Approved on February 17, 1934

ORDER

APPROVING CODE OF FAIR COMPETITION FOR THE CHILLED CAR

WHEEL 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, 1933, for approval of a Code of

Fair Competition for the Chilled Car Wheel 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; 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; and do hereby order that said Code of Fair

Competition be and it is hereby approved subject to the following

condition: that the continued participation of the Association of

Manufacturers of Chilled Car Wheels in the Code Authority, after

thirty days from the effective date of this Code, shall be contingent

upon its amending its constitution and by-laws to the satisfaction of

the Administrator.

HUGH S. JOHNSON,

Adm inistrator for Industrial Recorery.

Approval recommended:

W. A. HARRIMAN,

Division Administrator.

WASHINGTON, D.C.,

February 17, 1934.

41090'--376-104-34 (129)
REPORT TO THE PRESIDENT

The PRESIDENT,

The ITtie House.

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

Chilled Car Wheel Industry, as revised after the Public Hearing

conducted thereon in Washington, D.C., on December 20, 1933, in

accordance with the provisions of the National Industrial Recovery

Act.

PROVISIONS AS TO HOURS AND wAGES

The Code provides for a normal maximum 40-hour week and

8-hour day except as hereinafter provided.

Employees may work 48 hours per week for any 6 weeks in any 26

weeks' period, but overtime shall be paid at the rate of time and onehalf for all hours in excess of S a day or 40 a week.

Traveling salesmen, traveling inspectors, and persons employed in

an executive, managerial, or supervisory capacity or in experimental

work, who earn at least $35 a week, are exempt from the hour

provisions.

Watchmen may be employed 56 hours in any one week.

Power plant employees may be employed forty-five (45) hours in

any one week, nine (9) hours in any one day.

In the case of infrequent delays in foundry operations which are

caused by power failures, breakdowns, or furnace run-outs, in order

to protect life and property maximum hours may be extended for the

time necessary to take care of the products in process for that day.

(The Industry has stated that this is very seldom necessary and when

it does occur, the time required is almost never in excess of one hour.)

Provision is made for one day of rest in seven and the standard

clause regarding employment by several employers is incorporated in

the Code.

The standard minimum wage rate is 40 cents per hour with a

differential which allows a minimum of 32 cents in the following

Southern States: North Carolina, South Carolina, Georgia, Alabama,

Mississippi, Louisiana, Virginia, Tennessee, and Texas.

Clerical and ofiice employees shall not be paid less than $15 per

week, provided office boys and girls may be paid not less than 80%

of this wage and shall constitute not more than 3% of the total number

of employees.

Employers shall make e(quitahle adjustments for all employees

receiving more than the minimum and the Code Authority will report

all such adjustmcnts to the Administrator.

The niiiinun rate shall apply to all employees regardless of whatever hasis upon which they may be compensated. Evasion of the

provision.; of the Code through reemployment is prohibited.

No person iinder N years of age shall he employed, nor shall any

one under eiglh teen le allowedl to work at hazardous occupations.

(1:,0)
131

GENERAL STATEMENT

This Industry is comprised of 23 concerns operating 47 foundries.

It is a capital goods industry and is engaged in the manufacture of

chilled iron wheels for locomotives, freight and railroad cars and street

railway cars. Being dependent on the railroads for over 90% of its

business, it naturally has been severely affected by the depression.

Production in 1929 consisted of 2,926,000 wheels, which represented

even at that time only 49.6% of capacity. Production in 1933 is

estimated at only 1,100,000 wheels, a reduction of 63% from the

1929 volume.

In 1929 the Industry employed 4,439 persons; this number was

decreased 30.5% in 1933 to 3,078. Average weekly payrolls for shop

workers, however, are estimated to have been $109,763 in 1929, but

only $25,727 in 1933, a decrease of 76.7%. This is more clearly

illustrated by the fact that in comparing the above two years, it has

been shown that the average hours per week per man for shop workers

in 1929 were 57 as to 24 in July, 1933, and the average weekly earnings

for shop workers in July, 1933, decreased 65% from 1929.

The adoption of the President's Reemployment Agreement has

restored wage rates to the 1929 level, but has not increased the number

of employees as the effect was to increase only the number of working

days per week. Reemployment in the Industry can only be accomplished by a substantial increase in the demand for chilled car wheels.

The immediate prospect of the advancement of Public Works Administration funds will favorably affect this Industry and should

result in increased employment. Also, the market for chilled car

wheels is becoming more and more potential in Russia. If the 1929

rate of production is attained, this Code will directly increase employment about 28% over the 1929 number of employees.

The minimum rates contained in the Code will increase wage rates

20% over July, 1933, and 2% over July, 1929.

There is no provision for female employees. The reason for this

is that there are no females employed in plant operations.

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 provide for the

general welfare by promoting the organization of industry for the

purpose of 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 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.
132

(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 Subsection (b)

of Section 10 thereof; and that the applicant group is an industrial

group truly representative of the aforesaid Industry; and that said

group im po ses no inequit able restrictions on admission to membership

therein.

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

monlopolistic 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, therefore, I have approved this Code, subject to

the following conditions that the continued participation of the Association of Manufacturers of Chilled Car Wheels in the Code Authority,

after thirty days from the effective date of this Code, shall be contingent upon its amending its constitution and by-laws to the satisfaction of the Administrator.

Respectfully,

HUGH S. JOHNSON,

Administrator.

FEBRUARY 17, 1934.
CODE OF FAIR COMPETITION FOR THE CHILLED CAR

WHEEL INDUSTRY

ARTICLE I-PURPOSEs

To effect the policies of Title I of the National Industrial Recovery

Act, the following provisions are established as a Code of Fair Competition for the Chilled Car Wheel Industry, and shall be the standards

of fair competition for such Industry and shall be binding upon every

member thereof.

ARTICLE II-DEFINITIONS

The term "Idustry " as used herein means and includes the manufacture and sale of chilled car wheels for Railroad and Street Railway

service or either of them and such related branches or subdivisions

thereof as may from time to time be included under the provisions of

this Code by the President after such notice and hearing as he may

prescribe.

The term "member of the Industry " means and includes any individual, partnership, association, corporation, or other form of enterprise engaged in the Industry, either on his or its own behalf.

The term "employee " as used herein means and includes any and all

persons engaged in the Industry, however compensated, except a

member of the Industry.

The term "employer " as used herein includes anyone by whom any

such "employee" is compensated or employed.

The terms "Act", and "Administrator" as used herein shall mean

respectively Title I of the National Industrial Recovery Act, and the

Administrator for Industrial Recovery.

ARTICLE III

SECTION 1. Maxim urn. hours.-No employee shall be permitted to

work in excess of forty (40) hours in any one week except as hereinafter

provided. A normal working day shall be eight (8) hours.

SECTION 2. Exceptions as to Hours.-

(a) The maximum hours fixed in Section 1 above shall not apply for

six (6) weeks in any twenty-six (26) weeks' period beginning January

first and July first of each year, during which overtime shall not exceed

eight (8) hours in any one week. In any such case, at least one and

one-half times the normal rate shall be paid for hours worked in excess

of eight (8) hours in any twenty-four (24) hours period, or in excess of

forty (40) hours in any seven (7) day period.

(b) The provisions of this Article shall not apply to traveling

salesmen, traveling inspectors, or to persons employed in an executive, a managerial, or supervisory capacity or in experimental work, who earn not less than at the rate of thirty-five dollars ($35.00) per

week.

(c) Watchmen shall not be employed in excess of fifty-six (56)

hours in any one week.

(133)
134

(d) Power plant employees shall not be employed in excess of

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

day.

(e) Infrequent delays in foundry operations are caused by power

failures, breakdowns or furnace run-outs and in order to protect life

and property, the molten metal must be taken care of, and in such

cases the maximum hours may be extended but not to exceed the

time necessary to take care of the product in process for that day.

(f) All employees shall have one day of rest in seven (7).

SECTION 3. Employment by Sereral Employers.-No employer shall

knowingly permit any employee to work for any time which, when

totaled with that already performed with another employer, or employers, exceeds the maximum permitted herein.

ARTICLE IV-WAGES

SECTION 1. Minimum Wage.-No employee shall be paid less than

forty (40) cents per hour, except as herein otherwise provided.

(a) No employee shall be paid less than 32 cents per hour in the

following states: North Carolina, South Carolina, Georgia, Alabama,

Mississippi, Louisiana, Virginia, Tennessee, and Texas.

(b) No person employed in clerical or office work (not including

office boys and girls) shall be paid less than at the rate of $15.00 per

week, provided that office boys and girls shall be paid not less than

80% of such minimum wage, and shall not number more than 3% of

the total number of employees of any employer.

SECTION 2. Minimum Wage Rates by Occupation.-Within sixty (60)

days from the effective date, each employer shall make or shall have

mIade since June 16, 1933, such adjustment of rates of pay of employees

receiving more than the minimum rates of pay provided in this Article

as will maintain an equitable differential in rate schedules of such

occupations and within ninety (90) days after the effective date

thereof, the Code Authority shall report to the Administrator the

action taken by all members of the Industry since the effective date

in making such adjustment.

SECTION 3. Piecework Cornpemsation-MAinimum Wages.-This

Article establishes a minimum rate of pay which shall apply, irrespective of whether an employee is actually compensated on a

time-rate, picce-work, or other basis.

SECTION 4. Erasion Through Reemploymnent.-No employee now

employed at a rate in excess of the minimum shall be discharged and

re-employed at a lower rate for the purpose of evading the provisions

of this Code.

ARTICLE V-GENERAL LABOR PROvIsIONS

SECTION 1. child Labor Prorisio.-No person under sixteen (16)

years of age shall be employed in the Industry. No person under

eighteen (18) years of age shall be employed in production operations

including the manufacture and handling of the product. In any State

an employer shall be deemed to have complied with this provision as

to age 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.
135

SECTION 2. Provisions from the At.-In compliance with Section

7 (a) of the Act, it is provided:

(a) That 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 ntual aid or protection.

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

required as a condition of emlploymnent 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 maxinum hours of

labor, minimum rates of pay, and other conditions of employment

approved or prescribed by the President.

SeCTION 3. Reclassifcation of Employees.-No employer shall reclassify employees or duties of occupations performed, or engage in

any other subterfuge for the purpose of defeating the provisions; of

the Act or of the Code.

SECTION 4. State Laws.-No provisions in this Code shall supersede

any State or Federal law which imposes more stringent requirements

on employers as to age of employees, wages and Louis of work than

are imposed by this Code.

SECTION 5. Posting.-All employers shall post completed copies of

this Code in conspicuous places accessible to all employees.

ARTICLE VI-ORGANIZATION OF THE INDUSTRY

SECTION 1. Meetings of Mfembers of the Incbus'y.-Metings of

members of the Industry may be called and held at any time upon

ten days' notice given by the Chairman of the Code Authority to the

members of the Industry, which notice shall state the time and place

of such meeting.

SECTIoN 2. Members oJ the Iniistrj Entitled to Vote.-Each member

of the Industry who has assented to the provisions of this Code and

has agreed to pay his pro rata proportion of expenses of the administration of the Code shall be termed "qualified member of the Industr '" and only such member shall be entitled to participate in

the selection of the members of the Code Authority.

ARTICLE VII-ORGANIZATION, POWERS AND DUTIES OF THE CODE

AUTHORITY

SECTION 1. Organization.-There shall forthwith be constituted a

Code Authority consisting of five (5) members of the Indlustry to be

selected as hereinafter provided. In addition thereto there may be

from 1 to 3 members without vote, to be appointed by the Administrator, whose terms of office shall be so arranged that they do not

expire at the same time and who shall be giiven notice of all meetings

of the Code Authority.

The members of the ('ode Authority shall be selected as follows:

Four of the members shall be elected at a meeting of the members

of the Industry called for that purpose. Tie tifth member shall be

the President of the Association of Manufacturers of Chilled Car

Wheels.
136

Each member of the Industry who is qualified to vote as hereinbefore provided shall have the right to vote in person or by his duly

authorized proxy for the Industry members of the Code Authority.

Election shall be by signed ballot and each qualified member of

the Industry, so present or represented, shall be entitled to one

vote for each member to be elected. An Industry member of the

Code Authority shall be declared elected when he shall have received

a majority vote, provided that such majority vote shall be votes of

members of the Industry who collectively shall have shipped at

least % of the number of Chilled Car Wheels for Railroad and Street

Railway Service during the preceding calendar year.

Each Industry member of the Code Authority shall be elected for

a period of one year from the second Tuesday in October of each year

and shall serve imtil his successor is elected and qualified. The four

(4) members of the Code Committee elected at a meeting of the

members of the Industry on August 15, 1933 and the President of

the Association of Manufacturers of Chilled Car Wheels at that date

shall constitute the five (5) members of the Code Authority until

their successors are elected.

Any vacancy in the Code Authority shall be filled by majority

vote of the members of the Code Authority at a meeting regularly

called, and the member so chosen to fill such vacancy shall hold office

until the next meeting of the members of the Industry.

Meetings of the Code Authority shall be held at such time and place

as may be designated by the Chairman upon five (5) days' written

notice.

The Secretary of the Code Authority shall keep all records under

the Code, and, except as such Code Authority shall otherwise provide,

shall collect, file and collate all statistics and other information

required by the Code Authority for the proper administration of

the Code.1

SEC. 2. Nothing contained in this Code shall constitute the

members of the Code Authority partners for any purpose.

ARTICLE VIII-ADMINISTRATION OF CODE

SECTION 1. The Code Authority shall have all the powers and

duties conferred upon it as shall be necessary or proper to enable it

fully to administer the Code and to effectuate its purpose, subject to

compliance rules and regulations established by the Administrator,

and may

(a) For the purpose of keeping the President informed as to the

observance or non-observance of this Code, and as to whether the

Industry is taking appropriate steps to effectuate in all respects the

declared policy of the National Industrial Recovery Act, require

from any member of the Industry, in the event of complaint, duly

certified reports in such form as may hereafter -be required by the

Government or any branch or bureau thereof, provided, however,

that nothing contained in this Code shall relieve members of the

Induistry from furnishing st atistics and data required by other Government agencies.

See paragraph 2 of order approving thi Code.
137

(b) Require such reports through its Secretary from members of

the Industry pertaining to the provisions of the Code as in its judgment

may be necessary to advise it adequately for the administration and

enforcement of the provisions of this Code.

(c) Upon complaint of interested parties or upon its own initiative,

make such inquiry and investigation into the operation of this Code

as may be necessary and promptly report to the Administrator the

nature of such inquiries and results of the investigations.

(d) Make rules and regulations necessary for the administration

and enforcement of the Code.

(e) All information furnished to the Secretary of the Code Authority

by any member of the Industry, pursuant to the administration of

this Code shall be deemed confidential and shall not be disclosed to

any member of the Industry in other than composite form, unless

disclosure in detail shall be deemed to be necessary in the administration of this Code.

SECTION 2. The expense of administering the Code shall be

assessed and collected by the Code Authority. The assessments for

such expenses shall be made pro rata upon the members of the

Industry assenting to this Code in proportion to the number of chilled

car wheels for railroad and street railway service shipped by them

during the preceding calendar year, and each such member shall be

liable for his pro rata proportion of such assessments.

SECTION 3. Review of Acts of Code Aiihorities.-1f the Administrator shall determine that any action of a code authority or any

agency thereof is unfair or unjust or contrary to the public interest,

the Administrator may require that such action be suspended for a

period of not to exceed thirty 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 upon approval by the Administrator.

ARTICLE IX-MONOPOLIEs, ETC.

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

ARTICLE X-UNFAIR PRACTICE

Violation of any of the provisions of this Code, or amendments

thereto or of any rules and regulations established thereunder is an

unfair practice and shall be subject to the penalties provided in the

National Industrial Recovery Act. The Code Authority shall

recommend to the Administrator any fair trade practices it may deem

necessary to govern members of the Industry in their relations with

each other or other industries.

ARTiCLE XI-AMENDMENTS

The Code may be amended at any time in the manner hereinafter

provided. All amendments shall be proposed by members of the

Industry or the Code Authority to the members of the Industry, and

each amendment so proposed shall be submitted for approval to a

meeting of the members of the Industry, especially called for that
UNIVERSITY OF FLORIDA

138 3 1262 08855 6666

purpose upon ten (10) days' notice; and a majority vote of the qualified members of the Industry present at the meeting in favor of the

amendment shall be final provided the votes cast in favor of the

amendment represent the vote of the members of the Industry who

shipped at least one-third of the number of chilled car wheels for railroad and street railway service during the preceding calendar year;

such amendment when approved shall be submitted by the Code

Authority to the Administrator for his approval, and if approved by

the Administrator shall become effective ten (10) days thereafter.

ARTICLE XII-CANCELLATION OR MODIFICATION

Pursuant to subsection (b) of Section 10 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 said Act.

ARTICLE XIII-DURATION

This Code shall terminate June 16, 1935, or the earliest date prior

thereto on which the President shall, by proclamation, or the Congress

shall, by joint resolution, declare that the emergency recognized by

Title I of the National Industrial Recovery Act has ended.

ARTICLE XIV-EFFECTIVE DATE

This Code shall become effective on the second Monday after its

approval by the President.

Approved Code No. 292.

Registry No. 1414-01.

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