R gi try No. 1118-06 

NATIONAL RECOVERY ADMINISTR TION 

CODE OF FAIR COMPETITION 

FOR THE 

FABRICATED METAL PRODUCTS 

MANUFACTURING AND METAL 

FINISHING AND METAL COATING 

INDUSTRY 

AS APPROVED ON NOVEMBER 2, 1933 

BY 

PRESIDENT ROOSEVELT 

WE DO OUR P4Rf 

1. Executive Order 

2. Letter of Transmittal 

8. Code 

UNITED STATES 

GOVERNMENT PRINTING OFFICE 

WASHINGTON : 1933 

For sale by the Superintendent of Documents, Waahin!lton, D.C. • • • • • • • • Price 6 cents 

v' 
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(n) 
EXECUTIVE ORDER 

ConE OF FAIR CoMPETITION FOR THE FABRICATED METAL PRoDUCTS 

MANUFACTURING AND METAL CoATING 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 my approval of a Code of 

Fair Competition for the Fabricated Metal Products Manufacturing 

and Metal Finishing and Metal Coating Industry, and hearings having been held thereon and the Administrator having rendered his 

report containing an analysis of the said code of fair competition, 

together with his recommendations and findings with respect thereto 

and the Administrator having found that the said code of fair competition complies in all respects with the pertinent provisions of title I 

of said Act and that the requirements of clauses (1) and (2) of subsection (a) of section 3 of the said act have been met: 

OW, THEREFORE, I, Franklin D. Roosevelt, President of the 

United States, pursuant to the authority vested in me by Title I of 

the National Industrial Recovery Act, approved June 16, 1933, and 

otherwise, do adopt and approve the report, recommendations and 

findings of the Administrator, and do order that the said code of fair 

competition be and it is hereby approved. 

FRANKLIN D. ROOSEVELT. 

The WHITE Ho sE, 

November 2, 1933. 

Approval recommended: 

HuGH S. JoHNSON, 

Administrator. 

The PRESIDE rT, 

The vVhite Iiouse. 

OcToBER 31, 1933. 

IR: This is a report on the proposed code of fair competition for 

the Fabricated 11etal Products Manufacturing and Metal Fini hing 

and M tal oating Industry, and on the hearing condu ted thereon 

in Wa hington, D. C., on 0 tober 5, 1933, in accordance with the 

pro vi ions of the National Industrial Reco ery Act. 

GENERAL STATEMENT 

Before outlining in d tail th provi ions of this Code it seems appropriate to de cribe the industry and the problems involved, both for 

the industry and the Admini tration, in the development of thi Code. 

In the broad field of metal ' orking i in luded the manufacture of 

uch article as automobiles, le tri al apparatus, machinery, farm 

implement , plumbing good , hip building, etc. 

(Ill) 
IV 

These large divisions of the metal working field have been well 

organized through trade associations or similar institutions; codes 

have been submitted and, in most cases, approved, and are now 

operative. 

Beyond these larger units of the Industry are the manufacturers 

of thousands of articles, a few of which are kitchen utensils, wire 

goods, pressed and stamped metal parts, hardware, small tools, 

metal boxes, wood screws, roller and ice skates, chains, metal signs, 

pins of all kinds, cutlery, razor blades, vanity cases, and such items 

as animal traps, bird cages, and fly swatters. 

The need of a code of fair competition for the employers and 

employees of these smaller industries is as real and important as for 

the larger industries, and should receive equal consideration. 

The classification of these separate industries, presented a most 

serious and complicated problem. The many codes required to be 

submitted and given public hearings would involve great expense; 

and the time consumed would, to a considerable extent, tend to defeat 

the purposes of the National Industrial Recovery Act. 

The problem was complicated, further, by the fact that hundreds 

of manufacturers produced many diversified items. The application 

of separate codes for these different items, when produced in the same 

plant, would require the operation of a factory under varying wages 

and hour provisions of the separate codes, causing confusion and, in 

many cases, impossible operating conditions. 

The Administration was faced with the further problem of seeing 

that literally thousands of small shops, employing the same classes 

of labor, manufacturing specialties of one sort or another, were covered by a code. Generally these shops were ·not members of any 

trade group, nor were they grouped together in an agency for the preparation and submission of a code. 

On August 10, 1933, approximately 60 trade association representatives and many individual manufacturers met informally to discuss 

the problems involved. They were encouraged by the Administration to join together under some plan which would simplify these 

problems for the industry. At this meeting the Fabricated Metal 

Products Federation was formed and a basic code was prepared to 

cover the whole industry. This code contained uniform employment 

provisions and the opportunity for all well defined and representative 

trade groups to submit supplemental codes to cover the trade practices of each subdivision and to create a Code Authority to administer 

such trade practices. 

The Fabricated Metal Products Federation proceeded at once to 

enlist the support of a truly representative number of trade associations and individual members. With 113 such trade associations 

and approximately 600 individual members, the Administration regards this result as truly representative of the industry, as defined in 

the Basic Code submitted herewith. 

The problem of definition likewise was serious. It was finally 

worked out to cover the broad metal working industries, specifically 

excluding however such basic branches of metal working as machinery, 

automobile parts and accessories, railway supplies and equipment, etc. 

A standardized form of supplementary code and a simple procedure 

for public hearings and the adoption of supplementary codes has been 

prepared, so that each branch of the industry may get the benefit of 
v 

such fair trade pra ti in addition to tho ontain d in the Basic 

Code a may b ne e ary for th benefit of it own branch, and the 

ben fit of individual admini tra ive ag ncies set up to administer 

individual branches. 

In ord r to be ure that, insofar a po ible, very one interested 

should recei e noti e of public hearing, indi idual notice of hearing 

wa nt to o er 7,700 concerns in addition to the standard form of 

notice. With each notice there was enelosed a opy of the code and 

a 1 tter ailing specific attention to the fact that the definition in the 

code as proposed would cov r the operations of the manufacturer 

to whom notice was addressed. Since it was impossible to determine 

in all cases the specific product manufactured by a particular firm, 

there" ere some instances of notice being sent to firms whose products 

were covered by other codes. These, however, constituted a relatively 

small number of the firms to whom notices were sent. 

WAGES AND HOURS 

A 40-hour week with a 40¢ per hour wage for males and a 35¢ per 

hour wage for females is established in the Northern Wage District, 

and a 35¢ per hour wage for males and a 30¢ per hour wage for females 

is established in the Southern Wage District. 

Because of the fact that this industry covers plants manufacturing 

countless varieties of products, located throughout all parts of the 

country, special provision is made with respect to female wage rates. 

Generally speaking, it is a light manufacturing industry, and probably 

twenty percent of its employees are female, and it is estimated that 

a minimum wage differential of approximately ten cents heretofore 

has existed. It was felt advisable therefore to provide a wage differential between male and female workers, with a proviso that where 

female employees are used to replace male employees to perform certain classes of work, such female employees shall be paid the same rate 

of pay in effect for the male employees at the time of such replacement. 

It is estimated that eighty-five percent of the employees in the 

Indus ry are in the Northern Wage District. A fair adjustment for 

wage in the south v,ras made by providing for the payment of the 

rate in existence for the arne class of work on July 15, 1929, except 

that in no case are the minimum rates to be less than eighty percent 

of the tandard minimum rates in the outhern District. 

hild labor is prohibited. 

Exc ptions to the minimum hour and wage provi ions are permitted 

in th a of beginners without experience for a sixty-day period, and 

in th ca e of disabl d mploy and boy and girl between the ages 

f 1 and 1 year . The e exc ptions are limited to approximately 

fiv p rccnt of the total number of employ and are to recei e not 

le han ighty p rc nt of the minimum \ a~ 

ym nt of tim and on half is pro id d mall a e wher hours 

of labor exc d thos for \vhi h provi ion ha b n made. 

E 0 OMI EFFECT OF THE CODE 

Be au c of the hort time a ailabl , and cau c of the fa t that, 

exc pt in specific trad group , t e indu try was not organized, it was 

impo i le to pr nt a curate data from all plant a to the effect 

of this ode on this indu try. In gener 1, however, it i w ll to point 
VI 

out that in normal times this industry operated on schedules of from 

50 to 55 hours a week. I believe, with the adoption of the 40-hour 

week as provided in the code, there will be an increase in the number 

of persons employed, on the same basis of activity , of approxima.tely 

twenty-five percent. 

The industry estimated, using as its basis the United States Census 

of Manufacturers and Bureau of Labor Statistics, that during the 

period from 1926 to 1929 there were normally employed 350,000 

employees. The Federation which is sponsoring the code estimated 

that there are at present 313,752 en1ployees in the industry, an increase of approximately 109,237 since the first quarter of the year. 

An analysis of some sixty representative concerns shows that the 

number of employees has been increased by 53 percent since the 

first of the year, and that the average wage rate for unskilled workers, 

to whom the minimun1 rates apply, has been increased 16% percent. 

The minimum rates per hour have been increased nearly to the 

rates for unskilled labor in 1926, and under the code will be further 

increased to the 1926 r ates, or higher. The total weekly pay rolls of 

these 60 representative concerns, including equitable adjustments of 

wages above the minimum, have since April 1, 1933, been increased 

98.9 percent, from $152,613 to $303,546. 

The average hours worked in these 60 representative concerns have 

been reduced 5.7 percent since July 1, 1933, and under the code will 

be reduced another 3 percent at least. Under a maximum 40-hour 

week it is estimated that the reduction in hours will amount to approximately 10 percent less than such maximum. If the rate of 

production in evidence October 1, 1933, continues, it is estimated 

that the code provision will result in a further increase in the number 

of employees of approximately 11 percent. 

In the administration of the code the Fabricated Metal Products 

Federation is set up as the Code Authority, to collect such data and 

statistics as are required by the Administrator, and provision is 

made for the Code Authorities in supplementary codes, wherever 

possible, to collect and con1pile this data for transmission to the 

Federation. 

All action t aken by the Administrative agency is made subject to 

the disapproval of the Administrator. 

I believe that this code accomplishes the following: 

1. It covers the operations of several thousand small metal working firms, who might otherwise not be included in any code of fair 

cmnpetition submitted to the Administration; 

2. It materially reduces the normal hours of operation for employees 

in the industry; 

3. It sets a fair minimum basic wage rate with equitable adjustments provided for those receiving higher wages, which will result 

in material wage increases in the industry; 

4. It sets up uniform wage and hour conditions over this broad 

industry, simplifying the problems of the manufacturer and at the 

same time permitting him to obtain the benefits of the National 

Industrial Recovery Act; and 

5. It eliminates a tremendous amount of detail work and expense 

which would be involved in conducting several hundred public hearings on separate codes. 
YII 

I bcli v-c that the od i fair to Indu try, to Labor, and to the 

onsum r and in accordanc ·with the int nt and purpose of the 

N ationul Indu trial Recov- ry Act. 

I find that: 

(a) The code as recommended compli in all re pect with the 

pertinent provisions of Titl I of the Act, including without limitation, subsection (a) of ection 7 and subsection (b) of Section 10 

thereof; and that 

(b) The applicant group impo es no inequitable restrictions on 

admi ion to membership therein and i truly repre entative of the 

Fabricated Metal Products Manufacturing and Met~l Fini hing 

and M tal Coating Industry; and that 

(c) The code as recommended is not de igned to prQmote monopolies or to eliminate or oppress small enterprises and will not operate 

to discriminate against them, and will tend to effectuate the poli y 

of Title I of the National Industrial Recovery Act. 

Accordingly, I hereby recommend the approval of this proposed 

Code of Fair Competition for the Fabricated Metal Products Manufacturing and Metal Finishing and Metal Coating Industry. 

Respectfully, 

HuGHS. JoHNsoN, 

Administrator. 

A BASIC CODE OF FAIR COMPETITION FOR THE FABRI· 

CATED METAL PRODUCTS MANUFACTURING AND METAL 

FINISHING AND METAL COATING INDUSTRY 

ARTICLE I-P RPOSES 

To eff ctuate the policie of Title I of the National Indu. rial 

Recover. Act the following provi ions are submitted a a C de of 

Fair ompetition for the Fabricated Niet al Products 11anufacturing 

and 1\Ietal Finil hinrr and Metal Coating Indu try, and up 'il appro al 

b the Pre ident shall be the standard of fair competiticn f r such 

mdu try and shall be binding upon every member thereof. 

ARTICLE II-DEFINITIONS 

The term "Fabricated 11etal Products 11anufacturing and ~1ctal 

Fini hino- and Metal Coating Industry", hereafter r eferred to as the 

Industry is defined to mean the manufcature for use or for sale of 

products in whole or in substantial part of metal (but not including 

mv.chinery and machine parts for assembly therein, nor the erection 

of metal products in building construction) which arc be ond the 

points of finished mill shapes or foundry operations, and which rnay, 

for practical admini tration of the National Industrial Recover Act, 

b too varied and gen ral to be defined and classified specifically in 

a eparate code but which products can be classified in subdivisions 

of thi particular Industry, as provided for herein; and, sp cifically, 

exc pting uch metal products as are subject to basic codes which 

ha'\1 be n approv d by the President or which may be so approved. 

Th term employee" as used herein includes any one engaged in 

the Industr in any capacity recei ing compensation for hi er ices, 

irre pective of th natur or method of payment of such compensation. 

Th term " mployer" as used herein include n yon by whom 

any u h emplo e i c mpen ated or employed. 

Th term "m mber of the Industry" includes anyone ngaged in 

h Indu tr a a ove defined, ither a an mploy r or n hi own 

b half. 

Th term "Pre id nt ", "Act", and "Admini trator' a u d 

her in hull mean r pe Lively the Pre ident of the nited tate , the 

ati nal ndu trial R o ry Act, and the Administrator of Ti 1 · I 

of ai A t. 

Th term ((F deration", a u ed herein, i d fin d to m an Fabric t d .~. 1 tal ro u t F deration, or it su or. 

Th term (( od uth rit ", as us d her in, · d fin d o mcnn 

th ~. ecutiv ommitt e f Fabricate 1\1 tal Pr lu t Fe l rn ti n. 

Th ' u hern ·w,. ag i tri t i d fined a ompri ing ,. rth ar -

linu, 'outh r lina, Florid , rgia, Ua am .. , Tenn ~ e, Mi i -

ippi, Arkan a. , L uisiana, Olcl hom , nd Texa ; and the orthcrn ,. ag Di tri t i d fined s c mpri ing all other tat in th nit d 

tat s proper, including the Di trict of olumbia nd Al ka. 

18929°-188-128-33 ( 1) 
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ARTICLE III- WAGES 

1. As required by Section 7 (a) of Title I of the National Industrial 

Recovery Act, the following provisions are conditions of this Code: 

(1) 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 mutual aid or protection; (2) 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 (3) that employers shall comply with the maximum hours of 

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

approved or prescribed by the President. 

2. On and after the effective date, employers shall not employ anyone under the age of 16 years, and no one under 18 years of age shall 

be employed in ha.zardous occupations; provided, however, that where 

a State Law provides a higher minimum age no person below the 

minimum age of said State Law shall be employed in that State. 

3. On and after the effective date the minimum wage which shall 

be paid by any employer to any employee engaged in the processing 

of products in the Industry and any labor incident thereto, shall be 

40¢ per hour for males and 35¢ per hour for females in the Northern 

Wage District; provided, however, that for a period of 60 days from 

the effective date of this Code, as provided for in Article 8 hereof, th~ 

minimum rates for female employees shall be 32X¢ per hour in the 

Northern Wage District. 

On and after the effective date the minimum wage which shall be 

paid by any employer to any employee engaged in the processing of 

products of the Industry or any labor incident thereto shall be 35¢ 

per hour for males and 30¢ per hour for females in the Southern 

Wage District, unless the hourly rates for the same class of work on 

July 15, 1929, were less than the above-specified minimums in the 

Southern Wage District, in which latter case the minimum hourly 

rates shall not be less than the rates in effect on that date; but in no 

case shall the minimum rates be less than 80% of the minimum rates 

af 35¢ for male employees and 30¢ for ·female employees in the Southern 

Wage District. 

Provided further, that for a period of not to exceed 60 days, beginners, without experience, may be paid not less than 80% of the 

minimum wa.ges of 40¢ for male employees and 35¢ for female employees in the Northern Wa.ge District, and 35¢ for male employees 

and 30¢ for female employees in the Southern Wage District; and 

the total number of such beginners shall not exceed 5% of the total 

number employed by any such employer in any calendar month; and 

Provided further, that where any State Law requires any higher 

minimum wages than those specified in this section, such higher 

minimum wages shall apply in all cases. 

Equitable adjustments to maintain differentials existing as of May 

1, 1933, in all pay schedules of factory employees (and other employees receiving less than $35.00 per week) above the n1inimums, 

shall be made on or before fifteen days subsequent to the effective 
3 

date of this Cod b any empl yer wh have not h r tofor made 

su h adju m nt r who hav not rnaintain d rate. omparable with 

uch equitable adju tm nt · and th fir t reports f wa(Ye , r quired 

t b filed und r thi ode, hall contain all wa · increa made 

in e 1\Iay 1, 1933. 

In the ca of ernployees performing work for \:..rhich they are paid 

per piec of work perforn1ed, the rninin1um rate of pay which each 

member of the Industry hall pay for such work shall produce earnings 

per hour per employee for the nun1ber of hours worked in any pay 

period at least equal to the minimum rate of pay per hour provided 

in thi Code for the same type of labor on an hourly ba i . 

4. The principle of equal rates of pa for male and female employees 

under like conditions of employment, performing ub tantially the 

same work is accepted herein; and where female employees are used 

o replace male mployees performing certain clas es of work such 

female emplo ees shall be paid the rates of pay in effect for the male 

employees at the time of such replacement. 

5. On and after the effective date, the minimum wage that shall be 

paid by any employer to all other employees, except commission sales 

people and all employees covered by Section 3 of Article III hereof, 

shall be not le s than at the rate of $15.00 per week in any city of over 

500,000 population, or in the immediate trade area of such city; nor 

le s than at the rate of $14.50 per week in any city of between 250,000 

and 500,000 population, or in the immediate trade area of such city; 

nor less than at the rate of $14.00 per week in any city of between 

2,500 and 250,000 population, or in the immediate trade area of such 

city; and in towns of less than 2,500 population, to increase all wages 

by not less than 20%, provided that this shall not req'uire minimum 

wages in exce s of at the rate of $12.00 per week. 

Office boys and girls, 18 years and under, shall be exempt from the 

provisions of thi section, provided they are paid at a rate of not less 

than 80% of the above minimum wages. 

Hours.-1. On and after the effective date employers shall not operate on a schedule of hours of labor in excess of 40 hours per week per 

employee. Provided, however, that these limitations shall not apply to 

branches of thi Indu try in which seasonal or peak demands or 

break-downs place an unusual and temporary burden upon such 

bran he ; and that in no ca e shall the hour worked in any one week 

exceed 48 hour durin(.Y su h seasonal or peak period ; and 

Pro ided further, that the number of ex es hour worked in any 

ix ( ) month ' period, ·without the payment of overtime, may not 

exc ed 32 hour , in the ca e of mployee ngaged in the pro e ing 

of product in the Indu try and labor incident theret · and may not 

ex eed 4 hour , in the e of all other employee xcept Xt:> uti e, 

admini trative and sup rvi ory mploye who rec iv $35.00 or 

mar p r week and outside sal men, omm.i ion salcsm n, and 

service men· and 

Provided further, that any employe at th r que t of th m l er 

may work additional hours beyond tho p citied in th tw pre- ceding paragraph , pr vid d uch additional hour ll be paid for 

at the rate of time and one half. 

o employee shall kno,vingly be permitted t wm+ in the a. gr (.Yate 

in ex e s of the above prescribed nmnber f hour irr pe ·tive of 
4 

whether such employee be on the pay roll of more than one employer; 

and 

Pro-v--ided further, that nothing in the foregoing employment provisions shall apply to executive, administrative, and supervisory 

employees who receive $35.00 or more per week; and outside sales 

and service men. 

General labor provisions.-!. It is understood, however, that old and 

partially disabled employees are not included in the above wage provisions, except that they shall in no case be paid less than 80% of 

the above minimums, and provided that the total number of such 

employees shall not exceed two employees in plants having less than 

100 employees; nor more than 2% of the total number of employees 

in such plants employing 100 or more. 

It is further understood that watchn1en are not included in the 

labor provisions of this article., except that they shall in no case be 

paid less than 80% of the minimum wages herein specified and in no 

case shall they be permitted to work longer than 56 hours in any one 

week unless they are paid time and one half for any hours in excess 

of 56 hours per week. 

2. Employers shall not reclassify employees, or duties, or occupations of employees so as to defeat the purposes of the Act. 

ARTICLE IV-ADMINISTRATION 

1. With a view to keeping the President informed as to the observance or nonobservance of this Code, and as to whether the Industry 

is taking proper steps to effectuate, in all respects, the declared policy 

of theN ational Industrial Recovery Act, each member of the Industry 

shall furnish to the Federation duly certified reports on forms prescribed by the Federation covering employment and production 

statistics. 

Provided however: that when any trade group within the Industry 

is represented by a truly representative trade association, such association shall collect such statistics as are called for by the Federation 

and send them in compiled form to the Federation. The statistics 

covered by this paragraph shall conform with those which may be 

required by the President. 

2. The Federation, the applicant herein, is hereby constituted the 

agency to collect and receive such reports. 

3. All data filed in accordance with the provisions of this Code 

shall be confidential and shall not be revealed to anyone other than 

an authorized governmental agency. 

In addition to the information required to be submitted to the 

Federation there shall be furnished to government agencies such statistical information as the Administrator may deem necessary for the p~rposes recited in Section 3 (a) of the National Industrial Recovery 

Act. 

4. To further effectuate the policies of the Act, the Code Authority of the Federation shall administer this Basic Code and shall hold 

itself in readiness to assist and keep the Administrator fully advised, 

and to meet with the Administrator's representative from time to 

time as requested; to consider and study any suggestions or proposals 

presented upon behalf of the Administrator or any member of 

the Industry regarding the operation, observance, or administration 
5 

of thi C d . The Pr id n may appoint n t to .· eed thr e mem- b r , without vote, to erv-e wi h th ode Authorit in it admin- i tration of this od . Such m mbers if and when appointed shall 

serv-e for a term of from six months to one year and their appointill nt hall be so arranged that they do not expire at the same time. 

5. Th re hall be no inequitabl r stri tions imposed on membership 

in he Federation and the Federation hall submit to the Administrator true opies of its arti les of association, by-laws, regulations, 

and nny amendments when made th reto, together with such other 

information as to member hip, organization, and activiti s as the 

Admini trator may deem necessary to effectuate the purposes of the 

At. 

6. ·when formal complaint is made to the Federation by any memb r thereof that any of the provisions of this Code have been violated 

by any employer or group of employers, then, after every effort has 

be n mad to settle such complaint within the subdivision (if any) 

falling under this Code, the proper agency of the Federation shall 

make uch investigation as is necessary to determine the facts pertaining to tbe complaint and to that end may cause such examination 

or audit to be made of such pertinent data and records as may be 

necessary, and report to the Administrator the result of such exami- nation and in estigation; such examination or audit shall be made by 

an impartial agency. 

7. Each member of the Industry, subject to the jurisdiction of this 

Code and accepting the benefits of t~e activities of the Federation 

hereunder, shall pay to the Federation his proportionate share of the 

amounts necessary to pay the cost of assembling, analyzing, and publi ation of such reports and data and of the maintenance of the 

Federation in connection with its activities relative to the preparation 

and administration of this Code; said proportionate share to be based 

upon the olume of business and/or such other factors as the Code 

Authority may prescribe. 

8. Any action taken by the Code Authority or other trade group 

within the Industry, for the purpose of making effective the proi ion of this Code, may bo submitted to the Admini trator for 

appro al and shall in any case be subject to the disapproval of the 

Administrator. 

ARTICLE V-TRADE PRACTICES 

The following acts as described shall constitute unfair methods of 

competition: 

A. The sale or exchange of any product in whole or in part below 

the rea onable cost of such product to any individual employer; such 

ost to include all labor charges at rates provided for under this 

ode whether su h products in whole or in part are produced in the 

nit d State or elsewhere. All methods used to determine such 

ts hall be subject to the approval of the Admini trator; 

Provid d howe er, that dropped lines, seconds, or inventories which 

mu t b converted into cash to meet emergency need, and new lines 

beino- introduced at high cost, may be di po ed of in such manner and 

on uch terms and conditions as are nece sary to mo such products 

into buyer's hands; and all su h intended sales or other dispositions 

of such products shall be reported immediately to the proper member 
6 

trade association or directly, by the individual members of the Industry to the Code Authority of the Federation, as the case may be; 

and 

Provided further, that selling below cost (as defined in paragraph 

one of this article) to meet existing competition on products of equivalent design, character, quality, or specifications shall not be 

deen1ed a violation of this Article, except as provided for in supplemental codes, as and when approved for any branch, subdivision or 

trade group .of the Industry; and 

Provided further, that when a supplemental code filed by any 

branch, subdivision or trade group of the Industry under the Basic 

Code of the Fabricated Metal Products ManufactuTing and Metal 

Finishing and 11etal Coating Industry shall have been approved by 

the President, the sale or exchange of any product, in whole or in 

part, below the price conditions established in the supplemental code 

shall constitute a violation of this Code and be an unfair method of 

competition; and 

Provided further, that the provisions of this paragraph A shall not 

be deemed to apply to or affect the sale of any product for direct 

shipment in export trade by any member of the Industry within the 

meaning of the term "export trade" as it is used in the Export Trade 

Act. 

B. Withholding from, or inserting in any invoice a false record, 

wholly or in part, of the transaction represented on the face thereof, 

and the payment or allowance of secret rebates, secret refunds, 

secret credits, unearned discounts (whether in the form of money or 

otherwise), or the extension to certain purchasers of prices, services, 

or privileges not extended to all purchasers under like conditions. 

C. To defame or disparage a competitor directly or indirectly, by 

words or acts which untruthfully impugn his business integrity, 

his ability to keep his contracts, his credit standing, or the quality of 

his products. 

D. To imitate or simulate the trade mark, trade name, package, 

wrapper, or label of a competitor's product to such a degree as to 

deceive or have a tendency to deceive customers. 

E. To give, or permit to be given, to agents or employees or representatives of customers, or a.gents, employees, or representatives of 

competitors or of prospective customers, without the lmowledge of 

thell: employers or princiJ?als, money or anything of value, to induce 

them to influence their en1ployers or principals, to purchase, or 

contract to purchu.se, products of this Industry, or to influence such 

employers, or principals, to refrain from contracting with competitors. 

F. 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, natme, origin, size, finish or preparation of any product 

of the Industry, or otherwise. 

G. The making or causing or lmowingly 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 other-
7 

wi having tho tendon v r capacity to mislead or d c ive customers 

or pro p tiv cu tomer . 

ARTICLE VI-OPTIONS 

1. Tlli Cod is intended to be a Basic Code and to cover the entire 

Industry. It i und r tood, ho\\ ever, that trade associations, groups 

of manufacturer~ or trade roup representing a substantial part of 

any specific subdivision of this Industry may formulate Supplementary Code of Fnir Competition, defining specifically the subdivision 

and co ering uch regulations as arc considered advisable by them. 

HoweYer, all employment provisions of such Supplementary Codes 

shall conforn1 with the Basic Code. Such Codes when approved by 

the Pre ident hall have the same force and effect as this Basic Code. 

2. It i further understood that if at any time any representative 

group witllln the Industry, as defined in the National Industrial 

Recovery Act, included under this Basic Code, wishes to function outside the Basic Code, it may submit a separate code defining and covering its specific subdivision of the Industry. Such a Code when 

approved by the President shall have the same force and effect as 

any code. 

ARTICLE VII-MoDIFICATIONs 

1. As required by Section 10 (b) of Title I of the National Industrial Recovery Act, the following provision is contained in this Code: 

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

approval, license, rule, or regulation issued under said Title. 

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

modified 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 by the President. 

ARTICLE VIII-EFFECTIVE DATE 

Thi Code hall become effective on the tenth calendar day after 

its appro -fll v the President. 

0 
UNIV ERS ITY OF FLORIDA 

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