Registry No. 1608-1-01 

NATIONAL RECOVERY ADMINISTRATION 

CODE OF FAIR COMPETITION 

FOR THE 

CROWN MANUFACTURING 

INDUSTRY 

AS APPROVED ON NOVEMBER 1, 1933 

BY 

u.s. 

PRESIDENT ROOSEVEL~ 

f 

1. Executive Order 

2. Letter of Transmittal 

3. Code 

UNITED STATES 

GOVERNMENT PRINTING OFFICE 

WASHINGTON : 1933 

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This publication is for sale by the Superintendent of Documents, Government 

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Foreign and Domestic Commerce. 

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(II) 
EXECUTIVE ORDER 

ConE OF FAIR CoMPETITION FOR THE CROWN 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, 1933, for my approval of a Code of 

Fair Competition for the Crown Manufactunng 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 wjth the pertinent provisions of title I 

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

NOW, 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 is hereby approved. 

THE WHITE HousE, 

November 1, 1933 . . 

Approval recommended: 

HuGHS. JoHNsoN, 

Administrator. 

The PRESIDENT, 

The White House. 

FRANKLIN ·D. ROOSEVELT. 

OcToBER 25, 1933. 

SIR: The proposed Code of Fair Competition for the Crown 

Manufacturing Industry was submitted to the Administrator on 

August 9, 1933, by the Crown Manufacturers' Association of America 

representing 93% of the known members of the Industry. The 

Hearing was conducted in Washington on September 15, 1933, and 

the Code was revised during the recess of this Hearing and is submitted in its present form for approval. Every person who requested 

an appearance was properly heard in accordance with statutory and 

regulatory requirements. 

The Industry is relatively small, having in 1929 only 1,640 mnployees and is distinguished from the Cap and Closure Industry in that 

it is engaged in the n1anufacture of beverage-bottle closures which 

are fabricated from cork and metal and are used principally upon 

pressure beverages. 

During the past four years the Industry experienced a drop of 

approximately 31% in the unit volume of sales. This was coincident 

with the drop of 30% in the number of employees. It is estimated 

18934°----188-129----33 (III) 
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that the insertion of the Labor Provisions of this Code will necessitate 

a 66% increase in employment over the average number employed 

in 1932 and that $850,000 will be added to the yearly pay roll. 

RESUME OF ConE 

ARTICLE I. States the purpose of the Code. 

ART. II. Accurately defines specific references made in the Code. 

ART. III. Sets forth the Mandatory Labor Provisions, minimum 

age requirements, maximum hours, and minimum wage rates. The 

maximum hours are limited to 40 per week for factory employees 

averaged over a six months' period, but are not to be in excess of 

48 hours in any one week. Power plant firemen, and engineers, 

employees engaged in emergency maintenance and emergency repair 

work, and highly skilled artists and metal lithographers (the latter 

are restricted to a maximum of 54 hours in any one week) are excepted 

from the above provisions, but in all cases where the above employees 

are required to work in excess of 40 hours in any one weekz the wages 

paid shall be at a rate of not less than one and one third times the 

prevailing rate. The maximum hours for accounting, clerical, office, 

service, and sales employees (except outside salesmen) are limited to 

40 hours per week except that in not more than six weeks in any six 

months' period such employees shall be permitted to work 48 hours 

per week. 

The minimum wage rate for factory, mechanical, and artisan employees is 40¢ per hour for male labor and 35¢ per hour for female 

labor. The minimum wage rate for accounting, clerical, office, service, and sales employees (except outside salesmen) varies from $15.00 

to $14.00 with the population. Apprentices and learners without 

previous experience may not constitute more than 5% of the total 

number of employees and their wages shall not be less than 80% of 

the specified minimums. The period of apprenticeship and learning 

is limited to one month. Higher-paid employees are protected by an 

equitable readjustment clause. 

ART. IV. Establishes a Code Authority of five members elected by 

the Industry with additional (not exceeding three) representatives 

to be appointed by the Administrator and provides machinery for 

obtaining statistics. 

ART. V. Establishes an open-price structure with no limitation 

placed upon the prices any firm may quote. 

ART. VI. Excepts export sales from the provisions now included or 

hereafter to be included in Article V. 

ART. VII. Sets forth the Fair Trade Practices for the Industry. 

ART. VIII. Contains the mandatory provisions respecting amendments and provisions respecting state laws and price increases on the 

products of the Industry. 

ART. IX. Sets forth the action to be followed in the event of a 

violation of the Code. 

ART. X. States the effective date. 
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FINDINGS 

The Administrator finds: A. This code complies in all respects with 

the pertinent phrases of Title I of the Act including without limitation 

subsection A of Section 7 and subsection B of Section 10 thereof, 

B. The Crown Manufacturers Association of America is truly repre· 

sentative of the Crown Manufacturing Industry and the bylaws of 

this Association contain no inequitable restrictions on membership, 

C. The Code is not designed to promote monopolies or to eliminate 

or oppress small enterprises and will not operate to discriminate 

against them and will tend to effectuate the policy of Title I of the 

National Recovery Act. 

It is recommended, therefore, that this Code be approved. 

Respectfully, 

HuGH S. JoHNSON, 

Administrator. 

CODE OF FAIR COMPETITION FOR THE CROWN MANU· 

FACTURING INDUSTRY 

AS REVISED ON OCTOBER 25, 1933 

ARTICLE I-PURPOSE 

To effectuate the policy and purpose of the National Industrial 

Recovery Act the following provisions are established as a Code of 

Fair Competition for the Crown Manufacturing Industry, and shall 

be binding on every member thereof. 

ARTICLE II-DEFINITIONS 

SECTION 1. The term "the Industry" means and includes the 

business of producing in the United States and selling crown caps. 

SEc. 2. The term "member of the Industry" means any person 

engaged in the Industry as herein defined either as an employer or 

on his own behalf. SEc. 3. The term "The Association" means the Crown Manufacturers Association of America, 218 Munsey Building, Washington, 

D.C. 

SEc. 4. The terms "President", "Act", and "Administration" as 

used herein shall mean respectively the President of the United States, 

the National Industrial Recovery Act, and the Administrator of said 

Act. 

SEc. 5. The term "employee" as used herein includes anyone 

engaged in the industry in any ca.pacity receiving compensation for 

his services, irrespective of the nature or method of payment of such 

compensation. 

SEc. 6. The term "employer" as used herein includes anyone by 

whom any such employee is compensated or employed. 

SEc. 7. The term "plant" means a plant engaged in the Industry 

as herein defined. 

SEc. 8. "Majority Vote." Each member of the Industry shall be 

entitled to one vote for each full million gross of shipped sales reported for the previous calendar year; provided, that no member shall 

have more than five votes; and further provided, that each member 

shall have at least one vote irrespective of the shipped sales grossage 

reported for the previous calendar year. 

At any meeting of members of the Industry, members thereof having the right to cast at least 60% of all the votes shall constitute a 

quorum. Fifty-one percent (51%) of the votes which would be 

cast if all members were present s __ u. l constit ute a majority vote. 

SEc. 9. The term "Code Authority" mee.ns the Administrative 

body provided for in Article IV cf this Code. 

(1) 
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ARTICLE III.-LABOR PROVISIONS 

SEcTION 1. 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. 

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. 

Employers shall comply with maximum hours of labor, minimum 

rates of pay, and other conditions of employment, approved or prescribed by the President. 

Sec. 2. No person under 16 years of age shall be employed in the 

industry, nor anyone under 18 years of age at operations or occupations hazardous in nature or detrimental 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. 

SEc. 3. Hours.-(a) The maximum number of working hours for 

all employees in the Industry, except as hereinafter provided, shall 

not be in excess of forty (40) hours per week averaged over a six 

months' period, and not in excess of forty-eight (48) hours in any one 

week. For the purpose of this paragraph, the balance of the year 

1933, from the effective date of this Code to December 31, 1933, inclusive, shall be considered the first period. Subsequent periods 

shall begin on January 1st, and July 1st, to end on June 30th and 

December 31st, respectively. 

The maximum hours fixed in the foregoing paragraph shall not 

apply to the following employees: 

Highly skilled artists and metal lithographers where restrictions of 

hours would unavoidably reduce production, but no such employees 

shall work or be permitted to work in excess of fifty-four (54) hours 

in any one week; 

Power plant firemen and engineers; 

Employees engaged in emergency maintenance and emergency repair work involving breakdowns or protection of life and/or property. 

Not less than time and one-third time shall be paid for hours worked 

in excess of forty (40) hours in any one week. 

(b) Office or Branch Employees: The maximum number of work- ing hours for office or branch employees in the Industry shall not be 

in excess of forty (40) hours per week; provided, however, that any 

such employee may be permitted to work not more than forty-eight 

hours per week in not more than six weeks of any six months' period. 

(c) The provisions of this section shall not apply to executives and 

their personal secretaries, and supervisors and their immediate 

assistants having supervisory duties (excepting foremen regularly 

engaged in manual labor receiving less than $35.00 per week), outside 

salesmen, technical employees, and watchmen; provided, however, 

that watchmen shall be limited to fifty-four (54) hours per week and 

provided further that the limitation of hours prescribed in this sec-
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tion shall apply to all proprietors, executives, partners and supervisors when they shall be engaged in production or mechanical work. 

(d) The Industry recognizes the desirability, and accepts the principle of, the five-day week as these principles relate to working schedules for employees. Insofar as it reasonably can, the Industry will 

endeavor to employ its labor on that basis. 

(e) No employee sl).all be permitted to work for two or more 

employers for a longer period in any week than is specified herein for 

a single employer. 

SEc. 4. Wages.-N o employer shall pay any accounting, clerical, 

office, service, or sales employee (except outside salesmen) less 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 less 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 or town of 250,000 or less 

population. 

SEc. 5. No employer shall pay any male factory or mechanical 

worker or artisan less than· forty (40¢) cents per hour or any female 

factory or mechanical worker or artisan less than thirty-five (35¢) 

cents per hour; provided that when the Code for the Graphic Arts is 

approved, there shall be a review of the provisions relating to maximum hours, minimum wages, and conditions of employment applicable to the employees in the Crown Manufacturing Industry engaged 

in work similar to that covered by the Code for the Graphic Arts. 

It is agreed that this paragraph establishes a guaranteed minimum 

rate of pay regardless of whether the employee is compensated on the 

basis of a time rate or on a piecework performance. 

Female employees doing substa.ntially the same work as that performed by male employees shall receive a rate of compensation equal 

to that of such male employees. 

Apprentices and learners without previous experience in the Industry shall be excepted from the provisions of this Section; provided, 

however, that the total number of such apprentices and learners shall 

not constitute more than five (5%) percent of the total number of 

employees subject to the provisions of this Code in any one plant, 

and provided, further, that the wages paid to such apprentices and 

learners shall not be less than eighty (80%) percent of the minimum 

rates of pay specified in this Code; and, provided further, the period 

of apprenticeship or learning shall not exceed one month. 

SEc. 6. The wage differentials for all operations shall be equitably 

readjusted and in no case shall they be decreased. Each member of 

the Industry shall report all such readjustments to the Code Authority 

within thirty days of the effective date. 

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

of the Labor Provisions of this Code (Article III and Article VIII, 

Section 2). · 

ARTICLE IV.-ADMINISTRATION 

SECTION 1. To effectuate the policies of the National Industrial 

Recovery Administration and to provide for administration of this 

Code within the Industry, a Code Authority of five members shall 

be established by the Industry. Furthermore, upon the request of 

the Administrator, nonvoting representatives not to exceed three in 
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nt1mber, to be appointed by him, shall be added to such Code 

Authority. All employers engaged in the Industry as herein defined 

shall be entitled to participate in the election of such members of the 

Code Authority. Such election shall be by a majority as defined in 

Section 8 of Article II. The Administrator upon review may disapprove or modify the method of selection of the Code Authority. 

Each trade or industrial association directly or indirectly participating in the selection or activities of the Code Authority shall: 

(1) Impose no ineguitable restrictions on membership, and (2) submit to the Administrator true copies of its articles of association 

bylaws, regulations, and any amendments when made thereto, together with such other information as to membership, organization, 

and activities as the Administrator may deem necessary to effectuate 

the purposes of the Act. 

In order that the Code Authority shall at all times be truly representative of the Industry and in other respects comply with the 

provisions of the Act, the Administrator may provide such 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 selection of the Code Authoritv. 

SEc. 2. The Code Authority shall have the following duties and 

powers to the extent permitted by the Act, subject to the right of 

the Administrator on review to disapproYe or modify any action 

taken by the Code Authority: 

(a) The Code Authority shall be charged with the supernswn, 

administration, and enforcement of this Code and may issue such 

rules, regulations, and impose upon any member of the Industry 

subject to the jurisdiction of this Code such restrjctions as may be 

necessary to effectuate the purposes of this Code. The Code Authority shall have the right to establish its o~'ll rules for the conduct of 

its b nsiness. 

(b) In order that the President may be informed of the extent of 

observance of the provisions of this Code and of the extent to which 

the declared policy of the National Industrial Recovery Act is being 

effectuated in the Industry as herein defined, the Code Authority 

shall make such reports as the Administrator may require, and each 

member of the Industry shall make such sworn or unsworn reports 

to the Code Authority periodically, or as often as it may direct, on 

wages, hours of labor, conditions of employment, number of employees, production, shipments, sales, stocks, prices, and other 

matters pertinent to the purposes of this Code as the Code Authority 

may require, and each member of the Industry subject to the jurisdiction of this Code and accepting the benefits of the activities of 

the Code Authority hereunder shall either become a member of the 

Association or pay to the Code Authority his proportionate share of 

the amounts necessary to pay the cost of the assembly, analysis and 

publication of such reports and data, and of the maintenance of the 

said Code Authority and its activities. Said proportionate share 

shall be based upon volume of net sales. 

In addition to information required to be submitted to the Code 

Authority, there shall be furnished to Government Agencies such 

statistical information as the Administrator may deem necessary for 
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the purposes recited in Section 3 (a) of the National Industrial 

Recovery Act. 

(c) The Code Authority shall appoint a secretary and any and all 

information requested by the Code Authority shall be filed with the 

secretary and deemed confidential and shall not be divulged to any 

member except in summary, but shall be available to the Administrator upon request. 

(d) The Code Authority may designate the Crown Manufacturers' Association or any other appropriate agency to assist it in 

carrying out the powers and duties conferred upon it by this Code, 

provided, that the Code Authority shall not be relieved of responsibility and that when such Association acts in such capacity, it shall 

comply with all the provisions of this Code applicable to the Code 

Authority. 

(e) The Code Authority may from time to time appoint such subcommittees or designate such agencies, and may delegate to any of 

them such of its powers and duties, as it shall deem necessary or 

proper in order to effectuate the provisions and purposes of this Code. 

(f) The Code Authority shall receive, and if it shall approve, shall 

present for the approval of the Administrator, any proposals for 

supplementary provisions or amendments of this Code or additional 

codes, applicable to the Industry defined herein or to any part thereof, with respect to wages, hours, trade practices, or related matters 

or conditions in the Industry. 

SEc. 3. (a) Any interested party shall have the ·right of complaint 

to the Code Authority and of a prompt hearing and decision thereon 

in respect to any decision, rule, regulation, or other course of action 

of such Code Authority. Such complaint must be filed in writing 

with the Code Authority within a reasonable period of time after 

said decision, rule, regulation, or course of action is issued or taken. 

The decision of such Code Authority may be appealed by any interested party to the Administrator. 

SEc. 4. Any decision, rule, regulation, order, or finding made, or 

course of action followed pursuant to, or any provision of, this Code, 

may be cancelled or modified by the Administrator whenever he 

shall determine such action necessary to effectuate the provisions of 

Title I of the National Industrial Recovery Act. 

ARTICLE V-OPEN PRICE DATA 

SECTION 1. Each member of the Industry shall within ten days 

after the effective date of the Code file with the Secretary as many 

copies of its minimmn price schedule for all its crowns including 

discounts, allowances, terms, and all conditions of sale as the Secretary shall require, and from and after the expiration of such ten days 

such n1ember shall at all times maintain on file with the Secretary 

such a minimum price schedule for all its crowns and shall not sell 

below and shall not make any change in such minimum price schedule 

except as herein provided. 

SEc. 2. The date of filing shall be the effective date of the first 

price schedule. Any member of the Industry desiring to change 

such minimum price sched.ule shall file a revised minimum price 

schedule with the Secretary which shall become effective not less 

than ten days after and exclusive of the date of filing thereof (Sundays 
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and holidays excluded). All minimum price schedules so filed shall 

be open to inspection at all times by all interested parties. 

SEc. 3. Upon the filing of a revised minimum price schedule, 

copies thereof shall immediately be sent to all members of the Industry, who thereupon may file, if they so desire, revisions of their 

minimum price schedule which shall become effective upon the date 

when the revised minimum price schedule first filed shall go into 

effect. 

SEc. 4. None of the prices shown in any minimum price schedule 

shall be changed except by the filing of a new minimum price schedule 

as provided in Section 2. 

SEc. 5. Each member of the Industry may execute an agreement 

in form prescribed by the Code Authority with each Sales Agent, 

Jobber, Broker, or Distributor representing or reselling crowns of such 

member, requiring each of them to file with the Secretary minimum 

price schedules at which such sales agent, jobber, broker, or distributor shall sell crowns. Such agreement shall provide that any sales 

agent, jobber, broker, or distributor desiring to change such minimum 

price schedule shall file a revised minimum price schedule with the 

Secretary which shall become effective not less than ten days after 

and exclusive of the date of filing thereof (Sundays and holidays 

excluded). All minimum price schedules so filed shall be open to 

inspection at all times. Neither the forms of agreement prescribed 

or any modification thereof shall become effective until approved by 

the Administrator. 

ARTICLE VI-ExPORTS 

Except as may be subsequently set forth in a specific or supplementary export code for the Industry, the provisions of this Code now 

included or hereafter to be included in Article V shall not apply to 

direct export sales or to sales in course of export (i.e., sales of crowns 

as such destined ultimately for export). The term "export" shall 

include, in addition to shipments to foreign countries, shipments to 

such United States possessions as may be defined by the Code 

Authority. 

ARTICLE VII-TRADE PRACTICES 

The following practices constitute unfair methods of competition 

for members of the Industry and are prohibited: 

SECTION 1. The secret payment or allowance of rebates, refunds, 

commissions, credits, or unearned discounts, 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. 

ARTICLE VIII-GENERAL 

SECTION 1. No provision of this Code shall be construed, interpreted 

or applied in such a manner as to-

(a) Promote monopolies or monopolistic practices. 

(b) Promote or encourage unfair competition. 

(c) Eliminate or oppress small enterprises. 

(d) Discriminc.te against small enterprises. 
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SEc. 2. Within each State this Code shall not supersede any laws 

of such State imposing more stringent requirements regulating the 

age of employees, wages, hours of work, or health, welfare or general 

working conditions, than are imposed by this Code. 

SEc. 3. Any member of the Industry shall be eligible to membership in the Association and there shall be no inequitable restrictions 

imposed upon such membership. 

SEc. 4. This Code and all the provisions thereof are expressly made 

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

of subsection (b) of Section 10 of the National Industrial Recovery 

Act, from time to time to cancel or modify any order, approval, 

license, rule or regulation issued under Title I of said Act and specifically, 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. 

SEc. 5. Prior to December 31, 1933, no member of the Industry 

shall increase the sale price of his product sold after the effective 

date hereof over the price on July 1, 1933, by more than is made 

necessary by actual mcreases 'in manufacturing, distribution, and 

material cost, or by taxes or other costs resulting from action taken 

pursuant to the Agricultural Adjustment Act and/or this Code since 

July 1, 1933, and in setting such price increases, full weight shall be 

given to probable increases in sales volume. In case a member of 

the Industry on July 1, 1933, was selling his product at less than 

actual cost, he may take his cost price on that date as the base for 

such increase in selling price as is permitted by this Section. 

ARTICLE IX-VIOLATIONS 

Violation by any employer of any provision of this Code or of any 

rule or regulation issued thereunder, or any deliberately false statement or report made to the President or the Code Authority, after 

decision thereon by the Administrator pursuant to Article IV of this 

Code, shall constitute an unfair method of competition and the 

offender shall be subject to the penalties provided by the National 

Industrial Recovery Act. 

ARTICLE X-EFFECTIVE DATE 

The Code shall become effective eleven (11) days after it is approved 

by the President. 

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