637-P Registry No. 504-1-02 

NATIONAL RECOVERY ADMINISTRATION 

PROP·OSED CODE OF FAIR COMPE1fITION • 

FOR THE 

BANK NOTE PRINTING 

INDUSTRY 

AS SUBMITTED ON SEPTEMBER 6, 1933 

WI DO OUR PART 

The Code for the Bank Note Printing Industry 

in its present form merely reflects the proposal of the above-mentioned 

industry, and none of the provisions contained therein are 

to be regarded as having received the approval of 

the National Recovery Administration 

as applying to this industry 

UNITED STATES 

GOVERNMENT PRINTING OFFICE 

WASHINGTON : 1933 

For sale by the Superintendent ol Documents, Washington, D.C. • • • - - - - Price 5 cents 
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SUBMITTED BY 

ASSOCIATION OF BANK NOTE COMPANIES 

(II) 

,, 

,, 
CODE FOR THE ASSOCIATION OF BANK NOTE 

COMPANIES 

PREAMBLE 

To provide a free and ready market for the buying and selling of 

securities, such as bonds, stock certificates, and other negotiable 

documents representing value, the various stock exchanges of the 

United States have become a necessity to our business structure. 

Owing to the enormous mo:q.etary value of the securities and their 

wide distribution, it is imperative that they be protected against 

counterfeiting and duplication and be safeguarded during manufacture in a manner equal to that employed in the making of the 

currency of the United States Government. 

For this purpose Bank Note Companies have been organized whose 

particular and special :function it is to engrave and print securities. 

Th~ principal stock exchanges through years of experience have 

found it necessary to require the highest standard of qualifications to 

be met by those bank note companies preparing securities dealt in 

or listed on their Boards. Among these qualifications are: Quality 

of workmanship, experience and reputation, financial responsibility, 

proper plant and vault :facilities. 

There are ten bank note eompanies in the United States that have 

been qualified to engrave securities :for listing on all important stock 

exchanges. Of the ten bank note companies, eight are subscribers to 

this Code. The remaining two have been invited to join but as yet 

have not signified their intention to do so. 

CooE 

To effectuate the policy of Title I of the National Ind us trial Recovery Act the :following provisions are established as a National 

Industrial Recovery Code for bank note companies. 

The term Bank Note Companies shall be understood to apply only 

to those companies whose business includes engraving of securities 

acceptable for listing on all stock exchanges in the United States of 

America. 

1. W 01·king H ours.-To effectuate the policy of this Code of Fair 

Competition maximum hours of labor shall be uniform for the whole 

country. Standard working hours shall be eight hours per day, five 

days per week, for all mechanical employees. The maximum hours 

referred to in this section shall not apply to employees in a managerial or executive capacity who now receive more than $35.000 per 

week, nor to employees on emergency maintenance and repair work, 

nor to watchman ervice. vVhen necessary, overtime and extra shifts 

shall be permitted, provided that no mechanical employees shall 

work more than the maximum 40 hours per week during the pre ent 

9664-33 (1) 
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emergency. It is not the intention of this paragraph to limit the 

number of days a plant may operate. 

In ca e of nece it3, arising from an emergency or from the character of the work, or fr01n the inability to obtain competent labor, 

permis ion may be granted b3 the Executive Committee of the Association, upon proper showing being made, to exceed the foregoing 

limitation, provided such permi sion shall be granted only upon 

such conditions impo ed by the Executi-,e Committee as will make 

certain that no employee will work n1.ore than 1 040 hours in any 

six months. 

2. The minimum wage in this industry shall be $14.00 per week of 

40 hours, or 35 cents per hour for part time. 

3. (A) 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 einployers, or 

their agents, in 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; 

(B) 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; 

(C) Employers shall comply with the maximum hours of labor 

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

(D) Employers and employees shall be free to bargain individually or collectively; 

(E) Employee may be elected, retained, or discharged anq. advanced on the basis of individual merit regardless of affiliation or 

nonaffiliation with any labor organization. 

4. The supervising and fact-finding agency for the Bank Note 

Companies shall be The Association of Bank Note Companies, 1427 

Eye Street NVV., "\Vashington, D.C. 

The Companies shall furnish to this agency duly certified reports 

every four weeks showing number of employees, maximum hours 

worked by any employee in any week, and actual hours worked by 

the various occupational groups of employees, and minimum hourly 

wages. It shall be the duty of this agency to compile these figures 

when, as, and if the President requires uch compilation. It shall 

also be the duty of this agency to investigate and develop facts 

regarding complaints from any source and present the resulting data 

to the Administrator, if circum tances warrant and if so instructed 

by the Association. 

5. Standards.-To provide a means to settle questions as to the 

proper preparation of any securities there shall be set up a committee 

of five persons, three of whom shall be from the bank-note industry, 

one of whom shall be a representative of the Stock Exchanges one 

from the United States Bureau of Engraving and Printing, Washington, D.C. 

6. Selling Below Oosts.-The industry wishes to establi h rules as 

soon as satisfactory co t-finding method etc., may be worked out. 

1. Firm Bidding.-Violation of the principle of firm bidding hall 

be a violation of the Code. Firm bidding shall be under tood to 

mean that where there is competitive bidding the original bid sub-
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n1itted shall not be altered unless there is a change of specifications, 

and such revised specifications submitted to all bidders. 

8. Engram'ing Ohmrges.-All engravings are an element of cost and 

must be charged for when made and shall not be prorated over subsequent orders. 

9. RebaJtes.-There shall be no commissions, rebates, or allowances 

made to any interests representing the buyer. 

10. Guaranties.-There shall be no guaranty given against advances or declines in prices. 

11. 001npi.eititors' Empiloyees.-N o person while in the employ of a 

member of this Industry shall be induced by any means whatsoever 

to leave that employment by any other member. 

12. Terms of Payment.-The regular terms of payment shall be 

thirty days net. Interest to be charged after maturity at the prevailing legal rate in the State in which work is done. 

13. Misrepresentation.-No members of this Industry shall make 

misrepresentations regarding its products or otherwise. 

14. Def armation.-N o member of this Industry shall resort to defamation of a competitor or its product. 

15. Storage of Unbilled) Orders.-The principle of inducing companies to place orders for securities to be prepared and stored in 

vaults of members of this Industry to be billed and paid for as 

delivered is to be discouraged. 

16. AuthorS'' OhUJnges.-Proper charges shall be made for substantial authors' changes in proofs. 

17. The industry may, when facts become available, present additions to this Code for eliminating destructive competitive practices 

and for stabilizing the industry. 

18. The President may from time to time cancel or modify any 

order, approval, license, rule, or regulation issued under this Title. 

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UNIVERSITY OF FLORIDA 

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