Approved Code No. 242 Registry No. 1340-01 

NATIONAL RECOVERY ADMINISTRATION 

CODE OF FAIR COlVIPETITION 

FOR THE 

MARINE AUXILIARY 

MACHINERY INDUSTRY 

AS APPROVED ON JANUARY 30, 1934 . . 

WE DO OUR Pill 

UNIV. OF FL LIi. 

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UNITED STATES 

GOVERNMENT PRINTING OFFICE 

WASHINGTON : 1934 

For sale by the Superintendent of Documents, Washington, D.C. - - - - • - • • Price 5 cen1a 
This publi ation is for sale by the Sup rilltendent f Do uments, Goverument 

Printing Offi e, Wa hington, D.C., and by district offi es of the Bureau of 

Foreign and Dome tic ommer . 

DISTRICT OFFICES OF THE DEPARTMENT OF COMMERCE 

Atlanta, Ga.: 5 4 Post ffi e Building. 

Birmingham, Ala.: 257 Federal Building. 

Boston, Mass.: 1801 ustomhouse. Buffalo, N.Y.: Chamber of Commerce Building. 

Charleston, S. . : hamber of ommerce Building. 

'hicago, Ill.: uit 1706, 201 rorth W lls treet. 

Ienland, Ohio: Chamber of Commerce. 

Dalla. , Tex.: C'bamb r of mm rce Building. 

Deuoit, Mich.: 01 Fir. t National Bank Buil<lin"'. 

Houston, Tex.: Chamber f ommerce Buildin"'. 

lndiauapoli ', Ind.: hamb 1· of Comm re Building . • J ad:. ·onYill , l• la.: Chamber of 'ornm r BuiMing. 

Knnsa. ity, ~lo.: 10:.. Baltimore Avenue. 

LoR Angele·, 'alif.: 1163 outh Broadway. 

Louisdll . K,r.: 40 Federal Building. 

Memplu~, Tenn.: 229 F cleral Buildino-. 

Minneapoli , Minn.: 213 F cleral Building. 

New Orl ans, La. : R )om 225-A, •ui-tomhou. e. 

,. T w York, 1r_y_: 734 Cu tomhou. e. 

To rfolk. a . : 406 ga t Plume treet. 

Pbilnd I11hia, Pa. : 422 omm r ·inl Tru ·t Buil ing. 

Pittsburcrh, Pa.: hamb r of omm r Building. 

P ortland, Ore 0 ·• : 21:- • w P . t fli l uilding. 

t. Loui , i\Io.: 50 liY tre t. 

nn r,,ran ·i. c:o, Calif.: 1 u t mhou e. 

attlt>, Wasl1 . : '09 F 1lPrnl lflk Bnildin . 
Approved Code No. 242 

CODE OF FAIR COMPETITION 

FOR THE 

MARINE AUXILIARY MACHINERY INDUSTRY 

As Approved on January 30, 1934 

ORDER 

APPROVING CODE OF FAIR COMPETITION 

FOR THE 

MARINE AUXILIARY MACHINERY 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 Marine Auxiliary Machinery Industry, 

and hearings having been duly held thereon and the annexed report 

on said Code 1 containing findings with respect thereto, having been 

made and directed to the President: 

NO"\V, 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. 

Approval recommended: 

1\1.A.LCOLM 1\1 urn, 

HUGH S. JOHNSON' 

Adm,inistr{J)tor for l ndUtStrial R ecovery. 

Division Admin-istrator. 

WASHINGTON, D.C., 

January 30, 1934. 

36706°-313-156--34 (G25) 
THE PRESIDENT' 

Th Wln'te Hoit.se. 

m : This i. a r port on the Code of Fair Comp tition for h 

Marine uxiliar 1\1achinery Indu tr of th l nitPd . 'tates eonducted in ,, a hinr;;ton on th 27th of OY 'mb<'r 1. a:1. i11 a onlan e 

with the pr vi ·ion. f th rational Industrial R C'OY 1·y ,\_c . 

PROVIS! ... ' OF THI ODE TO WA (;E ' ~. D Tl I J m, 

:Maximum hour for employees are · abli.J1ec.l , . £, ,llow : All employees, exc pt xecutive, admini trativ . uperYi. (1ry. awl tc ·bnical 

employees VI ho ar I aid at the rate f . ·35, 0 or mon· per ,,eek. a1 l 

traveling . ·ale men and ervice employe ·-40 hour · p<>r w ek, or 

hours in any one 24-hour period. "\\T atchm n and fir 111 n-48 hour::; 

p r week. The e maximu1n hour l ro-visi n · do not pply to an. 

em rg n j condition which cannot be acl quat 1 m t by hirin<Y additional mployee , but in all nch ca e at lea. t on , nd on half hi.· 

regular rate hall be paid to each employe f r all time 1·k on 

Snnday · anc.l l gal holi la_r., or beyond the reo·ular hour per ]a 

or 40 hours per week maximum a · tipulated aboYe. 

Minjmum vYage for employee are e tabli he l a· follo,v'"' : A ll mployees, xcept learner·, eno·aged in production and in lab r opera -

tion.- dire tly incirtent ther to-40 cent per hour. Learn r oth r 

than a.ppr nti es-80 of such minimum hourly ,ag th number 

,{ ka rn rs of any inr loyer not t xc ed. 5 ~ of the total nmn er f 

employ- e.- over d by u ·h minimnm hourl} wa<Y . H oth r m1 l . .·, ex ept office boy and girls and tho.- who.:.e arning ·apacity 

i , li1nited b cau.-e of afre or phy ·i al or mental ha ulicap-,'1 .0 per 

week. Office boy and o-irl. ·-80 of ·uch minimum w kl ag 

the number of .-nch offic b ... and girl of any emplo ·e1 n t to x: eed 

5'/c of th total numb r of emplo e ~ C(ff rel by . Ht'h minim un 

,Yeel 1. , \Yage. Inc;1pacitatetl empl 1e ma. T b paid le. than th 

e. tabli:--hed minjmum hourly wao· ba.-e 1 on proYi::..i m of · rtifi < t 

obtain cl from stat<' anthorit3 de. ignat cl Ly the C. '. D •par m n 

f Labor. 

Emplo ·me>nt of any per. on nncl r 1 · . · ar. of :tgl' an l any n 

nnclC'r 1, yenr · of c1g at ocn1pati< n:-. lrnznnlou. in wit 11r or dan r111 . to health i:-; pr bibit ,(I_ 

Th 1·ight of rnqloy C's to rg,rniz• nu l bargain <'oll ctiY 

tbr lli::-,h re11· :-.Entciti,· ':-- of th ir mn1 chrn .._jno i. r •cugnized. 

rmploy e .-hall r qnir <1 a:-- n cornlitio11 of l'rnploymtint to .i< in 

!lny c·ompan. · union, or to rpfrn in from joi1 i11μ:. 11rμ:;1111zi11g, or a .... :--i:--tillp: a lc1l or org:rnization of his< wn dwo .... inμ:. 

E< '0, o , 11(' EVFE "l' Jo' TIIE < lll>J-: 

The iL1ri1w ~\ 11. ·iliar\' . Lwlii11 'J'\' rnl11:--tn ranl,:-. a11H111~ th h' 

in<hu4riPs 'XP 1 ri 1wing · (lw gr ,a(l'~t l . o( lll1--irn•--. du' t) tlw 

l pr ':--:--i m Uw anrnral --ale:-. of llw ind11--try fnl)in!!,' frnlll ,"L~, 0 

Ii:! i 
627 

- in 1929 to $1,000,000 in 1932 and 1933, a decline of 71 % £rom the 

l 929-1930 peak; and employment declining from 1,200 in 1929 to 500 

in June 1933, a decrea ·e of 58% . The average hours actually worke<.l 

per week declined from 49.5 in 1929 to 45.5 in July 1933, a decrea e 

of 8.1 %, It is estimated that more than half the employees were 

working 35 hour or les during the wf-'ek of October :21, 1933. The 

average weekly earning for June 1933, ·were $19.24 and for October 

1933 they were $22.88, representing an increase of approximately 

] 9%. It is believed that the provisions in this Code permit adequate 

control and at the ame tim0 in ur l eYelopm nt an 1 ound 

ex.pan 10n. 

FINDINGS 

The A sistant Deputy Adrn.inistrator in hi · final report to me on 

said Code having found as herein et forth and on the ba i of all 

the proceedings in this matter: 

I find that: 

(a) Said Code i well de igned to promote the policie and p urposes of Title I of the National Indu trial Recovery Act, including1 

r emoYal of obstructions to the free flow of interstate and foreign 

commerce which tend to dimini h the amount thereof and will provide for the general welfare by promoting the organization of indu try 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 competitve practices, by promoting the fullest possible 

utilization of the present productive capacity of industries, by 

avoiding undne restriction of production ( except a may be temporarily required), by incr ea ing the con umption of industrial antl 

agricultural products through increasing purchasing po,ver, by reducing and relieving unemployment, by improving standards of 

labor, and by otherwise rehabilitating indu try. 

(b) Said Industry normally employs not more than 50,000 employees; and is not cla sified by me as a major indu try. 

( c) The Code as approved corn.plies in all respect with the pertinent provisions of said Title of said Act, including without limitation Sub ection (a) of Section 3, Subsection (a) of Section 7, and 

Subsection (b) of S ction 10 thereof; and that the applicant association is an industrial association truly representative of the aforesaid 

industry; and that said asso2iation imposes no inequitable restrictions on admission to membership therein. 

(cl) The Code is not <le ignecl to and will not permit monopolies 

or monopolistic practices. 

( e) The Code is not de igned to and will not eliminate or oppress 

small enterpri es 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, the ref ore, I have a pp roved this Code. 

Respectfully, 

HuoH S. JOHNSON, 

JANUARY 30, 1934. Administrator. 
CODE OF FAIR COMPETITIO 

FOR THE 

MARINE AUXILIARY MACHINERY INDUSTRY 

Ann LE I 

To effe tuate the I olicie · of Titl I of the ational In lnstrial 

R coYery ct, the follo" ing provi ·ion an' submitted a a cl of 

Fair Competition for the Marine Auxili£t.ry 1achin ry Indu. tr and 

upon approval by the Presi lent hall be the Stan lard of Fair ompetition for . ·nch Irnln try and hall be bin lino- npon eYery member 

thereof. 

... \_nTICLE II- DEFINITIO:N s 

1 lw term '· 1Iarjne \..uxiliary Machin ry Inclu. ·tr , a u r<l h rein 

in<:lucle: the manufacture for . ·ale of machinery of the cla ·e of 

._ te ring g ar windla . ·es warping and cargo handling ma chinery 

towjng machiner)', air1 lane and boat cranr:, and all oth r marin 

l ck rnachjn 1·1. 

The h rm "employee .. a.'-' u:-;ed herein inducl · any n eno·ao·ed in 

the Industry in any apacity r ceiving comp n ·ation for hi rvi 

irre:pediYe of th nature r method of payment of . ·nch c mp nsation . 

The term 'employer a · n · l herein inclu lr. · any 1 by whom 

any such )rnploye' i.· c mp n ·atcd or 1nplo ·ed. 

11w term · mernlwr of the In Ju tr. inrlrnles .. 1nyon n aa l 

jn tlH' Industry a.· nbon' d fined. ither a: an emplo~' r or on hi 

hehalf. 

The tC'rm, " Pr iclent · 

herein mean, r spe tively th 

Taticmal Indu::--frin l Recov ry 

of said ... \.rt. 

nite I 

dmini::-trator 

Th t( rm ·· ocle ... uthorit1 '' a:-- 11 Pel her in 111en11~ the 

Yid d for in \.rh ·h· , I of thi: cl . 

l'OTh term ·' eff, ti,·e clat ' n : n cl herein 1up,111::,, the t n h day 

n ft r tlw "ode is a pproY cl by tlw Pr ,·id nt. 

'Ih<> tt>rm ·' lPnrn r menn. · an em1 loy l with n J reYi 11. · .·1 rinc· on tlw ·la.:,., of work for which h is rn<rag 1. b ing train (l t< 

he ·ome c·om 1 0tc•11 on one or 111or ma hin op rn tinn~ but who ha 11 

not l <:' :o ·la:,.,~ifi 'cl a ftpr nin ,t)' ~)0 clay.·' (•. ·p ri ' JH' ' · 

.• .\R'I I ·1,g III- Hu HS 

1. ........ o lll} lo., <'' <'Xt·Ppt ex<•c·11ti,l'. admini. trnti, '· 11 n·i.ory. :uhl 

t drnic·al mplc y~ '. \\'ho ar1• paid at th<' rat • of ::3.~>.0 l c r 111or • }>l'l' 

Ii:. l 
629 

week, travelinO' sale men and outside ervice employees, .:hall be 

permitted to w~r~c in excess of forty (40) hour. · in_ any one week, or 

flight (8) hours 1n any one twenty-four-honr penod. 

2. No watchmen or firemen shall be permitte l to work in excess 

of forty-eight ( 48) hours per week. 

3. The maximum hour fixed in Section 1 of this Article shall 

not apply to any employee engaged in repair or break- l?~n, or ~he 

protection of life and property, or any emergency cond1t10n wluch 

can not be adequately met by hiring aclditional employee , pro,7 icled . 

that in all such ca ·es at least one and one-half hi · regular rate ·hall 

be paid to each employee for all time worked on Sunday · an l legal 

holidays, or beyond the regular eight (8) hollr per clay or forty 

( 40) hour per week maximum stipulated in Section 1 of this Article. 

No employer shall knowingly engage an employee for a time which 

totaled with that already performed \\7ith another employer or employers exceed the maximum permitted herein. 

ARTICLE Iv-,v AGES 

1. The m1n1mum wage that shall be paid by any employer to 

any employee engaged in production and in lnbor operations directly incident thereto shall be not less than 40 1 per hour; provided, 

however, that learners ( other than apprentices as defined in Section 4 of this Article) may be paid not less than 80% of such minimum wage, but the total number of learners employed by any 

employer shall not exceed 5% of the total nnmber of employees 

mployed by uch employer covered by the provision of this Section 

1, and provided further that after three months of work in this 

Industry learners shall be paid not le. s than the minimum wage 

herein provided. 

2. A person whose earning capacity is limite l because of age or 

physical or mental handicap, may be paid at a rate not le s than 80% 

of the minimum established by Sections 1 and 3 of this Article, if the 

employer obtains from the state authority designated by the 1 .S. 

Department of Labor, a certificate authorizing his employment at 

·uch wage and for such hours as shall be stated in this certificate. Each employer shall file with the Code Authority a Ii.st (.lf all such 

persons employed by him, which number of per ons shall not exceed 

5 o of the total number of ·employees employed by uch employer. 

3. The minimum wage that shall be paid by an employer to all employees other than those described in Sections 1 and 2, Article IV, 

shall be at the rate of $15.00 per week whether calculated on an 

hourly, weekly, monthly, piecework, or any other basis in accordance with the usual custom of the employer; provided, however, that 

office boys or girls may be paid at not le s than 807£ of uch minimum 

wage rate, but the total number of such office boys or girl: employed 

by any employer shall not exceed 5 % of the total number of employees employed by such employer covered by the provi ion · of 

this section. 

4. Subject to the right of the Administrator upon review to disapprove any such system or course of training, nothing in this 

Article IV 8hall apply to or effect a bona fide apprentice employed 
630 

under a ystem or course of training and which when completed will 

make the apprentice a skilled mechanic. Provided the total number 

of apprentices shall not exceed on apprentice to ach five qualified 

skilled mechanics in the parti ular trade or occupation for which 

su h apprentice is being trained. Th se apprentice · ·hall b paid not 

le than 80% of the minimum ,vao-e per Article IV, 0 ction 1 and 

for u period not to exceed two year from date f mpl yment. 

5. Not later than ninety days aft.er the e:ffecti e date of this Code 

· each employer shall report to the Admini trator through th° Code 

Authority the action taken by uch emr loyer in aclju tincr wao-e 

rate for all employees receiYing more than th minimum wao- s 

provided in Sections 1 and 3 of thi Article IV, except ex cutive, 

administratiYe, supervisory, and technical em1 loye recei, ing <1 ·3 .00 

a week or more, and salesmen. 

G. Thi Article e tabli he a minimum omr en ation irr spective 

of wh ther an employee is actnally compen ated on a time rat , pi ework, or other ba is. 

ARTICLE V-GENERAL LABOR Pnon ION 
631 

8. Labor agr ements now in force between members of the Indu ·try and their employees shall be affected only by such provisions 

in tlu · Code !ls 1 1ay pre cribe hi her wage. · and shorter hours than 

nre provit1ed for in su h agreements. 

ARnCLE VI-An::nr TI 'TRATION 

To further effectuate the _policies of the Act, a Code Authority 

is her by constituted to adnuni ter this Code; all uct · of said Code 

Authority are subject to the disapproval of the Administrator. 

1. Organization and constitution of Code Authority. 

(a) The ode Authority shall consist of not more than is: individual , five of whom shall be elected from among the members, 

or offi ers of members of the :Marine Auxiliary :Machinery }Uannfactur rs As..:ociation, and one of whom shall be elected from an1ong 

the nonm mbers or officers of nonmembers of said a. ·o iation, if 

there be such nonmembers. 

Each member of the Industry who has conform d ,,ith th provisions for participation established in Section 3 of this Article YI 

shall have equal vote in electing the members of the Code Authority. 

The Administrator may, at his discretion, appoint not to exc eel one 

additional member without vote. 

(b) The 1\1arine Auxiliary ~fachinery .Manufacturers A ·:;ol'iahon 

shall impo ·e no inequitable r estriction on membership and shall subn1it to the Administrator true copies of its article of association, 

bylaws, regulations, and any amendment. · when nu de ther to. 

( c) The Code Authority ·hall elect its officers and engage such 

agencies and as ign to each such duties as it may leem ac.lYi .. able 

subject to review by the Administrator. The Cocle L nthority shall 

provide its o" n rule of procedure and shall ha Ye full power and 

authority for the administration of this Code to the extent permitted by the Act and provided by the Code. · 

2. (a) The Code Authority may, from time to bm . present to the 

Administrator recommendations based on conditions in this Industry 

a they may develop ·which will te11cl to effectuate the pnrpo es of this 

Code. 

(b) The Code Authority shall conduct investigation~ as to the 

functioni11g and ob ervance of any provi ions of this Code al its 

own instance or upon complaint by any per ·on to the extent permitted by the Act. 

( c) ~!embers of the Indu try hall file with the Code Authority 

at such time and in such manner as may be prescribed, statisti ·s 

overing number of employee , wage rat . ·, employee earning , honrs 

of work and such other data as may be required for the administration of this Code. 

3. Any member of the In<lu::;try shall be entitled to participate in 

and share th benefits of the activities of the Code Authority anJ 

to participate in the ·election of the member thereof by a ·senting 

to and complying with the requirement of the Co le and su taining 

his rea onable . hare of the expen e of administration. The said 

rea::;onable ·hare of the expense of the administration shall be determined by the Code Authority, subject to review by the Administra-
632 

tor, on the ba is of volume of business and such other factors as 

may be deemed equitable to be taken into consideration. 

4. In addition t the information required to be submitted to the 

Co le Authority, there shall be furni hed to Government agencies 

such tati ti al information as the Adm.ini trator may deem neces-

·ary for the purpo es re ited in Section 3 (a) of the Act. 

r 

be 

ARTICLE VII-TR DE PRACTICES 

methods of 
633 

8. Selling under contracts which £ail to specify the size and price 

of the machine an l equipment and any freight allowanc ·, with 

terms of payment. 

9. J othing in this Code sha 11 limit the effect of any adjudication 

by the Courts, or holding by the F ederal Trade Conunission , on complaint, finding, and order that any practice or method i unfair, providing that uch an adjudication or holding is not incon ·i.tent with 

any proYi ion of the Act or of this Code. 

ARTICLE VIII-MODIFICATIO N 

1. Such of the provisions of this Code as are not req uired to be 

included therein by the Act may, with the approval of the P resident, 

b modified or eliminated as changes in circum tances or experience 

may indicate. It i contemplated that fron1 time to time, upplementary provisions to thi Code or additional Codes will be ubmitted 

for the approval of the President to prevent unfair competition in 

price and other unfair and destructive and competitiYe pra (·tice and 

to effect the other purposes and policies of the Act. 

2. The Code Authority shall, from time to time, make such r ecommendations including amendments of the Code as in its juclginent will 

aid the effective administration of this Code or may be necessary to 

C'ffect the purpose of th Act. Such amendment , when approved by 

the President, shall become part of this Code. 3. Violation of any provi ion 0£ this Code i an un£afr methorl 0£ 

ompetition and shall come within the . cope 0£ the penalties prescribed by the law. 

ARTICLE IX-STATI8TIC ' 

Except as otherwise provided in the Act all stati tic , data , and information filed in accordance with the provisions of Article VI shall 

be confidential, provided, however, that nothing herein hall prevent the publication of general summaries of such stati tics, data, and 

information. The statistics, data, and information of one employer 

shall not be revealed to any other en1 ploy er except that for the purpose of facilitating the administration of the provi ions of this Code, 

the Code Authority, by its duly authorized representatiYes and the 

Administrator, shall have access to any or all statistic , data, or information that may be furnished in accordance ·with the provi ions 

of this Code. 

ARTICLE X-AocouKTING A .i:~ o CosTIKG 

Every member of the Industry shall u ·e an accouuting sy -tern 

which conforms to the principles of and is at least as detailed and 

complete as the uniform and standard method of accounting and the 

uniform and standard method of co ting to be formulated or approved by the Code Authority subject to the right of the Administrator upon review to approve or disapprove such method of accounting and costing with such variations therefrom as may be 

required by the individual conditions affecting any member of the 

Indu try and as may be approved by the Code Authority subject 

to the right of the Administrator upon review to appro-ve or dis-
UNIVER SITY OF FLORIDA 

634 

II I II IIIIII Ill Ill lllll lllll II IIII IIIIII II llll 1111111111111111111 

3 1262 08853 8201 

approve such method 0£ accounting and costing, and made supplementary to said :formulated or approved methods 0£ accounting and 

costing. 

ARTICLE XI-SALES BELOW CosT 

(a) No member 0£ the Industry shall sell or exchange any product 0£ hi manu:facture at a price or upon terms or conditions that 

will result in the customer paying £or the goods received less than 

the co t to the seller determined in accordance with the uniform 

a.nd standard method o:f costing herein above described in Article 

X with the :following exceptions: 

1. Slow-moving and/or obsolete stock on hand on June 16, 1933, 

which mn t be sold at reduced prices to be mm ed. Member 0£ the 

Industry shall within thirty days after approval of Code make full 

report of uch tock on hand to the Code Authority, and shall al o 

report all sales o:f this material within thirty days after date of sale. 

2. Obsolete tock not on hand June 16, 1933, ubject to the approval 

0£ the Code Authority. 

(b) Provided, further, that the Code Authority, upon application 

to it, may grant p rmis ion to any employer in the indn try to sell 

below hi allowable co t in order to meet com petiti, e prices filed in 

accordance with the provisions of Article XI of this ode or to 

meet competition on products of equivalent design, character, quality, or specification. 

ARTICLE XII-MONOPOLIES 

No provision in this Code shall be interpreted or applied in such 

a manner as to (a) promote monopolies, (b) permit or ncourage 

unfair competition, ( c) eliminate or oppre s small enterpri e , ( d) 

discriminate against small enterprises. 

ARTICLE XIII-SEGREGATION OF INDU TRY 

If any member of the Industry is also a member 0£ any oth r 

industry, the provisions of this Code shall apply to and affe t only 

that part of hi busine s and employment which i included in thi 

Indu try. 

Thi · o 1. ar pro al b 

ARTI LE XIV-RIGHT OF PRE IDE T 

AnTI LEX - FFE TIYE D \TE 

ff lY n th nth la 

0 

f r it