UNIVERSITY OF FLORIDA

1262 08482 9752 Registry No. 289-01

NATIONAL RECOVERY ADMINISTRATION

PROPOSED CODE OF FAIR COMPETITION

FOR THE

VARNISHED TUBING

AND SLEEVING INDUSTRY

AS SUBMITTED ON AUGUST 28, 1933

MEMBER

R

U.S.

WE DO OUR PART

The Code for the Varnished Tubing and Sleeving 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

-Price 5 centsFor sale by the Superintendent or Documents, Washington. D.C. - - - - - - -
SUBMITTED BY

THE VARNISHED TUBING INDUSTRY

( 1)
CODE OF FAIR COMPETITION FOR THE VARNISHED

TUBING AND SLEEVING INDUSTRY

To effectuate the police of Title I of the National Industrial

Recovery Act, during the period of the emergency, by reducing and

irelieving unemployment, improving the standards of labor, eliminating competitive practices destructive of the interests of the public.

employees and employers. relieving the disastrous effects of overcapacitv. and otherwise rehabilitating the varnished tubinigu and

sleeving industry and by increasing the consumptiOl of industrial

and agricultural products by increasing purchasing power, and in

other respects, the following provisions are established as a code of

fair competition for the varnished tubing and sleeving industry.

No piovision in this Code shall be interpreted or applied in such a

manner as to:

(a) Promote or permit monopolies.

(b) Permit or encourage unfair competition.

(c) Eliminate, discriminate against, or oppress small enterp)rises.

This Code shall apply to both intrastate and interstate transactions

and shall be enforced impartially upon all members of the Industry

whether or not they are members of the Varnished Tubing Association-the applicant for this Code-after any objecting member of

the industry has been given an opportunity to present his case to the

Federal Administrator.

PART I-EmpLoYMENT AND PRODUCTION

SECTION 1. Defndioan.-The term " Varnished Tubing and Sleeving Industry " as used herein is defined to mean the braiding of

cotton yarn and the processing of same in the manufacture of

varnished tubing and varnislhed sleeving. The term " employees

as used herein shall include all persons employed in the conduct of

such operations. The term " member of the industry " as used

herein is defined to mean manufacturers, importers, and/or primary distributors of varnished tubing and/or varnished sleeving.

The term " association " as used herein is defined to mean the

the Varnished Tubing Association or its successors. The term " effective date " as used herein is defined as Monday, August 7, 1933.

SEC. 2. Labor.-(a) Employees shall have the right to organize and

bargain collectively through representatives of their own choosing,

&nd shall be free from the interference, restraint, or coercion of emplovers of labor, or their agents, in the designation of such representatives or in self-organization or in otier concerted activities for the

Puipose of collective bargaining or other mutual aid or protection.

(b) No employee aind no one seeking emnplovnent slinl be rcqu ired

as a condition of employment to join any company union or to refrain from joining, organizing, or assisting a labor organizatili of

his own choosing.

8947-33 (1)
(c) Employers shall comply with the maximum hours of labor,

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

SEC. 3. On and after the effective date the minimum wage that

shall be paid by employers in the industry to any of their employees-except learners during a six weeks' apprenticeship, cleaners,

an( outside employees-shall be at the rate of $14 per week for

forty hours of labor.

(a) The amount of differences existing prior to July 17, 1933, between the wage rates paid various classes of employees (receiving

more than the established maximum wage) shall not be decreased;

in no event, however. shall any employer pay any employee a wage

rate which will yield a less wage for a work week of 40 hours than

such emiployee was receiving for the same class of work for the

longer week of 48 hours or more prevailing prior to J uly 17, 1933.

it shall be a function of the Board of Directors of the Varnished

Tubing Association to observe the operation of these provisions and

recomfieiid such further provisions as experience may indicate to

be appropriate to effectuate their purposes.

(b) Employers shall pay the minimum rate of pay per hour of

employment established regardless of whether the employee's compenisation is otherwise based on a time rate or upoi a piece-work

performance. SEc. 4. On and after the effective date, employers in the industry

shall not operate on a schedule of hours of labor for their employees-except repair-shop crews, engineers, electricians, firemen, office

and supervisory staff, shipping, watching, and outside crews, and

cleaners-in excess of 40 hours per week.

(a) On and after the effective (late the maxiimii hours of labor

of repair-shop crews, engineers, electricians, and watching crews

in the industry shall, except in case of emergency work, be forty

hours a week with a tolerance of 10 percent. Any emergency time

in any mill shall be reported monthly to the Secretary of the

Association.

(b) The maxinum hours of labor for office employees in the

industry shall be aii averag-e of forty hours a week over each period

of six months.

(c) Under no circumstances shall an employee be employed or

permitted to work for one or more employers in the industry in the

aggregate in excess of the prescribed number of hours in a single

week.

(d) The Industry shall submit to the Administration by January

1. 1934, a schedule of minimum wages and maximum hours for

cleaners and outside workers.

Sic. 5. On and after the effective date, employers in the Industry

shall not employ any minor under the age of 16 years.

SEC. 6. With a view to keeping the President informed as to the

(4bservalice or nonobservance of this Code of Fail- Competition, and

as to whether the Varnished Tubing Industry is taking appropriate

Steps to effectuate the declared policy of the National Industry Recovery Act, each person engaged in said Industry shall furnish to

the Secretary of the Varnished Tubing Association duly certified

reports in substance as follow and in such form as may hereafter

be provided:
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(a) Wages and Hours.-Returns every four weeks showing actual

hours worked by the various occupational groups of employees, and

minimum weekly rates of wages.

(b) Reports of Production, Stocks, and Orders.-Quarterly returns shall be made by every member of the Industry showing orders

of each iindiustry product slipped in feet. Varnished rlTbingo. A-)(-iation or its successors, 522 Fifth Avenue, New York City, is constituted the agency to collect and receive such reports.

PART II-FAIR COMPETITIVE PRACTICES

SEcTION 1. Every employer in the Industry shall usc au ac )unting system which conforms to the principles of the unifrm ni and

standard method of accounting set forth in the Sixth E (ltin 4f

tie Manual of Accounting, prepared and published by the National

Electrical Mantufacturers Association, and a costingy -\yStem

formulated or approved by the Board of Directors of tim A.tociation to meet the individual conditions of the Industry.

SEC. 2. No employer in the Industry shall sell or exchianie any

product of the Industry at a price or upon such terms or con(litionjs

that will result in the customer paying for the goods received less

than the cost to the seller, determined in accordance with the uniform

and standard method of costing hereinabove prescribed.

SEC. 3. Inasmuch as it is the recognized practice of the Indtistry

to sell its products on the basis of printed net price lists, or price

lists with discount sheets, and fixed terms of payment which are

distributed to the trade, each member of the Industry shall, within

ten days of the effective date hereof, file with the Secretary of the

Association a net price list or a price list and discount sheet as the

case may be individually prepared by him showing his current prices,

or prices and discounts, and terms of payment, and the Secretary

of the Association shall immediately send copies thereof to all known

manufacturers of such specified product. Revised price lists with

or without discount sheets may be filed from time to time thereafter

with the Secretary of the Association by any manufacturer of such

product, to become effective upon the date specified therein. bult such

revised price lists and discount sheets shall be filed with the Secretary of the Association ten days in advance of the effective date.

unless the Board of Directors of the Association shall authorize a

shorter period. Copies of revised price lists and discount sheets.

with notice of the effective date specified, shall be immediately :ent

to all known manufacturers of such product, who therelponl i may file.

if they so desire. revisions of their price lists and/or discount sheets.

which shall become effective upon the date when the revised price

list or discount sheet first filed shall go into effect.

SEC. 4. No member of the Indtlstry shall sell directly or indirectly

by any means whatsoever any product of the industry at a price

lower or at discomits greater or on more favorable terms of payment than those provided in his current net price lists or price ilits

and discount sheets.

SEC. 5. Every member of the Industry shall keep on file with the

Secretary of the Association an up-to-date list of all his distributors

and/or agents. each one of whom shall sign a written agreement to

accept and abide by the preceding Section 4 of Part II of this Code.
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SEC. 6. If varnished tubing or varnished sleeping is offered for

sale in this country at a price which threatens to defeat the purposes

of the Act the Board of Directors of the Association shall request

the President of the United States to license all members of the Industry and, or to place an embargo on the importation of such

pro(ucts.

SEC. 7. When a member of the Industry sells nonindustry and industry products together to the same customer, he shall not quote

a combined lump-sum price which is less than the sum of current

market prices of the separate products.

SEC. 8. No member of the Industry shall give or accept secret

payment or allowance of rebates, refunds, or unearned' discounts

whether in the form of money or otherwise or extend to certain

purchasers special services and/or privileges not extended to all pur- chasers.

Si 9. 9.No member of the Industry shall be a party to connmercial

bribery in any form.

SEC. 10. No member of the Industry shall engage in any misrepresentation-direct or implied.

SEC. 11. No member of the Industry shall make an invoice and/or

contract which is a false record of a transaction.

SEC. 12. No member of the Industry shall induce or attempt to

induce the cancellation of an order or the breach of a contract between a competitor and his customer or distributor.

PART III-ADMINITRATION

SECTION 1. The Varnished Tubing Association, the applicant herein. unanimously agrees to accept and be bound by all the provisions

of this Code on and after the effective date pending formal approval

of the Code by the President, and with such changes and/or additions as he may designate.

SEC. 2. The Asso( iationi imposes no inequitable restrictions on admission to membership and every member has but one vote.

SEc. 3. To further effectuate the policies of the Act the Board of

Directors of the Association shall cooperate with the Federal Administrator as a planning and fair practice agency for the Industry.

Such agency may from time to time present to the Federal Administrator reoiiiinendations based on conditions in the Industry as

they may develop from time to time which will tend to effectuate

the operation of the provisions of this Code and the policy of the

National Industrial Recovery Act.

SEc. 4. Any alleged infraction of the regulations governing the

Industry shall be investigated by a disinterested party, designated

by the Board of Directors. who shall report to an Arbitration Board

of three members, one of whom shall be appointed by the accused

meniber of the Industry, one by the Board of Directors of the Assoeiati()n. and one shall be selected by the other two. In the event

of the first two appointees being unable to agree on a third member

of the Arbitration Board. the third member shall then be named by

a United States District Court Judge upon the request of the Board

of Directors of the Association. This Arbitration Board shall give

a hearing to all parties at interest and shall report its findings to

the Board of Directors of the Association for its action.
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SEC. 5. Every member of the Industry shall, upon request, make

any or all of his records pertaining to Industry business available to

a disinterested party designated by the Board of Directors of the

Association.

SEC. 6. The expense of administrating this Code shall be budgeted

by the Association. Such expense shall be charged to and paid by

every member of the Industry in proportion to his shipments, in dollars, of varnished tubing and varnished sleeving sold as such in the

open market during the next preceding calendar year. provided that

the minimum annual payment hereunder shall be $250.

SEC. 7. Every member of the Industry shall pay to the Assuciation upon demand, semiannually in advance, one half the anniial

assessment determined in accordance with Section 6 of Part III

hereof. Nonpayment. within thirty (30) days of amounts assessed

against any member of the Industry shall constitute a violations of

this Code.

SEC. 8. This Code and all the provisions thereof are expressly

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

provisions of Clause 10 (b) of the National Industrial Recovcry Act.

from time to time, to cancel or modify any order, approval, license.

rule, or regulation. issued under Title I of the said act. and specIfically 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.

Such of the provisions of this Code as are not required to be

included therein by the National Industrial Recovery Act may,

with the approval of the President, be modified or eliiiminated as

changes in circumstances or experience may indicate. It is contemplated that from time to time supplementary provisions to this

Code will be submitted for approval of the President to prevent

unfair competition in price and other unfair and destructive conpetitive practices and to effectuate the other purposes and policies

of Title I of the National Industrial Recovery Act consistent with

the provisions hereof.

VARNISHED TUBING ASSOCIATION.

STEWART N. CLARKSON, Sccretarq.

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