Approved Code No. 267 Registry No. 203-3-03 

NATIONAL RECOVERY ADMINISTRATION 

CODE OF FAIR COMPETITION 

FOR THE 

USED TEXTILE BAG INDUSTRY 

AS APPROVED ON FEBRUARY 8, 1934 

WE -DO OUR PART 

f 1 a • 0 -: 

UNITED STATES 

GOVERNMENT PRINTING OFFICE 

WASHINGTON : 1934 

For sale by the Superintendent of Documents, Washington, D.C. - - - - - - - Price 5 cent3 
This pub lien tion is for sale by the Superintendent of Documents, Government 

Printing Office, Washington, D.C., and by district offices of the Bureau ot 

Foreign and Domestic Commerce. 

DISTRICT OFFICES OF THE DEPARTMENT OF COMMERCE 

Atlanta, Ga.: 504 Post Office Building. 

Birmingl1am, Ala.: 257 Federal Building. 

Boston, l\1ass.: 1801 Customhouse. 

Buffalo, N.Y.: Chamber of Commerce Building. 

Charl e .. ton, S.C.: Chamber of Commerce Building. 

Chicago, Ill.: Suite 1706, 201 Nortll \Veils Street. 

CleYelantl, Oltio : Chamber of Commerce. 

Dallas. Tex. : Chamber of Commerce Building. Detr oit, Mich.: 801 Fir t Na tional Bank Building. 

H ouston, Tex.: Chamber of Commerce Building. 

Imliannpolis, Incl.: Chamber of Commerce Building. 

Jacksonville, Fla.: Chamber of Commerce Building. 

Kansas City, Mo.: 1028 Baltimore Avenue. 

Los Angeles, Calif. : 1163 South Broadway. 

Louisville, Ky.: 408 F ederal Building. 

Mcmpllis, Tenn. : 220 F ed er al Building. l\linneapolis, Minn.: 213 Federal Building. 

Ne'" Orlea n ·, La.: Room 2Z5- A, Cust omhouse. 

New York, N.Y.: 734 Customhouse. 

Norfolk, Va.: 40G East Plume Street. 

Phil adelphia, Pa.: 422 Commercial Trust Building. 

Pittsburgh, Pa.: Cl1amber of Commerce Building. 

Portland, Oreg. : 215 New Post Office Building. 

St. Louis, l\lo.: 506 OJi\·e Street. 

San F ra ncisco, ali ~. : 310 Customhouse. 

Seattle, \\ash . : 809 Federal Office Building. 
Approved Code No. 267 

CODE OF FAIR COMPETITION 

FOR THE 

USED TEXTILE BAG INDUSTRY 

As Approved on February 8, 1934 

ORDER 

APPROVING ConE OF FAIR Co:MPETITION FOR THE USED TEXTILE BAG 

INDUSTRY 

An application having been duly made pursuant to and in full 

compliance with the provi ions of Title I of the National Indu trial 

RecoTery Act, approved June 16, 1933, for appro-val of a Code of 

Fair Competition for the U eel Textile Bag Industry, and hearings 

having been duly held thereon and the ann_exed report on said Code, 

containina findings with re pect thereto having been made and 

directed to the President : 

N 0\' THEREFORE, on behalf of the Pre iclent of the United 

States, I , Hugh S. John on, Admini trator for Inclu trial Recm ery, 

pur uant to authority ve ted in me by Executi-ve Orders of the Pre ident, including Execut.i' e Order No. 6543----A, dated December 30, 

1933 and otherwi e; do hereby incorporate by reference aid annexed 

r eport and do find that said Code complie in all re pects with the 

pertinent provi ions and will promote the policy and purposes of 

said Title of ~id Act· and do hereby order that aid Code of Fair 

Competition be and it is hereby approved provided that the Code 

Authority hall appoint a committee which shall make a study of 

minimum ''age in the indu try looking toward measures which will 

enable an increa e in such minima and shall report such study, 

"ith recommendation , to the Admini trator prior to December 31, 

1934. 

H GH S. JoHN ON 

· A(bninistTatm' foT I ndustrial R ecovery. 

Approval recommended : 

A. D. \V HITESIDE, 

Division Ad11tinist1·ator. \VA. HI TGTON, D.C., 

F eb?'uary 8, 1934. 

3 11 °- 376-3<1-34 ( 1) 
REPORT TO THE PRESIDENT 

THE PRESIDENT' 

The White House. 

Srn : This is a report on the hearing on the Code of Fair Competition for the Used Textile Bag Industry, held in the Banquet 

Room of the Carlton Hotel, on December 13, 1933. The Code which 

is attached was presented by duly qualified and authorized representatives of the industry, complying with the statutory requirements, said to repre ent over 85% by volume and 50% by number 

of the industry. 

In accordance with the customary procedure every person who 

had filed a request for an appearance was freely heard in public, 

and all statutory and regulatory requirements were complied with. 

THE INDUSTRY 

The industry con1prises about 200 concerns having an investment 

in 1932 of approxi1nately $13,500,000. In 1929 the industry provided employment for 6,000 workers. This figure has fallen to 

4,000 employees in 1933. The aggregate annual sales have fallen 

from $100,000,000 in 1929 to $65,000,000 in 1932. 

PROVISIONS OF THE CODE 

The Code provides a minimum wage for males in the North of 

321j2 ¢, in the South 271j2 ¢; for fmnales in the North 27lj2 ¢, in the 

South 221j2 ¢. The Code further provides that differentials existing 

on July 15, 1933, between wages above the minimum shall be Inaintained and in no event shall wages be reduced because of any reduction in the number of working hours of employees. According 

to the division of Research and Planning average wages in this 

industry will be increased by 25 % in the North an 1 up to 50% in 

the South. 

Hours of work are limited to 40 hours per week and 8 hours per 

day, with the following exceptions : Office employees are permitted 

to work 48 hours in any one week provided they do not work more 

than 40 hours per week averaged over a period o~ two n1onths; 

truck drivers and shipping crews are permitted to work 48 hours per 

week; maintenance employees ?re permitted to work 44 hours per 

week; employees in a superYisory capacity receiving $35.00 or more 

per week, out ide salesmen an l watchmen are not limited as to 

hours; employees on emergency repair work are not limited as to 

hours, but are to be paid time and one third for all overtime work. 

A study made by the division of Research and Planning indicates 

that the effect of this Code will be to reemploy in this industry all 

but 7% of tho e employed during 1929. 

(2) 
3 

Representation on the Code Authority is provided for all member of the indu try. The Trade Practices incorporated in the 

Cole have received the support of all member f the industry and 

should tend to increase uniformity of practice. 

FINDINGS 

The D puty Admini trator in hi final report to .me on aid Code 

havino· found as herein et forth and on the basis of all the pro- ceeding ~ in this matter: 

I find that: 

(a) Said Code is well designed to promote the policie and 

purposes of Title I of the National Industrial Recovery Act, including removal of obstruction to the free flow of inter tate and 

foreign commerce which tend to dimini. h the amount thereof an l 

will prm ide for the general welfare by promoting the organization 

of industry for the purpo e of cooperative action among the trade 

groups, by inducing an l maintaining united action of labor and 

management under adequate governmental san tions and super-

' isions, by eliminating unfair competitive practices, by promoting 

the fulle t possible utilization of the pre ent produ tive capacity of 

indu tries, by avoiding undue restriction of prodnction (except as 

may be temporarily required), by increasing the con umption of 

indu trial and agricultural products through increa ·ing purcha ing 

power by reducing and relieYing unemployment, by improving 

standards of labor, and by otherw e rehabilitating indu try. 

(b) Said Industry normally employs not more than 50.000 employee and is not classified by me a· a major in lu try. 

(c) The Code as approved complies in all re pects with the pertinent provisions of aiel Title of ail Act, including ·without limitation Subsection (a) of Section 3, Sub. ection (a) of Section 7, 

and Subsection (b) of Soction 10 thereof; an l that the applicant 

association is an indu trial a ociation truly representative of the 

aforesaid industry; and that said association impose· no inequitable 

restriction on aclmi sion to member hip therein. 

(d) The Code is not designed to and will not 1 ermit monopolies 

or monopolistic practices. (e) The Code is not d ~. igned to an l will not eliminate or oppress 

small enterpri es and will not operate to discriminate against them·. 

(f) Tho e engaged in other teps of the economic process have 

not been deprive l of the right to be heard prior to approval of 

sail Code. 

For the:::e reasons this Code has been approved. 

Respectfully, 

FEnRUARY 8, 1934. 

HuGH S. JoHNSON, 

Admin?.'stTator. 
CODE OF FAIR COMPETITION FOR THE USED T EXTI L E 

BAG INDUSTRY 

AnTICLE I-PURPOSES 

To effectuate the policies of Title I of the National Industrial Recovery Act, the following provisions are established as a Code of 

Fair Competition for the Used TextilB Bag I ndustry and shall be 

the standard of fair competition for such I ndustry an l shall be binding upon every member thereof. 

ARTICLE II-DEFINITIONS 

1. The term "Used Textile Bag Industry" as used herein, is defined to include the buying, handling, gTacling, processing, for resale 

purposes, andjor selling of used burlap and cotton hags. Dealers 

handling used burlap and cotton bags along with other commodities 

and operatjng under the code for the "Scrap Iron, Non-Ferrous 

Scrap :Metals and ~Ta e Materials Trade", are not included with in 

the above definition of the Industry as far as the collection and grading of u eel t extile bags are concerned. 

2. The term " member of the Industry " inclu les anyone engaged 

in the Industry as above defined, either as an ljmployer or on his 

own behalf, and includes anyone who furnishes or contracts for labor 

as a part of a larger or further operation in the process of manufacturing the product. of the Industry. 

3. The term" employee" as used herein inclucles, but without limitation, anyone engaged in the Industry in any capacity receiving 

compensation for his services, irrespective of the nature or 1nethocl 

of payment of such compensation. 

4. The tern1' employer" as used herein includes anyone by whom 

any such employee is compensated or employed. 

5. The term " President "~ "Act ", and "Administrator " a used 

herein shall mean respectively the President of the United States, 

Title I 0f the National Industrial Recovery Act, and the Administrator for Industrial Recovery. 

6. The term ' South" as used herein includes the states of Virginia, North Carolin3., South Carolina, Georgia, Florida, Alabama, 

l\1ississippi, Arkansas, Louisiana, Oklahoma, Texas JYiaryland, Tennessee, an l Kentucky. 

7. The tenn "North " as u ed herein includes all of the territory 

of the United States except that portion included under the term 

"South." 

ARTICLE III-Houns 

1. No employee, except a her einn.fter provided, shall be permitted 

to \\'Ork in excess of forty ( 40) hours in any one week, or eight ( 8) 

hours in any bYenty-four (2<1- ) hour period. 

(4) 
5 

2. The maximum hours fixed in the foregoing section shall not 

apply to-

( a) Office employees, who c:hall be p vrmitted to work forty-eight 

( 48) hours in any on w·eek, proYidecl, hm' ever, that the number of 

hours worked per week over a period of two (2) months shall average 

not more than forty ( 40) hours per week. 

(b) Truck dri,Te rs and shipping crew , who shall be permitted 

to work not in excess of forty-eight ( 48) hours in any one week. 

(c) Employees exclu ively engaged a engineers, electricians, firemen or machinery repairmen, who shall be permitted to work not 

in excess of forty-four ( 44) hours in any one week. 

(d) Employees in an executive or managerial capacity, regularly 

receiving not less than thirty-fi\e dollars ($35.00) per week, watchmen and out ide salesmen. (e) Employees on emergency n1ain terrance or emergency repair 

work, in,olving breakdo\\n, or protection of life and property, but 

in any such special case at lea t one and one third times his normal 

rate shall be paid for hours worked in excess of the maximum hours 

herein provided. 

3. No employee shall work or be permitted to work for a total 

number of hours in excess of the number of hours prescribed for each 

week and day, whether employed by one or more en1ployers. 

4. Whenever any member of the Industry employs the services 

of members of his family, all such persons must be regarded as 

employees, and hall .be subject to all provi ions contained in this 

Code affecting employee of members of the Trade. 

1. The following 

employees : 

ARTICLE IV-WAGES 

minimum wage rates are e tabli heel for 

North South 

Males, per hom·---------------------------------- 32~¢ 27%¢ Females, per l1our ______________________________ 271h.¢ 221h.¢ 

(a) These differentials shall be based on substantially different 

employment, and 

(b) Female employees performing substantially the same work as 

male employees shall recei\e the ame rates of pay as male employees. 

2. This Article e tablishes a minimum rate of pay, regardless of 

whether an employee is compensated on a time rate, piece work, 

or other basis. 

3. DifferentiaL existing on July 15, 1933, between wage rates paid 

various classe · of employees receiYing more than the minimum \\age 

·pecified above shall be maintained; wages of employees receiving 

more than the minimum wages specified aboYe shall not be reduced 

below the rates existing on July 15, 1933, notwithstanding any reduction in the number of working hours of such employee . 

ARTICLE V-GENERAL LABOR PROYISIONS 

1. No person under sixteen (16) years of age hall be employed 

in the Industry, nor anyone under eighteen (18) years of age at 

operations or occupations hazardou. in nature or detrimental to 

health. The Codp Authority shall . ubmit to the Administrator 
6 

before March 1st, 1934, a li t of such occupations. In any State an 

employer shall be deemed to have complied with this provision, if 

? e s.hall have on file a certificate or permit luly issued by the authorIty 1n uch State, empo" ered to issue employment or ag certificates 

or permits showing that the employee is of the required age. 

2. Employees hall have the right to organize and bargain collectively through representatives of their own choo ing and hall be 

free from the interference, restraint, or coe.rcion of employers of 

labor, or their agents, in the de ignation of such representatives or 

in self-organization or in other concerte l activities for the purpose 

of collective bargaining or other mutual aid or protection. 

3. 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 assi ting a labor organization 

of his own choo~i ng. 

4. Employers, hall comply with the maximum hours of labor, minimum r ates of pay and other conditions of employment, approved 

or prescribed by the President. 

5. Within each State member of the Industry shall comply with 

any laws of uch State imposing more stringent requirements on employers, regulatino- the age of employee , wages hours of work, or 

health, fire protection, or general working conditions than under 

this Code. 

6. Employers shall not reclassify employees or duties of occupations performed by employees or use any "other subterfuge so as to 

defeat the purposes of the Act. 

7. Each employer hall post in a conspicuous place of easy and 

continuous access to employees, the Articles dealing with hours, 

wages, and general labor provisions of this Code. 

8. No home work shall be permitted in the Industry. 

9. Every employer shall make reasonable provisions for the safety 

and health of hi employees at the place and during the hours of 

their employment, furnishing a safe, sanitary, heated, and properly 

ventilated work place. Six months after the effective date of this 

Code; the Code Authority hall submit re ommenclations for setting 

up standards of health and safety for employees in this Industry. 

AnTICLE VI-AmvnNISTRATION 

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

is hereby constituted to cooperate with the Administrator in the 

Administration of this Code. . 1. The Code Authority shall include as me1nbers: 

(a) Twelve (12) individuals to be selected by the Board of Directors of the National Burlap Bag Dealers Association. 

(b) Such additional member , not exceeding three, as may be 

approved fron1 time to time by the Administrator, to be elected in 

a manner to be approYed or prescribed by the Administrator by 

nonmembers of the Association who shall comply with Section 5 

of this Article. 

(c) Not more than three (3) a lditional member , without vote 

to be appointed by the Ar]ministrator to r epresent uch groups 

or intere ts or uch governmental agencies as he may de ignate. 
7 

2. Duties and power of Code Authority: 

The Code Authority shall have the following duties an powers 

to the extent permitt d by the A t. 

(a) To make rule and regulations nece ary for the administration of this Code within the Indu try. 

(b) To make inve tigation a to the functioning and observance 

of an provi ion· of thi Code at it own in tance, r on complaint 

by any per on affected, and to report the ame to the Administrator. 

(c) To reqnir , from time to time, from each per on in the Industry, report in uch form and containing uch information as the 

Admini ti·ator may prescribe, in order that he may be kept informed 

with re pect to the ob ervance of thi Code. Except as otherwise 

provided in the Act any report-· filed in a'"'cordance with these pro-

,-ision , hall be confidential, an l the data of one employer shall 

not be reYealed to any other employer. 

(d) To present to the A lmini trator, from time to time, recommendations based on condition in the Indu try, as they may develop, 

which will tend to effectuate the operation of the pro-vision of this 

Code. Such recommendations when approved by the Administrator 

after such notice and hearing as he shall specify hall have the same 

force and effect as the other provi ·ion of this Code. 

(e) To ubmit supplementary code of fair trade practices for 

the Industry which, when approT"ed by the Administrator, hall have 

the same :force and effect as thi Code. 

(f) If the Administrator hall determine that any action of the 

Code Authority or any agency thereof i unfair or unj u t or contrary 

to the public intere t, the Admini trator may require that such action 

be suspended for a period of not to exceed thirty da rs to afford an 

opportunity for investigation of the merits of such action and 

further con ideration by such Code Authority or agency pending 

final action, which hall be taken onl upon approval by the Admini trator. 

3. Each trade a o"iation directly or indirectly participating 1n 

the selection or acti-ritie of the Code Authority shall: 

(.a) Impose no inequitable restrictions on member hip. 

(b) Submit to the Admini trator true co pie of it article of 

a ociation bylaw , regulation , and any amendment , when made 

thereto. tog ther with such other information a'"' to member hip, 

organization, and activitie a the Adm_inistrator may deem nece ~ ary 

to effectuate the purpo e of the Act. 

4. In order that the Code Authority shall at all times be truly rep- re entative f the Indu try and in other respe ts comply with the 

pro-ri ion of the Act, the Admini tl·ator may pr vide uch hearing 

a he may deem proper and thereafter if he hall find that the Code 

Authority is not truly repre entative or lo s not in other respects 

comply with the provi ion of the Act, may require an appropriate 

modification in the method of selection of the Code Authority. 

5. :Me-mbers of the Indu try hall be entitled to participate in and 

hare the benefits of the actiYitie · of the Code Authority and to 1 ar- ticipate in the selection of the member thereof by a.' ·entino· to and 

complying with the requirements of this Code and n taining their 
8 

reasonable share of the expenses of its administration. The reasonable share of the. expens~s of admiJ?.istration shall be determined by 

the Code Authonty, subJect to rev1ew by the Administrator on the 

ba is of volume of business and/or such other factors as may be 

deeme l equitable to be taken into consideration. 

6. In addition to the information required to be submitted to the 

Code Authority, there shall be furnished to government ao·encies 

such statistical information as the Administrator may deem 0

necessary for the purposes recited in Section 3 (a) of the Act.

1 

ARTICLE VII-TRADE PRACTICES 

The following practice constitute unfair methods of competition 

for the members of the Indu try and are prohibited : 

1. The giving, permitting to be given, or directly offering to give 

anything of value for the purpose of influencing or rewarding the 

action of any employee, agent, or representative of another in relation to the business of the employer of such employee, the principal 

of urh agent or the represented party, without the knowledge of 

such employer, principal, or party. Nothing herein shall be construed to prohibit free and general distribution of articles commonly used for advertising except so far as such articles are actually 

use l for commercial brjbery as hereinabove defined. 

2. The secret payment or allowance of rebates, refunds, commissions, credits, or unearned discounts, whether in the form of money 

or otherwise, or the secret exten. ion to certain purchasers of special 

service or privileges not extended to all purchasers on like terms 

and conditions. 

3. The false branding or marking of any product of the Industry 

in any manner which tends to deceive or mislead purchasers, with 

re pect to the grade, quality, quantity, origin, size, material content, or preparation of such product. 

4. \Vithholding fr01n or in ·erting in the invoice tatements which 

make the invoice a false record, wholly or in part, of the transaction 

represented on the face thereof. 5. The use of advertising (whether printed, radio, display, or of 

any other nature) or other repre entation which is inaccurate in any 

material particular or in any way misrepresents any commodity (including its use, trade mark, grade, quality, quantity, origin, size: 

material, content, or preparation), or credit term , values, policie : 

services, of the nature or form of the busine s conducted. 

6. Inducing the breach of an existing contract between a competitor and his employee or customer or source of supply, or ·inter- fering with or ob tructing the performance of such contractual 

duties or services. 7. To enter into contracts for the sale of any of the productf:; 

of the Indu try the term of which are not specific as to quantities: 

price , and delivery dates. 

8. The sale or offering for sale of any products of the Industry 

on a basis of guarantee against decline in price. 

1 See paragraph 2 of order approving t his Code. 
9 

ARTICLE VIII-MoniFICA TION 

1. This Code an l all the provisions thereof are expressly mads 

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 licen e rule, or regulation issued under Ti le I of said 

;Act, and pecifically but without limitation, to the right of the 

President to cancel or modify his approval of this Code or any 

conditions impo~ed by him upon his approval thereo.f. 

2. After due notice and hearing, this Code, except as to provisions 

required by the Act, may be modified on the basis of experience 

or changes in circumstances; such modifications hall be based on 

the recomn1endation of the Code Authority or of any interested 

party or group or on the Administrator's own initiative and shall 

become effective on approval by the Administrator after such notice 

and hearing as he hall pecify. 

ARTICLE IX-Mo~oPOLIE , ETc. 

No prov1 wn of this Code shall be so a ppliecl as to permit 

monopolies or monopolistic practices, or to eliminate, oppres , or 

discriminate against small enterprises. 

ARTICLE X-EFFECTIVE DATE 

This Code shall become effective on the lOth day after its 

approval. 

Approved Code No. 267. 

Registry No. 203-3-03. 

0 
UNIVERSITY OF FLORIDA 

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