Approved Code No. 309 Registry No. 219-01 

NATIONAL RECOVERY ADMINISTRATION 

CODE OF FAIR COMPETITION 

FOR THE 

SOLID BRAIDED CORD 

INDUSTRY 

AS APPROVED ON FEBRUARY 26, 1934 

A •' 

'WE DO. OUR PART 

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UNITED STATES 

GOVERNMENT PRINTING OFFICE 

WASHINGTON : 1934 

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Approved Code No. 309 

CODE OF FAIR COMPETITION 

FOR THE 

SOLID BRAIDED CORD INDUSTRY 

As Approved on February 26, 1934 

ORDER 

CoDE oF FAIR CoMPETITION FOR THE SoLID BRAIDED CoRD 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 Solid Braided Cord Industry, and hearings having been duly held thereon and the annexed report on said 

Code, containing findings with respect thereto, having been made 

and directed to the President : 

NOW, 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 Decen1ber 

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 hereb~ approved. 

HuGH S. JoHNsoN, 

Ad1ninistrato?· for Industrial R ecovery. 

Approval recommended: 

A. D. wHITESIDE, 

Division Admi111istrator. 

WASHINGTON, D.C., 

February 26, 1934. 

42450°--.--376-138----34 (349) 
REPORT TO THE PRESIDENT 

The PRESIDENT, 

The White H Otttse. 

INTRODUCTION 

SIR: This is a report of the Hearing on the Code of Fair Competition for the Solid Braided Cord Industry in the United States, 

conducted in Washington, D.C., on Tuesday, October 31, 1933. 

In accordance with the customary procedure, every person who 

filed a request for appearance was freely heard in public, and all 

statutory and regulatory requirements were complied with. 

The Code which is attached was presented by the duly qualified 

and authorized representatives of the Industry, the Solid Braided 

Cord Manufacturers Association, complying with the statutory 

requirements as representing at this time 100 percent of the tota:l 

number of producers and 100 percent of the volume of the industry. 

GENERAL CHARACTERISTICS OF THE INDUSTRY 

The term Solid Braided Cord Industry is used to define manufac~ 

ture of all solid braided cotton cord, -:f-2 of an inch in diameter and 

larger, including sash cord, bell cord, braided clothesline and other 

solid braided cords. 

There are fifteen (15) manufacturers in this industry located in 

the states of Massachusetts, Connecticut, Pennsylvania, Maryland, 

I\:entucky, North Carolina, Tennessee, Alabama and Georgia. It 

was brought out at the hearing that never in the history of the 

industry have there been more than 2,000 employees employed by 

these companies. 

It was shown that the manufacturers in this industry for the past 

several years have been ·suffering not only from a potential over 

capacity in the industry due to the large amount of equipment set up 

but also from severe competition from Chains, Jute, Manila, Hemp, 

Sisal, Twisted, Cotton Rope, or other Coarse Fiber Cords or Rope 

and also Twisted and Straight Wire wherever these materials can be 

used in place of solid braided cord. It is felt that because of these 

factors the industry in the last five ( 5) years has not shown a reasonable profit on investment. 

For years manufacturers in this industry have attempted to cooperate for the benefit of their needs, but not until the passage of 

the National Industrial Recovery Act were they successful in forming an association which could definitely set up a Code to aid in 

combating the serious evils which existed. An unusual spirit of 

fairness and a spirit of give and take finally brought about an agreement among all of the -manufacturers, thereby aiding in the formulating of a Code of Fair Competition conforming to the purposes 

(350) 
351 

of the Act. This is shown in the fact that the Associatic;1. now represents 100 percent of the total number of producers in the industry. 

RESUJ.VIE 

The labor provisions of this Code both as to wages and hours are 

practically identical with those established in the Code for the Cotton 

Textile Industry. This is of benefit in view of the fact that many 

of the manufacturers spin their own yarns before converting them 

into solid braided cord. 

There is a provision calling for the limitation of machine hours 

to two (2) shifts of forty ( 40) hours each. It is felt by all that 

eighty (80) hours of machine operation will amply take care of the 

production requirements of each manufacturer. 

There is a recommendation calling for the registration of all 

productive machinery and for the requirement by the Administrator 

that prior to the installation of additional productive machinery by 

persons engaged in this industry, except for the replacement of a 

similar number of existing machines, or to bring the operation of 

existing productive machinery into balance, such persons shall secure 

certificates through the Code Authority that such installation will 

be consistent with effectuating the policy of the National Industrial 

Recovery Act during the period of the emergency. 

FINDINGS 

The Deputy Administrator in his final report to n1e on said Code 

having :found as herein set forth and on the basis of all the proceedings in this matter; 

I find that: 

(a) Said Code is well designed to promote the policies and purposes of Title I of the National Industrial Recovery Act, including 

removal of obstructions to the free flow of interstate and foreign 

commerce which tend to dim.inish the amount thereof and will provide for the general welfare by promoting the organization of 

industry 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 competitive practices, by promoting the fullest 

possible utilization of the present productive capacity of industries, 

by avoiding undue restriction of production (except as may be temporarily required), by increasing the consumption of industrial and 

agricultural products through increasing purchasing power, by 

reducing and relieving unemployment, by improving standards of 

labor, and by otherwise rehabilitating industry. 

(b) Said Industry normally employs not more than 50,000 

employees; and is not classified by me as a major industry. 

(c) The Code as approved com plies in all respects with the pertinent provisions of said Title of said Act, including without limitati9n Subsection (a) of Section 3, Subsection (a) of Section 7, and 

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

Industry; and that said association imposes no inequitable restrictions on admission to membership therein. 
352 

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

or monopolistic practices. 

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

small enterprises 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 Code has been approved. 

Respectfully, 

HuaH S. JoHNSoN, 

A dn-uinis trat 01'. 

FEBRUARY 2G, 1934. 
CODE OF FAIR COl\1PETITION FOR TI-:IE SOLID BRAIDED 

CORD INDUSTRY 

ARTICLE I-PURPOS'ES 

To effectuate the policy of Title I of the National Industrial 

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

relieving unemployment, improving the standards of labor, eliminatjng competitive practices, destructive of the interests of the public, 

employees, and employers, relieving the disastrous effect of overcapacity, and otherwi e rehabilitating the Solid Braided Cord Industry, and by increasing the consumption of industrial and agricultural 

products by increasing purchasing power, and in other respects, the 

followin_& provisions are established as a Code of Fair Competition 

for the ~olid Braided Cord Industry. 

ARTICLE II-DEFINITIONS 

1. The term " Solid Braided Cord Industry " as used herein means 

the manufacture of all solid braided cotton cord, 5j o'2" in dian1eter 

and larger. 

2. The term "employee" as Used herein means anyone engaged 

in the Industry in any capacity, receiving compensation for his 

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

compensation. 

3. The term" emplGyer" as used herein includes anyone by vd1on1 

such employee is employed. 

4. The term" member of the Industry" as used herein means anyone engaged in the Industry as above defined, either as an employer 

or on his own behalf. · 

5. The term "productiYe machinery" means solid br.aicling 

machines. 

6. The term "Sonthern section of the Industry" as used herein 

includes the states of Virginia, Maryland, North Carolina, South 

Carolina, Georgia, Florida, ICentucky, Tennessee, Alabama, Arkansas, Louisiana, Oklahoma, Texas, and the term " Northern section 

o:f the Industry" includes the re1nainder of the United States. 

7. The terms "President", "Act", and "Administrator" as u ·ed 

herein mean respectively the President of the United States, the 

National Industrial Recovery Act, and the Administrator for Industrial Recovery under said Act. 

AnTICLE III-HouRs OF LABOR 

1. No employee-except office and supen isory staff receiving over 

$30.00 per week, and repair-shop crews, engineers, ·electricians, firemen, cleaners, and shipping, an l out ide crews-shall work or be 

(335) 
354 

permitted to work in excess of forty (40) hours in any one week or 

eight (8) hours in any twenty-four (24) hour period. 

2. Repair-shop crews, engineers, electricians, firemen, shipping 

and watching crews, shall not work or be permitted to work, except 

in cases of emergency involving breakdowns or the protection of life 

or property, in excess of forty ( 40) hours a week, with a tolerance 

of ten ( 10) per cent. Time and one-third shall be paid for all 

tilne in excess of forty-four ( 44) hours per week. 

3. Office employees shall not work or be permitted to work in 

excess of forty ( 40) hours per week averaged over .each six ( 6) 

weeks' period nor over forty-eight ( 48) hours in any one week. 

4. Outside crews, except in case of emergency, and cleaners shall 

not work or be permitted to work in excess of forty-four ( 44) hour 

per week. 

ARTICLE IV-WAGES 

1. No employee-except incapacitated employees, cleaners, and outside employees-shall be paid less than at the rate of $12.00 per week 

when employed in the Southern section of the Industry and $13.00 

per week when employed in the Northern section for forty (40) 

hours of labor. 

2. Incapacitated employees, that is, employees whose earning capacity is limited because of age, physical or mental handicap, or other 

infirmity, may be employed on light work at a wage below the minimum established in the foregoing section, if the employer obtains 

from the state authority, designated by the United States Department of Labor, a certificate authorizing such person's employment at 

such wages and for such hours as shall be stated in the certificate. 

Such authority shall be guided by the instructions of the United 

States Department of Labor in issuing certificates to such persons. 

Each employer shall file monthly with the Code Authority a list of 

all such persons employed by him, showing the wages paid to, and 

the maximum hours of work for such employee. No employer shall 

include within the category of physically incapacitated employees, 

more than five (5) p€r cent of the total number of his employees. 

3~ Outside employees and cleaners shall be paid not less than seventy-five per cent (75%) of the minimum wage prescribed in Section 

1 of this Article. 

4. The dollar differential existing prior to July 17, 1933, between 

the wage rates paid various classes of employees receiving more than 

the minimum wage prescribed above and up to $30.00 per week, shall 

not be decreased; and in no event shall any employee be paid at a 

rate which would yield a less wage for a work week of forty (40) 

hours than such employee was receiving for the same class of work 

for a longer work week prevailing prior to July 17, 1933. 

5. This Article establishes a minimum rate of pay regardless of 

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

other basis. 

ARTICLE V-GENERAL LABOR PROVISIONS 

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

in the Industry. 

2. Employees shall have the right to organize and bargain .collectively through representatives of their own choosing, and shall be 
355 

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 

coller.tive 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 assisting a labor organization of 

his own choosing. 

4. Employers shall comply with the maximum hours of labor, 

minimum rates of pay, and other conditions of employment, approved 

or prescribed by the President. 

5. Within each State this Code shall not supersede any laws of 

such State imposing more stringent requirement on employers regulating the age of employees, wages, hours of work, or health, fire, or 

general working conditions than under this Code. 

6. Employers shall not reclassify employees or duties of occupations performed by employees so as to defeat the purposes of the Act. 

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

Articles III, IV, and V of this Code. 

ARTICLE VI-MACHIXE Ho-cRs 

Productive machinery in the Industry shall not be operated for 

more than two (2) shifts of forty ( 40) hours each per week 

ARTICLE VII-TRADE PRACTICES 

1. No member of the Industry shall give any guarantee or other 

form of protection against price decline. 

2. No cord sl1all be labeled except in conformity with the standard 

weights prescribed by.the Code Authority. 

ARTICLE VIII-REPORTS 

1. With a view to keeping the President and the members of this 

Code informed as to the observance of this Code of Fair Competition, and as to whether the Solid Braided Corel Industry is taking 

appropriate steps to effectuate the cledared policy of the National 

Industrial Recovery Act, each person engaged in the Solid Braided 

Cord Industry shall furnish duly certified reports in substance as 

follows and in such form as may hereafter be provided: 

(a) Wages and hours of labo1·.-(l) Returns every four weeks 

showing actual hours worked by the various occupational groups of 

en1ployees and minimum weekly rates of wage. 

(2) Enwrgency tirne.-Reports every four weeks of any emergency time of employees of any mill. 

(b) M achrinery data.-The number of Solid Braiding Mad1ines 

operated each week, the number of shifts, and the total Solid Braiding Machine hours each week. 

(c) R eports of stocks on hand and sales.-Returns every four 

wee_ks showing the numbee of pounds shipped on sales during the 

penod and the number of pounds on hand at the end of the period. 

2. The Secretary o£ the Solid Braided Cord :Manufac tur~rs Association is hereby designated the agency to collect and receive from 
356 

each member of the Solid Braided Cord Industry the reports and 

data required herein and such further reports as may be required by 

the Adnrinistrator or the Code Authority, subject to the approval of 

the Administrator. The Secretary shall summarize the foregoing 

data and report to the Administrator or Code Authority and members of the Industry the aggregates based upon the data Eut shall 

withhold all information as to individual manufacturers, except as 

may be required by the Administrator or by the Code Authority in 

the administration of this Code. 

ARTICLE IX-Anl\IINISTRA.TION 

1. There shall forthwith be constituted a Code Authority consisting of: 

(a) Five (5) repre entatives of the Industry or such other number as may be approved from time to time by the Administrator, to 

be selected as hereinafter set forth. 

(b) Such additional members, -n-ithout vote, as the Administrator 

may appoint to represent such groups or intere ts or such governmental agencies and for such periods as he may designate. 

2. The representatives of the industry shall be selected in the 

following manner : 

Four ( 4) individuals shall be elected by a majority Yote of the 

members of the industry each member of the industry to haYe one 

Yote. A fifth individual shall be selected by a majority Yote of the 

four ( 4) individuals elected by the members of the industry. 

3. Each trade or industrial as ociation directly or indirectly participating in the selection or activities of the Code Authority shall 

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

by-la"· , regulations and any amendments when made thereto together with such other information as to membership, organization, 

and activities as the Admini trator may deem nece sar} to effectuate 

the purpo es of the Act. 

4. In order that the Code Authority shall at all times be truly 

repre entative of the industry and in other respects comply with the 

provi ions of the Act, the Administrator may prescribe 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 w1th the provisions of the Act, may require an appropriate modification in the method of selection of the Code 

Authority. 

5. The Code Authority shall cooperate with the Admini trator 

in making investigations as to the functioning and observance of 

any of the provisions of this Code at its own instance or on complaint of any person affected through a disinterested agency, and 

shall report the results of such investigations to the Administrator. 

6. The Code Authority may from time to time present to the 

Administrator recommendations based on conditions in the Solid 

Braided Cord Indu try as they may develop which will tend to 

effectuate the operation of the provi Ions of this Code and the policie of theN ational Indu trial RecoYery Act and in particular along 

the following lines : 
357 

(a) Recommendations (1) for the requirement by the Administrator of registration by persons engaged in the Solid Braided Cord 

Industry of their productive machinery, (2) for the requirement by 

the Administrator that prior to the installation of additional_productive machinery by persons engaged or engaging in the Solid 

Braided Cord Indus try, except for the replacement of a similar 

number of existing solid braiding machines or to bring the operation 

of existing productive machinery into balance, such persons shal~ 

secure certificates through the Code Authority that such installation _ will be consistent with effectuating the policy of the National Industrial Recovery Act during the period of the emergency, and (3) for 

the granting or withholding by the Administrator of such certificates 

if so required by him. 

(b) Recommendations for changes in or exemptions from the 

. provisions of this Code as to the working hours of machinery which 

will tend to preserve the balance of productive activity with consumption requirements, so that the interests of the Indu try and the 

public may be properly served. 

(c) Recomm~ndations for the making of requirements by the Administrator as to practices by persons engaged in the Solid Braided 

Cord Industry as to methods and. conditions of trading, the naming 

and reporting of prices which may be appropriate to avoid discrimination, to promote the stabilization of the Industry, to prevent and 

eliminate unfair and destructive prices and practices. 

(d) Recommendations for regulating the disposal of distress merchandise in a way to secure the protection of the -owners and to 

promote sound and stable conditions in the Industry. 

(e) Recommendations for dealing with any inequalities that may 

otherwise arise to endanger the stability of the Industry and of 

production and employment. 

Such recommendations, w·hen approved by the Administrator, 

shall have the same force and effect as any other provision of this 

Code. 

7. Any member of the Industry who accepts his share of the cost 

and responsibility as well as the benefits of participation in this Code 

may become a member of the Solid Braided Cord Manufacturers 

Association. The due · of the Association shall be le,·ied on such 

basis as may from time to .time be fixed by the ExecutiYe Committee 

thereof, subject to veto of the Administrator. 

8. :Members of the Industry who are complying with the requirements of this Code, and agree in writing, either individually or 

through trade associations, of 'vhich they are members, to abide 

by the r~quir~ments of the Code and to pay their reasonable share 

of the expense of the administration thereof, shall be entitled to 

vote in the election of the Code Authority on the same basis as a 

member of the Sqlid Braided Code Manufacturers Association, and 

to the benefits of the activities of the Code Authority. 

9. The expense of administration of this Code shall be borne by 

the signatories thereto and the proportionate share of each signatory 

shall be determined by the Secretary of the Code Authority, subject 

to review of the Administrator, on the basis of volume of business 

and such other factors as may be de~med equitable to be taken into 

consideration. The assessment of each member of the Industry 
II I II 1111111\il\\l~l~m\111111~ \iII~~[~~~~~~~~ IIIII I I 

3 1262 08486 8263 

358 

shall be maintained in confidence by t he Secretary of the Code 

Authority. 

10. I£ the Administrator shall determine that any action of a 

code authority or any agency thereof may be unfair or unjust or 

contrary to the public interest, the Administrator may require that 

such action be suspended to afford an opportunity for investigation 

of the merits of such action and further consideration by such code 

authority or agency pending final action, which shall not be effected 

unless the Administrator approves or unless he shall fail to disapprove after 30 clays' notice to him of intention to proceed with 

such action in its original or modified form. 

ARTICLE X-GENERAL 

1. The provisions of this Code shall not be interpreted or appliecl 

to permit monopolies or 1nonopolistic practices or to eliminate or 

oppress small enterprises or to discriminate against them. 

2. In addition to the 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 the purposes recited in Section 3 (a) of the Act. 

3. This Code and all the provisions thereof are expressly made 

subject to the right of the President, in accordance with the provisions of Section 10 (b) of Title I 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. 

4. 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 Administrator, be m.odified or eliminated if it 

appears that the public needs are not being served thereby and as 

changes in circumstances or experience may indicate. They shall 

remain in effect unless and until so modified or eliminated or until 

the expiration of the Act. It is contemplated that from time to time 

supplementary provisions of this Code or additional Codes will be 

submitted for the approval of the Administrator to prevent unfair 

competition in price and other unfair and destructive competitive 

practices and to effectuate the other purposes and policies of Title I 

o£ the National Industrial Recovery Act and which shall not conflict' 

with the purposes hereof. 

ARTICLE XI-EFFECTIVE DATE 

This Code shall become effective on the second Monday after date 

of approval. 

Approved Code No. 309. 

Registry No. 210-01. 

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