Evening star., 1933-07-29
lv the Assoe,ated Press

tions of President Roosevelt's general
agreement with employers to raise
wages and shorten hours Of employees
follows:
Interpretation Of questions that have
arisen in paragraph Z. The para
graph and the interpretations follow
in order:
"CD Not to reduce the compensa-
tion for employment now in excess Of
the minimum wages hereby agreed to
notwithstanding that the hours
worked in such employment may be
hereby reduced) and to increase the
pay for such employment by an equit-
able readjustment Of all pay schedules
Paragraph 7 means, first, that COM
pensation Of employees above the mini
mum wage group whether now fixed
by the hour, day, week or otherwise)
shall not be reduced, either to COM
pensate the employer for increases
that he may be required to make IN
the minimum wage group IN order to
comply with the agreement, or to turn
this unemployment agreement into
mere share-the-work movement with
out resulting increase OF total pur.
chasing power. This first provision OF
paragraph is general statement Of
what shall not be done.
Examples Are Cited.
THE rest OF paragraph is particu-
lar statement of what shall be done,
which is that rates Of pay for employees
above the minimum wage group shall be
increased by equitable readjustments.
No hard and fast rule can be laid down
for such readjustmentS, because the
variations in rates of pay and hours OF
work would make the application OF any
formula unjust in thousands Of cases.
We present. however, the following ex-
amples Of the need for and methods OF
such readjustments:
Example l. Employees now working
40 hours per week in factories. When
hours are reduced to IS, the present
rate per hour If increased one-seventh
would provide the same compensation
for a normal weeks work as before.
Example g. Employees now working
so hours per week in factories. When
hours are reduced to IS. a rate per
hour If increased one-Seventh might be
insufficient to provide proper colnpen-
sation. But, to increase the rate by
five-sevenths in order to provide the
same compensation for IS hours as pre-
viously earned IN 60, might impose an
ineuuitable burden on the employer.
"The 6O-hour week might have been
in effect because Of q rush OF business,
although a 4O-hour week might have
been normal practice at the same hourly
wage. Seasonal or temporary increases
in hours now in effect, or recent In
creases in wages, are proper factors to
be taken into consideration IN making
equitable readjustments.
THE policy governing the readjust-
ment Of wages Of all employees IN what
may be termed the higher wage groups
requires not a fixed rule, but equitable
readjustment' in view Of long standing
differentials in pay schedules, with due
regard for the fact that pay rolls are
being heavily increased and that en-
ployes will receive benefits from shorter
hours, from the Unemployment OF
other workers and from stabilized EN-
ployment, which may increase their
yearly earnings.
Must Weigh Circumstances.
"The foregoing examples indicate the
necessity of dealing with this problem
of equitable readjustment' OF the higher
rates of pay on the basis Of considera-
ton Of the varying circumstances and
conditions of the thousands Of enter
prises and employments involved.
ANY attempt to define national
standard would be productive OF WIDE
spread injustice.
"The National Recovery Administra-
ton will, through local agencies, OBJ
serve carefully the manner IN whlcn
EMPLOYERS comply with their agreement
to make equitable readjustments,, ana
will take from time to time and an
nounce from Washington such action
as may be necessary to correct clear
cases of unfairness and to aid con-
scientious employers in carrying out IN
good faith the terms of the agreement.
When an employer signs an agree
ment and certif1es his compliance ana
also Joins in the submission Of code
of fair competition before September
/, 1893, his determination Of what are
equitable readjustments' should be ac-
cepted, at least prior to September /,
as prima facie compliance with his
agreement, pending action by N. R. A.
upon the code submitted, or any other
action by N. R. A. taken to insure
proper interpretations or applications
of agreements.
This will afford N. r. A. an oppor-
tunity to survey the general results
of the unemployment program and to
iron cut difficulties and misunderstana-
ings over agreements that are OF a SUD-
staJltial character"
interpretations of section IA:
"Q4 It is agreed that any person
who wishes to do his part in the Presi-
dents Unemployment drive by signing
this agreement, but who asserts that
some particular provision hereof, be-
cause of peculiar circumstances. Will
create great and unavoidable hardship,
may obtain the benefits hereof by
signing this agreement and putting 1t
into effect and then, in petition ap-
proved by representative trade asso-
citation of his industry, or other repre-
sentative organization designated by N.
R. A., may apply for a stay OF such
provision pending summary 1nveStl-
cation by N. r. A., If he agrees in such
application to abide by the decision
of such investigation. This agreement
is entered into pursuant to section 4
(a) of the national industrial recovery
act and subject to all the terms and
conditions required by sections (a)
and 10 (b) of that act"
Should Petition Stay.
"A person who believes that some
particular provision in the agreement,
because of peculiar circumstances. Will
create great and unavoidable hardship,
should prepare a petition to N. r. A.
asking for a stay Of this provision as
to him.
He should then submit this petition
to the trade association of his indus
try, or, If there Is none, to the local
chamber of commerce or similar repre-
sentative organization designated by
N. r. A., for its approval.
"The written approval Of the trade
association, or such other organization.
will be accepted by N. r. A. as the
basis for temporary stay. without fur
ther investigation, pending decision oy
N. r. A.
"The petition must contain promise
to abide by N. r. AS decision, so that
II N. r. A. decides against the petit
toner, he must give effect to the pro-
vision which was stayed, from the date
of the decision of N. r. A.
"The petition and approval OF the
trade association or other organization,
as prescribed above, should be for