Evening star., 1934-03-08
Text of Gen. JOhnsons Address Before Code Critics



Boundaries at Odds,
Economic boundaries do not hap
pen to correspond with political
boundaries. Our industries group
themselves in the classes OF things
which the produce and sell. It is
within these groups, then (rather than
in geographical areas) that we here
set up representative government. On
this rule let's govern or give up the
attempt.
In preparation for this conference
we invited the whole American peo-
pie to come here and make known
publicly any complaint or criticism OF
the effects Of any Of the codes. Hun
dreds OF helpful suggestions were
made.
1t will hearten you to know that
the majority Of complaints were not
directed at the cedes, but at errors and
omissions in what has been done un-
der codes and-even more striking
that, with minor exceptions of a po-
litical nature. there was practically no
criticism Of the recovery act or Of the
basic principles Of the codes them
selves.
1t Is fair to say that our people in
these hearings demonstrated that they
are squarely and almost unanimously
behind the recovery act. Just as you
demonstrate by your presence at this
convention that industry also is
sQuarely and almost unanimously be-
hind that act. Remember that, to the
complaint roundup last week, we did
not invite those who approve Of what
has been done; we invited only those
who complain Of what has been done
Considering that l25. 900 900 people
were affected and that only few
heads Of complaint were filed, and
that nearly all of these were accom-
panied by unqualified Endorsement OF
the general principles Of N. R. A., we
are encouraged If not satisfied. In
such a great experiment as this, espe-
cially as long as depression threatens,
We can never feel satisfied.
Now my only disappointment about
this meeting is that discussion has
not been more free. 1t is not very
satisfactory demonstration that Amer
ican industry has anything to of1er
except objection. We have to plan
our way out OF this mud hole and
that must be done by hard-headed
business men and not by academicians.
gave you II points OF complaint.
1t Is up to you-and not to us-in
the final instance to solve them. The
expense and inconvenience and i'm
practicability OF doing this in town
meeting is obvious.
Various Treatments Needed.
The question Of reabsorption Of the
unemployed In the industries has to
be treated in different ways FOR dif-
ferent industries. In particular there
are two outstanding classifications Of
industry which present strikingly DIFF
ferent problems, the consumers goods
industries and the producers or capi-
tai goods industries.
In the latter class there has been,
as you all know. great lag in the
revival as compared with the con-
sumers goods industries. and by far
the larger part Of those unemployed
today are persons who were formerly
attached to the capital goods indus
tries and expect unemployment there.
There are many more things to be
discussed. How are We going to make
jobs by production and consumption?
How are we going to activate the
capital goods industries? What more
can we do than we have done?
On this subject we invite your
participation in finding q solution
for this problem which we have stated
50 simply. We shall invite a COM
mittee selected by you from the
capital goods industries to work with
the administration and 10 report TO
the president shortly on how We can
create jobs in some way other than
any yet suggested.
As for the consumers and service
industries, the advice which you have
given here in your free DISCUSSIONS
has been invaluable. That advice
will be studied with utmost care in
the spirit Of our partnership. In ad-
dition, intensive analysis of the TN
ployment and production problems
will be made.
Asks for Meeting.
May I ask that the capital goods
industries code authorities and COM
mittees convene tomorrow morning at
10 o'clock in the auditorium OF the
Department of Commerce under the
Craftsmanship Of Mr.. Houston OF the
Baldwin Locomotive Committee to
select q committee OF II to confer
with me at noon tomorrow?
May I also ask that all code au-
thorities and committees Of consum-
ers' goods industries convene tomor-
row at 10 am. under the chairman
ship Of Mr.. George Sloan at Memo
rial Hall, D. A. r. Building to select
a committee Of u to confer with
me at 4 pm?
At the close Of this meeting Mr..
Leon Henderson will state the code
authorities that should attend these
meetings. We shall arrive at no con-
clusion without thorough discussion
with both Of these committees.
And now a word as to the part OF
labor in this matter. the admins
tration, including our labor and con-
sumer advisors, will be seeking in the
program I have outlined, will properly
try to realize to the limit the posi-
bilities in the direction Of re-employ-
ment and increased purchasing power.
We ask them to bear with US while
we seek comparatively the points
where the burden necessarily incident
to taking up the slack can best be
borne and where its imposition will
not wreck the bridge over which we
all want to cross to the promised
land of economic health and happi-
ness.
But Of all industries|even If 1t
seems in unpleasant humor-I must
say this before we part:
We have got to accord labor the
rights guaranteed by this act. There
is no law prohibiting a company
union as such II there Is no inter.
position whatever by employers, and
II the men freely choose 1t. But 80
times out Of 100 you and I know
that this Is not the case.
A n>A~-> N>~~~>~s