For sale by the Superintendent of Doemnents, Washington, D.C. - Price 5 cents
Approved Code No. 393
Registry No. 242--1-02
NATIONAL RECOVERY ADMIINISTRATION
CODE OF FAIR COMPETITION
AS APPROVED ON APRIL 9, 1934
WE D)O UR PARf
GOVERNMENT PRINTING OFFICE
WASHINGTON : 1934
This publication is for sale by the Superintendent of Documents, Government
Printing Office, Washington, D.C., and by district offices of the Bureau of Foreign
and Domestic Commerce.
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Approved Code No. 393
CODE OF FAIR COMPETITION
SOFT FIBREE( MANUFiACTURING]R;ST INDUSTRY
As Approved on April 9, 1934
CODE OF FAIR COMPETITION FOR THIE BOFT FIBRE MANUFACTURING
An application having been duly made pursuant to anld in full
colmpliance wit~h thze provisions of Titl I of the Nliationlal Industrial
Recovery Act,! approved' June 16, 1933, for approval of a Code
of Fair Competition for the Soft Fibre Manufacturing Industry, and
hearings havingr been duly held thereon and the annexed report on
said Clode, containing findings with respect thereto, having been
made and directed to the President:
NTOW, THEREFORE, on behalf of thne President of the Unlited
States, I, Hugh S. Johnson, Administrator for Industrial Recovery,
pursuant to authority vested in me by oExecutive Orders of the
President, including Executive Order N.6543-A, dated December
30, 1933, and otherwise; do hereby incorporate by reference said
annexedl 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 hereby approved; provided,
however, that Arlticle VII, Section 3 be eliminated therefromz.
HeanC S. JOH-NSON,
Admin~i~stltorao for Inldustrilal Recovrery/.
W. A. HARRIMAN,,
Acting D~iv~ision Admintistrator.
April 9, 1'93.
REPORT TO THE PRESIDENT
Thie Wh~ite House.
SmR: This is a report of the Hearing on the Code of Fair Competi-
tion for the Soft Fibre M~anufacturing Industry in thle United
States, conducted in Washington, D. C1., on Friday, M~arch 83, 1934.
In accordance with the customary procedure every person who
filed a request for appearance was freely heard in public, and all
statultory andl reulatory3 requirements ~er~e comlpliedl withl.
The Code which is attached w-as presented by the duly qua~lified
and authorized repr~esentativ-e of the industry, the Soft Fibr~e Mannu-
factur~e~ss Institut~e, as representing ov~er 800~~- of the capacity of the
GENrER.1L, C'HARA\CTERISTIC8 OF THIE INDUSTRY
This Industry is comiposed of concerns whose products ar~e mianu-
factulred from egretable balst or leaf fibres such as jute, finx, hemp,
and istle whichl are p~rocessed on so~ft fibre machinery whether as a
final proce~s or as a1 par~t of a2 Inr ger or furt her process.
The definition so given is for the purpose of differentiating this
Industry from thait knlown as thie Cordagie andi Twine Industry
whose lroduclicts are \\holly o (r in chief valllue of ianihi (Abaca),
sisal, henequen, or other hardc- fibre.
The raw\ manterials used in the Soft Fibre Indlustry are practically
all imp~orted anid tindc their uses in a variety of subsequent industries
as well as in agriculture throughout the United States. As wvrap-
ping or~ tymng malterialss they hav\e occupied for the better part of a
century! ani impl.ortant place in world tr~ade..
Concerns in this Industry are located in approximatlytl~ ten dif-
frerent itartes--in the E~at, the Mliddle West. and on the Pacific
Th'le positionn o~f the Inldustry as to emp~-loymnen t is as follows:
Inerrras~e inr numberr of emlploleesa 19;33
M~anuf.u~u ine ........ ...................................... 3, 229 4, 270
N onma u ar. urig.............................................. 1, 250 1, 570
Inrae Percent in-
Ma~nufac turing................................~~...........~. 1,0411 32. 2
Nonmunuf~c auring.......~....~...~.~ .~.~.~.......~.............................. 320 25. 7
T otal.. . . . . 1,30 I 30. 2
Average hourly earnings
1929 Oct., Nov.,
Mlanufac turin ..................................~........~~... 41. 21 40.4
N on ma nufa ct uring.. ..................................________ 50.0 563.3
T otal......_.~. ... ..... ......... ........ ....... ........ ........ ...... 45.7 45. 8
The labor provisions of the Code provide, with certain necessary
exceptions, for a forty (40) hour weeki except that for six (6) week
in any~ six (6) months period employees mayd be employed for forty-
eight. (-18) hours in any one weekr provide their average employ-
mlent for such six (6) mionthls period shanll not exceed forty-eight
The mlinimlum wage provided byV this Codle for all employees ex-
cep't learners is th~irty-two and one-half (321/24) cents for the entire
The Code contains a provision providing that no employer within
the Industry shall pay for anly machine operation less than ninety-
five (059L) per' cent of thre average hourly rate of the Industry for
the sa~me operation after equitable adjulstmlents have been made
above the mlinimumll. It is felt that this clause. should be of par-
ticular benefit to employees.
Because there is approximately twice the potential productive
capacity within the Industry than the entire quantity of product
mannufactured in 190~, this Code providers that the hours of opera-
tion of pr~odu~ctive mnc~hineryy in the Industry shall not exceedl eighlty
(80) hourls in any one w-eek. It is felt that this is necessary in. order
to effect, some stablilization within the Industry.
The (codle contains no TIlrade Practices.i. The Deputy Administkra-
tor in his Sinal report to me on said Code having found as hlerein set
fourth andc on thle bansis of all the p~roce~edings in this ma~tter;
I findl that.:
(a) Said Code is well designed to plromiote the policies and p~ur-
poses of T'itle I of the Na~t~ional Indcustrial Reco~very Act, including
removafl of obstructions to th-e free flow of interstate and foreign
commerce which tend to dliminishl thre amloulnt thereof and will pro-
vide for the general welfare by promoting the or~ganlzat~ion of ind~us-
try for the purpose of cooperative action amnonga the trade groups, by
indlucing and manintainingr united action of labor and management
under adequate gover~nmental sanctions and supervision, by elimi-
nating ulnfair completitiv~e practices, by promootingg th~e fullest posst-
ble utilization of the present p~rodluc~tive capacity of industries, by
avoiding undue restriction of production (except as may be tempo-
rarily required), by increasing the consumption of industrial and
agricultural prod ucts through increasing pulrch asi ng power, b
reducing and relieving unemployment, by improvmg~ standards o
labor, and by otherwise rehabilitation industry.
InLcre~ase is number of emplo~lces, 19j33-Concnutiud
(b) Said Industry normally emplovs not more than 50,000 em-
ployees; andt is not c'lassified by me as a major industry.
(c) T he Code as approv-ed compllies in all respects with the perti-
nent pr~ovisionis of saidl Title of said Act, including without limita-
tion Subsection (a) of Section 3, Subsection (a) of Section 7, and
Subsection (b) of Section 10 thereof; and that the applicant associ-
ation is an industrial association truly' representative of th~e afore-
saidl Industry; and that. said association imposes no inequitable
restrictions on admission to membership therein.
(d) The Code is not designed to and will not permit monopolies
or monopolistic practices.
(e) The Ciode is not dlesigrned to and wrill not eliminate or oppress
small enter~prises and wFill niot operate to discriminate against them.
(f) Those engargedd in other steps of the economic process have not
been deprived of the right to be hear~d prior to approval of said Code.
For these reasons, the Code has been approved.
Hnoo S. JOHNSON,
A dminis tra tor.
APRIL 9, 1I)34.
CODE OF FAIRi COMPETITION FOR THE SOFT FiIBERE
To effectuante thie policies of Tite I: of the N~at~ional Industrial1
Recovery AIct, the followinga provisions are established as a Code of
Fair Competition for the Soft Fibre Mannufacturing Industry, and
shall be the standards of Fair Comlpetition for such Industry, and
shall be binding upon every member thereof.
1. The term Industry as used herein means the mlanufact~ure~
of rov-inga and,'or spun yarnl, single or plied, and w~oven fabrics of
jute, flax, hemnp, or other vegetable bast or leaf fibres produced on1
soft fibrle machinery, whether as a final process or as part of a larger
or further process. It shall not include, the preparing, spinning, and
weaving of new or sec~ond-hand jute or other fibres into the coarse
ba~gging1 or pat'chesC- expresslyT made for cover~ing raw cottonl; and it
shall not include the manufacture of cordage, twinles, anrd/or ply
and yarn goods commonly kinow-n as tarredr hemp goods; and it
shall not include the manufacture of oakrum and/or twisted jute or
2. Thle term emplloyee '" as used hnerein includes anyone engaged
in th~e Indlustry in any capacity receiving compensation for his
services, irrespective of the nature or method of payment of such~
3. The term "' employer "' as usedl herein includes anyone by whom
any su~ch emIployee~ is comp71ensated or empl~yedl.
4l. The terml '' member of the Industry as used herein means and
includes, but without limitation, any individual, partnership, associ-
ation, cor~poration or other form of enterprise engaged in the
indlustry, either as an emplloyer or on his or its own behal~f.
5. Th;e terms "L President ", "Act ", and "Adicministrator as used
herein mean respectively the, President of the Unmited States, the
National Industrial Recovery Act, and the Administrator for Indus-
6. The term productive machinery "" as u!sed herein means roving
and/or spinning spindles used for the roving and/or spinning o
products of the Industry.
7. The term Code Authority as used herein means th~e Code
Authlorit~y provided for in. Article VI: of this Code~.
8. The term '' effective dlate "" as used herein is defined to be tetn
days after thle approval of this Code by the Precsiden~t.
1. No employee shall be employed in excess of forty (40) hours in
any one (1) week, except thatf for six (6) weeks in any six (6)
months' period any employee may be employed forty-eight (48) hours
in any one week provided his average employment for such six (6)
months' period shall not exceed forty (40) hours, except as follows:
(a) Outside salesmen and employees epgraged in managerial, super-
visory or executive capacity, clerical, accounting and office employees,
who receive Thirty-Five Dollars ($35.00) or more per week.
(b) Engineers, electricians, firemen, supervisors, oilers, repair-shop
crews, elevator operators, shipping crews, and persons engaged in
cleaning operations who shall not be employed more than forty-foulr
(441) hours in any one (1) week, except that for six (6) weeks in any
ix()months' period such employees may be employed forty-eight
(48)hgBours in. any one week, provided the individual average em-
ployment for such six (6) months' period shall not exceed forty-four
(44) hours per week.
(c) Watfchmen, who shall not be employed more than fifty-six (56)
hours per week.
2. No employee shall be employed or permitted to work for one
or more emloy~~~ers in the aggregate in excess of the number of hours
prescribed in this Article.
3. The maximum hours fixed in the foregoing Sections shall not
apply t~ any! emp~loyee on emnergency maintenance or emergency
repair w~ork involving brenk-down or protection of life or property,
but in any such cases one and one-third times his normal rate shall
be paid for hours worked in excess of t.he maximum hours herein
4. The p~rodulctiv-e machiinery of any mill, plant, or factory in thle
Industry shall not be operated in excess of eighty (80) hours in
any one w-ek.
ARTICLE IV- ATTGES
1. N~o employee in the Industry shall be paid at less than the rate
of thirty-t we and one-hialf (3219~) cents per hour, except:
(a) Learners during a six weeks' period are excepted from the
for~egoingr provisions, but shall be paid not less than 80 percent of
thec miiinimum w~age and the number thereof, paid at a rate of compen-
sation below ther minimum wage, shall be limitedl in anyr one factory
to 5 percent of the total number of employees in that factory.A
lear~ner is defined as an employee who has worked less than six weeks
in the Inldust ry.
S. This Article establishes a mlinimlun rate of pay regardless of
whether employee is compensated on a time-rate, piecework, or
3. Femanle empl-loyees performing the same work as male employees
shall receive the same rate of pay as male. employees.
4. A person wh-lose earning capacity is limited because of age,
physical or Inental handicap, or other infirmity, may be employed on
light work at a wage below t~he minimum established by the Code,
if the employver obtains from the State authority, designated by the
United States Department of Labor, a certificate authorizing such
person's employment at such wages a~nd for such hours as shall be
stated in the certificate. Such authority shall be gulided by! the
instructions of the Unitedl States Depa7rtmnlc t of Labor, ~ s to issuing
certificates to such persons. Each enployer shall file mlonthlyl~ withl
the Code Aut~horityv a list of all such persons emloyed,!cc by him, show-
ing thie w~ages paid to, andi the maxinsinui hours of work for iluch
5. Th~e wages of employees w~ho on June 10,. 193.3. received a rate
of wagoes in excess of thle minimum shaHl be equitably adjust~,edand~
in no case shall hourly rates be reduced. provided,thtinocs
shall any employer pay for any machine operation less than 915
percent of the average hourly rates of the Industry\ for thle sanlle
operation after the above equitable adjustments have been made. All
such adjustments shall be mafde and reported to the Corde Authority
within sixty (60) days after the effective date of this Code.
ARTICLE V--G ENER L LABOR Provisions
1. No pe~s~on under sixteen (16) years of age shall be employedc
in the Indlustry nor anyone under eighteen (18) years of age shalll
be employed at occupations hiazardo~us in nature or detrimiental
to health as determined by existing law. The Code Authority shall
furnish a list of such occupations within sixty (60,) days after the
effective date of this C~ode. In any State an employer shall be
deemed to have complied withl this provision if he shall have on file
a certificate or permit dluly issiuedt by the authority in such State
e~mpowered to issue employment or~ age cert~ificates or perm'llits, Sh1Ow-
ing that t-he employee is of thle requiredt age.
2. Emplloyrees shall have the right to organize and bargain col-
lectively tlr~ough repr~esentatives of their own choicosing, mul shall
be free fromt the interference. restraint., or coercion of emnplo~yers of
labor, or their agents, in the designation of such representatives or
in self-organization or in other conceir~ted activities for the purpoy(se
of collective bargaining or other mutual aid or protect-ion.
3. No emnployee and no one seekiing employment shall be requ~ired~
as a condition of emlployment to join anly company union or to re-
frami fromt joining, organizing, or assisting a labor organization of
his own choosing.
4. Alemnbers of the Industry shall comnplyr it~h the mlaximumll hours
of labor, minimruni rates of pay, and other conditions of emlntoy--
ment, as approved or prescribed by the President.
5. Within each St~ate, this Code shall not supersede any lawvs of
such State impos~ing more stringent requirements on employers
regulating t~he age of employees, wages, hours of work, or health,
fire, or general workiing conditions than those providedl und-er th~is
6. Employers shall not reclassify employees or d~uties of occ-upa-
tions performed by employees or engage in any other subterfuge so
as to defeat the purposes of the Act.
7. Each employer shaall keep posted in conspicuous places in his
plant and office full copies of Articles III IV, and V of this Code
in accordance with the regulations of the Adlministrator.
8. On and after the effective date, wagres shall be exempt fro-m
any charges and/or deductions by the employer, except upon writ-
ten consent of the employee or by court order or as required by law.
0. Every employecr shall provide for t-he safety and health of
emnployrees during thre hours and at the places of their employment.
Stltandrdls for safety and health shall be submitted by the Code
Authority to thre Adcminisitrator within six months after the effective
dante of the Codle.
AnnTCLE VII-AnnTIi'T s~INuo
To further effectuate the policies of the Act, a Code Authority
is hereby constituted to cooperate with the Administrator in the
admninistration of this Code.
1. Organization and Constitution of Code Authority:
(a) The Code Authority shall consist of six members of whom
five shall be elected by the Soft Fibre M~anufacturers' Institute and
one shall- be elected by the members of the Industry who are not
members of the Soft, Fibre Mlanufacturers' Institute, but wvho have
become entitled to participate in and share the benefits of the Code
Authority. In each case the method of election shall be submitted
for the approval of t~he Administrator.
(b) Each member of the Code AuthlorityS shall serve for one year
and thereafter until his successor is selected as above provided.
In case of vacancy by death or resignation the vacancy shall be
filled in the samre manner as oririlnal members were selected.
(c) In addition to membership of the Code Authority as above
provided, there may be not more than three members, without vote,
to be oppoint~ed by the Administrator, to serve for such period as he
shall specify, without cost to the Industry.
2. Each trade or industrial association directly or indirectly par-
ticipating in the selection or activities of the Code Authority shall
(1) impose no inequitable restrictions on me~mbership, and (2) sub-
mit to thre Admlinistrator true copies of its articles of association, by-
laws, regulations, and any amendments, when made thereto, together
with such other information as to membership, organization, and
activities as the Admlinisstrator may deem necessary to effectuate
the purposes of the Act.
3. In order that the Code Authority shall at all times be truly
r~epresentztive of the Industry aond in other respects comply with the
provisions of the Act, the Admiinistrator may prescribe such hear-
ings as hre may dleem proper; and thereafter if he shall find that the
Code Aurthority is not truly representative or does not in other
respects comply with the provisions of the Act, mnay require an
appropriate modification in the method of selection of the Code
4. All members of tlhe Industr~y shall be entitled to participate in
and shar~e thre benefits of the~ activities of the Code Authority and
to participate in the selection of the members thereof by assenting to
and comlylling with the requirements of this Code and sustaining
their reasonable share of the expenses of its administration. Suchi
reasonable share of the expenses shall be determined by the Code
Authority\, subject to ap~proval by the Administrator, on the basis
of volumne of business and 'or such other factors.as may be deemed
5. Nothiner in this Code shall constitute the members of the Code
Authority partners for any purpose, nor shall any member of the
Code Aut~hority be liable in any manner to anyone for any act of
any other member, officer, agen~t. or emlployee of the Code Authority,
nor shall any member of the Code Authority, exercising reasonable
diligence in the conduct of his duties 'hereulnder,1 be liablle( to anyone
for any action or omission to act under this Code, except for htis
owrn wilful malfeasance, miisfeasanlce, or non-feasance.
6. The Code Authority shall have the following duties and
(a) To insure the eecult~ion of the provcjisiion~s of this Code, and
subject to such rules and regulations as may be e-tabllish~ed by the
Administrator, to provide for the comp~liance of the Inl'ustryS wTith
the pr'ovisions of the Act: Provided, how~ever, that this shall no~t
be construed to deprive duly authorized gover~nmental~ agencies of
their power to enforce the provisions of this Code or of thle Act.
(b) To adopt by)laws, rules, anrd regulations for its p~c-rocedure and
for the administr~atio n~ and enforcement of the Code. Three mem~-
bers, exclusive of the members who17 may7 be atppointed by the Admin-
istrator, shall colnstitulte a quorum.
(c) To Irequire from each member of the Industry duly certifiedl
staltistic-s in the form andt as r~equir~ed by h oeAtoiyo
prod auction, orders, sales, prices, and condition th ofe empltorymet In
addition to information req u ired to be su~m it ted to the Codte Author-
ity, members of the industry subject to this Code shall furnish such.
statistical inlformantioi n as the Adminillstrator may deem necessary
for the purposes rec~itedl in Section 3 (a) of the Act, to s-ulch Fedralc1
and State Agencies as he may desig~nate, providing that nrothingr in
this Code~ shall relieve any person of existing obligaftionls to furnish
reprtsto ny ovenmetalAgecy.No indlivid~ual reporllts shall
be ditscoe to an y Gother memtlAeber f the Indusrltry? or to any other
party except to such~ Grov-errnental Agncy~ as may be directed: by the
(d) Subject to the approval of the Admini.stratorl to secure from
all members of thel IndullstryS an equ~itable and pr'?~oportionate payme~tnt
of th~e rea~sonable expenses of manintainiing the Code Au~thor,1ity an~d
(e) To recommends to the Admninistrator,, after S`lsubmissionl to the
Incldustr andi approval" by two thirds (2/3) of all tlhe membelllrs' of
the Indlustry, fair trade practice :prov"isions~ to goverllln membersi of the
Industry in t~heir relations with each others or with other industries
and to recommend to the Adcministrator measurelt s for industrial
planning. including tabilization of employment.
(f ) To investigated, subject to such rules and regulations as may
be established byv the Admlninis~trator, allegedly violatio~ns of this Codce,
anld to present to the Admlinistrator reports of its in~ve.;s,~tigation of
such alleged violations.
(g) To appoint such execlt~ivies, to engag~e suchn as istants, to
appoint sulch agencies (:including the Soft. Fibre 1Unnulfa-ctur~ers'
Institute) and to orgaruze suich commiittees (comprising mnemnbers
annd or non-m~embers of the Code Authority) as may be approupriate
to adlminister this Code.l The Admiinistrator may appoint. a repr~e-
sentaltive to atte~nd the meetings of such comllmit~tee~ rs without v\ote
and without expense to the Ind~usty.iT
(h) To investigate andl inform t.he~ President as to the effect of
import~at.ion of competitiive pr~oducts into the Uniitedl States.
(i) To appoint a Trade Practice Committee, which shall meet with
the Trade Practice Commnittees appointed under other Codes as
may be related to the Industry for the purpose of formulating fair
trade practices to govern t.he relationships between production and
distribution emiployers under this C~ode and under such others to
the end that such fair trade practices may be proposed to the
Administrator as amnendlments to this Code and such other Codes.
7. If the Administrator shall determine that any action of the
Code Authority or any agency thereof is unfair or unjust or con-
trary to the public interest, the Adminiistrator may require that
such action be suspended to afford an opportunity for investigation
of t.he merits of such action andl further consideration by such Codle
AuthlorityS or agency pending final action which shall not be effective
until the Administrator approves or unless he shall fail to disapprove
after thirty (30) dayIs' notice to him of intention to proceed with
such action in its original or modified form.
AnnICLE \TII nTODIFICADONS
1. This Code and all the provisions thereof are expressly made
subject to right of the President in accordance with thoe provisions
of Section 10 (b) of the Act., fr~om timne to time t~o cancel or modlify
any order, approval, license, rule, or r~egulaition issued under the Act.
2. This Code, except as to provisions required by the Act, may be
modified- on the basis of experience or changes in circumstances, such
mlodificationls to be based upon applient~ion to t~he Administrator and
such notice and hearing as he shall specify, and to become effective
on approval by the Adtministrator.
3. In presenting this Code the miem-bers of the Industry do not
ther~eby consent to any modification t~her~eof and they reserve the
right to object individually or jointly to any such modification. In
presentingr this Code andl in complyingi therewith the members of thle
Industry do not consent to any mnodificcation of this Code after final
approval, unless such modification is assented to by the members of
the Industry who are entitled to participate in and share t~he benefits
of the activities of the Code Authorit~y.'
AnnICLE Y111--11NOPOLIES, ETro.
No provision of this Code shall be so applied as to permit monop-
obies or mnonopolistic practices or to eliminate., oppress, or discrimni-
nate against small enterprises.
ARTICLE IXC-EFFECT'rn DerE
Thiis Code shall become effective ten (10) days after its approval
by t.he President.
Termination of this Code shall not release any member of the
Industry from the payment of any unpaid assessment theretofore
Approved CJode No. 393.
Registryv No. 242-1-02.
IDeleted--See paragraph 2 of order approving this Code.
UNIVERSITY OF FLORIDA
II~ llililil l 111 111111111 lilllllIIII1llllllillI
3 1262 08486 8172