Code of fair competition for the automotive parts and equipment manufacturing industry

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Material Information

Title:
Code of fair competition for the automotive parts and equipment manufacturing industry as approved on November 8, 1933 by President Roosevelt
Portion of title:
Automotive parts and equipment manufacturing industry
Physical Description:
vi, 7 p. : ; 23 cm.
Language:
English
Creator:
United States -- National Recovery Administration
Publisher:
U.S. G.P.O.
Place of Publication:
Washington
Publication Date:

Subjects

Subjects / Keywords:
Automobile supplies industry -- United States   ( lcsh )
Genre:
federal government publication   ( marcgt )
non-fiction   ( marcgt )

Notes

Additional Physical Form:
Also available in electronic format.
General Note:
Cover title.
General Note:
Includes: 1. Executive order. 2. Letter of transmittal. 3. Code.
General Note:
Registry no. 1404-02.

Record Information

Source Institution:
University of Florida
Rights Management:
All applicable rights reserved by the source institution and holding location.
Resource Identifier:
aleph - 004938055
oclc - 31955247
System ID:
AA00006571:00001

Full Text



Registry No. 1404--0


NATIONAL RECOVERY ADMINISTRATION



CODE OF FAIR COMPETITION
FOR THE

AUTOMOTIVE PARTS

AND EQUIPMENT MANUFACTURING

INDUSTRY

AS APPROVED ON NOVEMBER 8, 1933
BT
PRESIDENT ROOSEVELT




MEMBER





WI Do OUR PART





'. Let) ofir Trasmit
eo e -- -






UNITED STATES
GOVERNMENT PRINTING OFFICE
WASHIlNGTON :1983


For sale hgr- he Superintendent of Documents, Washington, D.C. - Price 5 cente
























This publication is; for sale by the Superintendent of Documlents, Government
Printing Office, Washrington, D.C., and by district offices of the Bureau of Foreign
and Domestic Commerce.
DISTRICT OFFICES OF THfE DEPARTMENT OF COMMERCE

Atlanta, Ga.: 504 Post Office Building.
Birmingham, Ala.: 257 Federal Building.
Boston, M~ass.: 180)1 Custombouse.
Buffalo, N.Y.: Chamber of Commerce Building.
Charleston, S.C.: Chamber of Commerce Building.
Chicago, Ill.: Suite 1706, 201 North Wells Street.
Cleveland, Ohio: C"hamber of Commerce.
Dallas, Tex.: Chamber of Commerce Building.
Detroit. Mlich.: 2213 First National Bank Building.
Houston, Tex.: Chamber of Commerce Building.
Indiannpolis, Indl.: Chamber of Commerce Building.
Jacksonville, Fla.: Chamiber of Commerce Building.
Kansuls City. Mo.: 1028 Baltimore A~venue.
Los Angeles, Calif.: 1163 South Broadway.
Louisville. Ky.: 40,8 Federal Building.
Me~mphis, Tenn.: 229 Federal Building.
M~inunepolis, M~inn.: 213 Federal Building.
New Orleans, La.: Room 225-A, Customhouse.
New York, N.Y.: 734 Custombouse.
Norfolk, Va.: 406 East Plume Street.
Philndelphia, Pa.: 933 Commercial Trust Building.
Pittsburgh, Pa.: Chamber of Commerce Building.
Portland, Oreg.: 215 New Post Office Building.
St. Louis, M~o.: 506 Olive Street.
San Francisco, Calif.: 310 Customhouse.
Seattle, WaRsh.: 809 Federal Building.
















EXECUTIVE ORDER


CODE OF FAIR COMPETITION FOR THE AUTORILOTH\'E PARTS ANJD EQUIr-
nlENT bIANUFACTUnRING 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 my approval of a Code of
Fair Competition for the Automotive Parts and Equipment Malnu-
facturing Industry, and hearings having been held thereon and the
Administrator having rendered his report containing an analysis of
the said code of fair competition, together with his recommendations
and findings wit~h respect thereto, and t~he Adlminisstrator having
found that the said code of fair competition complies ini all respects
with the pertinent provisions of title I of thle said act and that the
requirements of clauses (1) and (2) of section 3 of the said act
have been mnet:
NOW THEREFORE, I, Franklin D. Roosevelt, President of the
United States, pursuant to the authority vested in me .by title I
of the National I~ndustrial Recovery Act;, approved June 16, 1933,
and otherwise do adopt and approve the report, recommendations
and findings of the Administrator and do order that the said code
of fair competition be and it is hereby approved.
FRANKLIN D. ROOSEVEL;T.
THE TVHITE HOUSE,
NVovlember 8, 1933.
Approval recommended :
Hoca S. JoaNsoN,
Administrator.
(III)


199041"---188-182833










NOVEMdBER 1 1933.
The PRESIDENT,
The Wh~ite House.
SER: The proposed Code of Fair Competition for the Automotive
Parts and Equipment Manufacturing Industry was submitted to the
Administrator on September 22, 1933, by Automotive Parts and
Equipment Manufacturers, Incorporated, in cooperation with the
Motor and Equipment M~anufacturers Association, and the National
Standard Parts Association representing approximately 80%0 of the
known members of the Industry and volume of production. The
Hearing was conducted in WTashington on October 3, 1933 and the
Code was revised during the recess of this Hearing a~nd is submitted
in its present form for approval. Every person who requested an
appearance was properly heard in accordance with statutory and
regulatory requirements.
The Industry is nationwide in character. Its factories are located
in more than ~300 communities scattered throughout 40) States. It
supplies replacement parts, accessories, service tools, equipment, and
products through more than 200,000 outlets for maintaining and serv-
Icing the more than 20,000,000 motor vehicles which are now in use.
In addition it supplies original parts and equipment entering into
the manufacture of new motor vehicles.
During the past four years the Industry experienced an indicated
decline in production volume of approximately 40%., This was
coincident, with a drop of approximately 300% in the number of em-
ployees. It is estimated that, giving due consideration to reem-
ployment and wage increases already effected, the Labor Provisions
in this Code will result in restoring employment in the Industry to
app'roxi'mately 96% of the number employed in the Industry in
1928 and will effect an increase of approximately $1,250,000 in the
weekly pay rolls olf th~e Industry, or an increase of approximately
70%b over the average weekly payV roll for the first six months ofi
1933.
AR ICLE I. Pzwpose.--States the purpose of the Code.
ARTTCLE I1[. D efi nt o n8 a nd di vis-io ns of i~nd ushv y.--Acc urately
defines specific terms used in the Code, including the effective date,
and describes the manner in which the Industry may be organized
through Divisions and Product Groups. Such Divisions or Prod-
uct Groups may adopt, subject to the approval of the President,
their own supplemental Codes of Fair Trade Practice.
ALRTIPcLE 11. aOUT8s.--The maximum hours a.re limited to 40 per
wpeekr for employees engaged in the processing of products and in
labor incident thereto averaged over a period of six months but are
not to be in excess of six days or 48 hours in any one week. Employ-
ees engaged in the preparation, care, and maintenance of plant ma-
chinery, and facilities of and for production, and in plant protection
are exempt from the weekly limitations above provided but the hours
of employment of such exempted employees shall not exceed 412 hours
per week averaged on an annual basis. Office, salaried, and other








employees not covered above, who receive -less than $35.00 per week
shall not work more than six days or 48 hours in any one week and
not more than an average of 40 hours for each six months' period.
Employees engaged in an executive, managerial, or supervisory
capacity, who receive more than $35.00 per week, and employees,
other than those engaged in processing or labor operations directly
incident thereto and outside salespeople, who receive more than $35.00
per week, are not subject to anyq hourly limitations.
Annou:E IV. TVages.--The minimum wage for employees engaged
in the processing of the products or in any labor incident thereto is
at the rate of 40 cents per hour for male employees and at the Irate
of 35 cents per hour for female employees, unless the rate per hour
for the same class of work on July 15, 1929, was less than the above-
specified minimums, in which latter case the rate per hour paid shall
not be less than the rate per hour paid on July 15, 1929. In no event
shall the minimum rate per hour paid to either male or female em-
ployees be less than at the rate of 871,4%~ of the above-specified
minimum rates. The rate per hour paidi to either male or female
employees shall not be less than 80%0 of the above-specified ~i~ni-
mum rates in the States of North Carolina, South Carolina, Georgia,
Florida, Alabama, Mlississippi, Louisiana, Arkansas, Tennessee, and
such other States as may be exceptedi with the approval of the Ad-
ministrator. Apprentices and learners may not constitute more
than 5%~ of the employees engaged in the processing of products
and in labor operations incident thereto in any month, and their
wages shatll not be less than 80%r of the specified minimums for a
period not to exceed three months. Female employees shall be paid
the same rate of pay as male employees for doing the same work
or for performing the same duties. For all other emnployrees, except
commission sales people, the minimum wage is at thle rate of $15.00
per week, except that learners and apprentices shall be, paid not
less than 80%o of the minimum rate for a period of three months.
Learners and apprentices may not constitute, in any month, more
than 5%~ of the total number of employees covered by the $15.00
minimum-wage provisions. Provision is made for equitable adjust-
ment in all pay schedules of factory employees above the minimum.
ARTICLE V. ~h~ild labor.--Provides that no employer shall employ
any; person under sixteen years of age.blse oeAthrt o?
sisting of the Board of Director of t~he Alutomotive Pa rts and Equip-
ment M~anufacturers, Incorporated, with an additional representative
to participate in the conference of the Code: Authority wi e~rth pett
the application of this Code, to be appointed by t~he Peieto h
Administrator, and provides for obtaining statistics.
ARTICLE VI C. Trade pract~ices.--Sets forth Fair Trade ]Practices
for the Industry.
ARTICLE VII. General.-Sets forth the mandlat~ory provisions re-
specting right of employees to organize and bargain collectively,
provisions respecting modification and amendments, provision re-
qui'red in section 10 (b ) of Title I of the National Industrial Recovery
Act, and a provision that no member of the Colde shall be held to
have consented to any modification thereof or to any provision or
interpretation of the National Industrial Recovery Act if declared
unconstitutional by the Supreme Court of the United States.








F'INDINGs

The Administrator finds that:
(a) This Code complies in all respects with the pertinent phrases
of Title I of the Act, including without limitation subsection (a) of
Section 7 and subsection (b) of Section 10 thereof, and that;
(b) The Automotive Parts and Equipment MSanufacturers, Incor-
porated, is truly representative of the Automotive Parts and Equip-
ment M~anufacturing Industry, and its Bylaws contain no inequitable
restrictions on membership, and that;
(c) The Code is not designed to promote monopolies or to elimi-
nate or oppress small enterprises and will not operate to discriminate
against them and will tend to effectuate the policy of Title I[ of the
National Industrial Recovery Act.
It is recommended, therefore, that this Code be approved.
RespectfullyV,
HUGH S. JOHNsoN,
Administrator.











CODE OF FAIR COMPETITION FOR THI-E AUTOMIOTIVEB
PARTS AN.D EQUIPMENT MANUFACTURING INDUSTRY
AnRTICLE I-PUmross

To effectuate the policies of Title I of the National Industrial
Recovery Act, the following provisions are submitted as a Code of
Fair Competition for the Automotive Parts and Equipment Mfanu-
facturing Industr~y, and, upon approval by the President, shall be
the standard of fair competition for this Industry.
ARTICLE II DEFINITIONS AND DivislIows or INDUSTRY

The term Industry as used herein is defined to mean the busi-
ness of the production and/lor manufacture of automotive parts
and/'or equipment, consisting of aut~omot~ive original equipment,
automotive replacement parts, automotive accessories, automotive
shop equipment, automotive service tools, automotive chemical
specialities, automotive electrical products, internal-combustionl en-
gines exceptinga aircraft engines, such other allied products as are
natural affiliates, including industrial, marine, and aircraft parts,
units, and/or equipment, which are or have parts kindred to this
automotive parts alnd/~or equipment Industry, excepting, how~ever,
the production and,'or manufacture of such articles when produced
or manufactured by a manufacturer for use exclusively in his own
finished product, and excepting t.he business of manufacturing and/or
producing rubber tires and tubes and other rubber products in-
cluded in the Code or Codes of Fair Comrpetit~ion for the Rubber
Industry, and excepting the products included in the Code of 1Fair
Competition for the Electric Storage and Wet Primnary Battery
Industry.
The term member of this Indust~ry as used herein means all
producers and/or manufacturers enngaged in the pr~odulction and/or
manufacture of the products of this Industry.
The term member of the Code as used herein means any
" member of this Indlustry who assents to this Code.
The term employees as used herein means all persons employed
in the cond~uct. of t~he "' Indust~ry as definedl herein.
The term "' employers as used herein means all members of the
" Industry by wFhom such employees are emnployed.
The term "LA.P.E.M\."! as usedl herein means Au;tomotive Parts and
Equipment Mlanufacturers, Inc., a trade association incorporated
under the lawvs of the State of Illinois a~nd having its headquarters'
offce at Detroit, Mfichigan, in which corporation there is no entrance
or initiation fee and no inequit.able restrictions are placed upon
membership.
The term "L the President as used herein means thle President of
the United St~ates.








The term "L the Act as used herein means the National Industrial
Recovery Act as approved. by the President on June 16, 1933.
The term "L the Admi~nistrator as used herein means the Admin-
istraztor appointed by the President under the Act and at the time
in offce.
The term effective date as used herein means the tenth day
after this Code shall have been approved by the President of the
United States.
The term "' expiration date as used herein means the expiration
date of Title I of the Act.
This Industry may be organized into administrative units based
upon Divisions and Product Groups within the Industry which have
been or may hereafter be established under A.P.E.M. Such Divi-
siions or Product G~roups may adopt, subject to the approval of the
President, their own supplemental Codes of Fair Trade Practice,
but nothing inconsistent with this Code shall be contained therein.
It is contemplated that each Division and each Product Group
may in their own supplemental codes establish administrative com-
mittees and be independent and self-governing in respect to all con-
ditions and problems relating exclusively to said Division or Prod-
uct Group, except that each Division and each Product Group shall
remain bound by this Code.
The following divisions of the products of the members of this
Industry have been established under A.P.E.MC.
( 1) OrYiginal Equ ipment.--Products of this "L Industry sold to
manufacturers and included by them as standard or optional equip-
ment in their products.
('2) Replacemlent Par)ts.--Service or replacement parts.
(3 ) A ccessories.--Automoti ve parts or equipment not usually in-
cluded by the manufacturer to whom sold as "' standard equipment "
in the sale by such manufacturer of his products and usually sold
to manufacturers or others as additional to standard equipment."
(4) ShLop Equilpment.-Automotive machine tools and automotive
apparatus designed for and used in the maintenance or repair of a
mlotor, i ndust rial, m marine, or aircraft veh icle or i nternal-combustion
engine and usually sold for use in reconditioning same.
(5) Ser~vice Tools.--Automotive small hand tools designed espe-
cially for or used either in conjunction with shop-equipment tools
or apparatus or in the maintenance, repair, or adjustment of a motor,
industrial, marine, or aircraft vehicle or internal-comnbustion engine.
(6j) Chemi~cal S~peciaties.- Automoti ve chemical specialties used
chiefly in the operation, maintenance, or repair of a moctor, industrial,
marine, or aircraft vehicle, including auto polishes (both liquid and
wa x), top dressings, retouching enamels, radiator cleaners and stop-
leaks, antifreeze solutions, valve-grinding compounds, and other
kindred automotive specialties.
(7) Automot~ive Electr~ica~l Produscts.-Aut~omotive electrical prod-
ucts sold as original equipment, replacement parts, or accessories for
motor, i n industrial, ma ri ne, or aircraft veh icles a nd i internal -combustion
engm es.
(8) In ternal-Combus~tion Engnlers.-Internal-combustion engines
except aircraft engines,








(9) Other divisions may be established by the Board of Directors
of A.P.E.M., subject to the approval of the Administrator.
ARTICLE 11- UOURS
(1) No employee engaged in the processing of products olF this
~Industry, and in labor operations directly incident thereto, shall:
work or be permitted to work in excess of 40 hours per week, aver-
aged over each six months' period from the effective date, provide
however, that such employees may be employed not more than
days or 48 hours in any one week, and employees engaged in the
preparation, care, and maintenance of plant, maic~hinery, and facili-
ties of and for production and in plant protection, shall be exempt
from the weekly limitations above provided, but the hours of em-
ployment of any such exempted employees shall not exceed 42 hours
per week averaged on an annual basis.
(2) No offce, salaried, or other employee, niot covered by para-
graph (1) of this Article, receiving less than $35j.00 per weekz, shall
work or be permitted to work more than 6 days or 48 hours in any
one week and not miore than an aer~age of 4l0 hours per week. for
each six months' period from the effective date.
(3) Employees engaged in an executive, managerial, or super-
visory capacity who receive $35.00 per week or more; employees of
the kinds covered by Section (2) of this Article who receive $35.00
per wFeek or more, and outside salespeople shall not be subject to any
hourly limitations.
(4) No employee shall work or be permitted to work: for. a totar
number of hours in excess of the miaximums herein prescribed,
whether emnploy~ed by one or more employers.
ARTICLE IV-WAGOES

(1) The minimum wage that shall be paid by any empl o:e~r to
any employee engaged in the processing of the products of this Ifn-
dustry and in any labor operations directly incident thereto shallt
be at the rate of 404 per hour for male employees and at the rate
of 350i pier hour for female e~mployee~s, Slisujct~ to thec following
exceptions:
(a) If the rate per hour paid for the same class of work on. July
15, 1929 was less than the above specified minimums, the rate per
hour paid shall be not less than the rate per hour paild on July 15,
1929, but in no event shall the minimum rate per hour paid to either
male or female employees be less than 871,%~ of the above specified
minimum rates; provided, however, that in the states of North Caro-
lina, South C'arolina, Georgia, Florida, Alabama, MSississippi, L~oui-
siana, Arkansas, Tennessee, and such other states as may be excepted
with the approval of the Admiinistrator,, the rate per hour paid to
either male or female employees shall not be less than 80% of the
above specified minimum rates.
(b) Learners and apprentices for a period of not to exceed three
months may be, paid not less than 80% of the mainimrumn rates of
wages above specified or determined in the manner above pr~ov~ided,
but in the case of any employer the total number of such learners
and apprentices in any calendar month shall not exceed 5% of thle








employees engaged in the processing of the products of this Industry
and in labor operations directly incident thereto.
(c) Where female employees do the same work or perform the
same duties as male employees, they shall be paid the same rate of
pay as male employees are paid for doing such work or performing
such duties.
(2) The minimum wage that shall be paid by any employer to all
other employees, except commission sales people, shall be at the rate
of $r15.00 per week; provided, however, that learners and apprentices
may be paid not less than 80%0 of such minimum rate of wage for si
period of three months, but in the case of anyeporthttl
number of such learners and apprentices shallno exle ted in an
calendar month 5%0 of the total number of employees covered by the
provisions of this paragraph (2).
(3) Equitable adjustment in all pay schedules of factory em-
ployees above the minimums shall be made not later than 30 days
fromthe fecive ate y an employers who have not heretofore
made such adjustments, and te first monthly reports of wages re-
quired to be filed under this Code shall contain all wage increases
mnade since M~ay 1, 1933.
(4) The foregoing provisions establish minimum rates of wages,
regardless of whether the employee is compensated on the basis of
time rate or piece rate or otherwise.
(5) Employers shall not reclassify employees falsely, i.e., contrary
to fact with reference to work performed, with the intention of de-
feating the purposes of the Act.
(6) It is understood, however, that persons whose earning ca-
pacity is limited because of age or physical or mental handicap are
not included in the above wage provisions except that they shall in
no case be paid less than 80%T/ of the above minimums, and provided
that the total number of such employees shall not exceed five em-
ployees in plants having less than 100 employees; nor more than 5%0
of the total number of employees in such plants employing 100 or
more.
ARIcLE V--CHILD LABOR

No employer in this Industry shall employ any person under
sixteen years of age.
AnnICLE VI--ADMINISTRATION
A. ORGANIZATION AND POWERS

(1) The Board of Directors of A.P.E.M. is hereby designated the
Code Authority to assist the Administrator in the administration of
this Code of Fair Competition and to formulate, with the approval
of the President, such further code provisions as may be deemed
necessary to insure fair competition and to effectuate in this Industry
the purposes of the Act, provided that no inequitable restrictions
upon membership in A.P.E.M~. shall at any time be imposed.
(2) The Code Authority is hereby designated the agency to con-
duct communications and conferences with the Administrator con-
cerning the Code of this Industry or any supplemental codes of the
Divisions or Product Groups or any provisions thereof.








(3) With a view to keeping the Administrator informed as to the
observance or nonobservance of this Code and as to whether appro-
priate steps are being taken to effectuate the purposes of the Act,
each member of this Industry shall furnish certifed reports to the
Code Authority when and in such form as the Code Aut~hority shall,
subject to the approval of the Administrator, prescribe and permit a
disinterested agency designated by the Code Authority to makre such
examinations of the records of each member of this Indiustry as maay,
subject to the approval of the Admiiinistrator, be deemed necessary
for thelc purpose of vePrifyingr the accuracy of such reports.
(4) The President or th~e Adm~inist~rator may- desig~nate a rep~re-
sentative to participate in the conferences of the 'Code Auithor~ity
with respect to the application of this Code, and such representative
shall receive such notice of meetings as is given to members of the
Code Authority and shall hav\e a(C'ess to all data and statistics col-
lected by the C'ode Aluthor~ity! as h-ereinabove provided. The Code
Authority shall hold itself in read-iness to assist. the Admlninistrator
and to meet with the Administra~t~or's representative from timne tod
time as requested, to consider anid study any suggestions or .pro;
posals presented upon behalf of the Adminlist~rator or any member
of the Industry regarding the operation, observance or adminis-
tr~ation of this Code.
(5) Alny and all information with respect to sales volume, costs,
and other details of operations as may be furnished by the members
of the Industryr to the properly co~nstit~uted officers, committees, or
representatives of A.P.E.MI. or its Divisions or Product Gr~oups, shall
be considered confidential and shall not be supplied or matde avail-
able to others, except t.o the duly appointed and constituted repre-
senitatives of the President.
(6) In addition to information required to be submitted under
this Code, there shall be furnishled to grovermunent ne-encies such stai
tistical information as the Administrater many deein necessary for
the purposes recited in Section 3 -(a) of the Act.
B. PARTICIPATION
Each member of the Code shall be entitled to participate in the
alctivities of the Code Authority to the same extent as a member
of A.P.E.MI. Each member of the Code shaUl contribute his pro-
portionate share toward a, reasonable cost of preparation and ad-
ministration of the Code, including the cost of the assembly and
analysis of such reports and data as may be required under the
Code and t.he cost of the maintenance of the Code Authority and
its actiit~ies, either by becoming a, member of A.P.E.M. or by playing
to A.P.E.1\I. his equitable and proportionate share of the expense
of administration as determined by the Code Authority subject to
the approval of the Admninist~rator.
o. TRABDE PRACTICES

(1) It shall be unfair competition for any member of this Indus-
try to sell or exchange in conulnerce within the continental bound-
aries of thle United States of Amnerica any product of his manu-
facture at a price or upon such terms or conditions as will result








in the customer paying for the goods received less than the .cost
to the seller, except under such special conditions ass may be adopted
by a Product Group in a supplemental code approved by the
President.
(a) Cash or trade discounts, freight, express, cartage, or other
dehrvery expenses allowed from invoice price shall be deducted there-
from in determine the net sales price.
(b) Each Product Group shall adopt, within such period as may
be determined by the Code Authority, a definition of cost, methods
of costing and accounting, and provisions for the administration
and enforcement of the foregoing prohibition, subject to the approval
of the Administrator.
(c) Where a member of this Industry produces more than one liTpe
of products, each line shall be considered a separate unit for purposes
of ascertaining costs, and expenses of all kinds shall be properly and
fairly allocated to the several lines.
(2) Nothing in this Code shall be interpreted to prevent the sale
of dropped lines or surplus stock, or inventories which must be con-
verted into cash to meet financial needs, at such prices as are neces-
sary to move such merchandise, provided that after the approval of
supplemental codes for the several Divisions or Product Groups all
such stocks shall first be reported to the administrative committees of
the proper Product Groups who shall in turn report to the adminis-
trative committees of all Divisions whose Groups may be affected
by such action.
(3) The defamation of competitors by falsely imputing to them
dishonorable conduct, inability to perform contracts, questionable
crediit standing, or by other misrepresentations to mislead and deceive
purchasers or prospective purchasers, is unfair competition.
(4) Maliciously enticing away the employees of competitors with
the purpose and effect of hampering, injuring, or embarrassing com-
petitors in their business is unfair competition.
(5) The dating of an invoice other than the date of the shipment
and the withholding from, or inserting in the invoice, facts which
make the invoice a false record, wholly or in part, of the transaction
represented on the face thereof, and/or the payment or allowance of
secret rebates, refunds, credits, unearned discounts, whether in the
form of money or otherwise, is u-nfair competition.
(6) Disparagement of the goods of competitors to mislead or
deceive purchasers or prospective purchasers is unfair competition.
(7i) Selling or offering t~o sell any product with intent to deceive
purchasers or prospective purchasers is unfair competition.
ARTICLE VII--GENERAL

(1) As required by Section 7 (a) of Title I of the Act, the follow-
mng provisions are conditions of this Code:
(a) That employees shall have the right to organize and bargain
collectively through representatives of their own choosing, and shanl
be free from the interference, restraint, or coercion of employers of
labor, or their agents, in the designation of such representatives or
in self-or~ganization or in other concerted activities for t~he purpose
of collective bargaining or other mutual aid or protection;








(b) "L That no employee and no one seeking employment shall be
required as a condition of employment to loin any company umion
or to refrain from ;olmng, organizing, or assistmng a labor orgamnza-
tion of his own choosing; and
(c) That employers shall comply with the maximum hours of
labor, minimum rates of pay, and other conditions of employment
approved or prescribed by the President."
(2) W~it~hin each State this Code shall not supersede anry laws ofZ
such State imposing more stringent requirements regulating the ageB
of employees, wages, hours of work, or health, fire, or general wok
ing conditions than under this Ciode.
(3) Such of the provisions of this Code as are not required to be
iricluded herein by the Act may, with the approval of the President,
be. modified or eliminated by the Board of Dilrectors of thre A.P.E.M.1Z
if it appear that t~he public needs are not being served thereby and
as changes in circumstances or experience mnay indicate.
(4) It is contemplated that from time to time supplementary
provisions to this Clode or supplemental codes will be submitted for
te approval of the President t~o prevent unfair competition in price
and other unfair and destructive competitive practices and to effect-
uate the purposes orf the Act and which shall not conflict with the
provisions hereof.
(5) As required by Section 10 (b) of Title I of the Act, thq follow-
ing provision is contained in this Code: Thme President may from
time t~o time cancel or modify any order, approval, license, rule, or
regulation issued under said Title.
(6) No member of this Code shall be held to heave consented to any
modification thereof or t~o any provision or interpretation of the
National Industrial Recover~y Act if declared unconstitutional by the
Supreme Court of the United States.
(7) No provision of this Code shall be so applied as to permit
monopolies or monopolistic practices, or to eliminate, oppress, or dis-
criminate against small enterprises.
(8) Ea~ch employer shall post in conspicuous places, accessible to
employees, the labor provisions of this C~ode.
(9) Violation by any member of this Industry of any provision of
this Code is an act of unfair competition, and the, offender shaHl be
subject to the penalties imposed by the Aect.




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