Supplementary code of fair competition for the wire machinery industry (a division of the machinery and allied products ...


Material Information

Supplementary code of fair competition for the wire machinery industry (a division of the machinery and allied products industry) as approved on May 9, 1934
Portion of title:
Wire machinery industry
Physical Description:
9 p. : ; 24 cm.
United States -- National Recovery Administration
United States Government Printing Office
Place of Publication:
Washington, D.C
Publication Date:


Subjects / Keywords:
Wire industry -- Equipment and supplies -- United States   ( lcsh )
Machinery industry -- United States   ( lcsh )
federal government publication   ( marcgt )
non-fiction   ( marcgt )


Additional Physical Form:
Also available in electronic format.
General Note:
Cover title.
General Note:
At head of title: National Recovery Administration.
General Note:
"Registry No. 1399-47."
General Note:
"Approved Code No. 347--Supplement No. 5."

Record Information

Source Institution:
University of Florida
Rights Management:
All applicable rights reserved by the source institution and holding location.
Resource Identifier:
aleph - 004942828
oclc - 655241427
System ID:

Full Text






(A Division of the Machinery and Allied Products Industry)



U.S. DEPOS7'r r ,-

For sale by the Sulperintendent of Documents, Washington, D.C. - Price 5 cents

Approved Code No. 347--Supplement No. 5

Registry No. 1399--47




This publientionr is for sale by the Superintendent of Docments, Govenment
Printing Onice. Washington, D.C., andi by, district offices of the Bureau ofl
Foreign and D~omestic Comnmerce.

Atlanta, Ga.: 504Q Post oltice Buildling.
Btirminghalm, Ala. : 2J57 FEederal Building.
Bo~ston, Mass~.: 180)1 Customhouse.
Unflain~ll, N.Y.: Chamber of Comzmerce Building.
('har~lleston, S.C:.: (Clambiler of Comnmerce Buildling.
Ch!:c. goc. Ill.: Suite 1706, -.'01 North, Well1s Streect.
C'levtlandr~, Ohio: Chamber of Commerce.
Dallas, Tex.: Chamber of Commerce B~uildinal.
Detro't, hIllc.: 501 Fir -- National 1Bank Building.
Hlouston,' Tex.: ( Immbeiicr of Commerce Buibiling.
Indlialnapolis, Ind.: Chamber of Commerce B~uilding.
Jacksonv-ille, Fla.: Chambrn~ of Commerce~ Buildingr.
K~ansas ('ity, J\fe.: 1028 B~altimore Avenue.
L~os Angeles, Calif.: 1163 South Broadwnay.
Louisville, Ky.: 408 Flederal Btuildingl-.
nirllerui.4, Tenn.: 229 Fo'rleral Buibling~.
Mlinnoopo~;rlis, MSinn.: 213 Federal1 Buildling~.
New Orleans, La.: Room 225-A, Custombouse.
New YTiork. N'.Y.: 734 Customnhouse.
Norlfu~lli, Va.: 400 East Plume Strteeit.
Phlibulelph111in., PEa.: -122 Comnmercial Trust Building.
Pittsb~urpll, Pa.: Chamber of Commerce Building.
Portlandt. Oreg.: 215 New Post Office Buildling .
St. Louri. 110.: 506i Olive~ Street.
Sanl Franciscol, Calif.: 310 Customhouse.
Settle, Wash.: 809 Fede-ral O~ffice Duildling.

Approved Code No. 347--Supplement No. 5



As Approved on May 9, 1034


Pnomerrs IhoIUSnTR
An application, having been duly made pursuant to and in full
compliance with the provisions of TIitle I of the National Indlus-
trial RecoveryV Acct, approved June 16, 1933, for approval of a
Supplemental Code of Fair Competition for the W7ire Machinery
Subdivision of Machinery and A~llied Products Industry, and hear-
ings having been duly held thereon and the annexed report on said
Supplemental 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, H~ugh S. Johnson, Administrator for Industrial Recovery
pursantto uthrityvesed n m byExecutive Orders of the P'resi--
dent, including Executive Order N.64-,dtdDcme 0
1933, and otherwise; do thereby incorporate by reference said an-
nexed report aznd do findl that said Supplemental Code complies in
all respects with the pertinent provisions and will promote the pol-
icy and purposes of said Title of said Act; and do hereby order
that said Supplemental Code of Fair Competition be and it is hereby
Administrator for Indtustria Recovery.
Approval recommended:
D3ivisio~n Administr~ator.
WFCasIImonro D.C.,
Mlay 9, 1936.
57802*--544-50----34 (11~


The Wifhite H2ouse.
SmR: This is a r~eporIt onr the Supp~lemen~tnI Codle of Fair Comp~eti-
tion for the WCire Ma~chlinery~ subiv~ision~r of the Ma[~chinery and
Allied Products Industry, public her;1ing having been conducted
thereon in Wiashingaton, D.C.-, D~ecember 21, 1933, in necordulce wvith
the provisions of Titlte I of the Nationn1 )Indtustrial RecoveryJ Act.
Ever~~y person'~ who filed a reques~ct for an appearance wvas flree~ly heard
in public and all statutory and regulatory1 requirements w~ere com-
plied with.

The W7ire Machine~ry B~uild~ers Asslc'iation, bcji ng t Irulyrpe
se~ntative of this subdivision of the M~acchineryg aml Allied Pout
Industry, has el~iect to avail itself of the option of sulbmitting a,
Supplemenltllta:f~l Code of' Fiair Comlpetition, as pr1oidedc in paLInrgrlaph
(2), Article I of the B~asic Code for the Mach~lineryg and Allied
Products Industry approved by you on the seventeenth dayS of M~arch,

This Subdivi\ioi-n represents a part of the enp~ital goo~ds industry
mnu~lll~Cfllturing and selling machinrery for drawing wire andro
andt~ the flabr~ie:t ion of wRire andI(- rod products.

Thle etcimrated~ Iiinumer of peiicrions emIployedt in this subdivision
of the indnl-tr~y in 1!,20 amounted to, approx muately 1,784.
The number of factory workcr~s in 1929 wlere estimnated and
amontedlt to 1,622 workers. Fiiactory enilloynwntllll declined here-
after to a mninimumn of 3~55 workI~lers~ in 1983l: or 78 pecr cent.
TIotail annual sa~ls, based onl estimal~tes furnlishedc with the code
application andl representinga app~roximiately 80) per' cecnt. of thle total
dollar volume of this abd~~ivision of th~e indus~ltryS in 19:32, declined
from~ 80.171_,000 in 1989,! to 9040.,000 in 1!139, or 85 per cent.
A~veratge hlour~s w\orked per flc~torly wo~rker~l amountedlC1. to 52.7r hours
in 1990n and decllirltd to 3,5.0 hours in 1!,33, or 34 perl cenlt.
In 1990 total es~timaiited maln-hlours amoun~irlete to 85.4709; they de-
clined constantly to a Iminimnum of 12.123~ main1-hour~1s in 1!,33, or 85.5
pe~r cent. If mant-hour requllii~rrements as of 1!',33 reman:in unchanged,
the 40-hour prov,\idacn wiill CauISe little fulr~therl emplloymellnt in this
slhli\i.ion of the indu ltry.~
The mninionunr l hourly13 ra;tc's in the approvedc~ Bas~ic Codte incorporate
one diffrentia~it l for the South andi three city populalltioni differentials
for all1 other se~ctionsi of thec Unitedl Sctaitcs as follows:
Ovrer 511.0Ir 0 population-40 cents per hourlI

10,000 p ula~l~tion andll under-- 30 cenlts per'' hour"

In addition to the minimum wage :rates shown above, the Bassicr
Code providEes thatt wpomen engaged in substantially the same work
as men shall receive the same rate of pay as such m~en employees; that
the minimum w~age for women employees engaged int plaant opera-
tions shall be not less than 87.5 per cent of the prop~er rate for the
locality- inr which employed as specified; and that the minimum in the
South shall be not less ~than 32 cents per hour.
A distribution showing the numlber of factory workers receiving
classified hourly rates is not avasilab~le, consequently the num~be3r of
factory workers receiving less than the specified minimum, rates pro-
vided in the Basic Code cannot be estimated, nor the effect which the
minimum rates will have on the payrolls of this subdivision of the
indust ry.
Article I states the purpose of the Supplemental Code.
Article II accurately defines specific terms employed in this Sup-
p~lemental Code.
ALrticle IIII. The Labor provisions of the BSasic Code for the M/la-
chinery and Allied Products Industry as approved Mafrch 17, 1934
are incorporated by reference as the labor pr1ovisio-ns of this Supple-
mental Code.
Article I[V adopts the relevant portions of Article VI, "Adminis-
tra.t~ion "; an1~d Artcles VIII, "( Modifications and Termination ", and
IX, W"Iithdrwl n2" of the Basic Code for the Manchiner~y and Allied
Products Industry, as approved Mla reh 17, 1934.
Article VT establishes a Code AQuthiority consisting of six (6) mnem-
bers, five (5") of whom shall be represented by the Executive Coma-
mittee of the Wire Machinery Builders Association, and one to be
elected by the no~n-mnembers, if anyG, of the WT~ire Manchinery B~uilders
Association. The Adlminist~rator may in his discretion. appoint one
additional member, (without vote and without expense to the Sub-
division). Together with the applicable provisions of the Basic
Code, mechanism is provided for thne admninistrat~ion of this Supple-
mental Code.
Article V7I provides for an necounting sy~stemn and methods of cost
finding and~/or estimantin g
Article VII sets forthn the unfair trade practicess which have been
esp'cially dlesigned to otfset unfair competi-tion in this Subdivision.
Article VIII contains the mandatory provisions contained in
Section 10 (b) of the Act and also provides for the submission of
proposed amendments to the Supplemental Code.
Article IX prov-ides for the withdrawal of this Subdivisionl fromt
jurisdiction of the Basic Code and for the continued functioning
of this Subdivision, as an individual industry under its own code.
Article X stipulates that. there shall be no inequitable restrictions
and provides against monopolies.
Article XIC1 gives the effective date of this Supplemlental Code.
The Deputy Administrator in. his final report to me on caid Sup-
plemental Code having found as herein set forth and tn the basis
of all the proceedings in this matter:

I: find that:
(a)~ Said Supplemental Code is well designed to promote the
polces anld purposes of Title I of the National Industrial Recovery
Act, ilc~lulding remroval of obstructions to the free flow of. interstate
and foreign cornuner~ce which tend to diminish the amount thereof
and will provide for the general welfare by promoting the organ-
ization of industry for the purpose of cooperat~ive action among
thne trade groups by. inducing and maintaining united action o
lahbor and management under adequate governmenal" sanctions and
superv\ision, by eliminating unfair compIe~tit~ive practices, by promot-
ing the fu~llesit possible uItilizaltion of the present p~odluctive capac-
ityT of industries, by avoiding undue restriction of production
(except as mnay be temporarily required), by increasing the con-
sumlption of industrial and agricultural products through increas-
ingt purcha ; ingb power, by reducing and relieving unemnployment,
by improving standards of labor, anld by otherwise rehabilitating
in d~ustry\.
(b) Said Subdivision normally employs not more than 50,000
employees, and is not classified by me as a major industry.
(c) The Supplemental Code as approved complies in all respects
with the pertinent provisions of said Title of said Act, including
without lim~it~ation Subsection (a) of Section 3, Subsection (a) of
Section 7, and Su~bsction (b) of Section 10 thereof ; and that the
apphicant accl-wintio n is an industrial association truxly reprsen
tative of the aforesaid subdivision of the industry; and htsi
association imposes no inequitable restrictions on admlission to mem-
bership thierein.
(d) The Suplplrmental Code is not designed to and will not per-
mit monopolies or monopolistic practices.
(e) T'he Supplemental Code is not designed to and will not elimo-
inate or oppr,1ess small enterprises and wyill n1ot operate to discriminate
against them.
(f) Throse engaged in other steps of the economic process have
not b~ee~n deprived of the right to be heard prior to approval of said
Supp~leme~ntal Code.
F'or these reasons, therefore, I have app~roved thlis Supplemental
Huan S. Jon NSON,
Ald mainisitrator.
~MAY 9, 1934.


To effectuate the policy of Title I of the National Industrial RCe-
covery Act, the following provisions are established as a Supple-
mental Code for the Wire Machinery Subdivision of the Machinery
and Allied Products Industry, and together with the Code of F'air
Competition of the Machinery and Allied Products Industry shall
be the standard of fair competition for this Subdivision, and shall
be binding on every employer therein.

"Applicant means the Wire Machinery Builders ~Associatio~n, a
trade organization, which organization is truly representative of
this Subdivision, all members of which, are engaged in the manu-
facture for sale of the products of the W~ire Machinery Subdivision
of the Machinery and Allied Products Industry.
Industry meanls the Machinery and Alllied Products Industry,
as defined in its National Industrial Recovery Code as approved by
the President, and as such definition mnay from time to time be
Subdi-vision means this WOire~ MachineryT Subdivision of the
Machinery and Allied Products Industry as defined and set forth in
paragraph 38 of Article II of the National Industrial Recovery Code
of the lMachinery and Allied Products Industry as follows:
"' WCire Machinery Subdivision means the manufacture for sale of
machinery for drawing wire and rod and the fabrication of wire and
rod products. This includes wire and rod drawing machinery and
accessories, shaping and flattening mills, machinery for stranding,
cabling, etc., cutting-off, pointing, straightening, amoring, bending,
forming, cold upserttin, cold heading, etc., and in general all ma-
chinrery uied in the working, processing or finishing of articles mnade
from wPire or rod in its raw state, and parts thereof, and includes all
those e~lngaed in such manufacture for sale. Employers nrot other-
wise engaged in this Subdivision may manufacture for sale and sell
machinery for cold upsetting and heading, and finishing machines
for the product thereof, under the provisions of the Code of another
inldustryr and not under the provisions of this Supplemental Code.
The foregoing definition shall not permit the manufacture for sale
under this Supplemental Code of electrical products included within
the scope of the Electrical Manufacturing Industry as defined in the
Code of Fair Competition for said Industry, except wPhere such
electrical products are sold as a part of the products of this Subdi-

vision and are not sold as separate elec~tr~iedn products in competition
with. similar products included within the scope of the Electrical
Manufactul~rin Industry as defined in the Code of Fair Competition
for said Industr~y; provided, how\\ever, that any employecr hereunder
may manulfacture and sell under1 this Suppl~emental Code any spar~e
and/o preplact iemen parts of any suchl electrical p)roductsfor use
with roducs deinedherunder, which w\ere originally manufac-
tured and sold by h~im.
Whenl carried on at th~e p'oint of installation, the w-orkl of installing,
erecting, rebuildingl and/or serv\icing of the products of thle Siubdi-
vision, (including attaichmnents, necessorie~s andl/or replalcemnent and
repair parts therefore, included within the definition of the Subdi-
visionl) shall be subject to the provisions of this Suplplemental Cfode,
only when peir~formencd by the employer hereu~nder selling such prod-
ucts or by a comnpany a ffiliated ther~ewithi.
Code mleans~ the NaT~tional Industrial Rcovery Clode, of the
Machinery and Allie~ 1Products Industry3, as approvedc by the Presi-
denlt. Mar11ch 17, 1934, and as from. time to time amendled.
"iPersonl "" mea~ns a narturlal persons, a panrtnlershtip, a corporation,
an ;Isotcintio~n, a trust, a trustee, a trustee inr bankr~uptcy, a :receiver,
or other entity.
Employer "' run;ns anyT person eng~aaged in the Subrdivision, either
on his owvn beh~lnif or ats an Emplo~yer of labor.
"Employee means any one wpho is emp~loy'ed in this Subdlivision
by anyr suih employer.
liThe Act "' means Title I of the Nationral IndustrlIal Recovery
"' The President "' menrns thle Pre ident, of the United S~tates.
"' The Admiinistrator means the Ajdminiistratorr for Indlustriatl
BUasic Code Aurthlority means thle Code! Authority for the
Ma~chlinlery and Alliedl~ Prodcucts: Industry as conlstitutedc by the Code.
"' Code Authorityr means the Codec Aulthority constitutedd for this
Sub~ii ion as providled by the Codce and by> this Sulpplemental Code.
Groupp Code Autlhority means the rcde Aulthority for any
glcroup or product classificatrionr within this Subd~ivision.

The follow\ing Articles of the Cod~e, v'iz: A~rticle III, L'" Wrkting
Hours ";Article~ IV, Wages ";' and Airticle Ti. General; Labor
Provisio~ns", are hereby~a made a panrt of this Supplemenlctal l ode,
with the same effect as if they werle -rfit~ten into thils Suprplemnental


T'he following Articles of thie Code. viz; Artircle VI. "Adlminis-
fraitioni "', to the extent that it shall b~e apphenible to th~e adlmilistra-
tion of this SuppIemnental Cod~e as such or as; it may\ hcrealfter be
namniniste-redd aS an auitoii~nomus Code'l; Article VIII, Mlodlifictionls
and Te~irmtionatin and Article IS X. ithdlrawa-l' n u lr hreby
adoted( alndl madeil a part of thiis Supllanental'lf~l Code n withI thle same
effect, as if they were written into this Surpplemen~ctal iCodec.

ARTIC~LE, Vl--A nnI~ITI.'.INisuvv

(a) The Clode Authority ;for the Subdi~visioni shall co-nsiist of:
(1) The Exeicutive Committee of the Applicant, consi-ting of five
(2) One additional memberr may be e~lectedt in any fair manner
with the approval of the Ad~ministraitor, by emp~loyers in this Sub-
division not members of the Appliennt, if so dcSkeiCd by such
non mem be s;.
(3) The A1~dministrator may, in his discretion, appoint one addi-
tional member,! (without vote and w~ithlout expense to th~e
Subdivision) .
(b) Alny employer in this Subdivision shall be eligible for mem-
bership in the Applicant.
(c) In order that the Code Aulthority shall at all times be truly
representantive of the Subd-ivision and in other respects comply with
the provisions of the Act, the Administrator may prvie such n thear
mngs as he may deem proper; and thiereafterifhshlfndta
the Code Authlority) is not truly representative or does not in other
respects comply wJith the provisions of the Act, maly :reqlir~e an ap-
propriate mnodification in, the mlethodl of s~lecction of a Codr~e
Authority, or any Group Code Authority.
(d) Any31 employer in this Subdivision shall be entitled to vote sub-
ject to the provisions of section (a) hereof at the election of and
share inl the ~benefits of the activities of the Code Authority and may
pa~t~icipat~e in any endeavors of the Code Acuthority in the prepa-
r~ation of any revisions of, or additions or supplements to this Sup-
plemlental Code by paying his proper pro-rata share of the reason-
able cost of creating and admlnis~te~r~inga it, as determined by the Code?
(e) Emnployers in this Subdivision having a common interest and
common robe may be grouped by Code -Authority for
admninist rat i ve purposes.
There shall be a group Code Authority approved or appo-intedl by
Code Authlority for each such group.
(f) If formanl complaint is made to Code Authority, that provi-
sions of this Supplemnental Code have been violated by any employer,
the Code Aurthority~ or thle Group Code Authority, maty to thle exte~nt
permlittedl by the Act cause such investigation or audit to be made,
as may! be dteemued necessary. If such investigation is made by Group
Code Authority, it shall report the results of such investigation or
audit to Code Authority for action.

The ode uthoityshall cause to be formulatedt an accounting
system and methods of cost ~ finin andoresimtig cpaeofus
by all employers in the Subdlivision. After such systeml and mlet~hods
have been formulated, full details concerning them. shall be made
available to all employers. Thereafter all employers shall determine
and,'or estimate costs in accordance w'ith the pr'inciplesC of such


Each of the following acts and practices is deemed to be inimical
to the best interests of the Subdivision and of the public, and each
is, therefore, hereby declared to 'be, and to constitute, an unfair
method of competition, viz:--
(1) The secret payment or allowance of a rebate, refund, com-
mission, credit, unearned discount or excess allowance, wpheth er in
the form of money or otherwise, or the offering or extending to any
customer any special service or privileges not extended to all cus-
tomers of the same class for the purpose of influencing the sale.
(2) The payment, or promise to pay, to any agent, ~fiduciary or
representative, of money or valuable thing, with or without the
knowledge of his principal, in connection with~ any sale to his prin-
cipal. Comnmer~ciall bribery provisions shall not be construed to
prohibit free and general distribution of articles commonly used
for advert'iSing~, except so far as such articles atre actually used for
commercial bribery as hereinabove defined.
(3)ta Anyiscrimilnation between purchasers of the same class by
thesal ofany standardized article by anly meanswhtovr
(4) Untruthfully adv-ertisin~g, representing, or marking any prod-
uct, with intent to dleceive or mislead prospective purchasers.
(5) The publishing or circularizing of threats of suits for in-
fr~ingemlent~ of patent or trade-markts, or of any other legal pro-
ceedingsr, not in good faith, which would tend to harass competitors
or intimnidalte their customers.

(a) AsL provided by Section 10 (b) of the Act, the President
may from time to time cancel or modify any order, approval, license,
rule or regulation issued under Title I of thte ALct.
(b) Ac5ny amendments, adrditions, revisions, or supplements of
this Supplemental Code, proposed by Code Authority, and approved
by a 662/3%r of the employers shnal be in, full force and effect upon
appr Ioval1 by the ALdminristrator. The eligribilit~y requ Irements,
method, and effect of such votlilgr shall be the same as providedl by
Article V of the Code of this Subdlivision andl Article VI. of th
Basic Code.

Uipon thirty (30) dayss" notice to Bas~ic Cod~e Alth~ority and to
the Administrator(,I, this Subdiivision may, upon1I the co~ncurrlin ll ,1irm1-
ative vote of employerss within the Subdrivisiolc. n enltitled to cakst twro-
thirds~ or moc-re of all the votes that might be cast by all emplloyerss
within the Subd~livision entitled~ to vote thereo~n, with~draw fromt the
jur~isiction of the Basic Cod.e Authority. The e~ligibility of voters
andc the Ilwrthocd. and effc~~t of suchlrl voting shall be in accordcance with
the provisions of Section (d) of Article V;I of thte C~ode or with th
provi'ioni s of thisu Suppliemetnta Codle. Thereafter this Supple-
Pnentnicl Code Lrtogleth Ith te prdovisions oft thte Code, except such
portonsof Atices III nd I s are nost pertinent t~hereto, as
determinedi by thle Codeo Authlorit~y and t~he Admlinistrator, shall be-

come and be the Code governing this Subdivision, and thne Code
Authority shall for this Subdivision, become and be the only Code
~Authority, and shall perform all the functions with respectt thereto.

Applicant imposes and shall impose no inequlritablet restrictions on
membership therein. The Supp~lemnental Code presenltedr by it is
not designed to pr~omote monopoly, and shall not be so construed or
applied as to oppress or eliminate small enterprises or dliscriminate
against, them, and is desigrned to e~ffzctaunte? the policy of the Act.

Thiis Supp~lemental Code shall become effective and bindingp~ on al
persons engaged in the Subdivision on the eleventh dayateis
Approved Code No. 347--Supplement No. 5.
Registry No. 1394-47.


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