Registry No. 1748--1--11
NATIONAL RECOVERY' ADMINISTRATION
CODE OF FAIR COMPETITION
AS SUBMITTED ON AUGUST 18, 1933
AS APPROVED ON SEPTEMBER 7, 1933
WE DO OUR PART
1. Executive Order of President Roosevelt
2. Report of Administrator
3. Report of Deputy Administrator
4. Text of Code
COVERNMEFNT PRINTING OFFICE
For ale by the Superintendent of Documenta Washington, D.C. - Price 5 cent1
MOTION-PICTURE LABORAcTORIIES ASSOCIATION OF` AMERICA, INC.
]EXECUTIE ORDER CODEIF OF AIi[R COMPETITION
MOTION PICTURE LABORATORY INDUSTRY~
An application having beenl duly made, pursunnt to and in full
compliance withl the provisions of Title I, of the National Indus-
trial Recovery3 Act, apprloved J~une 16, 1933, for niy aplprovanl of a
Codec of Fair Complettition for the! Motion Picture Lanbora~to ry In1-
dustry, and a hearings having b~een held thlereon andr the Admlinis-
trator h~avingS r~endered his report containing an analysis of thle said
Code~ of Fair Competitionr together with his rieconun~~endatations and
finldingis with. respect thereto, and the Adminlistrantor having found
thlat the saidl Code of Fair Competition complies in all respects wvith
the pertinent provisions of Title I of said~ Alct and that the require-
ments of clauses (1) and (2) of subsection (a) of Sc~tion 3 of the
said Act have been Inet.:
NowT, therefore, I, FR:1NKN Ir ; ROOSEV~ELT, Presidlent Of the U~nited
States, pursuant to the authority rested in me by Title I of the
National Industrial Recovery Act, approved June 16, 1933, and
otherwise, do adlopt and2 approve the report, recommrienda tions, and
findings of the Adlministrator, and do order that the said Code of
Fair Competition be, and it is hereby, approved.,
Approval Recommended :
HOGE S. JOHNSON,
FRANKLIN D. ROOSEVELT.
SEPTEMBER 7, 1933.
REPORT OF THE ADMINISTRATOR
TO THEE PRESIDENT. SPEBR- 98
This is a report of the H-learing onr the Code of 1Fair Competition
for the Motion Picture Laboratory Industry in. the United States,
conducted in the Small Auditorium. of the United St~ates Chamber
of Commerce Building in Washington, D.C., on August 31, 1933, in
accordance with the provisions of the National Industrial Recovery
The following papers are included and annexed:
1. Code submitted.
2. Notice of Hearing.
3. Statement of procedure.
4. Transcript of Reclordi.
5. Report o~f the Deputy.
GENERAL CHARACTERISTICS OF THE INDUSTRY
The M~otion Picture Lanbo~ratory Industry embraces those estab-
lishm~lents in which motion, picture film is developed printed, or
otherwise processed. There are approximately 38 iirms in the
United States rendering full laboratory developing service, and an
undetermined number of other firms in the country rendering oc-
casional motion picture laboratory service. Out of the 1932 total
volume of approx~imtlyncl one billion feet of film developed in the
motion picture laboratories, members of the M~otion Pictue~l Labora-
tories Association of America, Inc., developed approxc-,imtlyn:l 90
Approximattely 3,500 laboratory workers are employed throughout
thie United States in motion picture laboratories.
Fior the first time in the history of the industry, classification of
workers, minimllum rates of pay, and mzaximum number of hours of
employment have been provided.
The motion picture laboratory w~orkerls have been paid at an
hourly rate. Under the Code, anly regular laboratory w~orker~s in-
cluding applre1:ntites are guanranlteed~ a minim~umn wnge of $15.00 per
week no matter how few hours they may actually wvorkr during a~ny
wveek. This provn~i.-on, of course, rec:present~lts; a radical departure from
th~e method in vogue for payment of regular workers heretofore.
T~he Code furllther provides that in ther case of empllloyers receiving
less than $35.00 per week for a forty-four hour wTeek heretofore such
employes under the Code will r~eeive the same waget as heretofor~e
for a forty-hour week.
The percentage of inc~relse of. wagefs under thle Code will approxi-
mlate fr~om 10'; to 12rA abv hecren ae fwges,adth
increase in emnploymentn under the Coder is est i mated at approximately
15r% ab~ove thle present numnber of laboratory workers emp~loyed.
Trhe Codle for this induslrtry repres-ents anr aplproxsimalte adLvance of
$6i,000).0'0 per weekc~l upon th~e pay rolls of the industry.
TH E: CODE
The Codec of Fa;ir Competit~ion asj revisedr andl presented by this
Industry has regurlated- the mnxsimlum numiber of w~ork~ing hours and
minimum wagecs fo>r all emp~loyes emlployved in such Industry, and its
fair practice provisions have been especially designed to guard fair
I find that:
(ra) The Codle as revisedl complies in all respects with the pertinent
provisions of Title I of the Act including, without limitations, sub-
section (a) of Section 7 uInd subse~ction (b~) of Sct~Cion 10 thlereof;
(b) Th~e M'otio~n P~ictulre Laboratories ALssociation of Am~ericn, ]Inc.,
imposes no inequitabic restr~ictionss upon admission to .memnbershiip
therein and is truly representative of the motion-picture laboratory
industry*; and that
(c) The Code is not desigrnedl to eliminate or oppress small enter-
prises and will not operate to dliscriminate against them, and will
tend to effectuate thle policy ofE Title~ I: of the National Industrial
ALccordingly,, I adopt the report of the~ Deputy Administrator and
I hereby recommend the approval of the Code of Fairl Com~petition
for the MIotion-Pieture Laboratory Industry.
~Hro S. Joux~rson,
REPORT OF THE DEPUTY ADMINISTRATOR
TIO THE NATIONAL, IECOVERYP AL1DM[INISTRATOR. BPEBR5 93
REPORT OF DEPUTY ~ADMINIEISTRATOR ON THE CODE OF FAI[R COMPETI-
TION FOR THE MOTION PICTURE LABORATORY INDUSTRY
On A-~ugust 18, 1933, there was submitted to the National Recovery
Administrator a proposed Code for the Motion Picture Laboratory
Such proposed Code was signed and transmitted by thle Motion
Picture Laboratories Association of America, Inc., the membership
of which comprises appr~osinarltely 90 percent of the volume of the
laboratory industry in feet of ~film developed and approximately 49
percent of the firms engaged in mlotio-n picture laboratory w~ork.
That is, out of a total volume of business for 19352 of approximattely
one billion feet of filmT developed by motion-picture ]laborator~ies in
this country, thle membership of such Atssociation developed alpproxi-
m~ately 90 p-ericent thereof.
T'HEI PUBLIC HEARINGS
A Public H~earing was held and completed on Augusrlt. 31, 19~33
in the Small lAuditorium of the United St rates Ch a mlbe r of Comn-
merce Building, We sh ingt on, D.C. A list of witnesses is contained
in the transcript of record of such Public H-earing.
Up~on the Public Hearings the following sat with your Deptyl"3
Wiilliam P. Farnsworth, Legal Division; H. F. F~nser, Consuiln-
ers' Advisory Board; Donald K. Wallace, Researchn and Planning~
Division; R. H. Cochranle, Indulstr~ial Adv-isory Board; L. M. Wic~k-
lein, Labor Advisory Board; E. J. Rosenberg, Special Adviser.
All elements of the Industry were heard and the statistical pousi-
tion of the Industry was satisfazctoril~y pre~tsentedl. Communications
received from interested parties wvho had not reqc~uested~ to be heard~
weir~e, read into the record. As a result of conferences held pr1ior
to the Public H~earingf, the Association submitting th~e Code off'er~d
and recolnun~enlded ce~tain changes and amencr dme~nts.
CONIF ER EN CE AFTER THE HEARING
Followsling th-e Public H-earing a conlferencet was held with th~e
r~epr~esentatives of all groups present, together with the Adv\iser~s.
Als a result of the conference, each. and e-very matter in-volving eml-
ployers, labor, and the consumers, was considered and with the
unanimous approval of all parties was agr~eed upon.
A proposal from the Cinema L~aboratoriesi Association that the
laboratories located~ west of the Mlissiscipp~i River be gl\ven retpre"-
sentation upon thle B~ord of Directorsj of thec Mlotion Pictulre Labora-
tories Associatio n of Amierica, Inc., was agreedl to by" thle last niamedl
Association, who have provided that three of their Dir~ectors shall
be from thle territory west of th~e M~ississip~pi River. A furthl~er p~ro-
posal fromt the Cinema Laboratories Aysociationl that financingr by
laboratories of motion picture productions be deemied an unfair
trade practice wals rejected as impractical and incapable of super-
THE CODE AS REVISED
For the first time in thec history of this industry m~inimnum wanges
and maximumi number of hours of employmennt are provided for,
together with a giuaranteed minimum weekly waag.
There are ap~proximately 3!.500 laboratory w~or~kers employed in
the United States, and by reason of the labor provisions in the Code
as revised, there will be an increase of wages appr~oximtly~e3 froml
10% to 125% above t.hle current rate of wnges, an increase in. employ-
ment of approximately 15%c. above the present number of persons
employed as laboratory workers, andt an adlvance of ap~proximately
$6,000.003 per week~l upon the pay rolls o~f thle Industry.
BRIEF ANALYSIS OF THE PRO\?SIONS OF THIE REVISED CODE
(a) W~ith the approval of t~he Presidecnt, there is constituted an
Administrative Recovery Comimittee comprisingf the Bonrd of D~i-
rectors of the Association, and not. more th~an three representatives
appointed by the President or the National Recovery Administrator,
and tmwo representatives of the employees, chosen by a fair method
of selection to be approved~ by thle Administrator, with respect to
questions affectiner labor. Final determination of the proposals con-
sidered by sucrh committee r~est writh the Administrator.
(b) M~inimum wages for all classes of employees according to
classification, with a minimum guarantee of $15.001 per wTeek, are
provided for. Heretofore these workers hlave been, paid on an
hourly basis, their weekly pay having been determined by thle num-
ber of hours they actually worked. Under the Code such employees
are guaranteed a minimum of $15.00 per week.
(c) Forty hours is establishled as thle working week, except in
cases of emergency, which is strictly defined and limited so that
even with emergency work over a twelve-week period the~ worker
will not labor longer than 480 hours. The Code provides that the
worker shall receive for a 40-hour week the same play heretofore
received for a 44-hour weekz.
(d) All other employees, including office employees, are given
the benefits and advantages of th~e provisions of the President's
Reemployment Agreement with resjpect to their minimum w~eekly
wage and their hours, too, are limited to a 40-hour week.
(e) Child labor is entirely forbidden; and apprentices are limited
to one yar's employment as such.
(f), Seling below cost is not permitted in the Indcustry, andi the
unfair trade practices previously practiced in the Indlustry are
Thle revised Code is approved and adopted by the. authorized repre-
sentatives of the Association and by the authorized representative
of thhe emnployees,~ as appears fr~om their consent in. writinga appended
There are also appended hereto thie reports on. the revised: Code
of thle Industrial Adv\isory Board, La'bor ~Advisory Board, Can-
sum~ers' Advisory Board, Research and Plannig Divi'sion, and Legakl
'Your DeicputyT findls that:
(a) The Code as revised complies in all respects with the per~ti-
ment provisions of Title I of the Act includ~ing, without limitations,
subsection (a) of Section 7 and subsection (b) of Section 10 thereof ;
(b) The Mfotion Picture Laboratories Associat~ion of Amnerica,
Inc., imposes no ineqiuitable restrictions -upon admlission to member-
ship therein and is truly r~ep~resentativeL of the mnotion-pictur~e
labocratory industry ; and that
(c) The Code is not designed to eliminate or oppress small enter-
prises and will not operate to discriminate against them, andl will
tend to effecctuate the! policy of Title I of the Na~tional Industr~ial
Accordingly, I hereby recommend the approval of ~the Code of
Fair Competition for the Mniotionr Picture Laboratory Industry.
Son Atl. ROSENBLATT,
Deputfy Adminii istratfor.
Atta chment s.
APPROVAL L OF THE A ADOPTION OF THE REVISED CO DE OF
FAIR COMPETITION FOR THE MlOTION PICTURE LABORATORY
Thle undlersigned d~o hereby app~rove and ad~opt thle Code for the
M~otionn Picture Laborator~y Indlustry as finally revisedl.
MlorroN PICTUICRE L~nORwrORIES OF AMERICA, TNC.
.By its committee dluly authorizedl to alpprovee and adlopt such~ Code:
S~TEPHEN 11. ELLER,
HERBERT r. rrATES,
Okairmanl of thel Boarrd.
The undersigned, representing labor, dlo hereby approve and adopt
the Code for the Miotion Pictulre Laborator~y IndustryS as finally
LCAL. J. SCOIrrn,
Au~thorized Representafi~e for Inter~national Alianlce The-
atrlical Stagel Empyloyees arnd MVotion Piefture Manchine
Operators~ of thre United~ S'tatcs and CacnadaJ.
SAL. JT. SCOPPA,
AuIthorized Representatfive forl Lcal C66, Filml Technidansz
of the M'lotion Picture) Industry.
SEPTJEMIBER 1, 1933.
REPORT OF LEGAL DIVISION
SEPTEMBER 5, 1933.
To.: Deputy Alm in ist ra~tor Sol A. Rosenblatt.
FC~lrom: William P. Farnswcorth, Legal Division.
Subject: The Code of Fair Competition for the M~otion Picture
I have examnined: the report of the Deputy Adm~inistrator and the
revised Code to be submitted to the Administrator, and find them
correct as to form.
I have also examined the Constitution and Bylaws of the propo-
nenats of the Code, and find that ~they contain no inequitable restric-
tions on membership, that they do not promote or tend to promote
mo~nopolies or monopolistic practices, and that they do not oppress or
discriminate against small enterprises.
This C3ode ma rkls a further advance in sociological development by
specifying a mninimnumn week~ly wage, although~ the employees ar~e
comp~ensated on the basis of an hourly rate. This minimum wage
will be received by them whether or not they work the full time
reqiuiredl to earn such wage at the hourly rates specified.
WILLIAM P. FARNSWORTII,
LZe gal Division, NJ.H..
NATIONAL RECOVERY ADMINISTRATIONO,
Watsh~ingtoni., D.C., Septemrlber 1, 193J.
MIr. SOL A. ROSENBLIATT,
Deputy A,,!ll;;; iif ltl rotr
National Recovery Adminis,~cltration, Washington., D.O.
DEAR MR. ROSENBLATY: InH COnnection with the final draft of the
Code for the Motion Picture Laboratory Industry, we transmit here-
with signed copy of a report from Mr. Robe~rt H. Cochrane, Indus-
trial ALdvisor for that industry, which report has the endorrsemnent of
the I~ndustrial Advisory Board.
Very truljr yours,
E. R. STETINiIUrs, Tr.,
Washington Representatiue Industrzial Advisory Board.
Arces-r 31, ~1033.
To: Industrial Advisrory Board.
Fro~m: Rob~ert H. Cochirane.
Subject: Report of Adv\iser to the Intdustrial Advisory B~oard on thle
M~otionl Pictuirej Laborator~y Code.
Your Adv\iser. dulyl appointed byr the Indlustrial Aldviso~ry Board~
to attendl upon the Puiblic Heaoring on th~e Motion Picture Laborator!y
Indlustry Code, reports as follows:
Your Adviser met t he 1Depu ty Admni n ist rnt o r, Sol A. Rose nbl at t. on
the morning of August 31st. 193:3, necompaniedl him, to th~e Hearing
on the abovec Code at the Smlall Audlitor~iumn of the United States
Clham-ber of Commerce Building, held commnencing at ap~proximnately
10 A.Mi. on. this daRte. Your Adviser sat thr~ough~ such Hecnring until
it comipletion, approxiately two hours after its commiencement.
Your Adviser reports that- all elements of the Industry were
heard very fully and imnpartially.,
Your Aidviser believes that the stat~isticaIl position of the Industry
w~as satisfactorily presented by. the Industry.
Following the P~ublic H~earmg~. your Adviser sat with the ALd-
viers of ot her B~oards at a conference called by th~e D~epurty Adminis-
trator, commencning at 2 P.Mi. on Augiust 31st, anld remain~ed: through
such conference until eachi andi every matter was fully and finally
disposed of by mutual agreement andi with the appr~oval of the
The labor provisions, your Advriser believes, are entirely satis-
factory. The percentage of' increase of wnge~s is belit\eve to ap-
proxim~ate from 10f; to 129 ac bov-e the present current. rate of wrages,
and the increase in em~ploymlent, is estimanted~ at approximatelyr 15%C"
above the present number of men employed as workers in the
Thle C~ode as revrisedl for this Indlustry it is estimatedl rep~resents
an approxrimate advance of $6.000O per wee~k upon the pay rolls; of the
The. normal op~erating conditions of the 'Industry appear to be
adequately provided for and the emergency requirements of thre In-
dustry, especially with respect to special rush work in developing
prints, appear to be satisfactorily taken care of.
The standards and terms of the Cod'e regarding materials, trade
terms, and trade practices are, in your Adviser's opinion, fair and
equitable to all concerned.
From the foregoing it is apparent that the operation of the Code
on labor, industry, and the consumer will prove beneficial.
There are no recommendations on controversial points--all and
any of such points havingi been amicably adljustedl at the conference~
followFing: the Hearing, at which your Adviser and the Deputy
Administrator, as above stated, attended.
Your Adviser is particularly struck~ with the fine feeling that is
left in all branches of the Industry as a result of today's Hearings,
both public and private, and would feel remiss in his du~ty if he did
not particularly commend the particularly fine work done by MIr.
]ROBERT El. COCHrRANE.
REPORT OFi LABOR ADVISORY BOARD
SHEET METAL PORKFERS' INTERNATIONAL AssocaBTion,
WCVashingto~n, D.CI., Seiptemrber 1f, 193.
D~r. LEO O17LMAZNt
Chairman, La6bor AdvLi:sory Boa~rd
National R~ecover)y Adm~7iyf1ntistraio Warshingtonl, D.C".
DEAR Sin: Having. been appointed' Labor Adlvisor on Code for the
Motion Picture Lab~oratory Industr~y, I appeared for the hearing
which was co~ndulcttedl under the able guidance of Deputy Adrninis-
trator Mr. Sol Al. Rosenblatt, beginning at 10: 00 A.M~. Thursday,
All witnesses were given ample opportunity to present fact:s and
figfulres pertinent to th~e inquiry, and the purpose, intent, arndl probable
etffec~t of thle Labor pro'vision1s ubml~litted by each side were fully
developed. In the later executive sessions w9e were ab~le to reach an
necor~d b~ased on the needs and requirements of th~e Indus~try, and at
the same time tman plly with the terms of thle Industrial 'Recovery
Act. So far as the Labor Provisions are cnclctrnled, I am sure tfhey
are intended to effectuate the Policy of the Title of the Act -andl that
in actual practice they will stand this test.
It mlay appear" to you that the "'hours of labor section permiitting
more than thet fo-rty hours will operate to defeat, the purpose of the
Act and prevent emlploy~ment, of additionall men. However, we
found a peculiar conditions which in thne opinion of all elements in thle
Industry requlired such an emnerg~ency provision, anld it will not
r~esllt, in excessive hoursrl for a, limuited. number to the, detrim~ent of
The fact that a complllete agrleem~enlt wFas reached within the dayg
indicates a spirit of toleranlce and fair play o-n the part of all con-
cernedl, and while the others can speak for themselves, mny guess is
that they would join me in saying that. thle bulk of the credit belongs
to MrT. Rosenbla~tt.
Ver~y truly yours,
L. Mrl. WFTIc xxx .
SEPTerMBER 1, 1933.
Mremorandumn to: SFol A. Rosenblatt.
F'rom: WTilliamn N. Loulcks, Consumers' A~dvisoryT Boa1rd:.
Subject: Report on Code of Fair Compyetition in th2e M~otion Picture
T~he Consumners' Advisory Board approves of thi code in its
Wrunanr N. ~Louxse,
Con~sumerlS' AdvLisolY Board.
SE~PTElMIER 1, 1933,
Memorandum to: M\r. Rosenblatt.
From: D. K. Wallace.
Subject: M~otion Picture Laboratory Industry.
From the facts disclosed at the public hearing bearing on the
Motion Picture Laboratory Indulstry and from facts disclosed
through investigation by the Research and Planning Division--
'statistical information being limited, obscure and extremely un-
satisfactory--it has been definitely ascertained that the code as
proposed should increase the number of w~age! earners in this par-
ticular type of laboratory work approximately 10%o or by 350 indi-
viduals. It is also quite probable that total pay rolls w1ill be
Insofar as the code is designed to improve conditions in the Mio-
tion Picture Laboratory Industry and to encourage production, our
division is satisfied with it as it stands modified, amended, or change-d
by the Deputy Administrator.
DONALD KC. 1VALLACE.
AUGT'ST .31, 1933.
From: Emanuel J. Rosenberg.
To: Sol A. Rosenblatt.
Subject: Report of Special Adviser to the Deputy Administrator on
the Mlotion Pictur~e Laboratory Industry Code.
As Special Adviser the undersigned attended the Public H~earing
on the Motion Picture Laboratory Industry Code, held on Aug~rust
31st, 1933, at the Small Auditorium of the United States Chamber of
Commerce Building, completed approximiately two hours after its
commencement, and thereafter attended private hearing of all the
Advisers, representatives of the Association, and labor group, heltd
during the afternoon of this day.
The undersigned makes report that in his opinion t~he interests
of all groups concerned in the Industry, including thle smiailler lab-
oratory firms, have been amply protected and taken ca~e of, and,
that the interests of labor have been wholly safeguarded.
The undersigned further reports that all matters have been satis-
factorily and amicably adjusted between all groups, and as a result
of the Code, in the opinion of the undersigned, more men will be
employed, higher wages paid, and all persons in the Industry neces-
The undersigned wishes to particularly commend the fine sense of
fairness toward both employer and employee exhlibited by your
EMAaNUEL J. ROisENBERG,
CODE OF FAIR COMPETITION FOR THE MOTION-PICTURE
1. General Purpose.--This Code of Fair Competition is adopted
pursuant to the National Industrial Recovrery Act, and for the pur-
pose of carrying out the aimls set forth in Title I, Sect~ion 1, of the
A3ct insofar as they are applicable to the Mlotion-Picture Laboratory
2. Purposes Fw~eluded.--This Code is not dlesignedl to promote
monopolies and shall not be availed of for that purpose. It is not
designed to elimlinate or oppress small enterprises andi it shall not
be operated to discriminate against them.
1. The term "L laboratory as used herein shall include all estab-
lishments in which manufactured motion-picture film is developed,
printed, or otherwise processed.
2. The term person as used herein shall include individluals,
partnerships, associations, trusts, joint-stock companies, and cor~po-
rations, without limlitation.
3. The term employer as used herein shall include any person,
without limitation, emlployinga individuals in the business of the
operation of a motion-picture laboratory.
4. The term employee as used herein shall include any indi-
vidual engaged in office or other work of an employer as defined
herein, or in developing, printing, or otherwise processing motion-
5. The term President "' as used herein shall mean the President
of the United States of America.
6. T'he initials N.I.R.A." as used hlerein shall mean the National
Industrial Recovery Act.
7. The term "Association as used herein shall mean the Motion
Picture Laboratories Association of America, Inc. The term
"L Board ") shall mean the Board of Directors of the Association.
ARTICLE III--ADIIN ISTRAITION
1. Administrative Reco very Commt zittee.--A com mittee to be
known as the Administrative Recovery Committee and her~einafter
referred to as the Recovery Committee, comprising the B~oard and
not more than three representatives of the Governmnent, to be ap-
pointed by the President, or the National Recovery Administrator,
shall apply this Code. A~s and when any questions involving labor
directly or indirectly are to be colnsilered by the Recovery Comm-
mittee,, two rerpresen~~ltaltives. of the employees, chosen by a fair method
of selection to be? approved by the National Recovery Adtministrator,
shall sit with and become for such purposes members of the Recovery
2. TChe Recover~y Conunitteet shall cooperate with the Adminis-
trator mn making investigations as to the. functioning or obs-lerv-
ance~s of any provisions of the Code, in its. owvn instance or,.on the
report of anly -person, and shall report to the Administrator ojn any
such manttlrs. It maly go directly to original sources for informa-
tion strictly pertinent to the ol, erva\nlices of the Code, all of which
shall be subject to the approval of the Ad~cministrator.
3. The members of the Recovery Committee shall co~nstitute a
sercond committee, to be known as the Arbitration Board. In case
any~ conrovelrj'lsy' ar~i1 between twvo or.more em-ployer laboratories on
any issues, upon consent of the employer laboratories all facts shall
be made available to the A~rbitration Board, which shall act as ~Arbi-
trator, and upon being fully advised in the maltter, in accordance
with rules approved by the A~dministrator, shall render its decision.
The Arbitration Board's decision shall be binding upon t~he labora-
tories involved, and each shall abide by sa mle.
4. In order that the President may be informed of the extent of
observance of the provisions of this Codte and of the extent to which
the declared policy of the National Industrial Recovery Act as stated
hlerein is being effectuated in the motion-picture laboratories inldustry,
persons subject to the jurisdictions of this Code shall upon request
makie periodically to the Recovery Committee such reports on wages,
hours of labor, conditions of employment, number of employees, and
other data pertinent to the purposes of this Code as may be required,
andl shall pay as a code fee, if the fees and dues of the Afssociation
be insufficient, upon his acceptance of the benefits of this Code, his
proportionate share of the amounts necessary to pay the cost -of
assembling, analysis, and publication of such reports and data. The
first report hereunder shall be made to the National Recoveryl Admin-
istrator within sixty days after the approval of this Code by the
5j. Investigvations.-I~f any employer laboratory declines to permit
the personnel of the Recovery Committee, acting under this At~rticle,
to examine its books, records, or other sources of information, the
Committee may suggest the names of not less than three firms of
certified public accountants of reputable standing in the mnotion-
picture field, and if the employer laboratory shall indicate a choice
among the three firms, the Recovery Comnmittee shall employ the firm~
designatedl by the employer laboratory in making the investigation
of that laboratory.
1. A~ge of Emnployees.--No employer shlnl employ. any employee
under t~he age of 16 years. Provided, however, that where a State
law provides a higher minimum age, no person below the age speci-
fled by such State law shall be employedl within that State.
2. Hours of Labor.-1l. No employer sh~all wrorkl any1 empoyee in
excess of eight hours in any onle day or in ecectss o 0husi
any one week, except in an em~ergency, andl then niot in excess of
60 hours, and under no circumstances in excess of 480 hours in a
2. An emergency is defined to be a condition resulting from an
abnormal or irregular dleliver~y to the laboratory of new-sreel or
studio negative accompanied by an order for niewsreel prints or
dailies or rush prints; also, thle necessity for repair and muaintenance.
When two or more shifts ar~e regularlyS employed, emergency work
shall be equally distributed between the shiifts.
3. The hours of labor above provided for in subdivision 1 of
this Section, and the additional remuineration for overtime as her~e-
inafter provided for certain employees, shall niot apply to execu-
tives, foremecn, or assistant foremnen who are not mechanical or
3. Rates of Pal.--(A) In laboratories emnploying 20 or les in
number of mechanical laboratory w-orkers, employers shal pay:
(a) MLechanical workers, except apprentices, a minimum wage of
50 cents per hour with a guarantee of payment to each such regular
worker of not less than $15.00 per week.
(b) Apprentices a minimum wage of 40 cents per hour within a
guarantee of payment to each such regular apprentice of not less
than $15i.00 p~er week.
(c) All other regular employees not less than $15.00 per week in
any city of over 500,000 population or in the immediate trade airea
of such city; nor less than S142.50 per week in any city of between
250,000 and 500,000 population, or in thle immediate trade area of
such city; nor less than $14.00 per w~eek in any city of between 2,500
and 250,000 population, or in the immediate trade area of such city;
and in towns of less than 2,500 population, not less than $12.00
(d) Time and one half waages to any employee for the timne during
which he may work in excess of eight hours in any onie day, except
to employees engaged in the processing of newfsreels, who1 shall
receive straight time for suchl overtime.
(e) All employees being p~aidl at a rante of less than $;35.00 per
week as of July 1, 1933, no lesser rate of wage based on 40 hours of
work per wreekr than wras paid such respective employees for 44
hours of work per week as of July 1, 1933; and any readjustment of
wages necessitated by compliance with this Code shall be on an
(B3) In laboratories employing more than 20 in numbJer of mlechanll
ical laboratory workers, employers shall pay:
(a) MZechanical workers classified as follows at a rate on the
basis of the following minimum weekly wage scales for 40 hours
of work per week:
Developing Departments: Prwe
Machine Operators_______--------- $30. 00
Ch~emical M~ixers__-_- __---_------ 35. 00
Negative Cutt-ing Department:
Negative C'utter's --- ----_---------- 33. 00
Negative Joiners_______-___----- 25. 00
Timting Department :
E~ye Timler~s______- --- -------- 80. 00
Assistant Timers____-_---------- 45. 00
Test Machine Timers_______-_____---- 50. 00
Printers--all cla sses--------- ------------- 25. 00
Negative Cleaners_______-_-_------ 25. 00
Raw Stock Clerk_ _______-_____-_-- 2,5. 00
Negative Valult Tenlder___ ------------------ 30. 00
Positive Joiners_____-_____-__-- 21. 25
Examiners________________ 21. 75
WVaxers_______-.________ 20. 00
Inspection Department : Inlspectors___________-___ 25. 00
Title Room ,: Title Cameramen ___________ 30. 00
Shipping Department: Stil:ljl, Clerki________________ 25. 00
Maintenance (Mec~hanica~l) : Mechanies atnd Electricianls____--, 30. 00
Apprentices: All Depar~tments____-________ 20. 00
Helpers: All Departments___________-__ 20. 00
with a guarantee of payment to each regular worrker or apprentice
of not less than $15.00 per week.
(b) ~All other employees not less than. $15.00 per week in any
city of over 500,000 population or in the immediate trade area o
such city; nor less than $14.50 per week in any city of between
250,000 and 500,000 population, or in the immediate trade area of
such city; nor less than $14.00 per week in any city of between
2,500 and 250,000 population, or in the immediate trade area of such
city; and in towns of less than 2,500 population, not less than $12.00
Provided, however, that if any of the foregoing employees work
more than eight hours in any one day, then such employees shall
be paid time and one half for the time during which such employees
workr in excess of eight hours, except employees engaged in the
processing of newsreels, who shall receive straight time for such.
(b) Each foreman in departments employing ten employees or
less shall be paid 10 percent over the average salaries paid in those
respective departments; and each foreman in departments employ-
ing more than ten employees shall be paid 20 percent over the
average salaries paid in those respective departments.
(c) All employees being paid at a rate of less than $35.00 per week
as of' July 1, 1933, shall be paid no lesser rate of wage based on 40
hours of work per week than was paid such respective employees for
44 hours of work per week as of JTuly 1, 1933; and any readjustment
of wages necessitated by compliance with this Code shall be on an
4. Appren~tices.-1~. N;o employer shall employ anyT employee as
an apprentice for more than 12 months, and no employer shall at
any time em~plo~y apprentices of a number greater than 10 percent
of the total number of employees.
5. Conaditions of Empl~oymzent.--(a) Employvees shall hlave the
right to organize and bargain collectively through representatives
of their own choosing, and shall be free from the interference, re-
strlaint, or coercion of employers of labor, or their agents, in the
designation of such representatives or in self-organization or in
other concerted activities for the purpose of collective bargaining
or other mutual aid or protection.
(b) No employee and no one seeking employment shall be re-
quired as a condition of employment to join any company union or
to refrain from joining, organizing, or assisting a labor organization
of his own choosing.
(c) Employers shall comply with the maximumi hours of labor,
minimum rates of pay, and other conditions of employment approved
or prescribed by the President.
ARrICLE V:-INDUSTRY RECULATIONS
1. Selling Beolow Cost Nlot Permitted.-- (a) No) labor~atory shall
sell its products or services b~elow the cost of such prodlucts or serv-
ices. For this purpose cost. is decfinedl as thle cost of dlirect labor
plus the cost of materials plus ani adequate amount of overhiead,
including an amount for the use of any plant facilities emnployed,
as determined by cost accounting methods recognized in the indlustr~y
and approved by the Recovery C~ommiittee. In comlputing cost, of
materials the cost of raw stock shall not be lower thian thle standard
market price at which raw stock is currently beinga offered to labor~a-
tories. As and when any standardl cost accounting mnethodl is recomi-
mended by the Recovery Committee, it shall be subject to the advanced
approval of the National Recovery Admninistrator.
(b) The provisions of thle forecgoinlg pa~'rarap' h shall not apply
with respect to products or services sold in thle performance of a
bona fide contract in writing executed and delivered prior to August
2. Arbitration of E2=iPting~ Contrncts.-1l. WhJere the costs to thle
laboratory of executing contracts enter~edl mto in the motionl-picture
industry are increased by the application of the provisions of the
N.I.R.A. or the Code, it is eq~uitable anld promotive of the purposes of
the NII.I.R.A. th~at app~roprialte adjustments of such contracts to reflect
suchl increased costs be arrived at by arbitral procee~dings~ or otherl--
wise and the members of the Boardl shall constitulte th~emslelvecs a
Commiittee to assist in effectuiatingi suchi adljustments.
3. False Records.-1. N'o laboratory shall willfully maintains an
incorrect, improper, or false method o'f dleterminingr cost.
4. Unfair Trad~e Practices.-1l. The following are declared to be
unfair trade practices in the industry:
(a) Any willful attempt to induce a breachl of existing bona fidle
contract, or to prevent the performance of any contractual duty or
service under any bona fide contract.
(b) To effect or conceal price discrimination by the payment or
allowance of secret rebates, refunds, credits, or unearned dliscounts,
whether in the form of money or gifts,: the acceptance of securities
at more than t~he true market value, the extending of special privi-
leges not usually extended in the industry.
(c) Commero~in bribery, giving gratuities, favors, or services in
anly form directly or indirectly to culsioltomer or cu ~tomers' employees
or obtaining sales by giving commissions or rewards in any form to
employees of cusitme~lrl4 or otherwise inducing the placing of orders
through lavish entertainment or indirect gifts or other forms of
(d) Any departure from original agreements wtith~ respect to terms
.of dliscocunte for cash or tim~e of payment which- results in dis~crimi-
nation between purchasers of the same class of products or services
and under the same co~ndition.
(e) Substitution of material differing in any respect from th~e
materc~ial ordlleredc, without obtaining the approval of the customer, or
the use of raw material including raw stock inl any manu~lfiCf cturinlg
processes inferior in qualityr to the raw material sprc~ified in an border,
or if not specifiedl, inferior to the quality c-ustomrrrily used for similar
(f) Attacking a competitor as to his financial standing or personal
integrity or his ability to serve the trade.
(g) Predating contracts or willfully misrepresent ing the date of
(h) IMisrepresentation as to workr or service or quality of work: or
service or materials, or misleading advertising.
(i) The giving of any bribe, gift, favor, or service to any employee
of a culstomelcr or comp~etitor in order to obtain information about a
competitor's condition of business.
(j) T'he accepting of anly ,reba te, direct or indirect, from an
(k) Influencing any employee to dispose of his w~nges in any
(1) To store producers' old film without making a reasonable
(m)r~ Theeo.o furnish the use of cutting rooms without making a reason-
able charge therefore.
(n) To render commercial projection service without making a
reasonable charge therefore.
(0) To takre an unauthorized duplicating print from a customer's
negative or to make any other unauthorized copies, either negative
or positive of a customer's negative or print.
1. Bfy the~ President.--Thnis Code recognizes the right of the Presi-
dent from tiime t~o time to cancel or modify any order, approval,
license, rule or regulation issued under Title I of the N.I.R.A., and
specifically to the right of the President to cancel or modify hlis
approval of this Code or any conditions imposed by him upon h~is
2. By the Association.--The provisions of this Code, other than
the mandatory provisions under the N.I.R.A., may be modified or
amended by the concurring vote of at least two thirds of the members
of the Association at a meeting called for such purpose, provided that
notice of submission of the proposed modification, or amendment,
has been given in the notice of meetings and priovided further, that
any modification or amendment adopted by the Association shaall
not become binding or effective unless andl until approved by th
1. P~odutcer's Lab ora tor~ies REicepted.-AXny laboratory owned,
operated, or contlrolled by a motionl-picturep producing firmn, whcthier
an individual, a partnership, a cor~poration, or othierwise, without
limiitation, is excepted from the operation of this Code, so long as it
does not compete w-ith any laboratory~ subject to this Code in labors-
tory products, or services, other than on pictures produced b~y it.
2. Aflemclbership.-(a) All members of the Association affected
thereby shall. as a condition of miemnbershipi subscribe to this Code.
(b) Association mem~nbership shall recmain op~en. at all times to any
motion picture laboratory under no restrictions, except as to initia-
tion fee and payment of dlues.
3. Application of the C'ode.--If any~ employer~ in the M~otion Pic-
ture Laboraltory Indlustr~y is also an emplloyer of labor in any other
industry, the provisions of this Codle shall app~ly to and at~ect only
that part of the business of such employe!r wshic~h is inlcludled in the
laboratory indlust ry.
4. Efe'ctice Date.--This Code becomes effective on the tenth day~
following its approv-al byr the President.
5. Terminalction.--Th is Code. unless otherw-ise terminated, shall ex-
pire on the same date as the N.I.R.A.
6. Code V'iolrtionl.--Violation of any provision of this Code shall
be deemed unfair competition.
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