Registry No. 1638--01
NATIONAL RECOVERY ADMINISTRATION
PROPOSED CODE OF FAIR COMPETITION
WE DO OUR PART
UNIV. OF FL LIB.
The Code for the Pattern MPanufacturing Industry
in its present form merely reflects the proposal of the above-mentione I
industry, and none of the provisions contained therein are
to be regarded as having received the approval of
the National Recov~erU Administration
as applying to this Industry
For sale by the Superintendent of Docusnents, Washington, D.C. I nee a Ir rs
GOVERNMENT PRINTING OFFICE
WASHINGTON : 1933
AS SUBMIlTTED ON AUGUST 31, 1933
NATIONAL ASS~OCIATION OF PATTERN MA~NUFACTURERS
A CODE OF FAIR COMPETITION FOR THE PATTERN
This Code is set up for the purpose of comlplying with the intent
of Title I of t~he National Indusl~ct'iall Recovery A~ct, that of incr1easingg
emplloymenPlt.. establishingrl fair and. nciequatefi ag~s. effecting nces-s
saryr redlct~ion of workling hourss, improving labor stanndards,~ and
elimiinuting unethical and unfair trade~~ prnc~tices that ha~ve existed~
heretofore inl the Pn tttern Mafinu~fnut ringi1 Ti Indust ry, thus enab~ling the
Industry to function unselfishly for thle boest public intelrest in str~ic~t
adhlerence to the la w.
It. is the avowedl intention of the P~attern Mannufact~uring, Indultr~y
to establish, insofar as may- be practical, the rates of wage~ts pa~idt
within the Pat~tern ~a nu fact rling~ Indu~stry?, to such a level as~ is
essential to maintain the highlest practical standard of livingr; to
restore thle income of enterpr,jises within the Indusltry~ to levels that
will make possible the payment of such wagesr, elimninating~ the fuxr-
ther depletion andl destruction of capital assets; and froml time to
time to revise the rates o-f wa~sges in such mannner as will currently
reflect the equitable adjulstment to var~iations in the cost of living.
No provision in this C'ode shall be inter~preted~ or applied in such
manner as to:
1. Protnote monopolies.
2. Permit or encourage unfair competition.
3. Eliminate or oIppress small enterprises.
4i. Discriminate against small enterprises.
For t~he purpose of the administration of this Code the term Pat-
tern Mlanufacturer is a person, partnerships>, association, or corpora-
tion, or any subdivision thllereof engaged in the manufacture of
models, patterns, or permalnrent mlolds of metal or wood, or composi-
tions of other materials, to be used in thie manufacture of castings
of anly description.
Participation in this C'ode, andl any subsequent revision of or addli-
tion to this C'ode, shall include each and evecry peronl, partnership,
association, or corporation in the Pattern M~anufacturing Industry,
and he shall accept hiis share of the cost anld responsibility, as well
as the benePfit of uchII part~ricption eit~her by becoming a, member of
the National Association of: Pattern M~anulfa~cturersl~ or byv paing his
proportionate share, eniculatedl on an equal basis w\lith thet lnesi paid
by the members of the N~lational Associationl of Paltternl Mlanufac-
In the event that the expernses necepssary\ for thle ashninistrationtio
orf this Code shanll exceedl or fall beclow dile total amounirit reoceived
on the foregoing b-rasis the National ExecultiveP Board~l of th~ Nartnional
Association of Pattern Alanufnetturrer shall hav\e ther p~owrr to ini-
crease or r~edluce the fees so levied.
AnrTICLE 7LA ,BI:H CODE
As required by Section ;-A of Title I of thle SNtional Indul~str~ial
Recovery Act. the~ following pr1ovisions are effective unltil flthe exp~'ir-
tion of this act.
SECTnow 1. Emlployees shall1 have the right to organize a nd~ bargain
collectively through representative s of thecir ow-n c~hoosing. andl. shall
be free froml the interfer~ence,. recstr~aint. or corrcionr o~f emloyer~rls of
labor, or their agents, in the designation of such~ represet~ntatives or
in self-orgranization or in o~ther croncerlted activities for the purp.Iose
of c~olle:-tive barg~nining or other mutual aid or protection.
SEC. 2. NO emnploy~ee and no one seeking emp:loyment shall ber re-
quired as a, condition of emiploymlent to join anyv compny>ii union, or
refrain from, joining, organizing, or assisting a. la~or olrgAnization1 o~f
his owpn choosing.
SEc. 3. All emIploy'erS shall comply with the maximumir hours6 of
labor, minimumn rantes of pay, and other conditions of emnploymllentn
approved or pre~sc~ribed b~y t~he President.
SwE(. 4. Without in any way attempting to quallify r mod ll~cifv. by
i interpret at ion, the foregoing r~equi remnents of the Nationa inl Indutrial
Recovery Act, empllloyers in this industry mna y exrc~ise their Ijright to
select, re-tain, or nava-ince~ employees on -the basis of individliral mlerit,
without regard to their membr ersh ip or n onmrembIe rsh i i n a ny
SEC. 5. That in all matters piertaining to p~roposedl changes r~elative
to maximum hours of labor, minimum rates of pa, andr other condit-
tionss of employment, the Naational 'Executive Boardc before com-
mitti ng the Na tiona~l Association of Pattern Aan u factur~ers shall
take a letter ballot from all members of the Indust~ry and shall ab~ide
by the manjor~ity vote of such bnllot.
SEC'. 6. Tlle Ilnxilmllil l workwee'tk in manulllfnetl~uringl opert~lnions
in the Pattern Ma~nulfnar~t lring~ Indulstry\ shall bet as fo~llows~:
Fior all workers, inc~llluill own~er~ ~of buslinl~e, ce ngaged~ inl pr1o-
dlucti~ve labor, except supecl\crvisor staff, ml-illw-rights~, elec~tric~ians,~ re-
pair crews, engrineers,~- fir'~lemen, sales and office force, celerk. sh~ippers,~x
d-river~, and wa~tc~hmen. ules t1IC~ hey' are en1~gage inl mlaking~ of prIodl-
ucts covered in Alrtic~le II, shall be for~ty (40:) hours~: Provided
leowerTha~t these~ limnitations shall not' apply to those brannches
o~f thec Pattern Mtanufac~turing Indusltry7 in whlich sensonal~l orl p~eak
demandn~ places an unusuan1 and templorary burdlen for produc,~~tion
ulpon suIch b'an1ches; in such cases no emp~loyee shall bet p~ermitted
to worki more than an aIggregate of one hulndlredl for~ty-four (144)
hours per year in excess of thle limitations hereinbefore provided,
and prov-id~ed further that sulch limitations shafll n1ot applyl in cases
of emiergency. At thle end of eac~h enlenldar month, every\ empiloyer
shall r~e~or~t to t~he National~l Executive Board of the National Asso-
eliationi of Patter~n hlaiu fnret ueri in suc~h detail as mayu~ be required,
the number of man-hou~ris wov;rked in that mlonthl fori emrgienicy
reasonss. andi the rautio~ which ;saidT inemerency man-hour~ls h~ears to
the total number of man-hours~ of labor during said month.
SEC. 7. Thle minimumr l wage'c for sk~illedc wood;1 andit metal pattern
maker~s. whlo have wc.rkdc a~t least five (5) yrear~s at their trade,
shall be at th~e r~ate of silven!ty-five (75) cents per hour. This rate
shall not be construed as aIfflect'ing aIppr~entices, who shall be con-
sider~ed students acquir~ing a trade education, thle termi1 of which shall
bre five ven rs.
SEc'. 8. No employerl shall e~nlroll more than one ap~r~ent~ice for
e~very five skilledl pattern mlakers1 or fraton ther~eof.
SEc. D. NO employee in the Pattern Alalllnufneu rin~ TIndustry shall
be less than sixteen years of ager.
ARTICLE V--C~OST AICCOUNTING AND STAT~IISTICrAL CODE
A uniforrm~ syctem of cont, acconltingr shall be adopted by the Pat-
ter~n 10anufac~turing Indusltr~y in orlder to readily determine the sale
price as is covered' in Article VI, and to easily compiler statistical
statements that w~ill be required from timle to time.
ARTICLE VI -MARKETING CODE
SECTION 1. Alll pnr~ties to this Code engagedl in the malnufacturee
of the products covered in Article II, shall nrot sell thle said products
for less thlan cost, the cost being calculated according to thre followinga
formlulo: Productive labor, plus a burden chargFe of at least one
hundreds (100)) percent of the productive labor, plus cost of mnate-
rialls written up ten (10) percent.
SEc. 2. Ma~nufac~tu redd pr1oducts covered by. Article II of this Code,
produced by a party to this Code in an Iindustry\ foreign to the
Pat~t~er~n Alanufact~uringr Industry, shall charge either customers or
other dlepartmnents for such products on the basis as described in
Sect ion 1 of this Article.
ARTICLE VII---INDUS~TRIAL REGULATIONS
SECTION i. The ,piving of secret rebates, refulnds, special services,
or pr~ivileges shall be consid~eredl unfair competition.
SEC. 2. #111111 Or Illr1010115 defniitilliOn Of competitors or the dis-
paragemnent of competitors' products or prices is unfair competition.
jEc. :3. Commnercial bribieryl) in the form. of gra~tnities to aInyocne,
o~r the offering of 1rewnede1. or premniums~ to p~u~c~hasers~ of products as
decfinled in Arlticle II is unfair competition.
SEC. -1. TerllIS Xeetdlng 2%r-10I days, 30 days net, is unfair comn-
SEC. G. Thle not of posjt-dat~ingS invoices later thlan the date of
delivery! is unfair competition.
SEC. 6. It shall be unfair competition for any Patern Mfanufac-
tuirer to sublet pattern w'ork to any emiployee.
TEC. )r. Tile Tentlng Of sh-op, space and priviilege to use maschinery
andI equipment to anyone for the purpose of manufacturing t~he
products covered in Article II for resale is unfair complettiton.
SEC. 8. It shall be unfair competition for anyi membler of the
Indlustry to withhold pay due his emiployees beyond thle date of
each regular payday unless such action is nsiee necessary by unfore-
seen circumsrtances; wTholly beytond the conltrlnl of the empnlloyer.
SE~c. 9. T~Tiolation by any mannufacturerss of thle Patter~n Mannufac-
tuiring Industry of this Code or of anyT of the al-pproved rurlets ther~e-
undier is unfair c~ompetit ion.
ACIrria VTIII-AnarIxsI.nvrrox~~ or CODE
SCECTION 1. The NaJtional Ex~cutive Bo~ard~ of the National Asso-
ceintion of Pattern Mlanu faclturerss with the adlditionl of thle appointed
representatives of the Federal Admrlinistration, who will only have
veto power, shall be charged with the enforcement of the provisions
of this Codie and with the duties, through agenat.s or othlerwrise, of
hearing aind adjuzstin~g complalIints. co-nsidering propo~sals for amiend-
2nentb s and making rec~ommndatincnt on s therein, approv\ing~ recommen-
cdutions for exceptions to the provisions contained in this Codle, and
oitherwise adlministering its provisions. In addition, it shanll have
thle piowler to require from time to time such reports and statistical
data. froml the industry as in its judgment may be nec~essary to advise
ndequately on thte namlrinistration and enforcement of th~e provisions
of thiis Code!, the said information to be held in strict confidence ex-
~ep~t in the instance of a violation of this Code.
S~c. 2. This code or any of its provisions may be calnce~lledl or mlod-
ifie~d, and any approved rule issued thereunder shllR1 be ineffective
to the extent necessary to conform with alny action by thle President
of the United States under Section 10(b), of the N'ati'onal Industr~ial
SIEc. 3. This Code shall be in effect on the tenth dlay after it~s ap-
p~roval by the President of the United States.
I, or we, hereby: approve this Code for the Pattern M~anufacturing
Industry as submitted by the National Association of Pattern MaInu-
facturers and agree to abide by its provisions as approved by the
President of the United States.
~NATIONAL Ass'N. or P~rrTERN RMANUFACTURERSi
By RUssELL WT7. HEDSTRoRt, Se~tcretary'?-T re~a.surer4.
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UNHIIIIIIV SIYOFOI DAIIIII IIIIH