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NATIONAL RECOVERY ADMINISTRATION
CODE OF FAIR COMPETITION
CANNING AND PACKING
AS APPROVED ON OCTOBER 31, 1933
1. Executive Order
S2. Letter of Transmittal
GOVERNMENT PRINTING OFFICE
For sale by the Superintendent of Documents, Washington, D.C. - Price 5 cents
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CODE OF FAIR COMPETITION FOR THE CANNING AND PACKING
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 Canning and Packing Machinery In-
dustry, and hearings having been held thereon and- the-Administra-
tor having rendered his report containing an analysis of the said
code thereto, and the Administrator having found that the said code
of fair competition complies in all respects with the pertinent provi-
sions of title I of said act and that the requirements of clauses (1)
and (2) of subsection (a) of section 3 of the said act have been met:
NOW, THEREFORE, I, Franklin D. Roosevelt, President of the
United States, pursuant to the authority vested in me by title I of
the National Industrial 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 is hereby approved.
FRANKLIN D. ROOSEVELT.
THE WHITE HOUSE,
October 31, 1933.
HUGH S. JOHNSON,
The P DENT OCTOBER 23, 1933.
The White Hoaue.
Sm: This is a report of the hearing on the Code of Fair Competi-
tion for the Canning and Packing Machinery Industry in the United
States, conducted in Washington on October 11, 1933, in accordance
with the provisions of the National Industrial Recovery Act.
PROVISIONS AS TO WAGES AN HOURS
No person under eighteen (18) years of age shall be employed on
work of a hazardous nature, and no person under sixteen (16) years
of age shall be employed in this industry.
A minimum wage rate of 40 cents per hour is established for fac-
tory employees unless the rate on July 15, 1929 was lower, in which
case the rate per hour shall not be less than the rate then paid,
provided, however, that in no event shall the rate be less than 32 cents
The minimum wage paid to any other employee shall not be less
than $15.00 per week in any city or trade area of over 500,000 popu-
lation; not less than $14.50 in any .city or trade area of between
250,000 and 500,000 population; and not less than $14.00 in cities or
towns of less than 250,000 population.
Office boys and girls, not exceeding 5 percent in number of the
total office force of any employer, may be paid not less than 80
percent of the minimum weekly wage.
Existing wage differentials above the minimum shall be main-
tained as far as practicable, and in no case shall the wage rate,
whether on an hourly, weekly, or monthly basis be reduced.
Existing or future apprenticeship contracts shall be filed with the
40 hours is established as the maximum week.
Exceptions cover executives, professional persons, heads of admin-
istrative departments, technical engineers, and the immediate as-
sistants of all the foregoing classifications, factory and office super-
visory staffs, who receive more than $35.00 per week, outside service
men, salesmen, and watchmen, provided that watchmen shall in no
case work more than 56 hours during any one week.
It is further provided that in case of emergency when delay would
result in the loss of perishable animal, fruit, or vegetable products
a tolerance of 20 percent over 40 hours maye be worked, but such
extra time must be averaged down to 40 hours during any six months'
Emergency installation and stores service employees during the
canning season are permitted to work extra hours and if the available
supply of skilled employees in any particular area is absorbed, such
departments as may be affected may also be peLnitted to exceed the
Shipping clerks, stock clerks, and firemen are allowed a tolerance
of 10 percent.
ECONOMIC EFFECT OF THIS CODE
This industry is operating at about 30 percent of capacity and has
suffered severely during the depression. Employment will be in-
creased at least 20 percent and pay rolls increased approximately
27 percent. This is effected through operating on the shortened
schedule of hours provided in this Code. Under normal conditions
the industry has worked as high as 60 hours per week during peak
production with annual averages of 45 hours per week.
Very little machinery can be built for stock and a large proportion
must be assembled under emergency conditions, sales of new equip-
ment to a large extent depending on any surplus vegetable, fruit, or
animal products which might otherwise deteriorate.
The Administrator finds that:
(a) The Code as recommended complies in all respects with the
pertinent provisions of Title I of the Act, including, without limita-
tion, subsection (a) of section 7 and subsection (b) of section 10
thereof; and that
(b) The applicant group imposes no inequitable restrictions on
admission to membership therein and is truly representative of the
Canning and Packing Machinery Industry; and that
(c) The Code as recommended is not designed to promote monop-
olies or to eliminate 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.
HUGH S. JOHNSON,
CODE OF FAIR COMPETITION FOR THE CANNING AND
PACKING MACHINERY INDUSTRY
To effectuate the policies of Title I of the National Industrial
Recovery Act, the following provisions are established as a Code of
Fair Competition for the Canning and Packing Machinery Industry
and shall be binding upon every member thereof.
Industry as used herein means the Canning and Packing Ma-
chinery Industry, which embraces the manufacture for sale or sale
in the open market and within the United States of America or its
territories of canning machinery used for the preparation and
processing of foods for human or animal consumption; machinery
used for the manufacture of cans and containers for such foods;
machinery used for the preparation and packing of fresh fruits and
vegetables; machinery used for the dressing, processing, and pack-
ing of animal, poultry, and fish products, whether intended for final
sale in fresh, frozen, or canned form; and machinery used for the
processing and packing of dried or dehydrated fruits and vegetables
and parts thereof.
The term employee" as used herein includes anyone engaged
in the industry in any capacity receiving compensation for his serv-
ices, irrespective of the nature or method of payment of such
The term employer as used herein includes anyone by whom any
such employee is compensated or employed.
The term member of the industry includes anyone engaged in
the industry as above defined, either as an employer or on his own
The terms President ", Act", and "Administrator" as used
herein shall means respectively the President of the United States,
the National Industrial Recovery Act, and the Administrator of
Population for the purposes of this Code shall be determined by
reference to the 1930 Federal Census.
The term "Institute" as used herein means the Canning and
Packing Machinery Institute, or any committee, or section thereof,
to whom it has delegated authority.
The term Code Authority as used herein means the supervising
and administering body charged with representing the Industry and
the Administrator in promulgating the rules governing the operation
of the Industry under this Code.
The term effective date" as used herein means the eleventh day
after the approval of this Code by the President.
(a) (1) Employees shall have the right to organize and bargain
collectively through representatives of their own choosing, and shall
be free from the interference, restraint, 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; (2) no
employee and no one seeking employment shall be required 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; and (3) employers shall comply with the maximum
hours of labor, minimum rates of pay, and other conditions of
employment, approved or prescribed by the President.
(b) This Code establishes a minimum rate of pay, regardless of
whether an employee is compensated on a time-rate, piece-work, or
(c) Female employees performing substantially the same work as
male employees shall receive the same rates of pay as male
(d) No employer shall engage any employee for any time which,
when totaled with that already performed with another employer, or
employers, exceeds the maximum permitted herein.
(e) No employer shall operate on other than a schedule of 6 days
work in seven except in cases of emergency.
(f) Within each State this Code shall not supersede any laws of
such State imposing more stringent requirements on employer regu-
lating the age of employees, wages, hours of work, or health, fire,
or general working conditions than under this Code.
(g) Employers shall not reclassify employees or duties of occupa-
tions performed by employees so as to defeat the purposes of the Act.
(h) Each employer shall post in conspicuous places full copies
of this Code.
No person under sixteen (16) years of age shall be employed by
any employer and where State laws require higher wages or shorter
hours of employment, such requirements shall be complied with in
such States. No minor under the age of eighteen (18) years shall be
employed on any power-driven, wood-working or metal-working ma-
chinery or in hot or cold forging processes or in any other occupa-
tion determined by the Code Authority to be hazardous provided,
however, that on complaint the Administration may review and dis-
approve or modify such determination.
(a) On and after the effective date the minimum wage that shall
be paid by any employer to any factory employee engaged in the
Industry, and in labor operations directly incident thereto, shall be
not less than forty (40) cents per hour unless the rate per hour for
the same class of labor on July 15, 1929, was less than forty (40)
cents in which case the rate per hour paid shall be not less than the
rate per hour paid on July 15, 1929, and provided that in no event
shall the rate per hour paid be less than thirty-two (32) cents per
(b) On and after the effective date, the minimum wage that shall
be paid by any employer, to all other employees shall be not less
than fifteen dollars ($15) per week in any city of over 500,000 popu-
lation or in the immediate trade area of such city, nor less than four-
teen and a half dollars ($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 fourteen dollars ($14) per week in any city
or town of less than 250,000 population or in the immediate trade
area of such city or town.
Provided, however, that office boys or girls (other than appren-
tices) may be paid not less than eighty (80) percent of such mini-
mum wage, but the total number of such office boys or girls at such
reduced rate shall not exceed in any calendar month five (5) percent
of the total number of all employees covered by the provisions of
this paragraph (b), provided that each employer may employ a
minimum of one office boy or girl.
(c) To the extent practicable, the wage rates, whether on an hourly,
weekly, monthly, or piecework basis, of employees receiving more
Than the minimum wage rates shall be equitably adjusted, and in no
case shall the aforesaid wage rate and/or rates be decreased as a
result of this adjustment of hours, so that existing differentials shall
be maintained and, to the extent practicable, recognition shall be
given to the desirability of maintaining earnings, provided such ad-
justment has not already been made since June 16, 1933; further, each
employer shall report action taken under this section to the Code
(d) Nothing in this Article V shall apply to, or affect, any em-
ployee apprenticed to any employer by an indenture made in pursu-
ance of the laws of any state of the United States, or by a written
contract under any apprentice system established and maintained by
any employer, provided such agreements are, and each additional
agreement as made is, filed with the Code Authority, and provided
that this exception shall apply to such employees only during the
period that they are receiving less than the minimum rate.
(e) Any employee who, by reason of disability or infirmity, is com-
petent only for light employment shall be paid not less than eighty
(80) percent of the minimum wage referred to in paragraph (a) of
this Article V, provided that a record of each case shall be filed with
the Code Authority.
SECTION 1. (a) The proponents of the code represent that the
demand for canning and packing machinery is subject to fluctua-
tions not believed to prevail in many other industries and that
there is but one customer for these machines, the canner or packing
house or farmer who uses the same, and the ability of this customer
to buy is conditioned upon the price, quality, and quantity of the
various crops. The demand, even in periods of comparative prosper-
ity, is greatly varied and often obliterated by unforeseeable weather
conditions, pests, or plant diseases such as drought, hail, and tor-
nadoes, or the prevalence of corn borers, aphis, blight, coddling
moths, and the like. Probably 75% of the variations in yields is
due to such or similar causes. An emergency demand for certain
machinery is often created by the same conditions. For example,
the failure of a crop in one section of the country may result in a
substantial increase in late plantings in another section, and to care
for the handling of the same, machinery must be provided almost
(b) While this Industry recognizes and sympathizes with the
ideal of a limited work day and work week and believes that 8
hours per day and 5 days per week is desirable, yet it is impossible
to adopt such limitations in meeting the requirements of the proces-
sors of perishable food products, as a considerable variation in fac-
tory hours has always been essential and must be permitted.
SEC. 2. (a) No employer shall employ any employee in excess
of forty (40) hours per week.
(b) Provided, that these limitations of hours shall not apply to
executives, professional persons, heads of administrative depart-
ment, technical engineers, and the immediate assistants of all the
foregoing classifications, factory and office supervisory staffs, not in-
cluding foremen primarily engaged in productive work, provided
that no person receiving less than thirty-five ($35.00) dollars per
week shall be considered to come under any of the foregoing ex-
empted classifications of this paragraph, outside service men and
traveling salesmen, and watchmen, provided, however, that watch-
men shall not work more than fifty-six (56) hours in any one week.
(c) Provided, further, in drder to meet any emergency demands
where the delay in furnishing equipment might result in the loss of
perishable animal, fruit, or vegetable products a tolerance of not
more than 20% in the number of hours worked may be permitted,
but in no case shall the time worked exceed 40 hours per week on
a six-month average and further provided that all such emergencies
be reported to the Code Authority and such information made avail-
able to the Administrator.
(d) Provided further, that these limitations shall not apply to
highly skilled employees engaged in emergency installation work
nor to stores service employees during active canning and/or packing
seasons, nor when the available supply of employees in any certain
skilled trade within a locality or trade area have been absorbed into
the industry, but in all such emergencies the Administrator shall be
advised; provided further, as to employees engaged in the care of
plant and production facilities, firemen, and stock and shipping
clerks there shall be a tolerance of 10 percent.
(e) For the purpose of adjusting operations to comply with the
six months' average requirement, any employer may adopt for each
location such six-month period as is most appropriate for the business
. A" ARnCLr VII-ADMINISTRATION
S1. To further effectuate the policies of the Act, a Code Authority
is hereby constituted to cooperate with the Administrator in the
administration of .this Code.
(a) The Code Authority shall consist, of the Executive Committee
of the Institute. In addition, its membership may include two (2)
nonmembers of the Institute elected by some fair method of selection
by the nonmembers, and upon his request not more than three (3)
nonvoting appointees of the Administrator.
(b) Each trade or industrial association directly or indirectly
participating in the selection of activities of the Code Authority
shall: (1) Impose no inequitable restrictions on membership, and
(2) submit to the Administrator true copies of its articles of asso-
ciation, bylaws, regulations, and any amendments when made there-
to, together with such other information as to membership, organiza-
tion, and activities as the Administrator may deem necessary to
effectuate the purposes of the Act.
(c) In order that the Code Authority shall at all times be truly
representative of the industry and in other respects comply with
the provisions of the Act, the Administrator may provide such
hearings as he may deem proper; and thereafter if he shall find
that the Code Authority is not truly representative or does not in
other respects comply with the provisions of the Act, may require
an appropriate modification in the method of selection of the Code
2. The Code Authority shall have the following duties and powers
to the extent permitted by the Act, subject to the right of the Admin-
istrator on review to disapprove or modify any action taken by the
, (a) To collect from employers in the Industry all data and sta-
tistics required by this Code or by the President or his agents under
the National Recovery Act and make same available to the Admin-
istrator; provided, however, that such information shall be confi-
dential except insofar as disclosure may be necessary for the effec-
tive administration and enforcement of this Code, and in no case
shall the data and statistics furnished by any employer be revealed
to the competitor of said employer.
(b) In addition to information required to be submitted to the
Code Authority, there shall be furnished to Government agencies
such additional information as the Administrator may deem neces-
sary for the purposes recited in Sectiorn 3 (a) of the National Indus-
trial Recovery Act.
* (c) To represent the Industry in conferring with the President
or his agents with respect to the Administration of this Code and in
respect of the National Industrial Recovery Act and any regulation
S(d) To hear complaints and attempt to adjust the same and re-
port the results thereof to the Administrator.
(e) To coordinate the administration of this Code with such
Codes, if any, as may be adopted by any subdivision of this Industry
or any related Industry, with a view to providing joint and harmo-
nious action on all matters of common interest, all with the approval
of the National Recovery Administration.
(f) Members of the Industry shall be entitled to participate in
and share the benefits of the activities of the Code Authority and to
participate in the selection of the members thereof by assenting to
and complying with the requirements of this Code and sustaining
their reasonable share of the expenses of its administration. The
reasonable share of the expenses of administration shall be deter-
mined by the Code Authority, subject to review by the Administra-
tor, on the basis of volume of business and/or such other factors as
may be deemed equitable to be taken into consideration.
(g) No employer shall use any subterfuge to frustrate the spirit
and intent of the purposes of this Code, which is, among other
things, to increase employment, to remove obstructions to commerce
and to shorten hours and raise wages for the shorter week.
(h) Aggregations of employers having a common interest and
common problems may be grouped by Code Authority for adminis-
trative purposes into various subdivisions or product classifications,
and such subdivisions shall be subject to review by the Administrator.
(i) In each subdivision or product classification there may be a
subsupervisory Authority approved or appointed by Code Authority
subject to the approval of the Administrator. If formal complaint
is made that provisions of this Code have been violated by any em-
ployer, Code Authority may delegate the proper subsupervisory Au-
thority to investigate the facts, or may cause such investigation to
be made as it may deem necessary, and the results of said investiga-
tion shall be reported to the Administrator.
ARTICLE VIII-ACCOUNTING AND COSTING
Every employer shall use an accounting system which conforms
to the principles of and is at least as detailed and complete as a
standard method of accounting and a standard method of costing to
be formulated or approved by Code Authority with such variations
therefrom as may be required by the individual conditions affecting
any employer or group of employers, and which standards shall be
subject to the approval of the Administrator.
ARTICLE IX-NOT To SELL BELOW COST
In recognition of the fact that the Industry has suffered from non-
rofit sales no employer shall sell or exchange any product of the
industry manufactured by him at a price or upon terms and con-
ditions which will result in the purchaser paying for the goods
received less than the cost thereof to the employer as determined
in accordance with the method of costing described in Article VIII;
provided, that dropped lines, or seconds, or inventories which must
be converted into cash to meet emergency needs may be disposed
of by any employer at any lesser price and on any terms and condi-
tions, but all such sales shall be reported to the Code Authority;
provided further, should subnormal conditions continue a member
of the Industry with the approval of the Administrator may take
his costs prevailing during the last year in which such individual
employer made a profit as cost for the purpose of this Section.
Upon new machines developed since the aforesaid profit year over-
head rates used in said profit year shall be used unless actual cost;
figures thereon shall be filed with the Code Authority.
ARTICLE X-PRICE LISTS
(a) Each employer in the Industry shall immediately file with.
Code Authority or with some other responsible, disinterested agent
designated by it at such place as shall be determined, a confidential.
net price list and discount sheet independently prepared by such
employer, showing his current prices and discounts and terms of
payment, and no sales shall be made except upon such price lists.
Any change price lists and discount sheets shall be similarly filed
from time to time thereafter, ,to become effective upon a date speci-
fied therein, which shall not be less than ten days after the same shall
be so filed, except that upon machines newly designed and/or in-
vented the price list therefore shall become effective immediately upon
same being offered for sale and the price list filed within five days
thereafter. No employer in the Industry shall sell any product re-
ferred to therein for any other prices or upon any other discounts
or better terms than as set forth in his last net price list and discount
sheet filed as herein provided.
(b) Included in such deposited price list shall be a schedule of
installation charges, setting forth the rates to be charged for such
work, including traveling and living expense.
(c) At its discretion, and upon the approval of the Administrator,
Code Authority may appoint an Auditor who shall not be an em-
ployee of any employer to visit the various employers' offices, check
the sales records as compared to the aforesaid deposited price lists,
terms, and discount sheets, and report his findings to it.
(d) Code Authority shall review all Auditor's findings and shall
report violations of this Code to the Administrator.
ArTCLE XI-UNFAIR PRACTICES
The practices hereafter enumerated in this paragraph, if indulged
in by any member of the Industry, shall constitute acts of unfair
competition within the meaning of, and with the effect and penalties
set forth in paragraph (b) of Section 3 of the Act.
(a) Knowingly or willfully failing to comply with any of the
provisions of this Code;
(b) Making or promising of any bribe, gratuity, gift, or other
remuneration, directly or indirectly, to any employee or officer of any
purchaser or prospective purchaser for the purpose or with the effect
of making a sale of any product of the industry;
(c) Circulating or disseminating false or misleading information
relative to the product, price, credit standing, ability, or perform-
ance of any competitor in the industry;
(d) Knowingly inducing or trying to induce in any manner the
violation of any contract with any competitor in the industry;
(e) Granting the secret payment or allowance of rebates, refunds,
commissions, credits, or unearned discounts, whether in the form of
money or otherwise, or the secret extension to certain purchasers of
special services or privileges not extended to all purchasers on like
terms and conditions;
(f) Procuring any information concerning the business of any
employer in the industry which is properly guarded by such em-
ployer as a trade secret or as confidential within its organization
otherwise than with the consent of such employer; provided, how-
ever, that this shall not apply to information obtained relevant and
pertinent to any investigation undertaken under this Code-
(g) Selling or offering to sell any new machine upon which the
seller thereof has not deposited a price list in effect on the date of
such sale or offer except for newly designed and/or invented
(h) Making or offering to make a trade-in allowance for any
machine more than two years old greater than 15% of the price of
the new machine or of the original price of the trade-in machine,
whichever is lower;
(i) Selling or offering to sell any product of the industry at a
price less than or upon discounts and terms other than those set
forth in the deposited price list of the manufacturer thereof or
secretly or openly agreeing to divide with the purchaser or intend-
ing purchaser any selling commission or discount granted by an
employer to the selling agent or agency;
(j) Agreeing to install any machine or equipment free of charge
to the purchaser thereof or failing to charge the deposited rate for
installation as set forth in the price list.
(k) So long as the maker of any trade-marked machine or de-
sign (or his successor in business) continues to make the same or
to supply repair parts therefore, it shall be an unfair method of com-
petition for any other employer to make and supply either repair
parts for or such machine and design unless (a) the name of the
maker thereof is plainly marked on each machine, design or part,
and if this is impractical as to parts on the package or tag thereof
and (b) unless in such a manner as to clearly indicate to the ultimate
user that said machine, design or parts were not made by the maker
of the original machine, design or part.
ARTICLE XII-SALES FOR EXPorr
Except as may be subsequently set forth in a specific or supple-
mentary Export Code for the industry, the provisions of this Code
now or hereafter adopted with regard to prices, discounts, deduc-
tions, allowances, extras, commissions, or methods and/or terms of
sale, are not to apply to direct export sales or to sales in course of
export, (i.e., sales destined ultimately for export) or to sales of ma-
terials used in the manufacture of products for export, but the pro-
visions of Article IX shall apply to such sales.
AnTICLE X III-RIHTS OF PRESIDENT
This Code and all the provisions thereof are expressly made sub-
ject to the right of the President, in accordance with the provisions
of subsection (b) of Section 10 of the National Industrial Recovery
. Act, from time to time to cancel or modify any order, approval,
license, rule, or regulation issued under Title I of said Act and
specifically, but without limitation, to the right of the President to
cancel or modify his approval of this Code or any conditions im-
S posed by him upon his approval thereof.
ARTICLE XIV-AMENDMENTS CONTEMPLATED
This Code is intended to be a basic Code. Study of the trade prac-
tices of the industry will be continued by Code Authority with the
intention of submitting from time to time after its effective date
additions to, or revisions of, or supplements to, this Code; such addi-
tions, such revisions, and such supplements, however, shall conform
to and be consistent with the provisions of this Code as now con-
stituted, or hereafter changed.
Any such amendments, additions, revisions, or supplements pro-
posed by Code Authority and approved by the President shall be
in full force and effect from and after such approval.
ARTICLE XV-SEGREGATION OF INDUSTRY
If any employer of labor in the industry is also an employer of
labor in any other industry, the provisions of this Code relating to
selling and business practices shall apply to and affect only that part
of his business and product which is included in this industry.
ARTICLE XVI-EFFECTIE DATE
This Code shall become effective on the 11th day after its approval
by the President.
UNIVERSITY OF FLORIDA
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