UNIVERSITY OF FLORIDA
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UNIV. OF FL LII.
OMENTENQ Da E
2. Letter of Transmittal
GOVERNMENT PRINTING OFFICE
WASHINGTON : 1933
Far sale by the Superintendent of Documents, Washington, D.C. - Price 5 cents
Registry No. 226-1--04
NATIONAL RECOVERY ADMINISTRATION
CODE OF FAIR COMPETITION
LACE CURTAIN INDUSTRY
AS APPROVED ON NOVEMBER 1, 1933
This publication is for sale by the Superintendent of Documents, Government
Printing Office, Washington, D.C., and by district offices of the Bureau of
Foreign and Domestic Commerce.
DISTRICT OFFICES OF THE DEPARTMENT OF COMMERCE
Atlanta, Ga.: 504 Post Office Building.
Birmingham, Ala.: 257 Federal Building.
Boston, Mass.: 1801 Customhouse.
Buffalo, N.Y.: Chamber of Commerce Building.
Charleston. S.C.: ChaImber of Commerce Building.
Chicago, Ill.: Suite 1706, 201 North Wells Street.
Cleveland. Ohio: Chamber of Commerce.
Dallas, Tex.: Chamber of Commerce Building.
Detroit, MIich.: 2213 First Nationl iB-ank Building.
Houston, Tex.: Chamber of Commerce Building.
Indianapolis, Ind.: Chamber of Commerce Building.
Jacksonville, Fla.: Chamber of Commerce Building.
Kansas City, Mo.: 102S Baltimore Avenue.
Los Angeles, Calif.: 1163 South Broadway.
Louisville, Ky.: 408 Federal Building.
Memphis, Tenn.: 229 Federal Ba-.kling.
Minneapolis, Miun.: 213 Federal Building.
New Orleans. La.: Room 225-A, OCstomhouse.
New York, N.Y.: 734 Cnstomboase.
Norfolk, Va.: 400 East Plume Street.
Philadelphia, Pa.: 933 Commercial Trust Building.
Pittsburgh. Pa.: Chnamber of Commerce Building.
Portland, Oreg.: 215 New Post Office Building.
St. Louis, Mo.: 506 Olive Street.
San Francisco, Calif.: 310 Customhouse.
Seattle, Wash.: 809 Federal Building.
CODE OF FAIR COMPETITION FOR THE NOTTINGHAM LACE CURTAIN
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 16th, 1933, for my approval of a
Code of Fair Competition for the Nottingham Lace Curtain Indus-
try, and hearings having been held thereon and the Administrator
having rendered his report containing an analysis of the said code
of fair competition together with his recommendations and findings
with respect thereto, and the Administrator having found that the
said code of fair competition complies in all respects with the per-
tinent provisions 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 16th, 1933,
and otherwise, do adopt and approve the report, recommendations
and findings of the Administrator and do order that the said code
of fair competition be and it is hereby approved.
FRANKLIN D. ROOSEVELT.
THE WHITE HOUSE,
November 1, 1933.
HUGH S. JOHNSON,
To the PRESIDENT:
Submitted herewith is the report of the Hearing on the Code of
Fair Competition for the Nettingham Lace Curtain Industry in the
United States, as submitted by the National Association of Lace
Curtain Manufacturers, conducted in the small ballroom of the
Raleigh Hotel in Washington, D.C., on September 22, 1933, in ac-
cordance with the provisions of the National Industrial Recovery
The following papers are included and annexed:
1. The Code as finally proposed.
2. Notice of Hearings.
3. By-Laws of the National Association of Lace Curtain
4. Statement of procedure.
5. List of witnesses.
6. Transcript of records.
7. Statistical analysis.
8. Report of Deputy.
In accordance with the,customary procedure every person who
had filed a request for an appearance was freely heard in public, and
all statutory and regulatory requirements were complied with.
The Code which is attached was presented by duly qualified and
authorized representatives of the Industry, complying with the stat-
utory requirements, as representing 100% of the Industry.
POSITION OF THE INDUSTRY AND CODE PROVISIONS
The industry is of moderate size, employing upwards of three
thousand (3,000) people, and doing an annual business ranging
between five and ten million dollars. Skilled crafts are highly
The code provides for a forty-hour week and a minimum of thir-
teen ($13) dollars on a parity with other Textile Codes. There are
only eleven firms in the field. The increase in employment is only
estimated to be about 9 percent, as the industry had been working
on a schedule of forty-eight hours and had been running fairly
The code makes a number of provisions with respect to trade prac-
tices. Provisions governing reporting cannot be construed as any-
thing more than open-trade provisions. While not completely unan-
imous, the industry as a whole has clearly expressed desire for these
The relationship between the operatives of Nottingham machines,
known as weavers, and the workers, is fully covered by collective
bargaining. It constitutes no part of this code. Auxiliary workers
are only unionized in part and there is considerable disparity with
respect to their wages and condition of employment as between
plants. Collective bargaining within each plant has not resulted in
any uniformity throughout the industry. Their wage levels should
in part respond to the provisions for equitable readjustment of pay
Objection to this code as finally submitted is with respect to the
omission of provisions governing wage rates in any greater detail
rather than to any provisions contained.
The Administrator finds that:
(a) This code complies in all respects with the pertinent provi-.
sions of Title I of the Act, including without limitation subsec-
tion (a) of Section 7 and subsection (b) of Section 10 thereof.
(b) The National Association of Lace Curtain Manufacturers
to be truly representative of the Nottingham Lace and Lace Curtain
Industry. The Bylaws of this association provide no inequitable
restrictions to membership.
(c) The code is not designed to promote monopolies or to elimi-
nate or oppress small enterprises and will not operate to discriminate
against them and will tend to effectuate the policy of Title I of the
National Industrial Recovery Act.
(d) The Advisory Boards did not raise objection to any of the
material contained in the code, any differences of point of view
being, as aforesaid, confined to the omission from the code of addi-
tional provisions which in fact are more properly covered by collec-
tive bargaining under contracts being put into effect concurrently
with the code. The Legal Department has checked it as to form
and has approved it.
I recommend that the code be approved.
HUGH S. JOHNSON,
CODE OF FAIR COMPETITION FOR THE NOTTINGHAM
LACE CURTAIN INDUSTRY
To effectuate the policy of Title 1 of the National Industrial
Recovery Act, the following provisions are established as a Code
of Fair Competition for the Nottingham Lace Curtain Industry.
The term Nottingham Lace Curtain Industry or Industry "
as used herein is defined to mean the manufacture of all articles,
goods, and fabrics made in whole or in part of animal, vegetable, or
mineral matter made on the Nottingham Lace Curtain Machine.
The term "employee as used herein shall include all persons
employed in the conduct of such operations.
The term employer as used herein, includes anyone for whom
such an employee is so engaged.
The term productive machinery as used herein is defined to
mean Nottingham Lace Curtain machines.
The term "Administrator as used herein means the Administrator
of the National Industrial Recovery Act.
On and after the effective date, no employee, except learners dur-
ing a six weeks' apprenticeship, shall be paid less than at the rate
of $13.00 per week for forty (40) hours of labor. Learners shall
be paid not less than eighty (80) percent of the established minimum
wage; no employer shall include within the category of learners
more than five (5) percent of the total number of his employees.
There shall be an equitable readjustment of wage rates in the in-
dustry which will maintain the traditional relationship of weavers'
rates to the wage rates for different classes of workers.
The foregoing provisions for a minimum wage established a guar-
anteed minimum rate of pay per hour of employment regardless of
whether the employee's compensation is otherwise based on a time
rate or upon a piecework performance.
On and after the effective date, no employee, except repair-shop
crews, engineers, electricians, firemen, office, supervisory staff (earn-
ing $30 per week or over), and shipping, watching, and outside
crews, shall work or be permitted to work in excess of forty (40)
hours per week. Productive machinery in the Industry shall not be
operated for more than two (2) shifts of forty (40) hours each per
On and after the effective date, the maximum hours of labor for
office employees in the industry shall be an average of forty (40)
hours a week over each period of six (6) weeks, but in no event shall
exceed forty-eight (48) hours per week.
On and after the effective date, the maximum hours of labor of
repair-shop crews, engineers, firemen, electricians, and watching
crews in the industry shall, except in case of emergency work, be
forty (40) hours a week with a tolerance of ten (10) percent. Any
such emergency time shall be reported monthly to the Code Au-
thority hereinafter provided for. One and one third (11/3) times
the normal rate shall be paid for all hours worked over 44 hours per
The foregoing provisions for maximum hours established a maxi-
mum of hours of labor per week for every employee covered, so that
under no circumstances will such an employee be employed or per-
mitted to work for one or more employers in the industry in the
aggregate in excess of the prescribed number of hours in a single
The work done by lace-curtain weavers in the Industry shall be
restricted to five (5) days per week, from Monday through Friday,
including two (2) shifts of forty (40) hours each per week and eight
(8) hours each per day. There shall be no making up of time lost
through necessary repairs, holidays, or for any other reason, except
as agreed between the Code Authority hereinafter provided for and
representatives of the lace-curtain weavers.
ARTICLE IV-CHILD LABOR
On and after the effective date employers in the Nottingham Lace
Curtain Industry shall not employ any minor under the age of
sixteen (16) years.
1. With a view to keeping the President informed as to the ob-
servance or nonobservance of this Code of Fair Competition, each
member of the Industry will furnish duly certified reports to the
Code Authority hereinafter provided for. These reports shall con-
tain such data as the Code Authority may require, subject to the
approval of the Administrator, and shall be in such form as the
Code Authority may prescribe. The reports furnished as afore-
mentioned shall be deemed confidential and shall not be divulged
except as part of general statistics for the Industry.
2. Every member of the Industry shall furnish to any government
agency or agencies designated by the Administrator such statistical
information as the Administrator may from time to time deem nec-
essary for tha purposes recited in Section 3 (a) of the National
Recovery Act, and any reports and other information collected and
compiled by the Code Authority shall be transmitted to such govern-
ment agencies as the Administrator may direct.
ARTICLE VI-STRETCH OUTS
Until adoption of further provisions of this Code that may prove
necessary to prevent any improper speeding up of work (stretch-
outs) no employee of any mill in the Nottingham Lace Curtain In-
distry shall be required to do any work in excess of the practices as
to the class or work of such employee prevailing on July 1, 1933, or
prior to the Share-the-Work Movement, unless such increase is sub-
mitted to and approved by the Code Authority provided for herein-
after and by the National Recovery Administration.
ARTICLE VII-OPEN PRICE PROVISIONS
Within thirty days after the effective date of this Code every
manufacturer in the Industry shall file with the Code Authority
hereinafter provided for, or its agent, a list of his prices which shall
become effective immediately.
Before deviations below these prices may be made, the manufac-
turer must file a new price list embracing such changes, which shall
not be effective until seven (7) days after date on which such list
was received by the above Code Authority or its agent, except that
changes made to meet any competitor's reductions may be made
effective on or at any time after the date such competitor's reductions
ARTICLE VIII-TRADE PRACTICES
The following principles are set forth for the guidance and better-
ment of the Industry and their violation shall be a violation of this
Code of Fair Competition:
1. Deliveries.-All goods shall be sold on the basis of F.O.B. mill.
Deliveries may be made free of charge to common carriers and to
customers located in the city where the mill is situated. This per-
mits the sale from warehouses where the freight from mill to ware-
house and warehouse charges are included in the price.
2. Terms.-Terms of sale of regular goods shall be cash discount
two (2) percent (10) days, sixty (60) days, dating strictly from
date of shipment.
Terms of sale of dropped stock, including damages, seconds, and
dropped samples, shall be net ten (10) days, dating strictly from
date of shipment.
It shall not be permissible to allow the deduction of the cash dis-
count and the addition of interest for any time taken beyond the
due date of invoice.
Anticipation for the number of days invoices are prepaid may be
allowed at the rate of six (6) percent per annum.
3. Consignments.-No goods shall be shipped on consignment or
memorandum, or prearrangement made for the return of unsold
4. Advertising Allowances.-Advertising allowances and rebates
are unfair trade practices and must not be granted, with the excep-
tion of such advertising allowances as are approved in advance by
the Code Authority.
5. Piracy.-Patterns of one manufacturer shall not knowingly be
copied by another manufacturer.
New fabrics produced by one manufacturer may be registered
with the Code Authority and shall not be copied by another manu-
facturer for a period of one year.
All piracy disputes shall be settled by a Piracy Committee to be
appointed by the Code Authority. There shall be the privilege-of
appeal to the Code Authority from decisions of the Piracy Com-
mittee, but the decisions of the Code Authority shall be final, sub-
ject to appeal to the Administrator.
6. Sample Requirements.-A committee appointed by the Code
Authority shall decide on a scale of prices to be charged for samples
and materials used for sample purposes. Any such samples and
materials supplied to any customer shall be charged at the approved
7. Dropped Stock or Discontinued Patterns.-Dropped stock or
discontinued patterns shall be sold and/or delivered only in the
months of May, June, November, and December, except when sold at
regular current prices. It shall be considered an unfair trade practice
to manufacture overruns or excess stocks for the purpose of selling as
special merchandise or dropped stock.
Seconds, damages, and dropped samples may be sold at any time.
8. Price Guarantee.-There shall be no guarantee of price to any
dealer, whether a retailer, wholesaler, mail order or chain store or
9. Secret Rebates, etc.-Rendering over-valued or under-valued
invoices, secret payment of any allowances, or price discrimination
between acceptable purchasers of like class and kind and under the
same conditions, shall be considered an unfair trade practice.
10. Memorandum Orders.-Memorandum or unconfirmed order
shall not be considered as orders until confirmed.
11. .Merchandise, Misbrandinirg.-Misrepresentation as to the
weight, quantity, quality, size, or grade of any product sold, or
offered for sale is an unfair trade practice.
12. Sales Below Cost.-No manufacturer of the products defined
in Article 1 of this Code shall sell or exchange any of these products
at a price or upon such terms or conditions that will result in the
buyer paying for the goods received less than the cost to the seller,
except to meet a competitor's filed price. This cost, shall be deter-
mined in accordance with a uniform and standard method of costing
to be developed by the Code Authority and approved by the Admin-
To further effectuate the policies of the Act, the Executive Com-
mittee of the National Association of Lace Curtain Manufacturers,
the applicant herein, or such successor committee or committees as
may hereafter be constituted by the action of the National Associa-
tion of Lace Curtain Manufacturers, and up to three members with-
out vote, appointed by the President of the United States, one of
whom shall be a representative of the Curtain Section of the
Chartered Society of Amalgamated Lace Operatives of America, is
set up to cooperate with the Administrator as the Code Authority
for the Nottingham Lace Curtain Industry.
The Code Authority may from time to time present to the Admin-
istrator recommendations based on conditions in the Industry as they
may develop which will tend to effectuate the operations of the pro-
visions of this Code and the policy of the National Industrial Re-
over Act. Such recommendations, when approved by the Adminis-
trator shall have the same force and effect as any other provisions
of this Code.
The Code Authority is also set up to cooperate with the Adminis-
trator in making investigations as to the functioning and observance
of any of the provisions of this Code, at its own instance or on com-
plaint by any person affected, and to report the same to the Admin-
The Code Authority is also set up for the purpose of investigating
and informing the Administrator on behalf of the Nottingham Lace
Curtain Industry as to the importation of competitive articles into
the United States in substantial quantities or increasing ratio to
domestic production on such terms or under such conditions as to
render ineffective or seriously to endanger the maintenance of this
Code. and as an agency for making complaint to the President on
behalf of the Nottingham Lace. Curtain Industry, under the pro-
visions of the National Industrial Recovery Act with respect thereto.
This Code shall be in -operation on and after the effective date as
to the whole Notti.ngham Lace Curtain Industry, except as an exemp-
tion from or a stay of the application of its provisions may be granted
by the Administrator to a person applying for the same or except
as provided in an executive order. No distinction shall be made
in such exceptions between persons who have and have not joined
in applying for the approval of this Code.
ARTICLE XI-GENERAL PROVISIONS
No provision in this Code shall- be permitted to operate in such
manner as to promote monopolies or monopolistic practices or to
eliminate or oppress small enterprises or to discriminate against
Employees shall have the right to organize and bargain collectively
through representatives of their own choosing, and shall be free
from all interference, restraint, or coercion of employers of labor,
or their agents, in the designation of such representatives or in the
self-organization or in other concerted activities for the purpose of
collective bargaining or other mutual aid or protection.
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
Employers shall comply with the maximum hours of labor, mini-
mum rates of pay, and other conditions of employment, approved or
prescribed by the President of the United States.
Within each State, members of the Industry shall comply with
any State .laws, imposing more stringent requirements regulating
licensing, the age, wages, or hours of labor of employees, than under
Where the costs of executing contracts entered into the Nottingham
Lace Curtain Industry prior to the presentation to Congress of the
National Industrial Recovery Act are increased by the application
of the provisions of that Act to the Industry, it is equitable and pro-
motive of the purposes of the Act that appropriate adjustments of
such contracts to reflect such increased costs be arrived at by arbitral
proceedings or otherwise, and the National Association of Lace Cur-
tain Manufacturers, the applicant for this Code, is constituted an
agency to assist in effecting such adjustments.
This Code and all the provisions thereof are expressly made sub-
ject to the right of the President, in accordance with the provisions
of Clause 10 (b) of the National Industrial Recovery Act, from time
to time to cancel or modify any order, approval, license, rule or regu-
lation, issued under Title 1 of the said Act, and specifically to the
right of the President to cancel or modify his approval of this Code
or any conditions imposed by him upon his approval thereof.
Such of the provisions of this Code as are not required to be in-
cluded therein by the National Industrial Recovery Act may, with
the approval of the President, be modified or eliminated as changes
in circumstances or experience may indicate. It is contemplated that
from time to time supplementary provisions of this Code or addi-
tional codes will be submitted for the approval of the President to
prevent unfair competition in price and other unfair and destructive
competitive practices and to effectuate the other purposes and policies
of Title 1 of the National Industrial Recovery Act consistent with the
ARTICLE XII-EFFECTIVE DATE
The effective date of this Code shall be the second Monday after
its approval by the President of the United States.