Registry No. 913-1--01
NATIONAL RECOVERY ADMINISTRATION
CODE OF FAIR COMPETITION
LEATHER AND WOOLEN
KNIT GLOVE INDUSTRY
AS APPROVED ON NOVEMBER 4, 1933
UNIV. OF FL LIB. E Do ouR AT
_LUME NTS DEPT.
1. Executive Order
2. Letter of Transmittal
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CODE OF FAIR COMPETITION FOR THE LEATHER AND WOOLEN KNT
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 Leather and Woolen Knit Glove Industry,
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 pertinent
provisions of title I of the 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 Atates, pursuant to the authority vested in me by title I of the
National Industrial Recovery Act, approved June 16, 1933, and other-
wise, to adopt and approve the report, recommendations, and findings
of the Administrator and do order that the said code of fair compete
tion be, and it is hereby, approved.
FRANKLIN D. ROOSEVELT.
THE WmIT HousE,
HUGH S. JOHNSON,
NOVEMBER 3, 1933.
The White House.
SIR: The Leather and Woolen Knit Glove Industry, as defined by
its code, includes manufacturers of all leather gloves, mittens, and
woolen-knit gloves. The code for this industry has been sponsored
by its one representative trade association, namely, the National
Association of Leather Glove Manufacturers, Inc., of Gloversville,
N.Y. Menibers of this association manufacture upwards of ninety
percent (90%) of the all-leather gloves made in the United States.
A proposed code of fair competition for the industry was presented
to the Administrator by the association on Au-ust 15, 1933, was
revised and resubmitted, and a hearing on the revised code was held
on September 6, 1933. The code was further revised in subsequent
conferences, and is herewith recommended for executive approval.
The Code of Fair Competition for the Leather and Woolen Knit
Glove Indlli-try may be summarized as follows:
Article I states the general purposes of the code.
Article II sets forth certain definitions of terms used in the code,
and fixes the effective date.
1. Specifies the maximum hours of labor for employees in the
2. Provides that individual cutters may not work in excess of
the maximum hours in one or more factories, or by supplementing
their factory work by cutting skins at home.
1. Designates the minimum hourly wages applicable to the in-
dustry, limits the employment of apprentices provides that skilled
labor shall be paid at rates equitably adjusted above the minimum;
2. Provides for a report to the code authority with reference to
3. Specifies the maximum percentage of superannuated or par-
tially incapacitated workers to be employed, permitting such workers
to be paid their earnings at piece rates without regard to minimum
4. Provides that minimum wage applies irrespective of whether
an employee is engaged on piecework or timework operations;
5. States that female and male employees, performing substan-
tially the same work, shall be equally compensated;
6. Empowers the code authority to designate for skilled employees
scales above the minimum provided in article IV, paragraph I, and
to make appropriate geographical differentials in this scale;
7. Requires the posting of wage schedules in workrooms;
8. Provides for periodic reports from the code authority to the
Administrator in respect of the operation of the wage provisions.
1. Prohibits the employment in the industry of persons under
sixteen (16) years of age;
2. Quotes the provisions of paragraph I of section 7 (a) of the
National Industrial Recovery Act;
3. Quotes the provisions of paragraph 2 of section 7 (a) of the
National Industrial Recovery Act;
4. Quotes the provisions of paragraph 3 of section 7 (a) of the
National Industrial Recovery Act;
5. Provides that the code shall not supersede state laws imposing
more stringent requirements;
6. Prohibits the reclassification of employees or duties of occupa-
tions to defeat the purposes of the act;
7. Provides that each employer shall post in conspicuous places
in his workroom full copies of the code;
8. Provides for the reduction of home work by at least 25% within
six months after the effective date of the code, and by at least another
25% within one year after the effective date of the code, and speci-
fies that within that time the code authority shall make recommenda-
tions designed to eliminate outside work completely; the employ-
ment of additional outside operators after the date of approval of
this code is also prohibited and the names of all outside employees
are required to be registered with the code authority;
9. Requires the payment of minimum hourly earnings to em-
ployees who are required or permitted to remain in the shop waiting
10. States that manufacturers are to provide work to contractors
only if they specify that such contractors shall employ labor under
the terms specified by the code.
Creates a code authority for the industry, outlines its duties and
responsibilities, and designates the National Association of Leather
Glove Manufacturers as the agency to receive reports referred to in
Creates a Fair Trade Practice Agency and provides for the sub-
mission to the Administrator of the information necessary for the
purposes specified in section 3 (a) of the act.
Sets forth provisions of the code governing importers.
Enumerates Fair Trade Practices.
1. Quotes section 10 (b) of the National Industrial Recovery Act
with respect to changes in the code;
2. Provides that the code may be modified with the approval of
the President as experience may dictate.
Prohibits monopolistic practices.
Seeks to limit increases in prices of goods to the actual increases
in the seller's costs.
Provides for the appropriate adjustment of the increased costs of
executing contracts as a result of the operation of the National
Industrial Recovery Act or of the code.
States the effective date of the code.
NATURE OF THE INDUSTRY
The Leather and Woolen Knit Glove Industry is essentially a
small-scale industry in which wages represent nearly fifty percent
(50%) of the total of manufacture. In 1931 its two hundred
twenty-seven (227) establishments employed an average of seven
thousand eight hundred eighty-four (7,884) factory wage earners,
or less than an average of thirty-five (35) per plant. This is exclu-
sive of home workers who constitute a substantial percentage of total
employees. During the past three (3) decades there has been a
definitely downward trend in the number of wage earners employed
by the industry. In 1929 the industry employed an average of nine
thousand two hundred three (9,203) factory employees as compared
with fourteen thousand three hundred forty-five (14,345) in 1899.
It has already been noted that further declines had occurred by 1931,
and it is estimated that wage earners employed decreased even
further in 1932.
Little information is available in respect of the number of home
workers employed by the industry. On the basis of a study made in
Fulton County, N.Y., in June 1933, by the Women's Bureau of the
United States Department of Labor, it is estimated that thirty-eight
and two tenths percent (38.2%) of the total number of employees in
this district are home workers who receive eighteen and nine tenths
percent (18.9%) of the total payroll of the industry. Outside of
the Fulton County vicinity, there is little home work. For the in-
dustry as a whole, it is estimated that nearly two thirds (%) of the
total number of employees are women.
The production of leather gloves in the United States is highly
localized. According to the 1931 Census of Manufactures over two
thirds (%) of the production of the industry, on the basis of value
of product, was manufactured in Fulton County, N.Y. In this
County, about one third (1/3) of the factory workers of the industry
are employed, and household production is carried on most exten-
sively. Glove making is the most important occupation of the work-
ers of this community.
In the leather glove and mitten industry by far the greater num-
ber of operators are paid on a piece-work basis. Wage rates for the
Fulton County branch of the industry have long been fixed by mutual
agreements between the employers and the International Glove
Workers' Union. Schedules similar to those prevailing in Fulton
County are in effect throughout most of the industry. Home workers'
rates have generally been ten percent (10%) below those paid for
The productive operations of the industry are subject to pronounced
seasonal variations. Leather gloves are produced largely for a late
fall and winter demand. This results in the greatest activity in the
cutting department during the months from August to October. The
peak of total employment ordinarily comes somewhat later.
Imports of leather gloves represent a greater number of dozens
than does domestic production, and many manufacturers are also
importers. In the distribution of leather gloves manufacturers and
importers have many common problems.
THE HOME-WORK PROBLEM
In the leather-glove industry, hand labor has been displaced by
machines to but a relatively minor extent. Moreover, the hand labor
necessary in the conduct of the industry is, in general, highly skilled.
Practically all of the productive operations of the industry can be
carried on within the homes of the workers, and one of the major
problems of the industry relates to the competitive abuses arising
from home-work operations.
Because of the wide-spread extent of home work, it was evident
that the system could not be immediately eliminated without a serious
disorganization of the industry. Article VI, paragraph 8, of the
code, provides for a realistic approach to the gradual elimination of
Within six (6) months after the effective date of the code twenty-
five percent (25%) of the total outside sewing machine work is to
be discontinued, and by the end of one (1) year after the effective
date a further reduction of outside work by at least another twenty-
five percent (25%) is required. With full knowledge of the effect
of these steps, the code authority is then to review the subject and
Make such recommendations as appear practical for the complete
elimination of outside work. It is believed that this is a sound
procedure for gradually eliminating home work from an industry
which could not at once abandon it without disorganization. Com-
mendation is due the Association for the spirit in which it ap-
proached and met this problem.
Article IV, paragraph I, of this code provides that minimum earn-
ings shall not be less than at the rate of thirty-two and a half cents
(321/2) per hour, except for beginners, who are guaranteed earnings
of not less than twenty-two and a half cents (221) per hour and as
much more as may be earned at regular piece rates. No person may
be classed as a beginner for a period in excess of the first twelve (12)
weeks' work in the industry. While most of the employees of this
industry work at piece rates and have earnings in excess of thirty-
two and a half cents (321/) per hour, a significant number of work-
ers on an hourly basis earn below this minimum. The study made
by the Women's Bureau of the United States Department of Labor
shows that in June 1933 over two fifths (2/5) of the men on an hourly
wage basis received less than thirty cents (300) per hour, while
approximately one half (1/) of the women paid on a time-work
basis received twenty-five cents (250) per hour or less. Hence the
minimum rates provided by this code will result in significant in-
creases in earnings. Approximately eight thousand (8,000) workers
in the industry will undoubtedly receive an increase in their average
earnings as a result of the wage provisions of the code.
In lieu of providing minimum wages for occupations above the
least skilled classifications, article IV, paragraph (6), of the code,
specifies that minimum scales for piecework operations shall be
established for the entire industry. Such scales are to be issued by
the code authority following their approval by the Administrator.
In the determination of these minimum scales, the code authority is
to be guided by the Fulton County scales as determined from time
to time by the collective bargaining arrangements now in effect. The
code specifically provides that in determining these scales, revisions
or adjustments of the Fulton County schedules may be made to
meet differences in regional requirements.
The inclusion in a code of piece-rate scales or the incorporation
thereof by reference raises questions both of law and of policy. It
is inadvisable to incorporate by reference rules or regulations over
which the Administration may have no control, which may vary from
time to time, and which may not be known to all members of the
industry. On the other hand, when in an industry standards are
highest in a market which is responsible for two thirds (%) of
the production, unfair competition would result if other markets were
left completely uncontrolled in respect of the wages there paid to
skilled workers. It is believed that article IV. paragraph (6),
as phrased in the code, is not open to the objections stated above.
Adequate control is reserved to the Administrator who will scruti-
nize any proposed scales, rules, or regulations before they can be
proclaimed by the code authority and will, if there is objection, give
a hearing to the objectors.
HOURS OF LABOR
Because of the nature of the product, a pronounced seasonality
prevails in the production activity of the industry. The production
peak for cutting occurs from August to October when production is
considerably in excess of other months in the year. Because it was
anticipated that this code would become effective at the time of major
activity, it is provided that, prior to December 1, 193:3, employees
may work not to exceed forty-four (44) hours per week. After the
current seasonal requirements are met, the industry plans to take
steps to level out its production schedule. In anticipation of this
objective, the code provides that after December 1, 1.:33, employees
in this industry are to work no more than eight (8) hours a day,
and not to exceed forty (40) hours in any one (1) week. Discretion
is given the code authority, however, subject to approval by the
Administrator, to fix periods during the time of seasonal demands
when a work week of forty-four (44) hours may be utilized for a
period not to exceed four (4) months in any one (1) year. This is
for emergency demands only. In all cases the industry is to
operate on a single-shift basis.
The maximum hours specified by article III, paragraph (1), of
the code, should result in a significant increase in the numbers
employed by the industry. In July, 1933, the Women's Bureau of
the United States Department of Labor investigated the hours of
work prevailing in Fulton County. This study revealed that over
seventy-five percent (75%) of the women employees worked from
forty-nine (49) to forty-nine and a half (491) hours. Over ninety
percent (90%) of the men were on a schedule of fifty-five (55)
hours per week and ten (10) hours per day. The reduction of hours
in the factories in conjunction with the control provided over home-
work operations will undoubtedly result in a substantial increase of
TIE FAIR TRADE PRACTICE AGENCY
During recent years, the demand for leather gloves has been
fairly steady as regards members of pairs purchased. This has been
true despite the fact that to a limited degree fabric gloves of various
types compete with leather gloves. Nevertheless, for many years the
domestic manufacture of leather gloves has been subject to a declin-
ing trend. Despite a relatively high tariff, imports of women's
leather gloves now represent a greater number than those produced
domestically. Many of the manufacturers of leather gloves supple-
ment their lines with imported products. Because of the class rela-
tionship of the two types of product, and because of common sales
problems, representatives of both manufacturers and importers of
leather gloves desired to be governed by the fair trade practice pro-
visions of this code. It was evident, however, that the importers
had no direct concern with the provisions of the code relating di-
rectly to manufacturing operations. Because of the identity of the
merchandising problems faced by both manufacturers and importers,
article VI, paragraph (3), of the code, provides that importers of
gloves shall be bound by article VIII of the code. For the admin-
istration of this article, a Fair Trade Practice Agency for this in-
dustry has been constituted, as follows:
Three (3) members designated by the National Association of
Three (3) members designated by the Glove Importers Associa-
tion of the United States, and
One (1) member appointed by the Administrator.
For the administration of other parts of this code, a code author-
ity has been created on which the importers have no representation.
This administrative body is composed of five (5) members appointed
by the National Association of Glove Manufacturers, two (2) mem-
bers appointed by the Administrator on nomination of the Labor
Advisory Board, and one (1) or more members may be appointed
by the Administrator.
OTHER FEATURES OF THE CODE
Other portions of this code as recommended cover the following
1. The number of beginners in occupations other than glove cut-
ting shall at no time exceed ten percent (10%) of the number of
manufacturing employees in a factory, except that every factory may
have at least one (1) beginner. Because of peculiar conditions exist-
ing in the industry respecting the conditions of work of glove cutting
apprentices, the code provides for the creating of an investigating
committee of employers and employees. This committee is to rec-
ommend a policy for the governing of the wages of apprentices for
this occupation, and limiting the number who can be so employed.
Such recommendations are to be made to the code authority.
2. Because of the fact that the minimum wages provided by this
code might result in a hardship to superannuated or partially phys-
ically incapacitated workers, it has been determined that such work-
ers may be retained although their earnings at prevailing piece rates
may be less than the minimum earnings provided by the code. The
number of workers in this classification, however, shall not exceed
ten percent (10%) of the employees in any factory.
3. It appears that in this industry contractors have occasionally
employed labor without assuming full responsibility for the payment
of the prevailing wages. Article V, paragraph (10) of the code,
provides that an employer shall make no contract with a contractor
unless it provides that the contractor shall employ labor under
the terms specified in the code.
4. In order to insure that the terms of this Code may become fully
applicable throughout the industry, article V, paragraph (7), specifies
that employers shall post in their workrooms such copies of wage
schedules and conditions of labor as shall be distributed by the code
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 National Association of Leather Glove Manufacturers,
Inc., imposes no inequitable restrictions on admission to membership
therein and is truly representative of the Leather and Woolen Knit
Glove Industry; and that
(c) The code as recommended is not dleigned to promoted monopo-
lies or to eliminate or oppress small enterprises and will not operate
to discriminate against them, and will tend to effectlate. the policy
of title I of the National Industrial Recovery Act.
HUGH S. JOHNSON,
CODE OF FAIR COMPETITION FOR THE LEATHER AND
WOOLEN KNIT GLOVE 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 Leather and Woolen Knit Glove In-
dustry, and shall be binding upon every member thereof.
The terms Leather and Woolen Knit Glove Industry and "In-
dustry as used herein include the manufacture of all leather gloves
and mittens and/or woolen knit gloves, and such branches or sub-
divisions thereof as may from time to time be included under the
provisions of this Code.
The term "employee as used herein includes anyone eng:iged in
the industry in any capacity receiving compensation for his service,
irrespective of the nature or method of payment of such compensa-
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 term "Association means the National Association of Leather
Glove Manufacturers, Inc.
The terms "President", "Act", and "Administrator", as used
herein, shall mean, respectively, the President of the United States
the National Industrial Recovery Act, and the Administrator of
The term effective date" means the second Monday after the
approval of this Code by the President.
1. No employees excepting repair shop crews, firemen, cleaners
watchmen, drivers, shipping, and supervisory staff, shall be permitted
to work in excess of forty-four (44) hours per week up to December 1,
1933, or thereafter more than forty (40) hours per week, nor more
than eight hours in any one day. The Code Authority may, with the
approval of the Administrator, fix periods during the seasons of
peak production during which the work week shall not exceed forty-
four (44) hours, for a total period not to exceed four (4) months in
any one (1) year.
2. No glove cutter shall be given employment outside of a fac-
tory or in more than one (1) factory with the effect of affording
employment for more than the maximum number of hours pre-
scribed, and no skins shall be issued for cutting outside the factory
or after regular working hours except by express permission of the
1. No employee shall be paid at less than the rate of thirty-two
and one half cents (321/2) per hour (except beginners and ap-
prentices) and the rates for skilled labor shall be equitably ad-
justed above this minimum. Beginners on productive operations in
the industry shall be paid not less than at the rate of twenty-two
and one-half cents (221/) per hour and as much more as the be-
ginner may earn on the regular piecework basis prevailing in the
occupation; provided, that no one shall be classed as a beginner
longer than for the first twelve (12) weeks' work in the industry; and
provided further, that the total number of beginners in any one
establishment shall at no time exceed ten percent (10%) of the total
number of manufacturing employees; but provided also, that each
factory may have at least one (1) beginner.
2. The subject of glove-cutting apprentices shall be considered
by a committee composed of an equal number of employers and em-
ployees which shall work out policies and submit recommendations
to the Code Authority and to the Administrator.
3. Superannuated or partially incapacitated workers now em-
ployed in the industry on piecework may be retained and paid their
earnings at the piece rates without regard to the minimum wages
provided herein. The number thus retained shall not, in any event,
exceed ten percent (10%) of the employees in the factory.
4. This Article establishes a minimum rate of pay, regardless of
whether an employee is compensated on a time-rate, piecework, or
5. Female employees performing substantially the same work as
male employees shall receive the same rates of pay as male em-
6. The minimum rates of wages of skilled workers provided for
in paragraph 1 of this Article shall be proclaimed from time to time
by the Code Authority, after approval by the Administrator. The
aforesaid minimum scales of wages shall be based upon the Fulton
County wage scale, with any revisions, additions, amendments, or
adjustments approved by the Administrator, to meet regional condi-
tions and to maintain fair competition in the industry.
7. Employers shall post in their workrooms such copies of wage
schedules in effect from time to time as may be distributed by the
8. The Code Authority shall report to the Administrator from
time to time as to the effect of the operation of his provision, both
generally and in cases of individual hardship, so that the Administra-
tor may determine whether or not the provisions of this section shall
be changed or exceptions granted hereunder.
ARTICLE V-GE.NERAL LAB, I PROVISIONS
1. No person under sixteen (16) years of age shall be employed in
2. Employees shall have the right to organize and barulin collec-
tively through representatives of their own choosing. and -h;all 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.
3. 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
4. Employers shall comply with the maximum hours of labor, min-
imum rates of pay, and other conditions of employrmernt, approved
or prescribed by the President.
5. Within each State this Code shall not supersede any laws of such
State imposing more stringent requirements on employers regulating
the age of employees, wages, hours of work, or health, fire or general
working conditions than under this Code.
6. Employers shall not reclassify employees or duties of occupa-
tions performed by employees so as to defeat the purposes of the Act.
7. Each employer shall post in conspicuous places in his work
rooms full copies of this Code.
8. For the purpose of eliminating home work in the industry as
rapidly as possible within six (6) months after the effective date
hereof, employers shall reduce their outside work by at least. twenty-
five percent (25%) of sewing-machine operators, taking as a basis
for reduction the number of outside workers as of the effective date
hereof. Within one (1) year after the effective date hereof, em-
ployers shall effect a further reduction of outside work by at least
another twenty-five percent (25%), taking as a basis for reduction
the number of outside workers as of the effective date hereof.
Within one (1) year after the effective date hereof, the Code
Authority shall conduct investigations and make recommendations
to the Administrator designed to eliminate outside work completely,
which recommendations when approved by the Administrator shall
have full force and effect as provisions of this Code.
From the date of approval of this Code, no additional outside
operators shall be employed and no employer shall increase outside
work for the purpose of evading the provisions of this Code. Em-
ployers shall register with the Code Authority the names of all
9. When an employer cannot supply work to a piece worker, the
latter shall be permitted to go home for the remainder of the day.
If a worker is required or permitted to remain in the shop, such
employee shall be remunerated for all such time at not less than
the minimum hourly rate provided in this Code.
10. Employers shall not make contracts with contractors for any
operation in the industry unless the contract provides that the con-
tractor shall employ labor under the terms specified in this Code.
1. 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.
1) The Code Authority shall be constituted as follows:
a It shall consist of seven (7) members or such other number
as may be approved from time to time by the Administrator, to be
selected as hereinafter set forth.
(b) Five (5) members shall be appointed by the Association,
fairly representative of the industry; one (1) member may be ap-
pointed by the Administrator on the nomination of the Labor Ad-
visory Board; one (1) or more members may be appointed by the
(c) Each trade or industrial association directly or indirectly
participating in the selection or 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
thereto, together with such other information as to membership,
organization, and activities as the Administrator may deem neces-
sary to effectuate the purposes of the Act.
(d) 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 hear-
ings as he may deem proper; and thereafter if he shall find that the
Code Authority is not truly representative or does not in other re-
spects comply with the provisions of the Act, may require an appro-
priate modification in the method of selection of the Code Authority.
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) For the purpose of keeping the Administrator informed as
to the observance of this Code of Fair Competition, and better to
enable the industry to carry out the policy of the National Industrial
Recovery Act, the Code Authority may require from each employer,
in such form and at such intervals as it may prescribe, certified re-
ports which shall include the following:
1. Employment, hours, wages, and wage rates.
2. Production, orders, billings, and stocks (in process and finished)
of products manufactured.
3. Consumption and stocks of raw materials.
(b) The National Association of Leather Glove Manufacturers,
Inc., Gloversville, N.Y., is hereby constituted the agency to col-
lect and receive the reports referred to above and to gather such
other information as may be required by the Code Authority, for
the carrying out of the purposes of the National Industrial Recovery
Act, and shall make reports of the same to the Administrator and
(c) The Code Authority shall make reports to the Administrator
of the conditions in the industry and may from time to time make
recommendations to him with regard to additions to, or changes in,
the provisions of this Code, including any that may be desirable to
meet conditions in any special branch of the industry.
(d) The Code Authority may conduct investigations and hearings
insofar as may be necessary to determine whether employers are
complying with the provisions of this Code.
(e) For the purpose of enabling the A-soc.iation to secure an'curate
information, as provided in Article VI, Section 2 (a) of this Code,
and thus aiding in the carrying out of the purposes of the National
Industrial Recovery Act and of this Code, it shall be the duty of the
Association to endeavor to secure, as speedily as pnssiblc, the adoption
of such uniform cost and accounting systems as may be recommended
by the Code Authority and approved by the Administrator, after
such notice and hearings as he may prescribe.
(f) Members of the Industry shall be entitled to participate in and
share the benefits of the activities of the Code Authority and to par-
ticipate 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 this administration. The reason-
able share of the expenses of administration shall be deter.,ni i c by
the Code Authority, subject to review by the Administrator, on the
basis of volume of business and/or such other factors as may be
deemed equitable to be taken into consideration.
3. A Fair Trade Practice Agency is hereby created which shall
cooperate with the Administrator in the administration and enforce-
ment of the Fair Trade Practice provisions of this Code. The Fair
Trade Practice Agency shall be constituted as follows:
Three (3) members shall be designated by the National Association
of Glove Manufacturers.
Three (3) members shall be designated by the Glove Importers'
Association of the United States.
One (1) or more members may be appointed by the Administrator.
4. In addition to the information required to be submitted to the
Code Authority, there shall be furnished to government agencies
such statistical information as the Administrator may deem nec-
essary for the purposes recited in Section 8 (a) of the Act.
Importers of gloves shall be bound by Article VI, Section 8 and
Article VIII, but by no other provisions of this Code. They shall
also be subject to such modifications of or additions to Article VIII
of this Code as may hereafter be mutually agreed upon and ap-
proved by the Administrator.
ARTICLE VIII-TRADE PRACTICES
The following practices constitute unfair methods of competition
for members of the industry and are prohibited:
1. Directly or indirectly to give or permit to be given, or offer
to give, money or anything of value to agents, employees or repre-
sentatives of customers or prospective customers, or to agents, em-
ployees or representatives of competitors' customers or prospective
customers, without the knowledge of their employers or principals,
as an inducement to influence their employers or principals to pur-
chase or contract to purchase from the makers of such gift or offer,
or to influence with employers or principals to refrain from dealing
or contracting to deal with competitors.
2. False invoicing of any kind.
3. Piracy of exclusive designs, copyrights, trade names, or trade
marks of a competitor.
4. Consignment of merchandise, except pursuant to a bona fide
written order or contract, or guaranteeing of retail turn-over.
5. Selling below cost, as determined by such uniform accounting
practice as may be established by the Code Authority with the
approval of the Administrator. This provision shall not apply to
sales in good faith to dispose of distress merchandise or merchandise
accumulated through error, which shall be branded as designated
by the Fair Trade Practice Agency established in Article VI, Sec-
tion 1 (e). The sale of such merchandise shall be reported to the
Fair Trade Practice Agency.
6. The exchange or credit of any returns unless for manufactur-
ing imperfections, and in no event unless the returns are free from
wear or soil.
7. The acceptance of the return of merchandise other than an
entire shipment except for manufacturing imperfections, and in no
case later than five (5) days after the same has been received by
8. The making or causing or knowingly permitting to be made
or published any false, materially inaccurate, or deceptive statement
by way of advertisement or otherwise, whether concerning the grade,
quality, quantity substance, character, nature, origin, size, finish,
or preparation ot any product of the industry, or the credit terms,
values, policies, or services of any member of the industry, or other-
wise, having the tendency or capacity to mislead or deceive cus-
tomers or prospective customers.
9. The acceptance of orders of less than the usual wholesale quan-
tity at the usual wholesale price; the granting of free repair privi-
leges. The term "usual wholesale quantity' means at least three
pairs of a style and color.
10. Marking with the words table cut" any gloves which are not
cut and fabricated according to the standards fixed by the Associa-
tion; or to use the Glover's Guild Mark except on goods cut and
fabricated in accordance with the Association rules, and no other
designation of cutting shall be used except as approved by the
11. Maliciously inducing or attempting to induce the breach of
an existing oral or written contract between a competitor and his
customer or source of supply, or interfering with or obstructing the
performance of any such contractual duties or services.
12. The payment or allowance of rebates, refunds, commissions,
credits, or unearned discounts, whether in the form of money or
otherwise, or the extension to certain purchasers of special services
or privileges not extended to all purchasers on like terms and
13. The defamation of competitors by falsely imputing to them
dishonorable conduct, inability to perform contracts, questionable
credit standing, or by other false representations or by the false dis-
paragement of the grade or quality of their goods.
14. Nothing in this Code shall limit the effect of any adjudication
by the Courts or holding by the Federal Trade Commission on com-
plaint, finding, and orcler, that any practice or method is unfair,
providing that such adjudication or holding is not inconsistent with
any provisions of the Act or of this Code.
1. This Code and all the provisions thereof are expressly made
subject to the right of the President, in accordance with the provi-
sions of subsection (b) of Section 10 of the National Industrial Re-
covery Act, from time to time to cancel or modify any order, ap-
proval, 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 imposed
by him upon his approval thereof.
2. This Code, except as to provisions required by the Act, may be
modified on the basis of experience or changes in circumstances, such
modification to be based upon application to the Administrator and
such notice and hearing as he shall specify, and to become effective
on approval of the President.
ARTICLE X-MONOPOLIES, ETC.
No provisions of this Code shall be so applied as to permit mo-
nopolies or monopolistic practices, or to eliminate, oppress, or dis-
criminate against small enterprises.
ARTICLE XI-PRICE INCREASES
Whereas the policy of the Act to increase real purchasing power
will be made impossible of consummation if prices of goods and serv-
ices increase as rapidly as wages, it is recognized that price increases
should be delayed and that, when made, the same should, so far as
reasonably possible, be limited to actual increases in the seller's
Where the cost of executing contracts for gloves entered into,
prior to the effective date of this Code, is increased as a result of the
operation of the National Industrial Recovery Act or of this Code,
appropriate adjustment of such contracts should be made to reflect
such increased cost; and further, where the performance of orders
for gloves accepted prior to the effective date of this Code is de-
layed or prolonged as a result of the operation of the provisions
of this Code, appropriate additional time should be allowed for
the completion of such orders.
ARTICLE XIII-EFFECTIE DATE
This code shall become effective on the second Monday after its
approval by the President.
UNIVERSITY OF FLORIDA
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