Amendment to code of fair competition for the wool felt manufacturing industry as approved on November 30, 1934


Material Information

Amendment to code of fair competition for the wool felt manufacturing industry as approved on November 30, 1934
Portion of title:
Wool felt manufacturing industry
Physical Description:
8 p. : ; 24 cm.
United States -- National Recovery Administration
United States Government Printing Office
Place of Publication:
Washington, D.C
Publication Date:


Subjects / Keywords:
Felting -- Law and legislation -- United States   ( lcsh )
Textile industry -- United States   ( lcsh )
federal government publication   ( marcgt )
non-fiction   ( marcgt )


General Note:
Cover title.
General Note:
At head of title: National Recovery Administration.
General Note:
"Registry No. 232-1-04."
General Note:
"Approved Code No. 143--Amendment No. 1."

Record Information

Source Institution:
University of Florida
Rights Management:
All applicable rights reserved by the source institution and holding location.
Resource Identifier:
aleph - 005024352
oclc - 63654294
System ID:

Full Text








For ale by the Superintendent of Documents. Washington, D.C. - Price5centa

Registry No. 232-1-04

Approved Code No. 143-Amendment No. 1

This publication is for sale by the Superintendent of Documents, Government
Printing Office, Washington, D. C., and by district offices of the Bureau of
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Approved Code No. 143-Amendment No. 1



As Approved on November 30, 1934


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 approval of an amend-
ment to a Code of Fair Competition for the Wool Felt Manufac-
turing Industry, and hearings having been duly held thereon and
the annexed report on said amendment, containing findings with
respect thereto, having been made and directed to the President:
NOW, THEREFORE, on behalf of the President of the United
States, the National Industrial Recovery Board, pursuant to
authority vested in it by Executive orders of the President, including
Executive Order No. 6859, dated September 27, 1934, and otherwise,
does hereby incorporate, by reference, said annexed report and does
find that said amendment and the Code as constituted after being
amended comply in all respects with the pertinent provisions and
will promote the policy and purposes of said Title of said Act, and
does hereby order that said amendment be and it is hereby approved,
and that the previous approval of said Code is hereby amended to
include an approval of said Code in its entirety as amended.
By W. A. HARRIMAN, Administrative Officer.
Approval recommended:
A cin.g Di vision Admin istrator.
November 30,1934.
100034--1325-112-34 1 1


The White House.
SIR: This is a report on a public hearing on an amendment to the
Code of Fair Competition for the Wool Felt Manufacturing Indus-
try held on Octobe: 5, 1934, in Room 1851, Department of Commerce
Building, Washington, D. C. The amendment which is attached
was presented by duly qualified and authorized representatives of
the Industry, complying with statutory requirements and being the
same agency that originally submitted the Code.
In accordance with customary procedure every person who had
filed a request for appearance was freely heard in public and all
statutory and regulatory requirements were complied with.


The changes in Article II, Section 7, and Article XI, Section 1,
are merely verbal alterations consisting of the substitution of Na-
tional Industrial Recovery Board for "Admini.trator."
The addition to Article III of a new Section 5 is the standard pro-
vision restricting the employment of an employee by more than one
emuiloyer in excess of the maximum hours provided.
The addition to Article IV (if a new Section 5 is the standard pro-
vision relative to the employment of aged and handicapped workers.
The addition to Article V of a new Section 7 requires the posting
of copies of the Code.
The substitution of a new Article VI as follows:
Section 1 defines the method of selection of the (ode Authority.
Section 2 provides for Administration Members on the Code
Section 3 provides for submission of by-laws.
Section 4 provides that the Code Authority shall be truly repre-
sentative of the Industry.
Section 5 defines liability of members of the Code Authority.
Section 6 provides for the suspension of any activities of the Code
Authority deem'ned unfair or unjust.
Section 7 defines powers and duties of the Code Authority.
Section 8 provides for a budget and basis of assessment.
Section 9 provides for contribution to expenses of Code Authority.
Section 10 defines limitations on Code Authority in expenditure of
Section 11 defines further powers and obligations of Code
Section 12 provides for arbitration facilities.
Section 13 provides for the maintenance of records of transactions
in the Industry and the furnishing of reports based on such records.

The additions to Article VII as follows:
Section 1 contains a verbal change, Confidential Agency" being
substituted for Certified Public Accountant."
Section 2 provides for the submni.-sion of such statistical data as
may be necessary for the purposes recited in Section 3 (a) of the Act
and Section 1 of this Article.
The addition to Article VIII of new Sections as follows:
Section 2 is the standard Commercial Bribery" clanue.
Section 7 provides for and defines uniform terms of sale.


The Deputy Administrator in his final report to the National
Industrial Recovery Board on said am-endment to said Code having
found as hereinafter set forth on the basis of all the proceedings in
this matter;
The National Industrial Recovery Board finds that:
(a) The amendment to said Code and the Code as amended are
well designated to promote the policies and purposes of Title I of
the National Industrial Recovery Act, including removal of obstruc-
tions to the free flow of interstate and foreign commerce which tend
to diminish the amount thereof, and will provide for the general
welfare by promoting the organization of industry for the purpose
of cooperative action among trade groups, by inducing and main-
taining united action of labor and management under adequate
governmental sanction and supervision, by eliminating unfair com-
petitive practices, by promoting the fullest possible utilization of
the present productive capacity of industries, by avoiding undue
restriction of production (except as may be temporarily required),
by increasing the consumption of industrial and agricultural prod-
ucts through increasing purchasing power, by reducing and reliev-
ing unemployment, by improving the standards of labor and by
otherwise rehabilitating industry;
(b) The Code as amended complies in all respects with the perti-
nent provisions of said Title of said Act, including without limita-
tion Subsection (a) of Section 3, Subsection (a) of Section 7, and
Subsection (b) of Section 10 thereof;
(c) The Code empowers the Code Authority to present the afore-
said amendment on behalf of the Industry as a whole.
(d) The amendment and the Code as amended are not designed
to and will not permit monopolies or monopolistic practices.
(e) The amendment and the Code as amended are not designed to
and will not eliminate or oppress small enterprises and will not
operate to discriminate against them.
(f) Those engaged in other steps of the economic process have not
been deprived of the right to be heard prior to approval of said
For these reasons this amendment has been approved.
For the National Industrial Recovery Board:
Administrative Officer.
NOVEMBER 30, 1931.


Section 7, Line 1: Delete "Administrator" and insert in lieu
thereof "Board ".
Section 7, lines 3 and 4: Delete "Administrator of Title I of said
Act" and insert in lieu thereof National Industrial Recovery
Board ".
Add new Section 5 as follows:
SECTION 5. No employer shall knowingly permit any employee, to
work for any time which, when added to the time spent at work for
another employer or employers, exceeds the maximum permitted
Add new Section 5 as follows:
SECTION 5. A person whose earning capacity is limited because of
age, or physical or mental handicap or other infirmity, may be em-
pI'!yed on light work at a wage below the minimum established by
this Code, if the employer obtains from the State Authority desig-
r:atcd by the United States Department of Labor a certificate, au-
thorizing his employment at such wages and for such hours as shall
be stated in the certificate. Each employer shall file monthly with
the Code Authority a list of all such persons employed by him, show-
ing the wages paid to, and maximum hours of work for such
Delete Section 7 of Article V and add a new Section 7 as follows:
SECTION 7. All employers shall post and keep posted copies of this
Code in conspicuous places accessible to all employees. Every mem-
ber of the Industry shall comply with all rules and regulations rela-
tive to the posting of provisions of Code of Fair Competition which
may from time to time be prescribed by the Board.

Amend Article VI by deleting the present Article and adding a
new Article VI as follows:

SECTION 1. A Code Authority is hereby established, consisting of
five (5) members and five (5) alternates therefore, each alternate
having the right to be present at all meetings of the Code Authority

but having the right to vote threat only in the absence of said alter-
nate's member, to be selected in the following manner:
A meeting of all members of the industry qualified to vote in the
election of the Code Authority shall be held annually, upon ten (10)
days' written notice, on such date as the Code Authority may de-
termine. Each qualified member shall certify to such meeting the
average number of industry employees (including every person en-
gaged in the industry in the United States receiving compensation
from such member) on such member's payroll during such period of
time within the same calendar year (called the census period ") as
the Code Authority may determine. At such meeting each qualified
member, voting in person or by proxy, shall have one vote for each
industry employee so certified by said member, and the following
procedure shall govern:
(a) the smallest number of concerns, present or duly represented
by proxy at the meeting, which during the census period employed
at least 602 % of the aggregate industry employees employed dur-
ing said census period by all concerns present or duly represented by
proxy at the mcetin;g, shall be entitled to elect three (3) members of
the Code Authority and three (3) alternates therefore;
(b) all other concerns, present or duly represented by proxy at
the meeting, -shall be entitled to elect two (2) members of the Code
Authority and two (2) alternates therefore;
(c) election to the Code Authority shall be determined by a
plurality of the votes cast in any ballot; provided, however, that at
least 40% of the votes cast in a given ballot shall be required to
SECTION 2. In addition to membership as above provided, there
may be up to three (3) members, without vote, to be known as Ad-
ministration Members, to be appointed by the Board to serve for
such terms as it may specify.
SECTION 3. Each trade or industrial association directly or indi-
rectly participating in the selection or activities of the Code Author-
ity shall (1) impose no inequitable restrictions on membership, and
(2) submit to the Board true copies of its articles of association,
by-laws, regulations, and any amendments when made thereto, to-
gether with huch other information as to membership, organization,
and activities as the Board may deem necessary to effectuate the
purpose of the Act.
SECTION 4. 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 Board may prescribe such hear-
ings as it may deem proper; and thereafter if it 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 of the Code Authority.
SECTII:,N 5. Nothing contained in this Code shall constitute the
members of the Code Authority partners for any purpose. Nor
shall any member of the Code Authority be liable in any manner
to anyone for any act of any other member, officer, agent or employee
of the Code Authority. Nor shall any member of the Code Author-
ity, exercising reasonable diligence in the conduct of his duties here-

under be liable to anyone for any action or omission to act under
this Code, except for his own wilful malfeasance or nonfeasance.
SECTION 6. If the Board shall at any time determine that any
action of a Code Authority or any agency thereof may be unfair
or unjust or contrary to the public interest, the Board may require
that such action be suspended to afford an opportunity for investi-
gation of the merits of such action and further consideration by
such Code Authority or agency pending final action which shall
not be effective unless the Board approves or unless it shall fail
to disapprove after thirty (30) days' notice to it of intention to
proceed with such action in its original or modified form.
SECTION 7. Subject to such rules and regulations as may be issued
by the Board, the Code Authority shall have the following powers
and duties, in addition to those authorized by other provisions of
this Code:
(a) To insure the execution of the provisions of this Code and to
provide for the compliance of the industry with the provisions of
the Act.
(b) To adopt by-laws and rules and regulations for its procedure.
(c) To use such trade associations and other agencies as it deems
proper for the carrying out of any of its activities provided for
herein, provided that nothing herein shall relieve the Code Author-
ity of its duties or responsibilities under this Code and that such
trade associations and agencies shall at all times be subject to and
comply with the provisions hereof.
SECTION 8. It being found necessary in order to support the ad-
ministration of this Code and to maintain the standards of fair
competition established hereunder and to effectuate the policy of
the Act, the Code Authority is authorized:
(a) to incur such reasonable obligations as are necessary and
proper for the foregoing purposes, and to meet such obligations out
of funds which may be raised as hereinafter provided and which
shall be held in trust for the purpose of the Code.
(b) To submit to the Board for its approval, subject to such
notice and opportunity to be heard as it may deem necessary, (1)
an itemized budget of its estimated expenses for the foregoing pur-
poses, and (2) an equitable basis, computed with respect to labor
employed, upon which the funds necessary to support such budget
shall be contributed by members of the industry.
(c) After such budget and basis of contribution have been ap-
proved by the Board, to determine and obtain equitable contribution
as above set forth by all members of the industry, and to that end,
if necessary, to institute legal proceedings therefore in its own name.
SECTION 9. Each member of the industry shall pay his or its
equitable contribution to the expenses of the maintenance of the Code
Authority, determined as hereinabove provided, and subject to rules
and regulations pertaining thereto issued by the Board. Only mem-
bers of the industry complying with the Code and contributing to
the expenses of its administration as hereinabove provided, unless
duly exempted from making such contributions, shall be entitled to
participate in the selection of members of the Code Authority or to
receive the benefits of any of its voluntary activities or to make use

of any emblem or insignia of the National Recovery Administration.
SE.ION 10. The Code Authority shall neither incur nor pay any
obligation substantially in excess of the amount thereof as estimated
in its approved budget, and shall in no event exceed the total amount
contained in the approved budget, except upon approval of the
Board; and no subsequent budget shall contain any deficiency item
for expenditures in excess of prior budget estimates except those
which the Board shall have so approved.
SECTION 11. The Code Authority shall recommend to the Board
any action or measures deemed advisable, including further fair
trade practice provisions to govern members of the industry in their
relations with each other or with other industries; measures for in-
dustrial planning, and stabilization of employment; and including
amendments of this Code which shall become effective as part hereof
upon approval by the Board after such notice and hearing as it may
SECTION 12. The Code Authority shall provide appropriate facili-
ties for arbitration, and subject to the approval of the Boar d, to
prescribe rules of procedure, and rules to effect compliance with
awards and determinations.
SECTION 13. Each member of the industry shall keep nc:curate and
complete records of its transactions in the industry whenever ;uch
records may be required under any of the provisions of this Code,
and shall furnish accurate reports based upon such recIrds concern-
ing any of such activities when required by the Code Authority or
the Board. If the Code Authority or the Board shall determine
that substantial doubt exists as to the accuracy of any such report,
so much of the pertinent books, records and papers of such member
as may be required for the verification of such report may be exam-
ined by an impartial agency, agreed upon between the Coile Author-
ity and such member, or, in the absence of agreement, appointed by
the Board. In no case shall the facts disclosed by such examina-
tion be made available in identifiable form to any competitor, whether
on the Code Authority or otherwise, or be given any other publica-
tion, except such as may be required for the proper administration
or enforcement of the provisions of this Code.
Amend Section 1 of Article VII by deleting "certified public
accountants" in line 5 and inserting in lieu thereof "confidential
agency ".
Amend Section 2 of Article VII by deleting the present Section
and adding a new Section 2 as follows:
SECTION 2. The members of the industry shall furnish such infor-
mation and reports as may be required for the administration of
the Code. In addition to information and reports required to be
furnished under Section 1 of this Article and to any reports which
the members of the industry may now be under obligation to furnish
to any governmental agency, the members of the industry shall fur-
nish such statistical information as the Board may deem necessary
for the purposes recited in Section 3 (a) of the Act to such Federal
and State Agencies as it may designate. The statistical information

so furnished by any individual member of the industry shall not be
disclosed to any other member of the industry or to any party other
than the agency designated as aforesaid by the Board.

Amend Article VIII by deleting Section 2 and adding a new
Section 2 as follows:
SECTIoN 2. No niember of the industry shall give, permit to be
given, or directly offer to give, anything of value for the purpose
of ilnfluencing or rewarding the action of any employee, agent, or
representative of another in relation to the business of the employer
of such employee, the principal of such agent or the represented
party, without the knowledge of such employer, principal or party.
This provision shall not be construed to prohibit free and general
distribution of articles commonly used for advertising except so far
as such articles are actually used for commercial bribery as herein-
above defined.
Amend Article VIII by adding a new Section 7 as follows:
SECTION 7. NO member of the industry shall sell or offer to sell
any prod uct of the industry, or adjust the sales price or sales terms
thereof, on terms more favorable to the purchaser than the
(a) in the case of all sales other than under (b) below, either
(i) 2% cash discount in ten (10) days or net thirty (30) days;
(ii) 2% ten (10) days, net thirty (30) days, E. O. M.; with
no postdating except that shipments made on or after the 25th
day of the month may be dated as of the first of the following
month and except as provided in (c) below.
(b) in the case of sales to automotive, aviation, and farm imple-
ments, industries; 2% cash discount the 25th proximo, net there-
after, with no postdating (except as provided .in (c) below).
(c) on direct mill shipments to customers from points west of St.
Louis (Missouri) to St. Louis and points east, and on direct mill
shipments from points east of St. Louis to St. Louis and points
west, R. O. G. (Receipt of Goods) dating may be given.
(d) any trade acceptance, or note given by a purchaser to liquidate
his account with a member of the industry shall be in principal
amount. not less than the balance of said account then due, without
allowance of cash discount, and shall bear interest at the rate of 6%
per annum for the term of the instrument.

Amend Section 1 of Article XI by deleting "Administrator in
the sixth line and substituting in lieu thereof Board."
Approved ode No. 1-13-Amendment No. 1.
Registry No. 232-1-0-4.

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