Code of fair competition for the punch board manufacturing industry as approved on March 2, 1934


Material Information

Code of fair competition for the punch board manufacturing industry as approved on March 2, 1934
Portion of title:
Punch board manufacturing industry
Physical Description:
p. 439-448 : ; 24 cm.
United States -- National Recovery Administration
United States Government Printing Office
Place of Publication:
Washington, D.C
Publication Date:


Subjects / Keywords:
Punched card systems   ( lcsh )
Computer input-output equipment -- United States   ( lcsh )
non-fiction   ( marcgt )


General Note:
Cover title.
General Note:
At head of title: National Recovery Administration.
General Note:
"Registry No. 1713-26."
General Note:
"Approved Code No. 316."

Record Information

Source Institution:
University of Florida
Rights Management:
All applicable rights reserved by the source institution and holding location.
Resource Identifier:
aleph - 004930949
oclc - 645195382
System ID:

Full Text

:* Approved Code No. 316
. ::* I.








u.S. nEPO


Far mle by the Superntendent of Documents. Washington, D.C. - Price 5 cents

Registry No. 1713-26

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Approved Code No. 316



As Approved on March 2, 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 a Code of
Fair Competition for the Punch Board Manufacturing Industry,
and hearings having been duly held thereon and the annexed report
on said Code, containing findings with respect thereto, having been
made and directed to the President:
NOW, THEREFORE, on behalf of the President of the United
States, I, Hugh S. Johnson, Administrator for Industrial Recovery,
pursuant to authority vested in me by Executive Orders of the Presi-
dent, including Executive Order No. 6543-A, dated December 30,
1933, and otherwise; do hereby incorporate by reference said annexed
report and do find that said Code complies in all respects with the
pertinent provisions and will promote the policy and purposes of
said Title of said Act; and do hereby order that said Code of Fair
Competition be and it is hereby approved.
Administrator for Industrial Recovery.
Approval Recommended:
Division Administrator.
March 2, 1935.
43708--425-13-34 (439)


The l'hite House.
SIR: The public hearing on the Code of Fair Competition for
the Punch Board Manufacturing Industry of the United States, sub-
mitted by the National Association of Punch Board Manufacturers,
located at 1417 West Jackson Boulevard, Chicago, Illinois, was con-
ducted in Washington, D.C., on the 19th of December, 1933, in ac-
cordance with the provisions of the National Industrial Recovery
Act. The Association claims to represent 93 percent of the Industry.
The maximum hours established under this Code are forty (40)
per week, with the exception of one period in each calendar year, not
to exceed fifteen (15) weeks, in which employees may work forty-
four hours per week, provided that they are paid at least time and
one-third for all hours worked in excess of forty (40) per week.
Exceptions are allowed for executives, supervisors, and managers
who receive not less than thirty-five dollars ($35.00) per week, and
outside salesmen.
In 1929 this industry operated approximately forty-eight (48)
hours per week and the same hours prevailed in 1931. During 1929
approximately 2500 wage earners were employed and in 1931 approxi-
mately 1800 wage earners were employed. In order to bring em-
ployment back to the 1929 level it would be necessary to adopt a
19.2 hour week, which, in view of evidence submitted at the public
hearing, would not be practical in this industry. It is felt that a
40-hour week would be the most equitable arrangement for all
parties as approximately 200 wage earners will benefit through
reem ploymen t.
The minimum wages established in this Code are forty cents (400)
per hour for males and office workers and thirty-two and one-half
cents (321, 2) per hour for females. Protection of employees on
piece work performance is guaranteed.
Exceptions to the minimum wages are allowed to handicapped
persons whose earning capacity is limited, provided such employees
receive not less than 80% of the minimum wage and the employer
obtains a certificate from the State authority designated by the
United States Department of Labor.
Wages in this industry represented 48.51 percent of the value of
products in 1929, compared with 16.5 percent for all industry com-
bined. In 1931 wages in this line of activity represented 41.74 per-
rent of the value of products, compared with 17.4 percent for all
industries combined.
Wage earners in 1931, on a 48-hour basis, were paid an average of
-5.8 cents per hour for males and 20.8 cents per hour for females.
No authentic figures are available for 1929 wage rates.
Due to the increase in the wages effected by the Code, which in the
case of females is an increase of approximately 50 percent over those


prevailing in 1931, the increase in the price to the purchaser will
represent approximately 17 percent.
The Deputy Administrator in his final report to me on said Code
having found as herein set forth and on the basis of all the pro-
ceedings in this matter;
I find that:
(a) Said Code is well designed to promote the policies and pur-
poses of Title I of the National Industrial Recovery Act, including
the removal of obstructions to the free flow of interstate and foreign
commerce which tend to diminish the amount thereof and will pro-
vide for the general welfare by promoting the organization of indus-
try for the purpose of cooperative action among the trade groups, by
inducing and maintaining united action of labor and management
under adequate governmental sanctions and supervision, by eliminat-
ing unfair competitive practices, by promoting the fullest possible
utilization of the present productive capacity industries, by avoid-
ing undue restrictions of production (except as may be temporarily
required) by increasing the consumption of industrial and agricul-
tural products through increasing purchasing power, by reducing
and relieving unemployment, by improving standards of labor, and
by otherwise rehabilitating industry.
(b) Said Industry normally employs not more than 50,000 em-
ployees; and is not classified by me as a major industry.
(c) The Code as approved 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; and that the applicant asso-
ciation is a trade association truly representative of the aforesaid
industry; and that said association imposes no inequitable restric-
tions on admission to membership therein.
(d) The Code is not designed to and will not permit monopolies
or monopolistic practices.
(e) The Code is 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 Code.
This Industry has cooperated in a most satisfactory manner with
the Administration in the preparation of this Code. From the evi-
dence adduced during this hearing and from recommendations and
reports from the various Advisory Boards, it is believed that this
Code as now proposed and revised represents an effective, practical,
equitable solution for this Industry and for these reasons has been
MARCH 2, 1934.


To effectuate the policies of Title I of the National Industrial
Recovery Act, this Code is established as a Code of Fair Competi-
tion for the Punch Board Manufacturing Industry, and its pro-
visions shall be the standards of fair competition for such industry
and binding upon every member thereof.

1. The term Punch Board Manufacturing Industry" or "In-
dustry" as used herein includes the manufacture and sale by the
manufacturer of punch boards, push cards, and pull cards.
2. The term "Member of the Industry" includes but without
limitation any individual, partnership, association, corporation, or
other form of enterprise engaged in the Industry, either as an em-
ployer or on his or its own behalf.
3. The term "employee as used herein includes any and all
persons engaged in the Industry however compensated, except a
member of the Industry.
4. The term employer as used herein means any employer en-
gaged in the Industry.
5. The terms "Act and "Administrator" as used herein shall
mean, respectively, Title I of the National Industrial Recovery Act
and the Administrator for Industrial Recovery.

1. No employee shall be permitted to work in excess of forty (40)
hours in any one week or eight (8) hours in any one day, except
as hereinafter provided. In case of seasonal peaks employees may
be permitted to work forty-four (44) hours per week for one period
not to exceed fifteen (15) consecutive weeks in any calendar year;
provided, however, that at least time and one-third shall be paid
for all hours worked in excess of eight (8) in any one day and
forty (40) in any one week.
2. The provisions of this Article shall not apply to employees
engaged in an executive, administrative and/'or supervisory capacity
who receive thirty-five dollars ($35.00) or more per week, nor to
outside salesmen.
3. No employee .shall be permitted to work for a total number of
hours in excess of the number of hours herein prescribed whether
he be employed by one or more employers.
4. Employment on Sundays and, or legal holidays within the State
where an employee is engaged shall be compensated by overtime


payment at the rate of not less than one and one-half times the nor-
mal rate of pay.

1. (a) No male employee shall be paid less than at the rate of forty
cents (400) per hour, except as herein otherwise provided.
(b) No female employee shall be paid less than at the rate of
thirty-two and one-half cents (321/2) per hour except as herein
otherwise provided.
2. No office or clerical employee shall be paid less than at the rate
of forty cents (400) per hour or sixteen dollars ($16.00) per week.
3. This article establishes a minimum rate of pay which shall
apply, irrespective of whether an employee is actually compensated
on a time rate, piecework performance or other basis.
4. It is the policy of the members of this Industry to refrain from
reducing the compensation for employment which compensation was,
rior to June 16, 1933, in excess of the minimum wage herein set
forth, notwithstanding that the hours of work in such employment
may be reduced: and unless since such date such adjustments have
been made, all members of this Industry shall endeavor to increase
the pay of all employees in excess of the minimum wage, as herein
set forth, by an equitable adjustment of all pay schedules.
5. Female employees performing substantially the same work as
male employees shall receive the same rate of pay as male employees.
The Code Authority shall, within ninety (90) days after the effec-
tive date of this Code, file with the Administrator a description of
all occupations in the Industry in which both men and women are
6. A person whose earning capacity is limited because of age or
physical or mental handicap may be employed on light work at a
wage not less than eighty (80) percent of the minimum established
by this Code if the employer obtains from the State authority or
other agency designated by the United States Department of Labor
a certificate authorizing his employment at such wages and for such
hours as shall be stated in the certificate. Each employer shall file
with the Code Authority a list of all such persons employed by him,
which number shall not exceed five per cent (5%) of the theotal number
of such member's employees.


1. No person under sixteen (16) years of age shall be employed
in the Industry. No person under eighteen (18) years of age shall
be employed at operations or occupations which are hazardous in
nature or dangerous to health. The Code Authority shall submit to
the Administrator within sixty (60) days after the effective date of
this Code a list of such operations or occupations. In any State an
employer shall be deemed to have complied with this provision as to
age if he shall have on file a certificate or permit showing that the
employee is of the required age.
2. In compliance with Section 7 (a) of the Act it is provided:
(a) That 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.
(b) That no employee and no one seeking employment shall be re-
quired 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
(c) That employers shall comply with the maximum hours of
labor, minimum rates of pay, and other conditions of employment
approved or prescribed by the President.
3. No employer shall reclassify employees or duties of occupations
performed or engage in any other subterfuge for the purpose of de-
feating the purposes or provisions of the Act or of this Code.
4. Every employer shall make reasonable provision for the safety
and health of his employees at the place and during the hours of
their employment.
5. No provision in this Code shall supersede any State or Federal
law which imposes on employers more stringent requirements as to
age of employees, wages, hours of work, or as to safety, health, sani-
tary or general working conditions than are imposed by this Code.
6. All employers shall post and keep posted complete copies of
Articles III, IV and V of this Code in conspicuous places accessible
to employees.
7. The Code Authority shall make a study of conditions in the
Industry to determine the feasibility of the adoption of a shorter
working week and shall, within three (3) months after the effective
date of this Code, make a report of its findings to the Administrator.
The Code Authority shall also submit to the Administrator within
six (6) months after the effective date of this Code, a plan for the
stabilization and regularization of employment.


1. A Code Authority is hereby established to cooperate with the
Administrator in the administration of this Code and shall consist
of six (6) persons to be chosen by the Industry through a fair
method of selection, approved by the Administrator. The Admin-
istrator in his discretion may appoint not more than three (3)
additional members without vote and without compensation from
the industry, to serve for such period of time and to represent the
Administrator or such group or groups as he may designate.
2. Each trade or industrial association directly or indirectly par-
ticipating in the selection or activities of the Code Authority shall
impose no inequitable restrictions on membership, and shall submit
to the Administrator true copies of its articles of association, by-laws,
regulations, and any amendments when made thereto, together with
such other information as to membership, organization, and activi-
ties as the Administrator may deem necessary to effectuate the
purposes of the Act.
3. 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 prescribe 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, he may require an
appropriate modification in the method of selection of the Code
4. Any member 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
his reasonable share of the expenses of its administration. Such
reasonable share of the expenses of administration shall be deter-
mined by the Code Authority, subject to review and disapproval
by the Administrator, on the basis of volume of business and/or such
other factors as may be deemed equitable.
5. Nothing contained in this Code shall constitute the members of
the Code Authority partners for any purpose. Nor shall any mem-
ber 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 Authority, exercis-
ing reasonable diligence in the conduct of his duties hereunder, be
liable to anyone for any action or omission to act under this Code,
except for his own wilful misfeasance or nonfeasance.
6. If the Administrator shall determine that any action of a Code
Authority or any agency thereof may be unfair or unjust or con-
trary to the public interest, the Administrator may require that such
action be suspended to afford an opportunity for investigation of the
merits of such action and further consideration by such Code Au-
thority or agency pending final action which shall not be effective
unless the Administrator approves, or unless he shall fail to disap-
prove after thirty (30) days notice to him of intention to proceed
with such action in its original or modified form.


7. The Code Authority shall have the following further powers
and duties:
(a) To administer the provisions of this Code, provide for the
compliance of the Industry with the provisions of the Act, and to
propose and submit amendments, exemptions, and/or modifications
of this Code which, when approved by the Administrator, after such
notice and hearing as he may specify, shall become a part hereof.
(b) To adopt by-laws and rules and regulations for its procedure
and for the administration and enforcement of the Code.
(c) To obtain from members of the Industry such information
and reports as are required for the administration of the Code and
to provide for submission by members of .such information and
reports as the Administrator may deem necessary for the purposes
recited in Section 3 (a) of the Act, which information and reports
shall be submitted by members to such administrative and/or Gov-
ernment agencies as the Administrator may designate; provided that
nothing in this Code shall relieve any member of the industry of any
existing obligations to furnish reports to any Governiie'nt agency.
No individual reports shall be disclosed to any other member of the


industry or any other party except to such governmental agencies
as may be directed by the Administrator.
(d) 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.
(e) To make recommendations to the Administrator for the co-
ordination of the administration of this Code with such other codes,
if any, as may be related to the industry.
(f) To secure from members of the industry an equitable and
proportionate payment of the reasonable expenses of maintaining
the Code Authority and its activities.
(g) To cooperate with the Administrator in regulating the use
of any N.R.A. insignia solely by those members of the industry who
have assented to, and are complying with, this Code.
(h) To recommend to the Administrator further fair trade prac-
tice provisions to govern members of the industry in their relations
with each other or with other industries and to recommend to the
Administrator measures for industrial planning, including stabiliza-
tion of employment.


1. The Code Authority shall set up a standard cost finding
method, which when approved by the Administrator, shall be used
by all members of the Industry as a basis for determining indi-
vidual cost, below which no member of the Industry shall sell any
products of this Industry except to meet bona fide competition in
any specific instance.
2. The Code Authority may from time to time proceed to collect
data and statistics from each member of the Industry to determine
whether such member has accurately computed his cost in accordance
with the provisions of this Article. All such data and statistics shall
be and remain confidential as between the member submitting same,
the Code Authority and the Administrator or his duly appointed
representatives depending upon the necessities in each case.
3. If the Code Authority shall have reason to believe that any
member of the Industry has not properly computed his cost, it may
require him to submit statistics to substantiate such cost figures and
if it finds that such computation is incorrect it. may request the mem-
ber filing same to revise his figures to comply with the provisions of
this Article. In case of disagreement between the Code Authority
and any member of the Industry, full and complete data regarding
costs shall be submitted to the Administrator for such action as he
may deem appropriate.

1. No member of the Industry shall publish advertising (whether
printed, radio, display, or of any other nature), which is misleading
or inaccurate in any material particular, nor shall any member in


any way misrepresent any goods (including but without limitation
its use, trade mark, grade, quality, quantity, origin, size, substance,
character, nature, finish, material content, or preparation) or credit
terms, values, policies, services, or the nature or form of the business
2. No member of the Industry shall withhold from or insert in
any quotation or invoice any statement that makes it inaccurate in
any material particular.
3. No member of the Industry shall brand or mark or pack any
goods in any manner which is intended to or does deceive or mislead
purchasers with respect to the brand, grade, quality, quantity, origin,
size, substance, character, nature, finish, material content, or prepara-
tion of such goods.
4. No member of the Industry shall publish advertising which
refers inaccurately in any material particular to any competitors
or their goods, prices, values, credit terms, policies, or services.
5. No member of the Industry shall publish or circulate unjustified
or unwarranted threats of legal proceedings which tend to or have
the effect of harassing competitors or intimidating their customers.
Failure to prosecute in due course shall be evidence that any such
threat is unwarranted or unjustified.
6. No member of the Industry shall secretly directly or indirectly,
offer or make any payment or allowance of a rebate, refund, com-
mission, credit, unearned discount, or excess allowance, whether in
the form of money or otherwise, nor shall a member of the industry
secretly offer or extend to any customer any special service or priv-
ilege not extended to all customers of the same class, for the pur-
pose of influencing a sale.
7. No member of the Industry shall ship goods on consignment.
8. No member of the Industry shall give, permit to be given or
directly offer to give, anything of value for the purpose of influenc-
ing or rewarding the action of any employee, agent or representative
of another in relation to the business of the employer of such em-
ployee, the principal of such agent or the represented party, without
the knowledge of such employer, principal or party. Commercial
bribery provisions 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
hereinabove defined.
9. No member of the Industry shall require that the purchase or
lease of any goods be a prerequisite to the purchase or lease of any
other goods.
10. No member of the Industry shall accept goods for return when
the agreement of sale has been fully performed by such member;
provided, however, that nothing in this section shall prevent any
member of the Industry from accepting returned goods for legiti-
mate credit reasons.
11. No member of the Industry shall sell the products of this
Industry on terms more favorable than net thirty days from date
of invoice. All products shall be sold F.O.B. factory, except that
freight allowances may be allowed when the shipment amounts to
fifty dollars ($50.00) net or more.


448 111111 III I 1 111111111 111111 11 1111111
448 3 1262 08585 2878
12. No member of the Industry shall employ any person who is
employed by, or affiliated with, any punch board operator, or any.
user of punch boards, and/or any one who buys the same for resale,
nor shall any member employ any one who is employed by any
association, whose members use punch boards.

1. This Code and all the provisions thereof are expressly made
subject to the right of the President, in accordance with the provi-
sions as of subsection (b) of Section 10 of the Act, from time to
time to cancel or modify any order, approval, license, rule, or regu-
lation issued under said Act.
2. This Code, except as to provisions required by the Act, may
be modified or amended on the basis of experience or changes in
circumstances, such modifications or amendments to be based upon
application to the Administrator and such notice and hearing as
he shall specify, and to become effective on the approval of the
President, unless otherwise provided.

No provision of this Code shall be so applied as to permit mo-
nopolies or monopolistic practices or to eliminate, oppress, or discrim-
inate against small enterprises.

Whereas the policy of the Act to increase real purchasing power
will be made more difficult of consummation if prices of goods and
services increase as rapidly as wages, it is recognized that price in-
creases except such as may be required to meet individual cost should
be delayed but when made such increases should, so far as possible,
be limited to actual additional increases in the seller's costs.

This Code shall become effective on the seventh day after its
approval by the President.
Approved Code No. 316.
Registry No. 1713-26.