NATIONAL RECOVERY ADMINISTRATION
CODE OF FAIR COMPETITION
NONFERROUS SCRAP METALS
AND WrCASTE MATERIALS TRADE
For sale by the Superintendent of Documents, Washington, D.C. - Price 5 cents
Approved Code No. 330
Registry No. 1632--27
AS APPROVED ON MARCH 12, 1934
GOVERNMENT PRINTING OFFICE
WASHINGTON : 1934
This publication is for sale by the Superintendent of Documuents, Government
Printing Office, Wa~shington, D.C., and by district offices of the. Burean of
;ti'oreign and Domestic Commerce.
DISTRICT OFFICES OF THE DEPARTnZENT OF COMMERCE
Atlanta, Ga.: 504 Post Offce Building.
Birmingham, Ala.: 257 Federal Building.
Boston, Mass.: 1801 Customhouse.
Butfalo, N.Y.: Chamber of Commerce Building.
Charleston, S.C.: Chamber of Commerce Building.
Chicago, Ill.: Suite 1706, 201 North WSells Street.
Cleveland, Ohiio: Chamber of Commerce.
Dallas. Tex.: Chamber of Commerce Building.
D~etrorit, Alich.: 80,1 First National Bank Building.
H~ouston, Tex.: Chamber of Commerce Building.
Indianapolis, Indl.: Chamber of Commerce Buildinig.
Jack~sonville, Fla.: Chamber of Commerce Building.
K Iansas CZity, RIlo.: 1028 Baltimore Avenue.
r ~Los Angeles. Calif.: 11613 South BronowFay.
Louisville, Ky.': 408~ Feder'al Building.
Mlemplhis, Tenn.: 2290 Federal Building.
Miunnepolis, luinn.: 213 Federal Buildling.
Nhew Orleans, La.: Room 225-A, Custombouse.
SNew York,. N.Y.: 734 Customhouse.
Norfolk. Va.: 406 East Plume Street.
P~hiladelphhia, Pa.: 422~ Commercial Tru~t Buildinlg.
Pittsburgrh, Pa.: Chamiber of Commerce Building.
Portlandl, Or~eg.: 2135 New\ Po.st Offiice Buildling.
St. Lo~uis. Alo.: 506 O~live Street.
San Franneiso, Calif.: 310 Custombouse.
Seattle, Was~lh.: 816r Fe~derall Office B-uilding.
Approved Code No. 330
COD)E: OF FAIR COMPETITIPIONP
SCRAP IRON,; NONJFERR~OUS SCRA~IP MeETAILS ANID
WIAST]E MIAT7ERItALS TRADE
As Approved on March 12, 1934
CODE OF FAIR COMPETITION FOR THE SORAP IRON, NONFERROUS SORAMj
METALS AND WASTE MATERIAL TRADE
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 Comnpetition for the Scrap Iron, Nonferrous Scrap Metals
andi Waste M~aterials Trade, and hearings having been held thereon
and the Admiinistrator having rendered his report containing an
analysis of the said Code of Fair Competition. together with his
r~ecomm~endaltions .and findings with respect thereto, and the Admin-
istrator having found that the said Code of F'air Competition com-
plies in allI retspects with the pertinent provisions of Title I of said
Act a.nd that thle requirements of Clauses (1) and (2) of subsection
(a) of Sjection 3 of the said Act have been met:
NOW~~, THEREFORE, I, FRANKLIN D. 1ROOSEVELT, Pres-
idenlt of the United States, pursuanlt to the authority vested in me by
Title I of the National Industrial Recovery Act, approved June 16,
193:3, andi otherw.ise, do approve the report and recommendations
and ad~opt the findings of the Admiinistra~tor and do order that the
said C'ode of Fair Competition be and it is hereby approved, sub-
jecrt to) the followi~ngr conditions:
Thle Clode Aut~hority for the Waste Paper Trade and/or the
A~dmuinistatratin M~ember on said Code Authority shall report to the
Adminislitratorl not later than sixty (60) days after the effective
d~ate hler~eof, whlether or not a supplementary code is necessary or de-
sirable fo t~he Waste Paper Trade and recommend all necessary
pr~ovisions for su~ch supplemnentary code. Such recommendations
w-hen aIpprov"ed~ by thze Admlinisitratorl after suchn notice and hearing
as he mayo) deeml p~opJer shall have the same force and effect~ as other
provisionls of this Code.
FRANKLIN D. ROO0SEVEL;T.
HUGH S. JOHNSON,
THE \fHITE HOUSE,
RLE`PORT T1O THE PRESIDENT
The WCThi~te HRouse.
Sla: Thlis is a report on the HE~eainrin on th~e Code of Fair Comn-
petition for the Scrap? Iron,r Nonferroc. usj Herap~1 Mectals~ and Wasnt;e
Materials Trade, held mn accordance w~ith the pirov\isions of th~e Na-
tional Industrial 1Recovery Act in thie Audito~riuml of thet Detpar~t-
ment of Conunll~erce on NovTemb~er BS, '1933. The Code~ whic~h is
attached w9as prlesentedt by duly quanlified anld aut-hor~ized repr11esellnt
tives of the Trade, compl1.,ying with] statutory r~equil~rements,; aidn to
represent over 60 percent by vTolume of thie Trande.
In accordance with the customary proced~ur~e every person who had
filed a request for an appearance was frecely heard~c in public, and all
statutory and regulatory requirements w-elre comlplied with.
In this Trade, which is one of collect~ionl, the whole~saler buys
from the retailer and sells to the industrial consumers. The or~gan-
ization of the Trade is complicated byv the fact thlat, the usual lisj-
tinctions between wholesaler and retailer aret blurr~ed-. Concerns
which are retailers of certain commodities includled~ in thle Trade
are often wholesalers of other commodities.
Those concerns which are exrclusively wholesa~lers in general evi-
denced a ~r~eferlenlce f~or separate Cod~es by) conunodity divisions, pre-
ferring to set up Code Aulth~orities free fromn retailer influence. The
absence of a clear line of demarcation betwreen a wholesaler and a
retailer, and even between the operations of wholclesaling as dis-
tingruished from, retailing, would hav\e enusedl conisid-er~alle con-
fusion under such a plan. Further, it wou~rlld hare been difficult to
bring the ~many junk dealers under t~he Recovery Program in that
m~anner. Had separate Codes for wrhole~salers~ been set ulp, it. would
have been alnlost, impossible to o~rganize r~etailers and to inlllcude
threm in any Code. Had separate C~odes for each colnunodity been
extended to include th~e retailer referredd to in th~e C'ode as m~ixedl
dealer "), the latter would have foundl himself under an impossiblee
multiplicity of Codes.
T'he Code submitted herewith reprlesients a cc~n~omromse between this
conflict of interests, in which:
(1) Every one dealing in waste manterials is brought u~ndler one
Code in which any mixed dealer mayI find all the pr~ovisions ulnder
which he must operate.
(2) Code Aluthorities are set up by conunodlities, with mnor~e effee-
tive representation for the small retailer than he co-uki~ have attained
if completelyT separated.
(3) "A waTe,~lc tl~crad committee is establishedl to~ coordinate labor~
provisions for all commodities.
The Code as now submitted has been agrteed to between all inlter-
cest, on the understand~i~gr th~t, reco~lrl~nunenati~ ion Iregrd-ing rep1:re-
sentation on. Code Ahuthorities should bet submitted for a~pproval at
t~he same time as the Code.
Thle Tradle comprises a-bout 12,000 concerns. In 1929 the T[rade
pr~ovided~ empllloyment for approximately 180,000 workers. Accord-
ing to the Associations submlitting this ICode aggregate annual sales
have f allenl fr~om $900,000,000 in 1929 to about $158,000,000 in 1033.
PROVISIONS O]F THE CODE
Thle Code provides for a mninimuml wnge in the North of 323/2 for
mecn and 20 yC for womene, and in the South 27%4z~ for men and 221/2(
for women. Tewel aeo a for emnployrment in excess of
the minimum wagesy provied in th Code shall not be reduced
although the hours of work have been reduced and the pay for such
emnploymnent is to be inlcreased by an equitable readjustment of all
Accordlingr to testimony at the Public Hearing, minimum wages
have been increased approximately 50% in the North. and up to 100%o
in the South. An analysis of the questionnaire sent out by the D~ivi-
sion of Resear~ch and Planning shows that on June 15, 1933, 80%0 of
the emplloyees in this Trade were receiving less than 350 per hour
and 50%~L were receiving less than 25rC per hour.
Hours of w-ork are limlited to 40 hours in any one week with the
followingF exc~eptionls: Manle wor~kers on outdoor w~ork only and office
employees ar~e permitted to wlork 48 hours in any one week provided
they dlo not average more than 40 hours per week over any 12-week-
period: crane a~nd locomotive crews, oxygen plant operators and
tr~uck; dr~ivers annd their helpers are permitted to work 48 hours per
week; manintenance employees are permitted to work 44 hours per
week; exec~tives and employees in a supervisory capacity receiving
$35.001 per week, outside salesmen~ and buyers, and wa~tc~hmen are not
limited as to hours; emlployeess engaged in emergency repair wor~k
ar~e exc~eptedl but are to be paid time and one-third for all overtime
wo~rk. Th~e survey made by the Division of Research and Planning
indlientes thalt employment will be incr~eased~ approximately IZ&2.
Th~e Dezputy Admlinistrantor in his final report to me on. said Codle
having fou~ndl as her~ein set forth and on the basis of all the proceedl-
ing~s inl th~is matter;
I find tha~t:
(a) Said Codle is well designed to promote the policies and pur-
p~oses of Title I of the National Industrial Recovery A~ct, including
recmov-al of obhstr~uctions to the free! flow of inters~tate and foreign
commerce which tend to diminish the amlounlt thereof and will pro-
vide for the general welfare byv promoting the organization of indus-
tr~y for thle purpose of cooperantive action among the trade groups,
by indic~ing anid maintaining united action of labor and m~anagement
ulnder adlequate governmental sanctions and supervision, by elimi-
nating unfair competitive practices, by promoting the fullest possible
utilization of the present productive enpneity of Indu~stries, by avoid-
ing undtue restriction 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 unemplPoyment, by improving standards of labor, and
by otherwise rehabilitation mdustry.
(b) The Code as approved complies in all respects wvit.h the perti-
nent prov~isiolns of' said Title of said Ac9_t, includlinga with~out limita-
tion subse~ctionl (a) of Section 3, subsection (a) of Section 7, and sub-
section (b) of Scctio~n 10 thereof; and that the appliennlrt associat~io ns
are indu~str~ial associations truly representative of the aforesaid
Tradle; and that said associations impose no ineqluitable r~estr~ict~ions
on admission to miembership therein.
(c) TPhe Code is nlot designed to and will not permllit mocnop~olies
or mnono-polistic practices.
(d) The Code is not designed to and will not, eliminate or opp~ress
small enterprises and will not operate to discriminate against them.
(e) Those engaged in other steps of the economic process have not
been. d-eprived of the right to be heard prior to approval of said Codle.
I recommend that the Code be approved.
Hoan S. JoHNSON,
Ad m2iniP strator.
WhenH 8, 1934.
CODE OF FALIR COMPETITION~ FiOR, TH`E SCRAP IRtON,
NONFERROUS SCRAP METALS AND) WASTE: MATE)-
Tro effectuate t.he policies of T~itle I of the NatJ~tional Industrial
Recovery1) Act, the following provisions are established as a Code of
Fair Compet~titon for the Scrap Iron, Nonferrous Scrap Metals
and Wa'ste Manteria~ls Trade, and shall be thre standard of fair compe-
t~ition for such Trade and shall be binding uponl every member
The t.ermn Scrlap Iron, N~onferrous Scranp Met-tals and Waste
M~ter~ials Trrale or Trade as used heremn, and as subdividedi
into the follow-ing specific commoncdity trades, includes the buying
und.'or handlingr for resa;:le purposes on, commission or otherwise
of scrapl ir~on and steel, nonlferrous,11 scrap metals, cotton and woolen
rags, SCrap~ rubber, waste panper, and other commodities comm~nercially
classifiedl as waste materials. It shall also include! the buying and/or
handtling for resale p~urposesi on commnissiion or otherwise of tex-
tile warste insofar as the mnembers of that Division of the Trade, as
h~ereinafter dcfinet, shall signify their intention in writing to the
Waste Tradec C~ommnittee to be gSov-erned. by this Code.
(a) Thle termnl Scrap Ironr anrd Steel T'rade as used herein
inlcludets sp~ecificanlly the buying and/or handling for resale pur-
p)oses on1 commliSsionl or otherw'nise of scrap iron and steel. The
termn "' Scr~ap Ir~on and Steel Trade also inc~ludet s the dismantling
of CaRIS, Ships~, andc' locomotives whose principal salvage value is
scrap ir~on and steel
(b) The terml '' Nonferrous Scrap Me~tal Trade as used her~ein
includlesi the buyingr and/or handlllingr for resale purploses on com-
mlissionl or otherwise of nonlferrouss scrap metals.
(c) The termn Wol Stock Trade as used herein inc~lule~s the
buying~ andr~ or handling~ for resale purp~oses on commission or other-
wise of w-oolen rags~ andi clips, new and old.
(dl) T'he ter~m ~"Scrap Rubber Trade as used herein includes
thle buying andl 'or handling for rIesale purposes on commission or
otherwise e of scr'ap Irubber.
(e) The termn Waste Paper TIrade as used herein includes
tlhe buyingt and 'or handling rfor resale purposes on commni~sson or
otherw\~ise of wanste paper.
(f) The terml~ Cotton -Rag Trade as ulsed herein includes the
buy1Sing anld or handlingr for resale purposes onl commission or other-
w~ise of cotton and ./or linen rngs.
(g) The termn Texrtile Wa~ste. Trade as used hlerein includes, but
only as pr~ovided below~, the buying and/or handling for resale pur-
poses on commission or otherwise of textile waste.
Members of this Division of the Trade, who handle other c~om-
modities included under this Coder may operate under the provisions
of this Code by signifyin ther mtention in writing to the Waste
The term~ "L employee "t as used~ herein includes~ annyne engaged in
the Trlade in any capacity receiving compensation for his services,
irrespective of the nature or method of payment of such compen-
The terml '" employer as used herein includes anyone by whlom
any such emplloyee is comipensated or employedi.
Thle term member of the Trade "' as used herein includes anyone
engarged in the Trade as above defined, either as an employer or on
his own be'haltf.
Th-e termn South "' as used herein. includes the States of Vir~ginia,
North Carolina, South C3aroln. lina lorrida,- Gerg~ia, Alabama, Ten-
nleise, M~issi~esilppi Louisiana, Arkansas, Oklahn~oma, Texas, andi the
District of Columllbin; the fo~cllowing States shall be included~i in thle
" South "' except with reispect to commodities inc~l~lued in the Scrap
Iron and Steel Trade: K~entucky and Mfaryland.
The term. North as used herein includes all of the territory of
the United States except that portion included under thle term
Thne term President," "A~ct," and "Ahdministrattor as used herein
shall mean, respectively, the President of the United States, Title I
of th National Induxstrial Recovery Act, and the Adminlist.rator for
The term "l mixed dealer as used herein includes any employer
whose business is substantially confined to the purchase of the coml-
modities herein mentioned fromt peddlers and the sale t.hereof to
1. No employee shall work or be permitted t~o work in excess of
forty (40) hours in any one week, except that.:
(aY) Male workers on outdoor worki only shall be permnittedl to
worlk nlot to exceed forty-eight (48) hours in any one wee~k, provided,
that they shall a~veragre not over forty (40) hours per week in any
twelve (12) week period.
(b) Crane and locomotive crews, oxygen plant operators, truck
drivers and their helpers shall be permitted to work not to exceed
fiorty-eight (48) hlour~s in any onle week.
(c) Employees engaged ini repair and maintelnance workr shall be
permitted to work not to exceeds forty-four (44) hours in any one
(d) O~ffce employees receiving less than. thirty-five ($35.003) dol-
lars per week shall be p~ermitted to work not t~o exceed forty-eight
(48) hours in an~y onre week, provided that they shall average not
ovrer f~r~ty (40) hours per week in any twelve (12) w~eek period.
(e) The ma ximu~im hours fixed in this Section above shall not
apply to emiployeres mn an executive, supervisory, or managerial ca-
pac'ity' receiving thirty-five ($.35.00) dollars or more per weeki, outside
salesme;lcn, outside buyers, and watch men.
2. The ma ximum hours fixed in the foregoing Section shall not
apply to any employee on emergency mainrtenzance or emerlgency
repair work involving breakdtowans or protection of life or property,
but in any such special case at least one and onae-third times ]his nor-
mal rate shall be paid for hours worked 'in excess of the maximnum.
hours herein provided.
3. Whenever anly member of t~he T'rade employs the services
of members of his family, all such persons must be I~~regaded as
employees,~s and shllnl be subject to all provisions continued' in th~is
Code affecting employees of memberses of the Trade."
4I. N~o emplloyee shall work or be p~ermitted to ~work f~or a total
numlber of hours in excess of the number of hours prescribed for
each w-eeki, whether emnployedl by one or more empllloyers.
5. No emlorl'~ yee shall work, or be permitted to work molre than
six days in anly seven day period.
ARTICLE ITT- -SAGES
1. The minimum wage that shall be paid by employers to any
of their employees in the Trade shall be at the following rate:
Mlale labor, per hour.... .... .... .... .... .... .... .... ........ .... .... $0.32 $(L 27
Female labor, pe~r hour...........................------.............. .27%
(a) These differentials shall be based on substantially different
(b) Female employees performing substantially the same work
as male employees shall receive the same rates of pay as male
2. This Article establishes a minimum rate of pay, regardless of
whether an employee is complensated on a time-rate, piecework, or
ot her basis.
3. TChe weekly r~ate of pay for employment now in excess of the
mininuun!r r wages hereby providled shall not be reducedi (notwith-
stand~ino- that the hours wrorkedl in suachn employment mayg be hereby
r~educed) and the p~y for such emplloy~ment shall be increased by an
eqluitable r~eadjustm~ent of all pay schedules.
4l. Six months after the et-fective date the minimum wage rates
anl mnaximumn hours1' shall be recojnsiler~ed. T1he several Code Au-
thorities shall cooperate during the six months period following
the effective date of this Code to study3 and make :recolmmlenantions
with reference to adjustments in mninimnum wa~gdes and maximum
houllrs, and with respect to health and safety.
ARTICLE VT-GENERAL LABOR. PROVISIONS
1. No pers"on under 16 years of nge shall be employed in the Trade,
nor anyone under 1_8 years of age at operations or occupations haz-
ardlous in nature or dletrimental to health. The Code Authority
for each commlodity~ shall submnit to the Administrator before June
1, 1934, a list of such occupations. In any Sta~te an employer shall
be deemed to hav\e compliedl with this pr~ovision if he shall have on
file a certifiente or permit duly issuedl by the author~ity in such State
empowiered to issue emlployment or age certificates or permits, show-
ing that the employ-ee is of~ the requiredl age.
2. Employees shall have the right to organize andi bargain col-
lectively through r~epreFsentatives of their owrn choosing, andi shall
be free from the ftter~ference, r~estraint, or coercion of employers
of labor, or their a ents, in the designation of such representatives
or in self-organization or in other conicer~ted activities for the
pm-pose'~ of collective bar~gaininga or other mutual aid or protection.
3. No emnployree and no0 onie seeking employment shall be required
as a condition of employment to join any' comnpany union or to refrain
from joining, organizing, or assistinlg a labor organization of his
4. Employers shall comply with the maimslum hours of labor,
mlinlinumll rates of pay,. andl other condlitionls of emlployment, approved
or prescribed by the Pr~esident.
5. Within eachi Sctate "' members of thle Tradel shall complly with
any lawTs of such Sjtater imposing mor~e str~ingelt. requir~ements on
employers regulating the age of employees, ~, wes, hours of work, or
health, fire or general w~orkling conditions than71 unlder thle Code.
6. Emloyers.'' shall nIot reCln~Sify' employees or duties of occupa-
tions p~erformied by employees or use any other sublterfuge so as to
defeat the purposes of the Act.
'7. Each employ.eri shall post in conspicuous places accessible to
employees full copies of this Code.
8. If any "mllembll er of thle Tradle "? shall contract w-ith another for
the per~formane~e of workii or service inlcludedl withlin t~he Tra~de, such
memberr of the Trad-e shall be liable for any violationl of the Codle
on the part of the party perfor~ming~ suchl wrork or service.
1. There shall for~thwith be constituted th~e following Code Authior-
(a) The! C~ode Author~ity forl te Scra/p /Iron~ andl Slteel Trad~e shall
include 15 individuals, to be selected as follows: 10 individuals
shall be selected by the Boar~d of Directors of the Institute of Scrap
Iron anld Steel, from amongr thle members' of the scrap iron andi steel
trade; 5 individuals shall be selectedl to represent mixed dealers
alnd/or other interests inl a manner to be pr~escr~ibed or approved boy
(b) The Cod~e Aurthority' for the N~onferr~ous Serap MVetacl T/lrade
shall include 15 individuals, to be selected as follows: 10 individuals
shall be selected by the~ Executive C'ommnittee of the Secondary Aletal
Institute, a divisioni of the National Association of W~aste 1\Interial
Dealers, I~nc., from among thle mnembers of thle nonferrous scrap metal
tradce; 5 individuals shall be: selected to represent mixed dealers
and/or other interests in a mannnler to be prescribed or approved by
(c) T~he Code Authoriti y fori the Wlool Stockll Trade shall include:
15 individuals, to be selected as follows: 10 ind~ividuals shall be
selected by the Boar~d of Dir~ectors of the Wool Stock Council, from
amonc* the members of the Wool Stock TLrade, at least one of whom
shall be a, grader of wool stocki not a members of th~e Council; 5
individuals shall be selected to represent maixed dealers and/or other
i nte rest~s in a manner to be prescribed or approved by the
(d) The Code Authorit~y for the Scrap Ruzbber Trad~e shall include
7 individuals from the Scrap Rubber Trade to be selected by mem-
bers of thre Scrap 3Rubber Tradnce, directly or by- associations,
who agree in writing to sustain their reasonable -Ihare of the
expenses of administering this Code; in a mannler to be prescribedl
or approved by the Administrator. In the selection of the indi-
viduls~r~ to the Code Authority~ for the Scrap Rubber Trade members
of the scrap rubber trade hlfl cooper1ate with the Scrap Rubber
Institute, a division of the National As~sociatio n of W"aste Manterial
(e) Thle Code Authrfor~ity for the Ti;a4te! Paper~ Tradetl shlll include
fifteen (15) individualls from the W~aste Paper Trade to be selected
by members of the Waste Paper Trade, dieclyE(I~ or by assiociations,
who shall agree to the satisfaction o-f thne Admninistrator to sustain
their reasonable share of the expense of admninister1ingg this Code;
such -elelction to be in ncordl~c with a mrethodl to be prescribed or
approved by the Admllinistra~tor.'
(f) The! code Aucthority for the Cotton Rag Trade shall include
fifteen (15) individuals from the Cotton Rag T~rndoc to boe selected
by emers I of the Cotton Rag Trade, directly or by associations,
whfo shall agree to the satisfaction of the Administrator to sustain
their reasonable shanre of the expense of admllinistering this Code;
such selection to be in accord with a method to be prescribed or
applrovedl by the Admrinistratorl: Provided, however, that at least
10 individuals shanll consist of packers of cotton r~ags for their own
account not acting as purchasing agents for mills using cotton rags
which have any financial investment in their business.
(g) Code A~uthorities may be established for other commodities,
when the Admninisitra3tor after due notice and healringr shall find
that such Code Aulthor~ity should properly be established~, in a
manner to be pr;scribedt c or approved by the Administrator, wi?7th
the advice and coop~eration of the Waste Tral-de Committee.
(hz) The Admlinistrator,! in his dlisllcrtion, may appoint not more
than three adlditiona~l m1~~1embers, without vote, on each of the Code
Authorities described in S~ct~iojn 1. of this Artic~le and of the WC"aste~
Tradle Commlrittee, to represent such groupsy or inlter-ests or such
governmentan l agepn~lnc Sies he mayV designate.
2. Ech radeassciaion iretlyor indirectly participating in
the selection of activities of thze Cod uhriysal
(a) Impose no inlequitabhle restrictions on memlbership;ip and
(b) Sulbmit to the Admlninistrator true copies of its articles of
assoc~iatio.n, bylawcPs, regula~t~ions, and any amendments when made
thlereto, together~ wijth such other infor~mation as to membership,
organization, aw~l activities as the Admninistratorr may deem necessary
to effec~tuate the purposes of the Act.
3. I~n order that the CodZe Auth~orities or any other cho~csen trade
r~epres'entatives shall at all times be truly replrese~ntative o~f the Trade
LSee paulgriph 3 of order apr)ovingllb this Code.
and~ in other respects comply w-ith the provisions of the Act., the
Administirator may provide such hiearings as hie may deemi proper;
and thereafter if he shall find that the Code Authorities or other
trade r~eprlesentativ-es arIe not tr~uly~ representative or do not in other
respects comply with the provisions of the Act, muay require an
appropriate modification in the method of selection of the Code
Authorities or other chosen trade representatives.
4. Members of the Trade shall be entitled t~o participate in
and share the benefits of the act.ivit~ies of t.he Code Authlorities andl
to participate in the selection of the members thereof by~ assenting to
and complying with th~e requirements of this Code and agreeinga in
writing to sustain their reasonable share of the expenses of its
administration. The reasonable share of the expenses of the admin-
istration shall be determined by the Code Authorities? subject to
revieww by the Admninistrator, on the basis of volume of business
and/or such other factors as mlay be deemed equitable to be taken
into consider t ion.
5. Nothing cont~ainedl herein shall prevent direct access to the
Admllinistr~ato r on the part of any organized group in the Trade.
6. The Code Authorities shaill have the following duties andl
powers to the extent permitted by th~e Act..
(a) To maoke rules and regulations necessary o heamnita
tion of this Code, within their r~espective Trades. heaninsta
(b) To make investigations as to th~e funnctioning and observance
of any provisions of this C'ode at its own instance, or on complaint
by any person affectedl, andi to report thle samle to t.he Admuinistrator.
(c) To require, froml time to time, fr~om each person in their
respective Trades, reports in such formi andc containing suc~h infor-
miation as the Administrato r may~ prescribed, inl order thiat. he may
be kept informed d with respect to thie observ\anc~e of this Codle. Ex-
cept as otherwise provided in th~e Act, any r~epo't~s filedl inl accorda-
ancee with these provisions: sha~ll be contidential, andt the data of one
employers -hall not be r~\t~levele to any other' employers.
(d) To present, to thle Admninis' trator froml time to timel9 recomI-
miendantionis based on co~nditio~ns in their respective Trades! as they
may develop, which w\ill te~nd to effecltuate thle op~eration of the
provisions of this Code. Such rec:omnmendantions, when approvedl
by the ALdministrt or,7 a1.fter such notice andl hearing as he shall
specifyr, shall have the sam~e foc~e and effect. with respect to the
particular Trade as thle other provisions of this basic C'ode. Such
rec~ommrnendation s may include r~ecommellncnat ions for setting u p
stalndardsd of health and safety~ for~ employees inl t.he Tradie.
(e) To submit supp~lemen tary Fa ir Tirade Pr~actices for their
respective Trndels whlich,. whlen appr~oved by the President, shall
havle the same force andl effect as thlis basic: Codle.
7. With a view to c~oord~inatingr the wag~fes, lour~s. andl other labor
provisions of this Cod-e inl relation to- each of' the Trades, a W~aste
Trrade Committee. is hlereby\ establisledl, to consist of one representa-
tive to be appointed by each of th~e Code A~uthorities hlere~in pro-
vided for, or authorized hereafter. The. powers of the Waste Trade
Commlittee shall, with~ respect to commodities which have a sepa?-
rate Code A~uthority, he r~estr~ic~ted to those necessary to effectively
obtain coordination of the wTaages, hour1~s, and other labor provisions
of this basic Code subject to approval of the Administrator, all
o-ther nnpowe and~ dultic e s o administration bei-~ng reserved for the
respective Code ALuthor1ities.
8. If the Adm~ninist lnorato shall determine that any action of a Code
Authority or anly agency thereof, or any locally chosen representa-
tives of the Trade is unfair or unjust or contrary to the public
interest, the Aidm~ini. strator1 maytS require thatt such action be sus-
pen~dedl for a period of not to exceedc thirty days to afford an op-
p'ortulnity for inves-tigation of the merits of such action and further
cocnsideilratinto by webI Code Authority or agency or anly locally
chose,~n represencrta~tives of the Trtade, spending final action, which
shall be ta~kenl only upon apprlo\-l by thle Administrator.
9. In addition to the information required to be submittedi~ c to the
Co(de Authorities, there shall be furnished to governmec.nt. agencies
sulchl statistical information as the Administrator mlay deem nCce~s-
sary for the purposes recited in ~Section 3 (a) of the Act.
~ARTICLE VII-T1CRADE PRAC'TIiCEs
The following prc~tic~es constitute unfair methods of competition
for memberl~Cis of the TIlrade,"~ and are prohibited:
1. False M~arkcing or BI~lruding .--The false markIL-i ng or branding
of anly product of the Trade which has the ten~denlcy to mislead or
deceive customers or prospective customers, whecther as to thne grade,
quality, qualnrtity, substance, character, nature, origin,- size finish, or
prepar~tio~n, or otherwise.
2. Colzmmerciall B~riberJ.--No member of the Trade shall giv~e,
permit to be given, or directly offer to give, anythiinga of value for thne
purpose of influencing or rewarding the action of any employee,
agent, or re~presenl;tatie of another in relation to the business of the
employer of suchn employee, the principal of such agent or the repre-
sented party, without th~e knowledge of such employer, principal or
party. This provciisiojn shall not be construed to prohibit free aind
general distribution of articles cannlr~onlly used for advertising except
so far as such articles are actually used for conune~lr(ial bribery as
3. Interference soith Co?,ft!racted7 R~elation~s.-Mu~l ic~iously iniucinlg
or attempting to induce the breach of an ex~isting oral or wrIitten con1-
trac~t between a competitor and his customer or source of supply, or
interfering with or obstructing the performance of anly such con-
t ractual duties or services.
4. Secret Rebates.--The secret payment or allowance of r~eba;tes,
refunds, conunlri.ss~ions,, credits, or unearned dliscounllts, whether in the
form, of moneytj~ or otherwise, or the secret extension to certain pur-
chaser~~l.; of special services or privilegers not extendedc~ to all pur~chalsers~
on like terms and conditions.
1. Thlis Code and all the provisions thereof are express~y ly made
subject to th~e right of th-e President, in alcco~rknee~' with the pro-
visions of subsection (b) of S~c~t ion 10 of thne N t ion all Industrial
Recovery Act, from time to time to cancel or modify any order,
approval, license, rule or regulation issued under Title I of said
Act and specifiedlly, but. without limitation, to the right, of the,
President to cancel or mnodify his approval of this Code or any con-
ditions imposed by himt uponl his approval thereof.
2. This Code, exceept as to provisions required by t.he Act, may be
modified on the basis of experience or changes in circumstances;
sulch Imodifieations to be based uponi application to the Administrator
and such notice and hearing as he shall specifyv, and to become
effective on approval of the Administrator.
ARTICLE IXi-1\IONOPOLIEs, ETC.
No provision of this Code shall be so applied as to permilt monopo-
lies or monopolistic practices, or to elim nlate, oppress or discrinuinate
against small enterprises.
TIhe provisions of this Code shall not apply to charitable institu-
tions during the six months study period provided in Article IV,
Section 4 nor thereafter if they be specifically exempted by the
~ARTICLE XI-EFFECTIVE DATE
This Code shall become effective on the second Mlonday after its
approval by the `President.
Approved Code N~o. 330.
Registry No. 1632-27.