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UNIVERSITY OF FLORIDA
SIIIII III I UII IIIIII II I Ull II II 1 I
3 1262 08482 9711
NATIONAL RECOVERY ADMINISTRATION
CODE OF FAIR COMPETITION
AS SUBMITTED ON AUGUST 30, 1933
REGISTRY No. 1027-01
The Code for the Masonry Chimney Industry
in its present form merely reflects the proposal of the above-mentioned
industry, and none of the provisions contained therein are
to be regarded as having received the approval of
the National Recovery Administration
as applying to this industry
S WE DO OR PART
GOVERNMENT PRINTING OFFICE
For sale by the Superintendent of Documents. Washington, D.C. - Price 5 cents
.-!i ..~.-.I- .r.
CODE OF FAIR COMPETITION FOR THE MASONRY CHIM-
JULY, 26, 1933.
To effectuate the policy of Title I of the National Industrial Re-
covery Act, during the period of the emergency, by reducing and
relieving unemployment, improving the standards of labor, elim-
inating competitive practices destructive of the interests of the
public, employees and employers, relieving the disastrous effects of
over capacity, and otherwise rehabilitating the Masonry Chimney
Industry and by increasing the consumption of industrial and other
products by increasing purchasing power, and in other respects, the
following provisions are established as a code of fair competition
for the Masonry Chimney Industry.
No provision in this Code shall be interpreted or applied in such
a manner as to-
(a) Promote or permit monopolies.
(b) Permit or encourage unfair competition.
(c) Eliminate, discriminate against, or oppress small enter-
This Code shall apply to both intrastate and interstate transactions
and shall be enforced impartially upon all builders of brick, con-
crete, or combined brick and concrete chimneys-after any objecting
member of the industry has been given an opportunity to present his
case to the Administrator.
PART I-EMPLOY MENT AND PRODUCTION
SECTION 1. Definitions.-The term "Masonry Chimney Industry"
as used herein is defined to mean the construction of brick, concrete,
or combined brick and concrete chimneys. The term "employees "
as used herein shall include all persons employed in the conduct of
such operations. The term Industry as used herein is defined to
mean the Masonry Chimney Industry. The term effective date"
as used herein is defined as the second Monday after this Code has
been accepted by a majority of the industry in volume of business
and number of manufacturers. The term member of the industry "
as used herein is defined to mean any builder of brick, concrete, or
combined brick and concrete chimneys. The term association as
used herein is defined to mean the Masonry Chimney Association or
SEc. 2. Labor.-(a) Employees shall have the right to organize
and bargain collectively through representatives of their own choos-
ing, 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
(b) No employee and no one seeking employment shall be required
as a condition of employment to join any company union or to re-
frain from joining, organizing, or assisting a labor organization of
his own choosing.
(c) Employers shall comply with the maximum hours of labor,
minimum rates of pay, and other conditions of employment approved
or prescribed by the President.
(d) It is clearly understood that the foregoing paragraphs do not
impair in any particular the constitutional rights of the employee
and employer to bargain individually or collectively as may be
mutually satisfactory to them.
(e) Nothing in this Code is to prevent the selection, retention, and
advancement of employees on the basis of their individual merit.
SEC. 3. Minimum Wages.-Employers in the Construction Indus-
try shall pay wages-
(a) Not less than the minimum rate of wages for unskilled labor
hereby established, which shall be not less than forty cents (400) per
hour unless the hourly rate for the same class of work on July 15,
1929, was less than forty cents (400) per hour, in which case the
hourly rate shall be not less than that of July 15, 1929, and in no
event less than thirty cents (300) per hour, and furthermore, in any
(b) Not less than the minimum rate of wages for accounting,
clerical, or office employees hereby established, as follows: $15 per
week in any city of over 500,000 population, or in the immediate
trade area of such city; $14.50 per week in any city of between
250,000 and 500,000 population, or in the immediate trade area of
such city; $14 per week in any city of between 2,500 and 250,000
population, or in the immediate trade area of such city; and $12 per
week in towns of less than 2,500 population. Population shall be
determined by the 1930 Federal Census.
(c) Nothing herein contained shall be construed to apply to em-
ployees whose rates of wages are established for specific projects by
competent governmental authority in accordance with law or with
rates of wages established by contracts now in force.
SEC. 4. Maai.mum Hours.-Employers in the Construction Indus-
try shall not employ any employee-
(a) In excess of the maximum average of thirty-five (35) hours
a week during a six months' calendar period, or forty-eight (48)
hours in any week in such period, or eight (8) hours in any one
day, excluding employees engaged in professional, executive, admin-
istrative, or supervisory work; those engaged in cases of emergency
work requiring the protection of life or property, and those in
establishments employing not. more than two persons in towns of
less than 2,500 population, which towns are not part of a larger
trade area. Population shall be determined by the 1930 Federal
(b) Employers shall not employ accounting, clerical, or office em-
ployees in any office or in any place or manner for more than forty
(40) hours in any week, excluding employees in managerial or execu-
tive capacities and those in establishments employing not more than
two persons in towns of less than 2,500 population, which towns
are not part of a larger trade area. Population shall be determined
by the 1930 Federal census.
(c) Nothing herein contained shall be construed to apply to ei-
ployees whose hours of labor are established for specific projects
by competent governmental authority acting in accordance with
law or with hours of work established by contracts now in force.
SEC. 41,2. Adjustments.--In the event that any buyer subject to
this Code shall have contracted before June 16, 1933, to purchase
goods, structures, or parts thereof at a fixed price for delivery during
the period of the President's reemployment Agreement, he shall make
an appropriate adjustment of said price to meet any increase in cost
to the seller caused by the seller's having signed the President's Re-
employment Agreement or having become bound by any code of
fair competition approved by the President; provided, however, that
in view of the fact that construction operations customarily involve
the furnishing of various goods and structures, or parts thereof by
a continuous series of independent long-term contracts and agree-
ments at fixed prices between various parties, such as owners (in-
cluding governmental departments), builders, contractors, subcon-
tractors, and others, such adjustments shall be contingent upon simi-
lar appropriate adjustments to be made by all other parties thus
participating, from and including the initial vendor of such goods
and structures or parts thereof to and including the owner of the
works or structure upon which they are used.
SEC. 5. On and after the effective date no member of the Industry
shall knowingly employ any minor under the age of 16 years.
SEc. 6. With a view to keeping the President informed as to the
observance or nonobservance of this Code of Fair Competition, and
as to whether the Industry is taking appropriate steps to effectuate
the declared policy of the National Industrial Recovery Act, each
member of the Industry shall furnish to the Secretary of the Asso-
ciation duly certified reports in substance as follows:
(a) Wages and Howrs.-Reports every month stating whether all
foregoing wage and hour regulations have been complied with.
(b) Every member of the Industry shall file confidentially with
the Secretary of the Association the total value of new and repair
masonry chimney business booked in dollars throughout the entire
country for each full year from 1925 to 1932, inclusive, for the first
half of 1933 and, thereafter, before the tenth of each month, a segre-
gated record of the new and repair chimney business booked during
the preceding month.
(c) The Association shall furnish every member of the Industry
with monthly statistics of the aggregate volume of new and repair
masonry chimney business.
PART II.-FAIR COMPETITIVE PRACTICES
SECTION 1. Standard cost estimating methods shall be formulated
and established by the Association and shall be used by every member
of the Industry as the basis for his quotations on products of the
SEC. 2. Every member of the Industry shall use a form of proposal
contract which has been approved by the Association.
SEC. 3. No builder of masonry chimneys shall accept an order for
their construction for less than the amount obtained by the use of
the Association's standard estimating formulae or shall give more
favorable guarantees than established by the Association.
SEC. 4. When a member of the Industry sells nonindustry and
industry products together to the same customer, he shall not quote a
combined lump-sum price which is less than the sum of the current
market prices of the separate products.
SEC. 5. The Masonry Chimney Association shall establish minimum
standards of chimney designs below which no chimneys shall be built
in the interests of public safety and of service.
SEC. 6. Every member of the Industry should charge a reasonable
fee for appraising and/or inspecting chimneys.
SEC. 7. Every member of the Industry shall, without delay, record
with the Secretary of the Association each inquiry upon which he
intends to bid; also the description and price of every contract he
closes for masonry chimney work. When a job has been closed the
Secretary shall notify all bidders, who secured the contract and at
what price, on forms provided for the purpose.
SEC. 8. No member of the Industry shall make an invoice and/or
contract which is a false record of a transaction.
SEC. 9. No member of the Industry shall give or accept secret
payment or allowance of rebates, refunds or unearned discounts
whether in the form of money or otherwise, or extend to certain
purchasers special services and,'or privileges not extended to all
SEC. 10. No member of the Industry shall be a party to commercial
bribery in any form.
SEC. 11. No member of the Industry shall engage in any misrepre-
sentation, direct or implied.
SEC. 12. No member of the Industry shall induce or attempt to
induce the cancellation of an order or the breach of a contract between
a competitor and his customer.
SEC. 13. A member of the Industry shall not harass or intimidate
customers of a competitor by circulating threats of suit not made in
good faith for infringement of patents or trade marks.
SEc. 14. If allocation becomes effective, the Secretary of the Asso-
ciation shall allocate business to members of the Industry.
SEC. 15. This Code is adopted in a spirit of fairness to all con-
cerned, and it is the intention of the members of the Industry to
afford to those from whom they purchase the same treatment that
they expect to receive from those to whom they sell.
SECTION 1. The Masonry Chimney Association, the applicant here-
in, unanimously agrees to accept and be bound by all the provisions
of this Code on and after the effective date pending formal approval
of the Code by the President, and with such changes and/or additions
as he may designate.
SEC. 2. The Association imposes no inequitable restrictions on
admission to membership.
SEC. 3. To further effectuate the policies of the Act, the Board of
Directors of the Association shall cooperate with the Administrator
as a planning and fair practice agency for the Industry. Such agency
may, from time to time, present to the Administrator recommenda-
tions based on conditions in the Industry as they may develop from
time to time which will tend to effectuate the operation of the pro-
visions of this Code and the policy of the National Industrial Re-
SEC. 4. Any alleged infraction of the regulations governing the
Industry shall be investigated by a disinterested party, designated
by the Board of Directors, who shall report to an Arbitration
Board of three members, one of whom shall be appointed by the
accused member of the Industry, one by the Board of Directors of
the Association, and one shall be selected by the other two. -In the
event of the first two appointees being unable to agree on a third
member of the Arbitration Board, the third member shall then be
named by a United States District Court Judge upon the request
of the Board of Directors of the Association. This Arbitration
Board shall give a hearing to all parties at interest and shall report
its findings to the Board of Directors of the Association for its
SEC. 5. Every member of the Industry shall, upon request, make
any and all of his records pertaining to Industry business available
to a disinterested party designated by the Board of 'Directors of the
SEC. 6. The expense of administering this Code shall be budgeted
by the Association. Such expense shall be charged to and paid by
every member of the Industry as a percentage (not in excess of 1%)
of the amount received in cash or kind for new and/or repair
masonry chimney business booked by him on and after a date set
by the Board of Directors of the Association.
SEC. 7. Nonpayment, within ten (10) days, of amounts assessed
against any member of the Industry under the provisions of Sec-
tion 6 of Part III hereof shall constitute a violation of this Code.
SEC. 8. This Code and all the provisions thereof are expressly
made subject to the right of the President, in accordance with the
provisions of Clause 10 (b) of the National Industrial Recovery Act,
from time to time to cancel or modify any order, approval, license,
rule, or regulation issued under Title I of the said act, and spe-
cifically to the right of the President to cancel or modify his ap-
proval of this Code or any conditions imposed by him upon his
Such of the provisions of this Code as are not required to be
included therein by the National Industrial Recovery Act may, with
the approval of the President, be modified or eliminated as changes
in circumstances or experience may indicate. It is contemplated
that from time to time supplementary provisions to this Code will
be submitted for approval of the President to prevent unfair com-
petition in price and other unfair and destructive competitive prac-
tices and to effectuate the other purposes and policies of Title I of
the National Industrial Recovery Act consistent with the provisions
Adopted by the Industry at Pittsburgh, Pa., July 26, 1933.
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