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NATIONAL RECOVERY ADMINISTRATION
CODE OF FAIR COMPETITION
AS SUBMITTED ON AUGUST 22, 1933
REGISTRY No. 1708-2-82
The Code for the Beauty Parlor Concessionaires 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
I- W DO OUR PART
GOVERNMENT PRINTING OFFICE
For sale b the Speritendent oDomen hington D.C. Pri 5 en
For sale by the Superintendent of Documents, Washington, D.C. Price 5 cents
PROPOSED CODE OF NATIONAL ASSOCIATION OF BEAUTY
PARLOR CONCESSIONNAIRES UNDER THE NATIONAL
INDUSTRIAL RECOVERY ACT
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, elimi-
nating competitive practices destructive of the interests of the pub-
lic, employees and employers, and otherwise rehabilitating the busi-
ness of conducting beauty parlors in department stores in the United
States, the following provisions are established as a code of fair
competition for such industry:
The term "effective date as used herein is defined to be the first
Monday following the approval of this code by the President.
The term persons as used herein includes natural persons, part-
nerships, associations, and corporations.
The term employer as used herein shall include every person
(whether individual, partnership, association, or corporation) en-
gaged in the conduct and operation of beauty parlors or salons in
department stores located within the territorial confines of the
United States of America.
The term commissioned employee as used herein is defined to
mean all persons employed in such beauty parlors or salons whose
compensation is based upon the work actually performed and/or
produced by such employee and is not based upon the number of
hours during which such employee is actually employed.
The term "salaried employee as used herein is defined to mean
all persons employed at specific charge or salary based upon the
time or number of hours during which such employee shall be
Cities of the first class as used herein is defined to mean cities
of over 500,000 population by reference to the 1930 Federal census.
"Cities of the second class" as used herein is defined to mean
cities of from 100,000 to 500,000 population by reference to the
1930 Federal census.
Cities of the third class as used herein is defined to mean cities
of less than 100,000 population by reference to the 1930 census.
The term Southern area is defined as including the following
States: Virginia, West Virginia, North Carolina, South Carolina,
Georgia, Florida, Kentucky, Maryland, District of Columbia, Ten-
nessee, Alabama, Mississippi, Arkansas, Louisiana, Oklahoma, and
SECOND LABOR CODE
1. Collective bargaining.-In conformity with the provisions of
Section 7a of the National Industrial Recovery Act, the attitude of
this industry with respect to the labor of employees shall be as
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, restrain, 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
required as a condition of employment to join any company union
or to refrain from joining, organizing, or assisting a labor organ-
ization of his choosing; and
D. 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.
2. Child labor.-On and after the effective date, employers in this
industry shall not employ any minor under the age of sixteen (16)
3. Maximum hours.-A. No employer shall work any employee
(other than those hereinbelow excepted) for more than forty-eight
(48) hours per week, excepting that at peak periods in the business,
employees may work more than forty-eight (48) hours per week
for a maximum not exceeding three (3) weeks in each six (6) months.
The following are excepted from the above:
a. Employees employed on a commission basis, herein referred
to as commissioned employees."
b. Executives whose salaries exceed $25 per week.
c. Professional persons employed in their professional capacity.
d. Maintenance employees.
The employees specified in subdivisions b ", c ", and d may
be employed for more than forty-eight (48) hours per week if paid
time and one third (1/) for all hours in excess of forty-eight (48)
hours per week.
B. The hours of any store or service operation shall not be reduced
below fifty-two (52) hours in any one (1) week unless such hours
were less than fifty-two (52) hours per week before July 1, 1933,
and in the latter case not to reduce such hours at all.
C. The maximum fixed in paragraph 3A shall not apply to em-
ployees in establishments employing not more than two (2) persons
in towns of less than 2,500 population, which towns are not part of
a larger trade area.
4. zMinimum wage.-A. This industry is one popularly known as
a service business in which customers or patrons as a general rule
give to employees performing the various services in the industry a
variable sum of money in addition to the charge for the work done
or service performed, paid to, and collected by the employer. This
additional sum of money is commonly known as a "tip "and in com-
puting the income of work in this industry such "tips" are deemed
and considered to be a vital and integral part thereof. For the
purposes of fixing the earnings of salaried employees, employers
have heretofore included such "tips ", and, in fixing the minimum
earnings which such employees shall hereafter receive, the customary
and reasonable amount of such tips ", which are reasonably ascer-
tainable, are to be herewith included. Provision may be made for
fluctuations in the amount of such tips so as to provide at all
times that the minimum amounts paid by the employer together with
the amount of such tips shall aggregate the minimum wage here-
B. On and after the effective date, salaried employees shall receive
.salaries which with the reasonable amount of "tips" received by
them shall aggregate in cities of the first class not less than Fourteen
($14) Dollars per week; in cities of the second class not less than
Thirteen and 50,100 ($13.50) Dollars per week; and in cities of the
third class not less than Thirteen ($13) Dollars per week: Provided,
however, That. in cities located in the Southern area such earnings
shall be in each class One ($1) Dollar less per week; such earnings
to be for a week, to consist of not more than forty-eight (48) hours.
C. Commissioned employees are not subject to the regulations
herein provided with respect to minimum wages and maximum
D. On and after the effective date of this code, junior salaried
employees between the ages of sixteen (16) years and eighteen (18)
years, inclusive, with less than six (6) months' experience in such
work shall be paid at the rate of Two ($2) Dollars less for a work
week as above provided and apprentice salaried employees more
than eighteen (18) years of age with less than six (6) months' ex-
perience in such work shall be paid at the rate of One ($1) Dollar
less for a work week as provided above and provided that the min-
imum payable shall not be less than at the rate of Eleven ($11)
Dollars per week.
E. It is recognized in this industry that certain employees are
specially employed for particular portions of the week not aggre-
gating a full week-in many cases these employees have other em-
ployment in addition. These employees shall continue to work such
portions of time as they may be required, but in the case of salaried
employees on part time they shall receive the same minimum wage
for the hours during which they shall be actually engaged in their
5. Salaried employees receiving compensation for employment
now in excess of the minimum wages hereby agreed to (notwith-
standing that the hours worked in such employment may be hereby
reduced) shall not receive reductions in such compensation and
wherever possible shall receive increases in such pay by an equitable
readjustment of all pay schedules.
6. The persons subject to this code agree that they shall not use
any subterfuge to frustrate the spirit and intent of this code, which
is, among other things, to increase employment by universal covenant,
to remove obstructions to commerce, and to shorten hours and to
raise wages for the shorter week to a living basis.
7. The persons subject to this code agree that they shall not in-
crease the price of any merchandise sold or work done or services
performed after the date hereof over the prices on July 1, 1933, by
more than is made necessary by the actual increases in production,
operating, replacement, or invoice costs or by taxes or other costs
or by the addition of a fair profit, and in setting such price increases
to give full weight to probable increases in sales volume and to re-
frain from taking profiteering advantage of the consuming public.
8. The prices charged for work done or services performed in such
beauty parlors or salons shall be at least sufficient to permit com-
pliance with this code and of other necessary and proper expenses
in connection therewith and in addition to permit a reasonable profit
to the employers. Offering or agreeing to do any work or perform
any services at a price less than will yield a reasonable profit in
order to encourage business in any other work and service, is
Recognizing that the stability of the industry and the ability to
carry into effect the purpose and intent of this act depend largely
upon the complete cooperation of all those engaged in this industry
and with a view to effect such complete stabilization, all persons
members of the association offering this code shall by virtue of their
membership be deemed collectively to have been licensed to do busi-
ness in this industry under this act.
All persons engaged in the conduct and operation of beauty par-
lors or salons anywhere in the United States and not a member of
this association named herein shall, promptly following the effective
date of this code, obtain and procure from the administrator a
license or permit thus to engage or continue in business which shall
be conditioned upon the obligation of such applying person to com-
ply with all and every the provisions of this code and the amend-
ments thereof and such other and further regulations as may be
prescribed by the administrator.
This code is not designed to promote monopolies and shall not be
availed of for that purpose.
The provisions of this code shall not be so interpreted or admin-
istered as to eliminate or oppress small enterprises or to discrimi-
nate against them.
The administrator is expressly authorized to deputize a committee
to do and perform such acts as may be necessary to carry into effect
the purpose and intent of this code.
This code and all the provisions thereof are expressly subject to
the right of the President, in accordance with the provisions of
Clause Tenth (b) of the National Industrial Recovery Act, from
time to time to cancel or modify any order, provision, license, rule,
or regulation issued under Title I of said act, and specifically to the
right of the President to cancel or modify his approval of this code
or any conditions imposed by him upon his approval thereof.
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, or addi-
tional codes, will be substituted for approval of the President to
prevent unfair competition and price and other unfair and destruc-
tive competitive practices and to effectuate the other purposes and
policies of Title I of the National Industrial Recovery Act with the
NATIONAL ASSOCIATION OF
BEAUTY PARLOR CONCESSIONAIRES,
By JACOB KRISEL, Secretary.
UNIVERSITY OF FLORIDA
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