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Code of fair competition for the zinc industry as approved on March 26, 1935

Material Information

Title:
Code of fair competition for the zinc industry as approved on March 26, 1935
Portion of title:
Zinc industry
Creator:
United States -- National Recovery Administration
Place of Publication:
Washington, D.C
Publisher:
United States Government Printing Office
Publication Date:
Language:
English
Physical Description:
p. 29-51 : ; 24 cm.

Subjects

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

Notes

General Note:
Cover title.
General Note:
At head of title: National Recovery Administration.
General Note:
"Registry No. 1224-1-01."
General Note:
"Approved Code No. 555."

Record Information

Source Institution:
University of Florida
Rights Management:
This item is a work of the U.S. federal government and not subject to copyright pursuant to 17 U.S.C. §105.
Resource Identifier:
004931412 ( ALEPH )
646134083 ( OCLC )

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Full Text



Approved Code No. 555 Registry No. 1224-1--Cl


NATIONAL RECOVERY ADMINISTRATION




CODE OF FAIR COMPETITION

FOR THE


ZINC INDUSTRY



AS APPROVED ON MARCH 26, 1935


WE DO OUR PART


U UNiV. OF FLL .
S-QCU'-"' r T




U.S. DEPGPTOC'.Y


UNITED STATES
GOVERNMENT PRINTING OFFICE
WASHINGTON: 1935


r se by the Supeintenden o Documents Washington. D.C Price5en
For male by the Superintendent of DocumenIs. Washington. D. C. - Price 3 renjs


Approved Code No. 555


Registry No. 1224-1-01

























This publication is for sale by the Superintendent of Documents, Government
Printing Office, Washington, D. C., and by the following N. R. A. offices:

Atlanta, Ga.: 625 Citizens & Southern National Bank Building.
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Seattle, Wash.: 1730 Exchange Building.













Approved Code No. 555


CODE OF FAIR COMPETITION
FOR THE

ZINC INDUSTRY

As Approved on March 26, 1935


ORDER

APPROVING CODE OF FAIR COMPETITION FOR THE ZINC INDUSTRY
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 Zinc 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, the National Industrial Recovery Board, pursuant to author-
ity vested in it by Executive Orders of the President, including
Executive Order No. 6859, and otherwise, does hereby incorporate
by reference said annexed report and does find that said Code com-
plies 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 Code of Fair Competition be and it is hereby ap-
proved, subject, however, to the following conditions:
(1) The provisions of Article III, Section 1, and provisions re-
lated thereto, insofar as they permit of averaging, shall remain in
force and effect for a period of sixty (60) days beginning with the
effective date of this Code. At the expiration of said sixty (60)
day period the aforesaid averaging provisions shall be automatically
stayed and the Code amended by a subsequent Order to eliminate
the said averaging provisions, or the said averaging provisions shall
be superseded by appropriate provisions submitted by the Code
Authority which shall conform to established Administration policy,
unless good cause is shown by the Code Authority before the termi-
nation of said period for a continuation of the aforesaid averaging
provisions in their present form, or with modifications thereof.
(2) The impartial investigator referred to in Subparagraph (a)
of Section 1 of Article III shall review conditions in the Mississippi
Valley, Southern, and Southwestern Districts of the Mining Divi-
sion of the Industry for the purpose of reporting to the Board
within ninety (90) days from the effective date of this Code, the
124362-1603-116--35 (29)








amount of adjustment of Code wages (not in excess of recommenda-
tions of the Labor Advisory Board-thirty-five cents (350) per hour
above ground and forty cents (40) per hour underground) possible
in said Districts in order to effectuate the policies of Title I of the
Act; and that the Board after reviewing said report and consult-
ing with all interests concerned, may modify the minimum Code
wage provisions for said Districts of said Mining Division, as it may
deem necessary upon the basis of said report.
NATIONAL INDUSTRIAL RECOVERY BOARD,
By W. A. HARRIMAN, Administrative Officer.
Approval recommended:
W. P. ELLIS,
Division Administrator.
WASHINGTON, D. C.,
March 26, 1935.














REPORT TO THE PRESIDENT


The PRESIDENT,
The White House,
Sm: The original Code for the Zinc Industry was submitted on
October 10, 1933, by the American Zinc Institute, Incorporated
organized in 1918, representing over 95% of the known members o?
Industry and 95% of volume of production. Several revisions of
the Code were made prior to the public hearing which was held
on December 8, 1933. This Code was revised during the recess of this
hearing and was submitted in its present form for approval. Every
person who requested an appearance was properly heard in accord-
ance with statutory and regulatory requirements.
The Zinc Industry includes the mining, concentrating and smelt-
ing of zinc bearing ores and materials, and the primary steps in the
fabrication into metallic zinc products and zinc pigments and the
original sale of industry products.
Although zinc is one of the most widely applied and useful of
the base metals its development, as an industrial material is of com-
paratively recent origin in the United States, and while known to
the ancients for centuries it was not until about 1800 that the smelt-
ing of zinc was successfully started in Europe and it was not until
1860 that it was produced commercially in the United States to the
extent of about 800 short tons. From this humble beginning the
Industry reached peaks of 670,000 and 625,000 short tons respec-
tively in 1917 and 1929.
The first mining of zinc ores was carried out in the Eastern States,
and even today New Jersey, New York, Virginia and Tennessee are
important producers.
In the mining of lead ores in the upper Missi-sippi Valley, in
Wisconsin and Illinois the occurrence of zinc ores was found in the
same deposits and lead to the development of a zinc smelting industry
in the proximity of the Illinois and Indiana coal fields. Subse-
quently the extensive zinc deposits of Joplin, or the Tri-State region
located in the adjoining corners of Missouri, Kansas and Oklahoma,
were discovered. Production from this region developed rapidly
and for a considerable time after 1905 produced approximately 50%
of the zinc in the United States. During the World War extensive
deposits were discovered in the western section of this region with
the result that Oklahoma has recently become the leading zinc pro-
ducing state. The ores in this Tri-State region, usually occurring
at depths of 150 to 350 feet, are a combination of zinc, and lead
sulphides, and are known as Spahlerites" "Blende" or "Galena"
and yield about six parts of zinc to one part of lead; the combined
metal contents of the ores being about 5% of the ores mined. These
ores, after being mined, are crushed and ground preliminary to sepa-
(31)








ration of the metallic values from the gangue and the selective sepa-
ration of the zinc and lead values by flotation. The zinc concentrates
so produced contain about 60% metallic zinc. Due to metallurgical
losses incidental to smelting and refining, about two tons of concen-
trates are required to produce one ton of slab zinc. These concen-
trates are either shipped to smelters located East of the Mississippi
River in the proximity of coal fields, or to Oklahoma, Arkansas,
Kansas and Texas in the proximity of natural gas fields.
Zinc ores in the Western Mountain States occur in vein and replace-
ment deposits, usually at greater depths than in the Tri-State area
and are mined at greater costs than in the Tri-State region. Large
reserves of zinc have long been known to be present in the so-called
"complex ores of many mining districts, but until the past decade
no practical means of recovering the zinc had been developed. These
complex ores consist of an intimate combination of zinc, lead and
iron sulphides and in some cases zinc, copper and iron sulphides, and
also containing small but valuable quantities of silver and gold.
The zinc is not sufficiently high to permit these ores to be treated
directly by a zinc smelter, and on the other hand it interferes with
the recovery of the remaining metals by a lead or copper smelter.
Certain of these ores in which the zinc content was too high were
treated by custom smelters, it, however, being necessary to slag
off the zinc, a costly operation for which the smelter had to charge
the miner a heavy penalty.
The recent development of selective flotation changed this whole
situation. In this process the complex ores are ground extremely fine
so as to separate the individual mineral particles, and the lead, zinc
and iron minerals are then floated off successively thus producing
separate concentrates of lead and of zinc which can readily be
trea ted at the respective smelters. Through this means not only was
the zinc in many western mines transformed from a penalty con-
stituent to one of value, but many ore bodies which had had no com-
mercial value became amenable to treatment and began to produce
large quantities of both lead and zinc.
Of the 12,800 people employed in zinc mining and milling in 1929
about 67? of the total were employed underground. By regions
about 3,000 were employed in the Mountain States, 8,000 in the Mis-
sissippi Valley States, including the Tri-State area, and about 2,000
in the Eastern States.
Smelters for the production of metallic zinc or manufacturing of
zinc pigments are seldom, if ever, located near the mines due to the
fact that the deposits of coal and natural gas, both of which are
so necessary for the reduction of zinc ores, are located in areas other
than where the zinc deposits are located. The market for metallic
zinc and sulphuric acid (a by-product from the zinc ore roasting
operations) is also a determining factor in the economic selection
of sites for smelter operations. It is also cheaper to transport the
raw concentrates (in terms of pounds of recoverable metal) by rail
to the far distant smelters than to produce the metal at the mine and
ship by rail.
The methods of smelting or extracting zinc from its ores and con-
centrates are quite different from those employed for other base
metals. Instead of being produced in large furnaces in which the
metal is formed in the molten state and tapped, as is the case in








iron, copper and lead, zinc is produced by distillation and subsequent
condensation of the metallic vapor or by dissolving the zinc values
in sulphuric acid and then recovering the zinc values from the solu-
tion, or electrolyte, by electrolysis. In the distillation process, of
which there are about twenty plants in the United States, the ore,
or concentrate, is first roasted to burn off the sulphur (the sulphur-
ous gases being utilized in the making of sulphuric acid) and to
convert the zinc into the form of zinc oxide. The roasted product
is then mixed with finely divided coal and is charged into small
cylindrical refractory retorts which are arranged in horizontal tiers
in a furnace which was fired either by natural gas or producer gas.
By those metallurgical operations the zinc oxide is reduced to metal-
lic zinc at a temperature higher than its boiling point; the zinc
passes off in the form of vapor to a condenser where it is condensed
to liquid form and is then drawn off periodically and cast into slabs
weighing about fifty pounds each. Although the retort furnaces use
a process several centuries old and the process is often looked upon
as being obsolete, nevertheless the recoveries are often as high as at
electrolytic plants. There is, however, a tendency in the United
States towards the lessening of hand labor and hand conveying and
resort to mechanical handling and gravity feed into vertical retorts.
Much time and effort has been spent in the design of furnaces for
the smelting of zinc by a continuous distillation process. About
1915 the electrolytic process of producing metallic zinc was developed
in Montana; subsequently as additional quantities of zinc concen-
trates were made available by selective flotation electrolytic plant
capacities were increased and the Western Mountain States' pro-
duction of slab zinc rose from an inconsequential position to one of
the major zinc producing centers. In 1929 the Western States pro-
duced 33% of the total zinc output of the country, as compared with
43% for the Tri-State District, and 24% for the states east of the
Mississippi River. The electrolytic process is particularly adaptable
where cheap power, usually hydroelectric power, is available and
where there is a scarcity of coal or gas fuel. The price for electric
power must be under .0040 per kwt. hour to compete with retort
furnaces. In this process the zinc content of the roasted ore is
" leached with dilute sulphuric acid. The zinc-bearing solution is
then filtered and purified and the zinc value is recovered from the
solution by electrolysis. The metallic zinc is deposited on the cath-
odes from which it is stripped at regular intervals and then melted
and cast into slabs. The zinc produced by this process is extremely
high grade, the most recent development being the regular zinc
production containing less than 1/100 of 1 per cent impurities.
Not all of the zinc ore mined in the United States is used in the
production of slab zinc-about one-sixth of it is used directly in the
manufacture of certain zinc compounds, namely zinc oxide, lithopone
and various zinc salts. Zinc oxide is usually produced by heating
oxidized ores or concentrates with coal on an iron grate through
which air is blown from underneath. The zinc is thus reduced to
the metallic state and rises as a vapor which is immediately oxidized,
forming a dense white fume which is subsequently filtered for the
production of zinc oxide. This process of production is known as
the American process. Zinc oxide of exceptional purity is also pro-
duced by the French process which consists in the vaporization of








high grade metallic zinc and the subsequent oxidation of the zinc
vapors to form zinc oxide.
Lithopone is an intimate mixture of zinc sulphide and barium
sulphate, produced by chemical precipitation, followed by subse-
quent processing and finds use as a pigment. The principal by-prod-
uct of zinc smelting and oxide manufacture is sulphuric acid, ob-
tained from the sulphur gases produced in roasting zinc concentrates.
In the electrolytic plants a part of this acid is used in leaching the
roasted ore to produce the zinc electrolyte. Large quantities of acid
are also used in converting natural phosphate rock into soluble super-
phosphate for use as an agricultural fertilizer. Sulphuric acid is
also sold to chemical and oil refining industries. Metallic by-prod-
ucts from zinc smelting include lead, silver, gold, copper and
cadmium.
The largest single use for metallic zinc is in the galvanizing indus-
try. Of the 629,000 tons of metallic zinc produced in 1929 290,000
was used in the galvanizing industry. The next outstanding use for
zinc is in the manufacture of brass. In 1929 180,000 tons were used
in the manufacture of brass. Rolled zinc, die castings and other
purposes consumed the balance in almost equal quantities.
The position of the secondary zinc industry occupies a role with
respect to the Zinc Industry quite different than that of the second-
ary metals in the copper and lead industries. Inasmuch as a major
portion of metallic zinc is used in the galvanizing industry that ton-
nage is not recoverable. By the same token another large tonnage is
used in the production of paints and even in the refining of metals
such as brass. Much of the contained zinc is lost through being
burned out and is not recoverable. The secondary production of zinc
is, therefore, well under 20% of the average domestic mine
production.
The history of the Zinc Industry is one of constant shift and change
to position and status, governed by either the demands of progress
or of consuming industry, the location of new deposits and the de-
velopment of new processes of recovery. Eastern production yielded
to the cheap production of oxide deposits of the Mississippi Valley
and the Tri-State area. These latter two areas, especially the Tri-
State area had to yield to the recovery by flotation of zinc values
from the Western Mountain States, as also the discovery of the
electrolytic method of zinc recovery. The Tri-State area is in a
further peculiar position due to the fact that the recovery of ores
from this particular area requires a minimum of mechanization, with
the result that it has been made possible for many people with small
capital to become zinc producers. The majority of these producers
operate on lands leased from the Indians through the Department
of Interior. The requisites of the lease are such that these producers
must operate almost continuously in order to retain their leases.
This condition of almost enforced operation means that many of
these producers in their desire to hold their leases have operated at a
loss due to the fact that their operations were in non-conformity to
the laws of supply and demand. The royalty on private and Indian
lands in the Tri-State district is based on gross value as compared
with net value in the Rocky Mountain States. Contracts for. leases
of both private and Indian lands provide for the payment of royalty








on the gross value of the ore rather than the net, so that the owner,
either private or the government may, and does, often receive very
substantial cash royalties while the lessee loses money. It may be
necessary for the government to give consideration to the question
of modifying the requirements of contracts on leases of Indian lands.
Although the strategic position of the Zinc Industry with refer-
ence to the position of the secondary metal is in far better status
than some of the other base metals, this in a measure, however, may
be offset by some other factors, and due consideration should be given
to a system of control or allocation of production as provided for in
the Code and each such allocation of production must be considered
in the light of local conditions.
The large potential producers of Colorado who have been closed
down since 193'0 and 1931 might wish to reopen. Production in
Idaho, Montana, Utah and Nevada has been greatly curtailed and the
Tri-State area has also been on a curtailed basis. Greater curtailment
must be necessary during 193-4 in order to reduce the excess stocks.
Stati-tics furnished by the American Zinc Institute indicate, how-
ever, that on December 31, 1933 stocks on hand amounted to 105,560
tons, and that on November 30, 1934 there were 116,076 tons on hand,
or an increase of 10,996 tons for the eleven-month period. Some
mines must continue to operate in spite of themselves. The Pecos
mine in New Mexico cannot be closed if it is ever to be reopened again.
Other zinc mines would suffer much damage in being forced to close
permanently. In the imenatiime the zinc mines of the Eastern States
have decreased produi,-tioni only slightly in 1930 and 9l:i and have
an increased output in 1931 over 1932. During the last six months
of 1933 the production from the Quapaw Indian land in Oklahonma
under the supervision of the Department of Interior yielded 209%
of the value of lead and 18% in the Tri-State district zinc output.
In the years 1926 to 1933 Indian lands have produced as high as 32%o
of the total value of the zinc concentrates and in another year as
high as 42% of the total value of the lead conicntrIat,:s from the
Tri-State District.
Throughout the long history of mining in the United States it
is axiomatic that an operating mine or district is one making oper-
ating expenses, and failure to make expenses means closing down.
Reservations to this axiom are that the operating mine or district
has made money in the past and is now spending its surplus; or has
ore bodies which it hopes to develop into a profit lmanking mine.
The mine production of recoverable zinc by districts and regions
from 1923 to 1933 indicates that the production of 1',:~.:3 could easily
have been made by the combined activities of the Eastern and the
Tri-State districts; or by the Eastern States and the Rocky Moun-
tain Far-Western States combined, or that either combination could
equal and doubtless exceed the production of 1925 and 1926 of
520.000 tons. Knowledge of the ore bodies existing in the zinc
districts of the United States confirms the above deductions. Okla-
homa alone can be said to be the key to the picture; equally rea.-,i-
able deductions would place the key in the Rocky Mountain States
where the situation is complicated by zinc production suppl!imt'itIlld
by the production of lead, silver and gold from complex ore bodies.
The romplex ore bodies are such as to compel mining and milling of
124362--1603-117-35-2








the sulphide minerals of the four metals in one operation and to
prevent segregated mining of only one mineral.
The mine production of recoverable zinc in the United States
has declined from 775,000 short tons in 1926 to 285,000 tons in 1932,
or from 44% of the world production of 27%. In the same period
world production declined from 1,768,000 short tons to 1,074,000
tons, but the corresponding percentage of production of other
countries of the world showed an increase from 56% to 73%. The
major decline in world output occurred in the United States. The
stocks of slab zinc at smelters in years past have been steady at an
average of 26,000 to 30,000 short tons at the end of normal years,
but reached 86,000 tons at the end of 1929 and 167,000 tons at the
end of 1930. It dropped to 144,000 tons at the end of 1931, and to
128,000 tons at the end of 1932, and to 106,000 tons at the end of
1:': To reduce stocks at the end of 1931 to 30,000 tons and assum-
ing an export of about 3,000 tons and a consumption of slab zinc
of 353,000 tons, would mean that slab zinc production should be re-
(dced to 257,000 tons or less than the 1931 and 1933 output.. In
other words even if consumption increased in 1934 over 1933 there
will have to be a curtailment of production to a quantity less than
1931 and if consumption does not increase the curtailment will have
to be even greater.
The tariff of 1922 carried a duty of 11/20 per pound of zinc on
ores containing over 25% zinc and 134 per pound on zinc in blocks,
pigs or slabs, and 20 per pound on zinc in sheet and duties ranging
from 3/4 of one cent to 21/4 per pound on zinc chemicals and zinc
pigments, and protects the United States' Zinc Industry from the
heavy imports of ore from Mexico and Canada. The heavy decrease
of imported ores for smelting under bond and the decrease in the
exports of domestic slab zinc as well as the export of that made
from foreign ores means two separate and distinct losses in source
of revenues to the custom smelter with a corresponding reduction in
capacity and need for labor.
ARTICLE I. States the purpose of the Code.
ARTICLE II. Accurately d.-fint'.i specific term applicable to the
Zinc Indi-tr y as used in this Code.
ARTICLE III. The maximum hours are limited to 40 hours per
week a\ovr:tid over three month periods, such periods to be the regu-
lar (quarterly periods of each year, and eight hours in any 24 hour
period except as otherwi-e provided for. Provision is made that
employers shall report to the Code Authority at the end of each
quarter such detailed information as may be require,' by it or by the
Administrator indie' ting how the averaigilng provision has been
applied. The Administrator, at his discretion, may appoint an
impartial investigator to review conditions in the InidAtry concern-
ing the averaging provision. The eight hour provision for the Miin-
ing Division in ,-:ichv state shall be in acconraiice with the laws of the
state pertaining to the eight hour day for mining operations.
ARTICLE IV. The minimum \\:iages for employees vnry from 3071
per hour to 471' (< per hour arcrliiiir to geographicl and divi-ional
require n miiit. No person in cleric; I or office work shnll be paid less
than $15.00 per week except that office boys and girls and ine.-eniglers
and liiliaortoiry boys may be paid 80'~; of the established, minimum








for office employee,. The minimum rate of pay for work performed
for any pay period shall apply irre-p..cctive of whether an employee
is actually compensated on a time rate, piece or other basis. Provi-
sion is also made for the employment of handicapped persons. Pro-
vision is also in:de for the adjustmllentt of wages above the minimum.
ARTICLE V. Provides that no employer shall employ any person
under 16 years of age and that no person under 18 years of age
shall be employed except in clerical, office, sales, service, technical
and engineering departments. This Article also sets forth mandatory
provisions respecting the rights of employees to organize and bar-
gain collectively. It also has to do with reclassification of em-
ployees, standards for safety and health, the observance of state
laws and the posting of complete copies of this Code so that they
are accessible to employees.
ARTICLE VI. Establishes a Code Authority consisting of six vot-
ing members, five of which shall be selected from the members of
the Executive Committee of the American Zinc Institute, Inc., and
one of such voting members shall be elected by the memcbe.rs of In-
dustry who are not members of the Zinc Institute, Inc. In addition
to the organization of the Code Authority, the powers and duties
are also outlined in this Article.
ARTICLE VII. Makes provision for the siiblic-ion of reports in
addition to those required under Section 3 (a) of the Act.
ARTICLr VIII. No provision of this Code relating to terms of
selling, shipping or marketing shall apply to export trade or sales
or shipments for export trade.
ARTICLE IX. Makes provision for the application of this Code to
operations wherein other metals than zinc are produced.
ARTIcLE X. Makes provision for modification of this Code either
by the President, in accordance with the provisions of Sub-:.tion
(b) of Section 10 of the Act, or with the consent of Industry and
the approval of the Board, or upon proposal by any interested party,
or by the Code Authority, or directly by or to the Board.
ARTICLE XI. No provision of this Code shall be applied to promote
monopolies or monopolistic practices or to eliminate, oppress or dis-
cri in ate against small enterprises.
ARTICLE XII. Makes provision for the termination of this Coae- on
June 16, 1935, or on the earliest date prior thereto on which the
President shall, by proclamation or agreement or joint resolution,
declare that the emergency recognized by Title I of the Act has
ended.
ARTI. LE XIII. MIakei provision that the Code shall become effec-
tive on the second Monday after its approval by the President.
ARTICLE XIV. Make(s provision that by the presentation of this
Code those a.-leting thereto do not con-ent to any modfi:;.-tion
there f.
The Deputy Administrator in his final report to us on said Code
having found as herein set forth and on the basis of all the proceed-
ings in this matter:
We 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
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 In-
dustry 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 of industries, by avoid-
ing undue restriction of production (except as may be temporarily
required), by increa-ing the consumption of industrial and agricul-
tural products through increasing purchasing power, by reducing
and relieving uneiiplloyment, 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 the Board 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 an industrial association truly representative of the afore-
said Industry, and that said association imposes no inequitable re-
strictions on admission to membership therein.
(d) The Code is not designed to and will not promote 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.
For these reasons, therefore, this Code, subject to the stays of the
specific provisions as set forth in the Order of Approval, has been
approved.
For the National Industrial Recovery Board:
W. A. HARRIMAN,
Ad (,in ;.l/rative Officer.
M.AncH 26, 1935.














CODE OF FAIR COMPETITION FOR THE ZINC INDUSTRY

ARTICLE I-PURPOSES

To effect the policies of Title I of the National Industrial Recov-
ery Act this Code is established as a Code of Fair Competition for
the Zinc Industry, and its provisions shall be the standards of fair
competition for such Industry and be binding upon every member
thereof.
ARTICLE II-D i]: i N ITI, N S

Wherever used in this Code or any supplement appertaining
thereto, the terms enumerated in this Article II shall have the
mennings herein defined, unless the context shall otlnit i.-e clearly
indicate.
SECTION 1. The term President" means the President of the
United States of America.
SECTION 2. The term "Act" means Title I of the National Indus-
trial Recovery Act.
SECTION 3. The term Board" means the National Industrial
Recovery Board as created by Executive Order #6859 of September
27, 1934.
SECTION 4. The term Zinc Industry" or Industry as used here-
in includes the mining of zinc ore, and/or the concentrating thereof,
and/or the concentrating of zinc tailings, the production of zinc
concentrates, the smelting of zinc ore, and/or zinc concentrates,
and/or secondary zinc-bearing materials, the refining of zinc, and/or
secondary zinc-bearing materials, the manufacturing of slab zinc, zinc
dust, rolled zinc, zinc alloys, zinc oxide, lithopone, zinc sulphide, and
sulphuric acid, and the original sale of such products by the Member
of Industry producing or manufacturing the anme, either directly or
indirectly through subsidiary, parent, and/or affiliated companies.
(a) "Zinc Ore ", "Zinc Tailings ", and "Zinc Concentrates"
mean, respectively, ore and tailings and the concentrates thereof con-
taining zinc as the principle commercially recoverable constituent
by weight.
(b) "Zinc Mining" meansi the mining of Zinc Ore, and/or the
concentrating of Zinc Ore, and/or Zinc Tailings, and/or the pro-
duction by flotation of Zinc Concentrates.
(c) "Prime Western Smelting" means the production of Prime
Western, Selected, Brass Special, and intermediate grades of slab
zinc by any process, excluding the production of plants which treat
secondary materials only.
(d) "High Grade Zinc" means the production of High Grade
Zinc by any process, excluding the production of plants which treat
secondary materials only.
(39)








(e) Secondary Zinc means the production of slab zinc of all
grades by plants which treat secondary materials only, and for the
purposes of this Code includes the production of zinc dust and the
treatment of zinc ashes.
(f) "Rolled Zinc means the production by rolling, of plate,
sheet, strip and ribbon zinc.
(g) Zinc Alloy means an alloy produced by the intentional
addition to zinc of elements other than cadmium, iron, and lead, and
for the purpo-es of this Code means such an alloy containing more
than eighty (80) per cent zinc, produced for sale.
(h) Zinc Oxide means the production of both lead-free and
leadled grades of zinc oxide, whether produced from metallic zinc,
zinc ores, or other zinc compounds.
(i) Lithopone means the production of all grades of lithopone,
including ordinary lithopone, high strength lithopone, titanated
lithopone, and calcium base lithopone, and for the purposes of this
Code includes the production of zinc sulphide.
(j) Sulphuric Acid-By-Product means such sulphuric acid as
is produced as a by-product of the roasting and/or sintering and
further treatment of zinc ore, in the same plants as those in which
the roaz.ting or sintering and further treatment are conducted. Sul-
phuric Acid-Brimstone means such sulphuric acid as is produced
from brimstone burned to supplement the production of by-product
acid.
(k) "Special Intermediate Zinc" means the production, by any
process, of slab zinc containing ninety-nine and seventy-five one
hundredths per cent (99.75%) metallic zinc or more, and which is
not within the Amerian Society for Testing Materials standard
for High Grade Zinc, excluding the production of plants which treat
secondary materialss only.
SECTION 5. The term "Member of Industry" includes, but with-
out limitation, any individual, partnership, association, corporation
or other form of enterprise engaged in the Industry, either as an
employer or on his or its own behalf.
SECTION 6. The term Employee means and includes anyone en-
gaged in the Industry in any capacity receiving compensation for
his services, irrev-p ct ive of the nature or method of payment of such
compensation, except a 1Member of Industry.
SI:CTIuN 7. The term "Employer" mileani- and includes anyone
by whom any such employee is employed or compensated.
SECT ixN 8. The term Apprentice" means an employee who is
apprc titldl to an employer by an indentureh under an apprentice
sytemln established and maintained by such employer to serve an
employer for a term of years at prelettrmiled wages for the period
of the indenture in order to learn a trade, art or craft.
Si.rTIN 9. The term Executive Committee" means the Exec(u-
tive Committee of the American Zinc In.titute, Inc., a New York
membership corporation.
SECTION 10. The ti.rml Sci.'f'tary" means the Secretary of the
American Zinc Tn-titute, Inc., who also 1ihall be the Secretary of the
Code Authority.
S:TirN~ 11. The term "Division in(cldes, respectively, the sev-
eral parts of the Ind.utry as follows:








(1) Zinc Mining Division
(2) Prime Western Smelting Division
(3) High Grade Zinc Division
(4) Secondary Zinc Division
(5) Rolled Zinc Division
(6) Zinc Alloy Division
(7) Zinc Oxide Division
(8) Lithopone Division
(9) Sulphuric Acid Division
(10) Special Intermediate Zinc Divi-ion
and such other and furtlhr Divisions as may hereafter be created
pursuant to the provisions of this Code.
SECTION 12. Where used with reference to the Zinc Miiinig Divi-
sion (Division 1), Eastern Di-trict means the States of New York,
New Jersey and Pennsylvania; Southern District means the States
of Virginia and Tennesce; Mi.si-sippi Valley District" nit.'an- the
States of Wis-con-in, Illinois, Mi-ss-ouri, Kansas, Oklahoma and Ar-
kansas; Northwestern District means the States of Colorado,
Utah. Nevada. Montana, Idaho, Washington, Oregon and California;
"Southwestern District" means the States of New Me.-.ico and
Arizona.
SECTIO- 13. Where used with reference to the Prime Western
Smelting Division (Division 2), and the Sulphuric Acid Division
(Division 9), Eastern District means the States of Pennsylvania
and West Virginia; Midwestern District means the States of Indi-
ana and Illinois; Southwestern District" means the States of
Oklahoma, Arkansas and Texas.

ARTICLE III-HOURS OF L.A.'o!

SECTION 1. )li,;,,,i i Houl,.--No employee shall be permitted to
work in excess of forty (40) hours per week. averaged over three (3)
month periods (such periods to be the regular quarterly periods of
each year) or in excess of eight (8) hours in any twenty-four (24)
hour period, except as herein otherwise provided. Every employer
at the end of each quarter shall report to the Code Authority, in
such detail as may be required by it or by the Board, the manner
in which the averaging feature herein provided lin- been applied by
the employer during said quarter; and a summary of such reports
shall be trnnmrnitted by the Code Authority to the Board, in such
detail as the Board may prescribe. The Board may, at its discretion,
appoint an impartial investigator to review conditions in the Indus-
try concerning the averaging provisions herein. Such invv-tirator
on completion of his review shall report to the Board and forward
a copy of such report to the Code Authority.
(a) The eight (8) hour provi-ion for the Mining Division in
each State shall be in accordance with the laws of the State pertain-
ing to the eight (8) hour day for mining operations. The Board,
at its discretion, may appoint an impartial investigator to review
conditions in the Mining Division of the Industry and specifically
concerning the application of the eight (8) hour provision in con-
formity with the State laws. Such investigator on completion of his
review shall report to the Board and forward a copy of such report








to the Code Authority. The Code Authority shall study the appli-
cation of the eight (8) hour provision in the Mining Division of
the Industry relating to its conformity to the State laws, and shall
report thereon to the Board not later than ninety (90) days from
the effective date of this Code.1
SI:cTIo 2. Hours for Clerical and Office Employees.-No person
employed in clerical or office work shall be permitted to work in
excess of forty (40) hours in any one (1) week, except that during
any one (1) week in a one (1) month period such employee shall be
permitted to work a maximum of forty-eight (48) hours in any such
week, and except as herein otherwise provided. A normal work day
shall not exceed eight (8) hours.
SECTION 3. E.ierpfi/os as to Hours.-The limitation as to hours of
labor as specified in Sections 1 and 2 of this Article III, and Section
5 of this Article III, as applied to Suibpairgraphs (a) and (b) of
this Section 3 shall not apply to the following:
(a) To employees engaged in emergency maintenance or emer-
gency repair work, involving breakdown or protection of life or
property; provided, that in such special cases not less than one and
one-half (11/) times the normal wage rate for any employee so
employed shall be paid for all hours worked in excess of eight (8)
hours per day or forty (40) hours per week.
(b) To persons engaged in a managerial, executive, supervisory
or professional capacity, (excluding skilled production workers),
who receive not less than Thirty-five Dollars ($35.00) per week; and
to outside sales or sales service employees.
(c) To hoistmen, power-house men, pumpmen and truckmen; pro-
vided the total working hours of such employees shall not exceed
forty-eight (48) hours in any one (1) week.
(d) In the case of operations with three (3) shifts in a twenty-
four (24) hour period where only in order to change shifts it is
ne ccv-i ry for employees to work more than eight (8) hours in one (1)
twenty-four (24) hour period, the provisions concerning working in
excess of eight (8) hours in any one (1) twenty-four (24) hour
period, shall not apply.
(e) To clerical help working concurrently with employees de-
scribed in Section 1 of Article III, and Subparagraph (d) of this
Section 3, who may be permitted to work not in excess of the num-
ber of hours which such employees shall work.
(f) To watchmen, who may be permitted to work not in excess
of eighty-four (84) hours in any two (2) week period or fifty-six
(56) hours in any one (1) week period; provided, that no such em-
ployee shall be permitted to work more than six (6) days in any
seven (7) day period.
(g) To an employee acting in temporary relief for a fellow em-
ployee in continuous processes; provided, that one and one-half (11/)
times. the normal wage rate shall be paid for all time so worked in
excess of one (1) relief shift in any one (1) week of forty (40)
hours.
SECTION 4. Eimloyimv,'nt by Sr'veral EJmployers.-No employer
shall knowingly permit any employee to work for any time which
1 See parngraLhs 2 (1) and 2 (2) of order approving this Code.









when totalled with that already performed with another emniployer
or employers in this Industry or any itloer Industry, or in any T1rade
exceeds the maximum permitted Iherein.
SECTION 5. Standirld Week.-No employee shall be pernlitted to
work more than six (6) days in any secten (7) day period.

ArITICLE IV-VWAGES

SECTION 1. Minimum Wages.-No employee, except as herein other-
wise specified, shall be paid in any pay period less than at the fol-
lowing rates in the following Divisions of the Industry:

Cents per hour

Above Under
ground ground

(1) Zinc Mining Division----.......---------.-----------------......---------. 40 47
(2) Prime Western Smelting Division --------------.-----------.......------- 35 -------
(3) High Grade Zinc Division..........-------------------................... 40
(4) Secondary Zinc Division ..------.--------- ------------------------- 35 -----
(5) Rolled Zinc Division.--------------------------------- ------ 35 -
(6) Zinc Alloy Division_------ ----- ------------------------------ 35 -
(7) Zinc Oxide Division ------------------------------------ ---- 40
(8) Lithopone Division --------...--------------- ------------- 40 -
(9) Bulphuric Acid Division-By-Product -----.------------- ------------ 35
Sulphuric Acid Division-Brimstone-------------------------------- 40
(10) Special Intermediate Zinc Division-------------------------------------- 35 -

Provided, however, as to the Zinc Mining Division, the rate speci-
fied above for it shall be applied to the Northwestern District, and
thirty-five cents (354) per hour above ground, and forty cents (400)
per hour above ground in the Eastern District, and thirty cents (30 )
per hour above ground and thirty-five cents (35.) per hour under-
ground in the Mississippi Valley, Southern and Southwe-t.rin Dis-
tricts; provided further, as to the Sulphuric Acid Division-Brim-
stone, the rate specified above for it shall be applied to the Eastern
and Midwestern Districts, and thirty-five centi (350) per hour in
the Southwestern District. The minimum rates herein provided shall
be construed as hiring rates applying to common labor. Other classes
of labor shall be compensatel at rates above such minimum. Miii-
mum wages in effect on July 1, 1933, which were above the minimum
specified shall in no case be reduced.
SECTION 2. Cl ri,'al and Office Employ,',rs.-No accounting, cleri-
cal, sales or service employee working on a weekly .il;1-is in any office
shall be paid less than at the rate of Fifteen Dollars ($15.00) per
week; provided, however, that office boys and girls and me.-ellcers
may be paid not less than at the rate of eighty per ceint (80%) of
such minimum, and provided further, that the number of such boys
and girls and messengers so paid in any office shall constitute not
more than five per cent (5%) of the total number of employees in
such office, but each employer shall be entitled to employ at least one
such boy, girl or messenger in any office at not less than such reduced
rate.
(a) Laboratory boys may be paid not less than at the rate of
eighty per cent (80%) of the minimum rate ($15.00) provided in
this Section 2; provided, that the number of such laboratory boys so








paid by any employer shall not exceed five per cent (5%) of the total
number of laboratory employees employed by such employer, and
provided further, that each employer may employ at least one (1)
such laboratory boy at not less than such reduced rate.
SECTION 3. Piecework Comp, ~nm tion-MIinimum Wagcxs.-This
Article IV establishes a minimum rate of pay for any pay period
which shall apply, irrespective of whether an employee is actually
compensated on a time-rate piece.vwork, or other basis.
SI :CTON 4. Female Employees.-Female employees performing
sitbtantially the same work as male employees shall receive the same
rate of pay as male employees, and when they displace male em-
ployees, they Ij.il!l receive the same rate of pay as the men they dis-
place. The Code Authority shall, within ninety (90) days after the
effective date of this Code, file with the Board a list of all occupa-
tions in the Industry in which both men and women are employed.
SECTION 5. Wages Above the Minimum.-If equitable diffi.renitinia
in the wage rates above the minimum have not been made since July
1, 1933, or were not in force prior thereto and are not still in force,
there shall then be an equiitable adjtlii: niiLt made within thirty (30)
days from the effective date of this Code. In no event, however,
shall hourly rates of wag,.s be reduced in making such adjustment.
Within sixty (60) days after the effective date of this Code, each
Member of the Industry shall make a report of such adjustmint
whether made prior to or siib- rquent to date of approval of this
Code, to the Code Authority.
Si: TIIN 6. Handicapped Person,.---A person whose earning capac-
ity is limited because of age, physical or mental handicap, or other
infirmity, may 'be employed on light work at a wage below the mini-
mum established by this Code, if the employer obtains from the
State Authority designated by the United States Department of
Labor, a certificate authorizing such person's employment at such
wages and for such hours as shall be stated in the certificate. Such
Authority shall be guided by the instructions of the United States
Department of Labor in issuing certificates to such person-. Each
employer shall file monthly with the Code Authority a list of all
such persons employed by him, showing the wages paid to, and the
maximum hours of work for such employees.
Si.:'"rinxT 7. Payment of Wages.-Each employer shall make pay-
ment of all w;i,,2(. in lawful curren,'y, or by negotiable check there-
for payable on demand. These wages shall be exomlpt from any de-
ductions other than those exprc--ly authorized by an employee or
required by law. Pay periods for wages shall be at no greater
interval than every semimonth and salaries at no greater interval
than every month.
Si:~'Oh ON 8. Aj',,,pr/ Ili..-.-Employment of apprentices at rates of
compensation below the minimum provided lihr.in shall be permitted
where they are apprenticed to an (employer by an idlentulre under
any apprentice system established and maintained by such emlnployer;
provided, such indenture agreements are filed wi th the Code Au-
thority. Employers shall not be allowed to employ appi-entices in
number .x,\rrliitg five per cent (5%r) of the total number of -killed
craft-iiiii of their special cl;!-, except that each employer shall be
entitled to employ at lea-t one (1) such employee. In no case shall








an apprentice be paid less than the minimum wag; ,- provided in
Section 1 of Article IV in States which do not have laws governing
apprentices.
A TICEI.E V-G(I:NI u:i L.%rn j: PRovisioNS

SECTION 1. Child Labor.-No person under eighteen (18) years of
age shall be employed except in clerical, office, sales, service, technical
and engineering department office duties, and no person under sixteen
(16) years of age shall be employed in any capacity. 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 duly -igied
by the authority of such State empowered to issue employment or age
certificates or permits, showing that the employee is of the required
age.
SECTION 2. Prov'sions from the Act.-Employees shall have the
right to organize and bargain collectively through represent atives 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.
(a) 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.
(b) Employers shall comply with the maximum hours of labor,
minimum rates of pay, and other conditions of employment, approved
or prescribed by the President.
SECTION 3. Reclassification of Employees.-No employer shall re-
classify employees or duties of occupations performed, or engage in
any other .subterfuge for the purpose of defeating the purposes or
provisions of the Act or of this Code.
SECTION 4. Standards for Safety and Health.-Every employer
shall provide for the safety and health of employees during the hours
and at the places of their employment. Standards for safety and
health shall be submitted by the Code Authority to the Board within
three (3) months after the effective date of this Code.
SECTION 5. State Laws.-No provision in this Code shall super-
sede any State or Federal law which imports on employers more
stringent requirements as to age of employees, wages, hours of work,
or as to safety, health, sanitary, or general working conditions, or
insurance, or fire protection than are imposed by this Code.
SECTIIIN 6. Pi.stf'in.-All employers shall post and keep posted
copies of.this Code in conspicuous places accessible to all employees.
Every Member of Industry shall comply with all rules and regula-
tions relative to the posting of provisions of Codes of Fair Competi-
tion which may from time to time be pre--eribed by the Board.
SECTION 7. Dismissal for Complaint.-No employer shall dismiss
or demote any employee for making a complaint or giving evidence
with respect to an alleged violation of the provisions of any Code.
SECTION 8. Con many Touws and Stores.-Employees other than
maintenance or supervisory employees, or those necessary to protect
property, shall not be required, as a condition of employment, to








live in houses rented from or specified by the employer. No em-
ployee shall be required, as a condition of employment, to trade at
a store owned or specified by the employer.

ARTICLE VI-ORlGANIZA\TION, POWERS AND DUTIES OF THE CODE
AUTHORITY

O( ;.ANIZATION AND CONSTITUTION

SECTION 1. A Code Authority to administer the provisions of this
Code is hereby constituted and shall consist of six (6) voting mem-
bers. Five (5) of such voting members shall be s-elected from and by
the members of the Executive Committee of the American Zinc
Institute, Inc., and one (1) of such voting members shall be elected
by the Members of Industry who are not members of the Americ:ani
Zinc Institute, Inc. The Secretary of the American Zinc Institute,
Inc., shall be the Secretary and a non-voting mineiber of the Code
Authority. The election of all members of the Code Authority
shall be by a fair and equitable method of selection to be approved
by the Board. In the event that the selection of the non-member
of the American Zinc Institute, Inc., is not made within thirty (30)
days after the effective date of this Code, such member may be
selected by the Board.
SECTION 2. In addition to the above membership, there nmay be
not more than three (3) members, without vote and without compen-
sation by the Industry, to be appointed by the Board to serve for
such terms as it may specify.
SECTION 3. Each trade or industrial a s.iciation directly or indi-
rectly partiilp1!tin i in the selection or activities of the Code Au-
thority shall, (1) impose no inequitable rentrictions on membership,
and (2) submit to the Board true copies of its articles of association,
by-laws, rules and regulations, and any amendments when made
thereto, togethet-r with such other information as to membership,
organization and activities as the Board may deem necessary to
effttuate the purposes of the Act.
SECTION 4. In order that the Code Authority shall at all times be
truly representative of the Industry and in other res(ccts comply
with the provisions of the Act, the Board may prescribe such hear-
inglr as it may deem proper; and thereafter, if it shall find that
the Code Authority is not truly representative or does not in other
ri'-pects comply with the provisions of the Act, may require an
appropriate modification in the method of '-election of the Code
Authority.
SECTION 5: Nothing contained in this Code shall con-titute the
members of the Code Authority partners for any purpose. Nor
shall any iiriniber of the Code Authority be liable in any manner to
anyone for any act of any other imeiic er, officer, aent or employee
of the Code Authority. Nor shall any member of the Code Author-
ity, ex'irci-ingL reasonable diliLrlgnce in the conduct of his duties here-
under, be liable to anyone for any action or ojnii.-ion to act under
this Code, except for his own wilful malfeasance or nniiifea.ance.








POWERS AND )DUTIES

SECTION 6. Subject to such rules and regulations as may be issu.~,ed
by the Board and to the extent permitted by the Act, the Code
Authority shall have the following further powers and lduties:
(a) To make investigations as to the functioning and obtervanice
of any provisions of this Code at its own instance or upon complaint
of any person affected, and to report thereon to the Board.
(b) To insure the execution of the provisions of this Code and pro-
vide for the compliance of the Inidustry with the provisions of the
Act.
(c) To adopt by-laws and rules and regulations for its procedure
and for the administration of this Code. The Code Authority shall
promptly furnish to the Board true copies of the by-laws, rules and
regulations adopted pursuant to this paragraph.
(d) To obtain from Members of Industry, through a confidential
agency, such statistical information and reports as are required for
the administration of this Code and to provide for submission by
Members of Industry of such statistical information and reports as
the Board may deem necessary for the purposes recited in Section
3 (a) of the Act, which information and reports shall be submitted
by Members of Industry to such governmental agencies as the Board
may designate; provided, that nothing in this Code shall relieve any
Member of Industry of any existing obligations to furnish reports
to any government agency. No individual reports submitted to the
Board and/or such government agencies as the Board may designate,
shall be disclosed to any other Member of Industry or any other
party except to such government agencies as may be directed by the
Board.
(e) 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 as-ociations and agencies shall at all times be subject to and
comply with the provisions hereof.
(f) To make recommendations to the Board for the coordination
of the administration of this Code and such other Codes, if any, as
may be related to or affect Members of Industry.
(g) To recommend to the Board the creation of additional Divi-
sions of the Industry and to call meetings of any Division of the
Industry to consider and recommend to the Code Authority (1) fair
competitive trade practice provisions to govern members of such
Division in their relation to each other or with other Divisions
of the Industry and (2) control of production through voluntary
agreement or otherwise; and to recommend to the Board such
measures as have been considered covering such practices and con-
trol of production including stabilization of employment and con-
servation of natural resources, such rIeconmendations to be subject
to approval of the Board after such notice and hearing as it may
prescribe.
(h) To engage the services of a certified, registered, chartered or
other lawful practitioner of public accounting to inspect the books
and records of any Member of Industry who is alleged to have vio-








lated this Code. In case such an inspection is ordered, such Member
of Industry shall open his books and records to inspection by such
certified, registered, chartered or other lawful practitioner of public
accounting as to all matters which may be pertinent to the allegation,
upon the express condition that such inspection be made only by
such certified, regi-tered, chartered or other lawful practitioner of
public accounting.
(i) In case such inspection indicates a violation of this Code
has not been committed the certified, registered, chartered or other
lawful practitioner of public accounting shall report that fact to
the Code Authority without further details.
(j) In case such inspection indicates a violation of this Code
has been committed the certified, registered, chartered or other
lawful pratititioner of public accounting shall make a full report
of such violation only to the Code Authority and to the Board.
SECTION 7. It being found necessary in order to support the admin-
istration of this Codl and to maintain the sta-ndards of fair com-
petition 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 lurpo-es of this 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 expense- for the foregoing pur-
poses, and (2) an equitabdle basis upon which the funds necef-ary
to support such budget shall be contributed by Memibers of 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 Industry, and to that end, if
necessary, to institute legal proceedings therefore in its own name.
Sr-TIiuN 8. Each Member of Industry shall pay his or its equitable
contribution to the expenses of the maintenance of the Code Author-
ity, determined as hereinabove provided, and subject to rules and
regulations pertaining thereto issued by the Board. Only Members
of Industry complying with the Code and contributing to the ex-
penses of its administration as hereinabove provided (unlresi duly
exempted from making such contributions) shall be entitled to
participate in the --ie.tion of members of the Code Authlority or to
receive the b:enfit- of any of its voluntary activities or to make use
of any emblem or in-ignin of the National Recovery Administration.
f.(E"IrsN 9. The Code Authority shall neither incur nor pay any
obligation substantially in excess of the amount thereof as ('tillated
in its approved budget, and shall in no event exceed the total amount
contained in the approved budget. except upon appriv\:il of the
Board, and no sll c,.-cqlent budget shall contain any deficiency it.ll
for expe.liitlure' in exces, of prior budget <-tiiiate except those
which the Board shall have so approved.
SI:-iION 10. If the Board shall d'fterlmiine that any ;itioin of the
Code Authority or any :igrNicy thereof m;iy be unfair or unji-t or
rcontrary to the public iitertt. the Board may require that .iicl







action be suspl.ended to afford an opportunity for inve4tingation of
the merits of iuch action and fiirtlh'r con,ii, ,l:'ation by ,l'lh Code
Authority or agency pending final action which shall not be ,iT,'rtive
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.
ARTICLE VII-REPORTS

SECTION 1. In addition to such other reports as may be required
from time to time under the provisions of Section 6, Subsection (d)
of Article VI, Members of Industry shall furnish the following re-
ports to the Secretary for compilation and reissuance in such manner
as not to disclose separately any confidential information furnished
by any Member of Industry.
(a) For the Zinc Mining Division, monthly reports covering pro-
duction, shipments, and stocks of zinc ores and/or cnincentrates at
mines and/or concentrating mills.
(b) For members of the Prime Western Smelting Division en-
gaged in the production or sale of Prime Western, Selected, Bra,
Special, and/or Intermediate grades of slab zinc other than Special
Intermediate zinc, except Members of Industry whose entire pro-
duction of such grades of slab zinc is consumed in their own
departments or by subsidiary, parent or affiliated coi'erns and no
part of which is sold on the market as slab zinc or any of such
grades.
(c) Monthly reports showing total production from any source,
of slab zinc of Prime Western, Selected, Brass Special, and/or Inter-
mediate grades other than Special Intermediate zinc, shipments to
buyers, and stocks of slab zinc of such grades wherever located, in-
cluding stocks at smelters regardless of ownership.
(d) Monthly reports showing receipts, consumption, and stocks of
zinc ores and concentrates and other zinc-bearing materials for
,smelting pilrposc.-s, regardless of owner-hip. including material in
transit to plants.
(e) Weekly reports of sales and pric,.s of slab zinc of Prime
We-tern, Selected, Brass Slpecial, and/or Intermediate grades other
than Special Intermediate zinc, including sales and/or tr;il -ftrs to
affiliated rolling mills or other plants for coiiliuniption, and sales of
zinc in slab form by such affiliated plants.
SrcTIux 2. Any failure to file with the Code Authority, or the
Secretary, any report, s-chedule, contract, or other information re-
quired pursuant, to the provisions of this Code, or the filing know-
ingly of any false information, shall be deemed unfair competition
and shall constitute a violation of this Code.

ARTICLE VIII-ExProT TRADE

No provision of this Code relating to prices or terms of selling,
shipping or marketing, shall apply to export trade or sales or ship-
ments for export trade. Export Trade shall be as defined in the
Export Trade Act adopted April 10, 1918.








ARTICLE IX-APPLICATION OF CODE TO OPERATIONS WHEREIN OTHER
METALS ARE PRODUCED

SECTION 1. If any Member of Industry is also a member of any
other Industry, provisions of this Code shall appy only to that por-
tion of its business which is a part of the Zinc Industry.
SI:-('IN 2. Where there is any question as to whether zinc is the
major production from the operations which do or which might
produce zinc, lead, copper, gold, silver or other materials, then in
any and every such event the question as to which Code of Fair
Competition shall gov\'rn such operations of any such MenIlber of
Industry shall be referred to a Coordination Committee. This Co-
ordination Committee shall be composed of two members to be ap-
pointed by each of the Code Authorities for such Industries as may
be involved in each particular question. In the event such Com-
mittee is unable to reach a majority conclusion, then either the
Committee shall elect an additional impartial member or upon their
failure so to agree on such additional impartial member, the Board
then may appoint such additional impartial committee member.
Any 1ih'ifler of Industry, the operations of which may raise such a
question, shall file a statement of fact with the Code Authority for
its Industry, and such stat(.emn lt shall contain a statement of its
preference as to the Code it would prefer to have such operations
be governed by, and such pref-'r Ice shall be granted unless such Co-
ordination Committee shall find that the granting thereof would be
unfair in view of the rights of others or that it would have a tend-
ency contrary to the effectuation of the policies of the Act; pro-
vided, that the operations of any Member in the same State and/or
locality producing and/or milling, or smelting, or refiinlg, or treat-
ing zinc-bearing materials, and materials bearing copper, lead,
and/or other mineral products, except coal, shall be goverioed by the
provisions relating to hours, wages and labor conditions contained
in the Code for the Industry covering the major portion of such op-
erations, which major portion shall be the branch of the operations
<(.ia;;ting the larger number of employees. Any action taken by the
Coordination Committee under any of the provisions of this Article
IX shall be subject to the approval of the Board.
SECTION 3. Within ten (10) days after the effective date of this
Code, any Member of Industry may file such a statement of fact
and preference as to lwiingt governed by any of such other Codes
which may at that time be in effect. Thereafter, upon any such
other Code becoming effective, such stati.ii-n'nt may then be filed; pro-
vided, however, that until any such statement is filed and decision is
made thereon by such Coordination Committee, suchl operation of
such Member of this Industry shall be governed by the provisions
of this Code.
SECTION 4. From time to time thereafter if conditions change.
AMemblers of this Industry shall be entitled to file such ,tateniient- of
fact and preference as to hi:cli2 e of a portion of their ope-ratinIns
from the jurisdiction of one C ode to the juri-diction of another,
and in such event they shall be handled in the sa;ue manner as
provided for above.






51

SECTION 5. The foregoing Sections 1 to 4 inclusive of this Article
IX, shall not be effective until Codes of Fair Competition for the
Copper and Lead Industries, containing an Article -ub-tantially
the same as this Article have been approved and are in effect, and
certified copies of such approved Codes have been filed with the Code
Authority for this Industry.

ARTICLE X-- MDIFICATION

SECTION 1. This Code and all the provisions thereof are expressly
made subject to the right of the President, in accordance with the
provisions of Subsection (b) of Section 10 of the Act, from time to
time to cancel or modify any order, approval, license, rule or
regulation issued under this Act.
SECTION 2. An amendment may be proposed by any interested
party either to the Code Authority or directly by or to the Board.
All proposed amendments shall be referred to the Code Authority,
who shall give Members of Industry an opportunity to be heard
thereon, and thereafter the Code Authority may make such recom-
mendations thereon as are deemed proper; provided, however, that
when approved by the Board as necessary to effectuate the policies
of the Act, after such notice and hearing as it may prescribe, any
proposed amendment shall thereupon become effective as a part of
this Code.
ARTICLE XI-MONOPOLIES

No provision of this Code shall be so applied as to promote monop-
olies or monopolistic practices, or to eliminate, oppress, or discrimi-
nate against small enterprises.

ARTICLE XII-TERMINATION

This Code and all supplementary provisions thereto shall expire
on June 16, 1935, or on the earliest date prior thereto on which the
President shall by proclamation, or the Congress shall by joint
resolution, declare that the emergency recognized by Title I of the
Act has ended.
ARTICLE XIII-EFFECTIE DATE

This Code shall become effective the second Monday after its
approval by the President.
ARTICLE XIV--CONSENT TO MODIFICATION

By presenting this Code, those assenting hereto do not thereby
consent to any modification thereof.
Approved Code No. 555.
Registry No. 1224-1-01.




UNIVERSITY OF FLORIDA
3lll 1 11111262 08582 8670Ill1WIID I I III IH IIDII
3 1262 08582 8670




Full Text

PAGE 1

Approved Code No. 555 Registry No. 1224-1-01 NATIONAL RECOVERY ADMINISTRATION CODE OF FAIR COMPETITION FOR THE ZINC INDUSTRY AS APPROVED ON MARCH 26, 1935 WE DO OUR PART UNITED STATES GOVERNMENT PRINTING OFFICE WASHING TON : 1935 For sale by the Superintendent of Documents, Washington, D. C. • ----Price 5 rents

PAGE 2

This publication is for sale by the Superintendent of Documents, Government Printing Office, Washington, D. C., and by the following N. R. A. offices: Atlanta, Ga.: 625 Citizens & Southern National Bank Building. Baltimore, Mc.1. : 130 Customhouse. Birmingham, Ala.: 201 Liberty National Life Building. Boston, Mass.: Room 1200, 80 Federal Street. Buffalo, N. Y. : 219 White Building. Chicago, Ill.: Room 204, 400 North Michigan Avenue. Cleveland, Ohio. : 520 Bulkley Building. D allas, Tex. : 1212 Republic Bank Building. Detroit, Mich.: 415 New Federa l Building. H o uston , Tex. : 403 Milam Building. Jac ksonville, Fla.: 425 United States Courthouse and Post Office Building. Los Angeles, Calif. : 751 Figueroa Street, South. Louisville , Ky. : 408 Fede r a l Building. Minneapolis, Minn. : 900 Roanoke Building. Nashville, Tenn.: 415 Cotton States Building. Newark, N. J.: 434 Industrial Office Building, 1060 Broad Street. New Orleans, La.: 214 Customhouse. New York, N. Y.: 45 Broadway. Oklahoma City, Okla. : 42'7 Commerce Exchange Building. Philadelphia, Pa. : 9 , 33 Commercia l Trust Building. Pittsburgh, Pa.: 401 Law and Finance Building. Portland, Oreg. : 407 Park Building. Providence, R. I.: National Exchange Bank Building, 17 Exchange Street. St. Louis, Mo.: Suite 1220, 506 Olive Street. San Francisco, Calif.: Rumbolt Bank Building, 785 Market Street. Seattle, Wash.: 1730 Exchange Building.

PAGE 3

Approved Code No. 555 CODE OF FAIR COMPETITION FOR THE ZINC INDUSTRY As Approved on March 26, 1935 ORDER APPROVING CODE OF FAIR COMPETITION FOR THE ZINC INDUSTRY 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 Zinc 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 b ehalf of the President of the United States, the National Industrial Recovery Board, pur uant to authority vested in it by Executive Orders of the President, including Executive Order No. 6859, and otherwise, does hereby incorporate by reference said annexed report and does find that aid Code c om plies in all respects with the pertinent provis ions and will promote the policy and purposes of said Title of said A ct; and do es h e r e by order that s aid Code of Fair Competition be and it is hereby ap proved, subject, however, to the following conditions: ( 1) The provisions of Article III, S e ction 1, and provis ions related thereto, insofar as they permit of averaging, shall remain in force and effect for a period of sixty ( 60) days b eginning with the effective date of this Code. At the expiration of said s i xty ( 6 0) day period the afore said averaging provis ion s shall b e automatically stayed and the Code amended by a sub sequent Orde r to eliminate the said averaging provis ions, or the said averaging provis ions shall be supers eded by appropriate provis ions submitted by the Code Authority which shall conform to established Administration policy, unless good cau s e is shown by the Code Authority before the termination of said period for a continuation of the aforesaid averaging provisions in their present form, or with modifi c ations the r e of. (2) The impartial investigator referred to in Subparagraph (a) of Section 1 of Article III shall review conditions in the Missis sippi Valley, Southern, and Southwestern Districts of the Mining Division of the Industry for the purpose of reporting to the Board within ninety (90) days from the effective date of this Code, the 124362-1603-116-35 (29)

PAGE 4

30 amount of adjustment of Code wages (not in excess of recommenda tions of the Labor Advisory Board-thirty-five cents (35) per hour above ground and forty cents ( 4 0) per hour underground) possible in said Distri cts in order to effectuate the policies of Title I of the Act; and that the Board after r eviewing said report and consulting with all interests concerned, may modify the minimum Code wage provisions for said Districts of said Mining Divis ion, as it may deem necessary upon the basis of said report. NATION AL INDUSTRIAL RECOVERY BOARD, By W. A. HARRIMAN, Administrative Offic er . Approval recommended: w. P. ELLIS, Division Administrator. WASHINGTON, D. c., March 26, 19 35 .

PAGE 5

REPORT TO THE PRE IDE T The PRESIDE T The White Ho use, Srn: The original Code for the Zin c Industry was submitted on October 10, 1933 , by the merican Zinc In titute, Incorporated organized in 1918, representing over 95% of the known members of Industry and 95% of volume of production. Several revisions of the Code were made prior to the public hearing which was held on December 8, 1933. This Code wa revi ed during the recess of this hearing and was submitted in its present form for approval. Every per on who requested an appearance was properly heard in accord ance with statutory and r egulatory requirement . The Zinc Industry includes the mining concentrating and smelting of zinc bearing ores and materials, and the primary steps in the fabrication into metallic zinc products and zinc pigments and the original sale of industry products. Although zinc is one of the mo t widely applied and useful of the base metals its development as an indu trial material i s of comparatively recent origin in the United States, and while known to the ancients for centuries it wa not until about 1 00 that the melting of zinc was successfully started in Europe and it was not until 1860 that it was produced commercially in the United States to the extent of about 800 short tons. From thi humble beginning the Indu try rea ched peak of 670 000 and 625,000 short tons re pec tively in 1917 and 1929. The fir t mining of zinc ore wa carried out in the Ea tern States, and even today ew Jersey ew York, Virginia and T enne ee are important producer . In the mining of l ead ore in the upper i1i i ippi Valley in Wisco n sin and Illinois the occurrence of zinc ores wa found in the same depo it and lead to the development of a zinc smelting indu try in the proxin1ity of the Illinois and Indiana coa l field . Sub. e quently the exten iv e zinc depo it of J oplin or the Tri-State region located in the adjoining corner of l\1i ouri, Kan a and Oklahoma, were di co-vered . Production from this region developed rapidly and for a con iderab le tin1e after 1905 produced approximately 50% of the zinc in the nited State . During the World War exten i ve depo its were di cove r ed in the we tern ection of this region with the r e ult that Oklahoma ha recently become the leading zinc producing tate. The ores in this Tri-State region, u ually occurring at depths of 150 to 350 feet, are a combination of zinc, and lead ulphide , and are known as pahlerites" ' Blende" or ' Galena" and yield about six part of zinc to one part of lead; the combined metal contents of the ore being about 5% of the ores mined. The e ores, after being mined, are cru hed and ground preliminary to sepa-( 31)

PAGE 6

32 ration of the metallic values from the gangue and the selective sepa ration of the zinc and lead values by flotation. The zinc concentrates so produced contain about 60% metallic zinc. Due to metallurgical losses incidental to melting and refining, about two tons of concentrates are required to produce one ton of slab zinc. These concentrates are either shipped to smelters located East of the Missi sippi River in the proximity of coal fields1 or to Oklahoma, Arkansas, Kansas and Texas in the proximity ot natural gas fields. Zinc ores in the We tern Mountain States occur in vein and replacement deposits, usually at greater depths than in the Tri-State area and are mined at greater costs than in the Tri-State region. Large reserves of zinc have long been known to be present in the so-called "complex" ores of many mining districts, but until the past decade no practical means of recovering the zinc had been developed. These complex ore consist of an intimate combination of zinc, lead and iron sulphides and in some cases zinc, copper and iron sulphides, and also containing small but valuable quantities of silver and gold. The zinc is not sufficiently high to permit these ores to be treated
PAGE 7

33 iron, copper and l ead, zinc i produced by di tillation and ub equent conden ation of the metallic apor or by di olvinothe zinc values in sulphuric acid and then rec' ering the zinc Yalu from the olu tion, or electrolyte, by electrolysis. In the di tillation pro" , of which there are about twenty plants in the United States, the ore, or concentrate, is first roa ted to burn off the sulphur (the sulphur-.. ous ga es being utilized in the making of sulphuric acid) and to convert the zinc into the form of zinc oxide. The roa ted product is then mixed with finely divided coal and is charged into small cylindrical refractory retort which are arranged in horizontal tiers in a furnace which was fired either by natural gas or producer gas. By those metallurgical operations the zinc oxide is reduced to metal lic zinc at a temperature higher than its boiling point; the zinc passes off in the form of vapor to a condenser where it is condensed to liquid form and is then drawn off periodically and cast into slabs weighing about fifty pounds each. Although the retort furnaces use a process several centuries old and the process is often looked upon as being obsolete, nevertheless the recoveries are often as high as at electrolytic plants. There is, however, a tendency in the United States towards the lessening of hand labor and hand conveying and re ort to mechanical handling and gravity feed into vertical retorts. Much time and effort has been spent in the design of furnaces for the smelting of zinc by a continuous distillation proce s. About 1915 the electrolytic process of producing metallic zinc was developed in Montana; subsequently as additional quantities of zinc concen trates were made available by selective flotation electrolytic plant capacities were increased and the vVestern Mountain States' pro duction of slab zinc rose :from an inconsequential position to one of the major zinc producing centers. In 1929 the ,v estern States pro duced 33 % of the total zinc output of the country, a compared with 43% for the Tri-State District, and 24% for the states ea t of the Missi sippi River. The electrolytic process is particularly adaptable where cheap power, usually hydroelectric power, is available and where there is a scarcity of coal or gas fuel. The price for electric power mu t be under .004 per kwt. hour to compete with retort furnaces . In this process the zinc content of the roa ted ore is "leached" with dilute sulphuric acid. The zinc-bearing solution is then filtered and purified and the zinc value i s re covered from the solution by electrolysis. The metallic zinc is depo ited on the cath odes from which it is stripped at regular intervals and then melted an i cast into lab . The zinc produced by this proce s i extremely high grade, the most recent development being the regular zinc production containing less than 1 / 100 of 1 per cent impurities. ot all of the zinc ore mined in the United States is used in the production of slab zinc-about one-sixth of it is u ed directly in the manufacture of certain zinc compounds, namely zinc oxide, lithopone and various zinc salts . Zinc oxide is u ually produced by heating oxidized ores or concentrates with coal on an iron grate through which air is blown from underneath. The zinc is thus reduced to the metallic state and rises as a vapor which i immed iately oxidized, forming a den e white fume which is subsequently filtered for the production of zinc oxide. This process of production is known as the American process. Zinc oxide of exceptional purity is also pro duced by the French process which consists in the vaporization of

PAGE 8

34 high grade metallic zinc and the subsequent oxidation of the zinc vapors to form zinc oxide. Lithopone is an intimate mixture of zinc sulphide and barium sulphate, produced by chemical precipitation, followed by subsequent proc essing and finds use as a pigment. The principal by-product of zinc smelting and oxide manufacture is sulphuric acid, obtained from the sulphur gases produced in roasting zinc concentrates. In the e lectrolytic plants a part of this acid is used in leaching the roasted ore to produce the zinc electrolyte. Large quantities of acid are also used in converting natural phosphate rock into soluble superphosphate for use as an agricultural fertilizer. Sulphuric acid is also sold to chemical and oil refining industries. Metallic by-products from zinc smelting include lead, silver, gold, copper and cadmium. The largest single u se for metallic zinc is in the galvanizing industry. Of the 629,000 tons of metallic zinc produced in 1929 290,000 was us ed in the galvanizing industry. The next outstanding use for zinc is in the manufacture of brass. In 1929 180,000 tons were used in the manufacture of brass. Rolled zinc, die castings and other purposes consumed the balance in almost equal quantities. The position of the secondary zinc industry occupies a role with respect to the Zinc Industry quite different than that of the secondary metals in the copper and lead industries. Inasmuch as a major portion of metallic zinc is used in the galvanizing industry that tonnage is not recoverable. By the same token another large tonnage is used in the production of paints and even in the refining of metals such as brass. Much of the contained zinc is lost through being burned out and is not recoverable. The secondary production of zinc is, therefore, well under 20% of the average domestic mine production. The history of the Zinc Industry is one of constant shift and change to position and status, governed by either the d emands of progress or of consuming industry, the location of new deposits and the de ve lopment of new processes of recovery. Eastern production yielded to the cheap production of oxide deposits of the Mississippi Valley and the Tri-State area. These latte r two areas, especially the TriState area had to yield to the recovery by flotation of zinc values from the Western Mountain States, as also the discovery of the electrolytic method of zinc recovery. The Tri-State area is in a further peculiar position due to the fact that the recovery of ores from this particular area requires a minimum of mechanization , with the result that it has been made possible for many people with small capital to become zinc producers. The majority of these producers operate on lands lea sed from the Indians through the Department of Interior. The requisites of the lease are such that these producers must operate almost continuously in order to retain their leases. This condition of almost enforced operation means that many of these producers in their de ire to hold their l ea es have operated at a loss due to the fact that their operations were in non-conformity to the l aw of supply and demand. The royalty on private and Indian lands in the Tri-State district is based on gross value as compared with net value in the Rocky Mountain States. Contracts for. leases of both private and Indian lands provide for the payment of royalty

PAGE 9

35 on the gro s value of the ore rather than the net, so that the o-wner, either private or the government may, and doe , often receive very ubstantial cash royalties while the lessee lo es money. It may be nece ary for the government to give consideration to the qu estion of modifying the requirements of contracts on leases of Indian land . Although the strategic position of the Zinc Industry with refer ence to the position of the secondary metal is in far better status than some of the other ba e metals, thi in a mea s ure, however, may be offset by some other factors, and due consideration should be given to a system of control or allocation of production a s provided for in the Code and each such allocation of production must be considered in the light of local conditions. The large potential producers of Colorado "ho have been closed down since 193 and 1931 might wish to reop en . Production in Idaho, l\1ontana, Utah and Nevada ha s been greatly curtailed and the Tri-State area has also been on a curtailed basis. Greater curtailment must be n ecessary during 1934 in order to reduce the excess stocks. Statistics furnis hed by the American Zinc Institute indicate, ho,, ever, that on D ecember 31, 19 33 stocks on hand amounted to 105 ,u60 tons, and that on November 30, 1934 there were 116 ,076 tons on hand, or an increa e of 10 996 tons for the eleven-month period. Some mines mus t continue to operate in spite of themselves. The Pecos mine in .r ew Mexico cannot be closed if it i s ever to be reopened again. Other zinc mines would suffer much damage in being forced to clo e permanently. In the ~1eantime the zinc mines of the Eastern States have de c r ea eel production only slightly in 1930 and 1932 and have an increa sed output in 1931 over 1932. During the las t six months of 1933 the production from the Quapaw Indian land in Oklahoma under the supervision of the Department of Interior yielded 20 % of the value of l ea d and 18% in the Tri-State district zinc output. In the years 1926 to 1933 Indian lands have produced as high as 32% of the total value of the zinc concentrates and in another year as high as 42% of the total value of the lead concentrates from the Tri-State District. Throughout the long history of mining in the United States it is axiomatic that an operating mine or district i s one making op erating expenses, and failure to make expenses m eans closing do\\'n. Reservations to this axiom are that the operating mine or distric t has made money in the past and is now spending its surplus; or has ore bodie s which it hopes to develop into a profit making mine. The mine production o f recoverable zinc by districts and regions from 1923 to 193 3 indicates that the production of 1933 cou l d easily have been made by the combined activities of the Eastern and the Tri-Stat e district ; or by the Eastern States and the Rocky :Moun tain Far-,Ve tern States combined, or that either combination could equal and doubtless exceed the production of 1 925 and 1 926 of 520 : 000 tons. l(now ledge of the ore bodies existing in the zinc districts of the nited States confirms the above deductions. Oklahoma alone can be said to be the key to the picture; equally reason able deductions would place the key in the Rocky :Mountain States ,Yhere the situation is complicated by zinc production supplemented by the production of lead , il-,er and gold from comp lex ore bodies. The comp lex ore bodies are suc h a to compel mining and milling of 124362-1603-117-35-2

PAGE 10

36 the sulphide minerals of the four metals in one operation and to prevent segregated mining of only one mineral. The mine production of recoverable zinc in the United States has declined from 775,000 short tons in 1926 to 285,000 tons in 19 3 2, or from 44% of the world production of 21%. In the same period world production declined from 1,768,000 short tons to 1,074,000 tons but the corresponding percentage of production of other countries of the world s howed an increase fron1 56% to 73% . The major decline in world output o ccurred in the United States. The s t ocks of lab zinc at smelters in years past have been steady at an average of 26 000 to 30,000 short tons at the end of normal years, but reached 6 000 tons at the end of 1929 and 167 , 000 tons at the end of 1 930 . It dropped to 1 44,00 0 tons at the end of 1931, and to 12 000 ton at the end of 19 32, and to 106 ,000 tons at the end of 1~33. To reduce stocks at the end of 1934 to 30,000 tons and a suming an e:s.port of about 3,000 tons and a consumption of slab zinc of 353,000 tons, would mean that slab zinc production should be re duced to 257,000 tons or l ess than the 1931 and 1933 output. . In other words even if consumption increa ed in 1934 over 1933 there will have to be a curtailment of production to a quantity le ss than 1931 and if con umption does not increase the curtailm0nt will have to be even greater. The tariff of 1 922 carried a duty of 1 per pound of zinc on ores containing over 25% zinc and 1 per pound on zinc in blocks, pigs or slabs, and 2 per pound on zinc in sheet and duties ranging from of one cen t to 2 per pound on zinc chemicals and zinc pigments, and protects the United States' Zinc Industry from the h eavy imports of ore from :Mexico and Canada. The heavy decr e ase of imported ores for Sl}:!elting under bond and the decrea e in the exports of dome tic slab zin c as well as the export of that made from foreio n ores means t o separate and distinct lo se in ource of revenue to the cu tom smelter with a corre ponding reduction in capacity and need for l abor . ARTICLE I. S ~ ate the purpo e of the Code . ARTICLE II. Accurately defines pecific term applicable to the Zinc Indu. try a . u d in this Code. ARTICLE III. The maximum hours are limite d to 40 hour per week aYeragecl oYer three month periods uch period to be the regu lar quarterly periods of each year, an l eight hour in any 24 hour period except a otherwise provide l for. Provis i on i s made that employer hall report to the Code uthority at the end of ach quarter uch detailed information a may be required by it or by the .... lmini trator indicating how the a,eraging proYi ion ha been appli L The Administrator, a hi di cretion may a1 point an impartial inve tigator to reYi w condition in the In ln tr con rn ing the averaoinoprovi ion . Th eight hour provi i n f r the finjng Divi i n in a h state hall b in accordance with the law f the r-:tate pertaining to the eight hour d . for 1ninino-01 ration . RTI LE I . h e minimum wng for mpl e vary from 30 p r hour to 47 p r hour accor ling to g OO'raphi al an l divi . i nal r quir m n . o p r n in 1 ri a l or offi w rk hall b paid l e than $1. . 0 p r we k xc pt that offi boy an o-irl and m nor and labo ra r} boy ma be pail O o of the establi hed minimum

PAGE 11

37 for office em1 lo ee . The minimum rate f pay for w rk performe l for an pay perio l hall apply ine pectiY of wheth r an mployee i actually comp n a el on a time rat , pi e r other ba i . I rovj . ion i al o made for the employn ent of han li a ppe d per on . Pr i ion i al o made for the adju tment of wage above the min1mum. ARTI LE V. Provide that no employ r hall em1 loy any p r on under 16 y ar of age and tlrnt no per on nn ler 1 year of age shall be ernploye l exc pt in clerical offi e, ale , ervice techni al and engineerin department . Thi rticle al o et forth manrlatory rrovi ion re pecting the right of emplo ee to organize and bar gain collectfrely. It al o ha to do with recla s ification of em ployee tandard for afety and health, the ob en-ance of tate law and the posting of complete copie of thi Code o thaf they are acces ible to employee . ARTICLE VI. E tabli he a Code Authority con i ting of ix vot ing member , fi,e of "hich shall be selected from the member of the Executive Committee of the American Zinc Institute Inc. and one of such votinomember shall be elected by the memb e r of Indu try who are not members of the Zinc In titute, Inc. In addition to the organization of the Code Authority the power and duties are also outlined in this Article. ARTICLE VII. l\Iakes provi ion for the ubmi ion of report 111 addition to those required under Section 3 (a) of the Act. ARTICLE , III. No provi ion of thi Code relating to term o f elling hipping or marketing hall apply to export trade or ales or hipment for export trade. ARTICLE IX. fakes provision for the application of thi Code to operations wherein other metal than zinc are produced. ARTICLE X .. Make provi ion for modification of thi Code either by the Pre ident, in accordance with the provi ion of SubSction (b) of Section 10 of the Act, or with the con ent of Indu try and the approval of the Board, or upon propo al by any intere ted party, or by the Code Authority, or directly by or to the Board. ARTICLE XI. o provi ion of thi Code hall be appli c1 to promote monopolies or monopolistic practices or to eliminate oppre or di -criminate again t mall enterpri e . ARTICLE XII. l\'Iakes provision for the terminat ion of thi Code on June 16 193 or on the ear lie t date prior thereto on which the Pre ident hall, by proclamation or agreement or joint r e lution, declare that the emergency recognized by Title I of the Act has ended. ARTICLE XIII. l\Iake provi ion that the Code hall become effec tive on the econd .1onday after it approval by the Pre ident. ARTICLE XI\ . : lakes proYi ion that by the presentation of this Code tho e a enting thereto do not consent to any modification thereof. The Deputy Aclmini trator in hi final report to u on vaicl Code ha -ving found as herein et forth and on the basis of all the proceedings in this matter: TI' e find that: (a) Said Code i "Well de i ned to promote the policie and purpo es of Title I of the National l'.ndu trial Recovery Act, including removal of ob tructions to the free flow of inter tate and foreign

PAGE 12

38 commerce which tend to diminish the amount thereof and will provide for the general welfare by promoting the organization of Industry for the purpo e of cooperative action among the trade groups, by inducing and maintaining united action of labor and management un ler adequate governmental anctions and supervision, by eliminating unfair competitive practices, by promoting the fullest possible utilization of the present productive capacity of industries, by avoiding undue re triction of production ( except as may be temporarily required), by increasing the consumption of industrial and agricultural products through increasing purchasing power, by reducing and relieving unemployment, by improving tandards of labor, and by otherwi e rehabilitating industry. (b) Said Industry normally employs not more than 50 , 000 em ployee ; and i s not classified by the Board as a major Industry. ( c) The Code as approved complies in all res pects with the pertinent provisions of said Title of said Act, including without limitation Subsection (a) of Section 3, Sub ection (a) of Section 7, and Subsection (b) of Section 10 thereof; and that the applicant association is an indu trial association truly repr sentative of the aforesaid Industry, and that said association imposes no inequitable restrictions on admi ion to membership therein. ( d) The Code is not designed to and will not promote 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 agains t them. (f) Those engaged in other step of the economic process have not been deprived of the right to be heard prior to approval of said Code. For the e rea on , therefore, this Code, ubject to the stays of the specific provi ions as se t forth in the Order of Approval, has been approYed. For the National Industrial Recovery Board : :MARCH 26, 1935. "\V. A. H ARRIMAN' Aclm ,inistrative_ Officer.

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CODE OF FAIR CO !PETITIO FOR THE ZINC INDUSTRY ARTICLE I-Punro 'ES To effect the policie of Title I of the National Indu trial Recovery Act thi Code is e ta blishecl as a Code of Fair Competition for the Zinc Indu try, an l its provision shall be the tandards of fair competition :for uch Industry and be binding upon every memb0r thereof. ARTICLE II-DEFINITIONS ,vherever used in this Code or any upplement appertaining thereto, the terms enumerated in this Article II shall have the meanings herein defined, unless the context shall othenvis e clearly indicate. SECTION 1. The term "President" means the President of the United States of America. SECTION 2. The term "Act" means Title I o:f the .r ationa l Indu -trial Recovery Act. SECTIO:N" 3. The term " Board " means the National Industrial Recovery Board as created by Executive Order #6859 of S e ptemb0r 27, 1934. SECTION 4. The term" Zinc Industry" or" Industry" as used herein includes the mining of zinc ore, and/or the concentrating thereof, and/ or the concentrating of zinc tailings, the production of zinc concentrates, the smelting of zinc ore, and/or zin c concentrate , and/ or secondary zinc-bearing materials, the refining of zinc, and/or secondary zinc-bearing materials, the manufacturing of s l ab zinc, zinc dust, rolled zinc, zinc alloys, zinc oxide, lithopone, zinc su lphide, and ulphuric acid, and the original sale of such products by the .Member of Industry producing or manufacturi1 1g the same, either directly or indirectly through subsidiary, parent, and/or affiliated companies. (a) "Zinc Ore", "Zinc Tailings", and "Zinc Concentrate s " mean, re spec tively, ore and tailings and the concentrates thereof con taining zinc a s the principle commercially recoverable constituent by weight. (b) "Zinc }tfining" means the mining of Zinc Ore, and/or the concentrating of Zinc Ore, and/or Zinc Tailings, and/ or the production by flotation o:f Zinc Concentrates. ( c) "Prime Western Smelting" means the production of Prime ,v estern, Selected, Brass Special, and intermediate grades of lab zinc by any process, excluding the production of plants "TT'hich treat secondary materials only. ( d) " High Grade Zinc " means the production of High Grade Zinc by any process, excluding the production of plants which treat secondary materials only. (39)

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40 ( e) " S econdary Zinc " means the production of slab zinc of all grades by plants which treat secondary materials only, and for the purpose of this Code includes the production of zinc du t and the treatment of zinc ashe . (f) "Rolled Zinc" means the production by rolling, of plate, heet, strip and ribbon zinc. (g) "Zinc Alloy" means an alloy produced by the intentional a ldition to zinc of elements other than cadmium, iron, and lead, and for the purposes of this Code means such an alloy containing more than eighty (80) per cent zinc, produced for sale. (h) "Zinc Oxide" me:;tns the production of both lead-free and leaded grades of zinc oxide, whether produced from metallic zinc, zinc ores, or other zinc compounds. ( i) " Lithopone " means the production of all grades of lithopone, including ordinary lithopone, high strength lithopone, titanated lithopone, and calcium base lithopone, and for the purposes of this Code includes the production of zinc sulphide. (j) "Sulphuric Acid-By-Product" means such sulphuric acid as jg produced as a by-product of the roasting and/ or sintering and further treatment of zinc ore, in the same plants as those in which the roa ting or sintering and further treatment are conducted. "Sulphuric Acid-Brimstone" means such sulphuric acid as is produced from brimstone burned to supplement the production of by-product acid. (k) "Special Intermediate Zinc" means the production, by an~ process, of slab zinc containing ninety-nine and seventy-five one hundredths per cent (99.75%) metallic zinc or more, and which is not within the American Society for Testing :Materials standard for High Grade Zinc, excluding the production of plants which treat secondary materials only. SECTION 5. The term "Member of Industry" includes, but without limitation, any individual, partnership, association, corporation or other form of enterprise enrraged in the Industry, either as an employer or on his or its own behalf. SECTION 6. The term "Em.ployee" mean and include s anyone engaged in the Indu try in any capacity receiving compen ation for his ervice , irre pective of the nature or method of paym nt of such t:ompen ation, except a :Mi ember of Indu try. SECTIO... 7. The term "Employer" means and in lude s anyone by whom any u c h employee is employed or compensated. SECTION 8 . The term "Apprentice" 1nean an emr lo yee who i apprenticed to an employer by an indenture under an a1 prenti e _ 8ystem e tabli heel and 1naintained by uch emp loyer to erve an mployer for a t erm of years at precle.Lermined wag for the peri l f the indenture in or l i er to learn a tra le, art or craft. SECTIO.i: 9. The term 'Executive Committe " m an the Exe nt :v Committee of th American Zinc In titut , Inc., a w York membership corporation. E TION 10. Th t rm 'Se r etary" m an the S retary of the ... merican Zin In titut , Inc. who al o hall be the S er tar of tl e ocle A dthority. E TIO 11. The t rm "Divis i n ' in Incl , re p ctively, the ev eral part. of th In lu try as follow :

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41 (1) Zi nc lining Divi ion (2) Prime 1"\ e tern me lting D ivisio n ( 3) High Grade Zinc Div' ion ( 4) Secondar Z inc Division ( 5 ) Rolle l Z{n Divi ion ( 6) Zin c Alloy Di, i, ion (7) Z inc Oxi le Dfri ion ( ) L ithopon Divi ion (9) ulphuri cid Divi i on (10) pecia l Intermediate Zin c Divi ion and uch other an l further Di, i ion a may hereafter be creat cl pur uant to the pro, i ion of this Code . ECTION 12. 1 here u ed with reference to the Zinc lining Di i ion (Divi ion 1 ) ' E a -tern Di~ tric'"mean the State of ew -York, :New J er ey and P en n yl ania outhern D i trict' rr ean the tate of irginia and Tenne e Ii i ippi "\ alle Di trict mean the tate of Wi con in. Illinoi . 1i ~ouri Kan a ~ , Oklahoma and Ar-kan a T orthwe tern Di trict mean the tate of olorado, tah, evada . ~Iontana Idaho Wa hington Oregon and alifornia outhwe tern Di trict mean the tate of X e w )I :s:ic o an l Arizona. SECTIO~ 13. Wher u eel with reference to the Prim ,Ye t rn Smelting D ivision (Divi ion 2), an l the Sulphuric id Di,i i n (Divi ion 9) Ea tern Di trict mean the State of Penn< ) hania and We t Viro-inia; Iidwe trn Di trictmean the tate. of Inc li ana and Illinoi ; "South we tern Di tric ' mean the tate of Oklahoma, Arkan a and Te:s:a . ARTICLE III-H ens OF LABOR ECTION 1. If aximum , H ours.-No emplo ee hall b e permitte 1 to work in exce of forty (40) hour per week. aYeraged oYer three (3) month period ( uch period to b e the regular quarterl period of each year) or in e:xce of eight ( ) hour in any twenty-four (:24) hour period except a herein otherwi e proYided. EY ry e m ploy er at the end of each quarter hall report to the Code Authoritv, in u ch detail a may be required by it or by the Board the manner in which the a-veraging feature herein prO",id e l has been applied by the employer during said quarter; and a ummar ' of uch reporb shall be tran mitted by the ode uthority to the Board. in u c h detai l a the Board may pre cribe . The Board may at it li retion, appoint an impartial inve tigator to review con lition in the Indu try concerning the a-veraging pro-vi ion herein . Such in,e tigator on completion of hi re,iew hall report to the Boar l and fon,anl a cop of such report to the Code Authority. (a) The eio-ht ( ) hour provi ion for the ~Iinin(Y Dfri ion in each State hall be in accordance T1ith the law of the tat p ertain ing to the eight ( ) hour day for mining operation . Th Board, at its discretion ma appoint an impartial in-,e tigator to re,iew condition in the ilinino-Dfri ion of the Indu try and perifically conc erning the application of the eight ( ) hour provi ion in on :formity with the tate law ~ Such in,e tioator on completion of hi review shall report to the Board and forward a copy of uch r epor t

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42 to the Code Authority. The Code Authority shall study the application of the eight (8) hour provision in the Mining Division of the Indu try relating to its conformity to the State laws, and shall report thereon to the Board not late r than ninety (90) days from the effect i ve date of this Code.1 SECTION 2. Hours for Clerical ancl Office E mployees.-No person employed in clerical or office work shall be permitted to work in exce s of forty ( 40) hours in any one ( 1) week, except that during any one (1) week in a one (1) month period such employee shall be permitted to work a maximum of forty-eight ( 48) hours in any such week, and excep t as herein otherwise provided. A normal work day shall not exceed eight (8) hours. SECTION 3. E xce ptions as to H ours.-The limitation as to hours of labor as specified in Sections 1 and 2 of this Article III, and Section 5 of this Article III, as applied to Subparagraphs (a) and (b) of thi Section 3 hall not apply to the following: (a) To employees engaged in emergency maintenance or emer gency repair work, involving breakdown or protection of life or property; provided, that in such special cases not less than one and one-half (1 ) times the normal wage rate for any employee so employed shall be paid for all hours worked in excess of eight (8) hours per day or forty ( 40) hours per week. (b) To persons engaged in a managerial, executive, supervisory or professional capacity, ( excluding skilled production workers), who receive not less than Thirty-five Dollars ($35.00) per week; and to outside sales or sales service employees. ( c) To hoi stinen, power-house n1en, pumpmen and truckmen; provided the total working hours of such employ ,ees shall not exceed forty-eight (48) hours in any one (1) week. ( d) In the ca e of operations with three (3) shifts in a twentyfour (24) hour period where only in order to chano-e shifts it is necessary for emp loyees to work more than eight (8) hours in one (1) twenty-four (24) hour period, the provisions concerning working in exce s of eight (8) hours in any one (1) twenty-four (24) hour period, shall not apply. ( e ) To clerical help working concurrently with employees de scribed in Section 1 of Article III, and Subparagraph ( cl) of this Section 3, who may be permitted to work not in exces of the num ber of hours which such employees shall work. (f) To watchmen, who may be permitted to work not in exce s of eighty-four (84) hours in any two (2) week period or fifty-six ( 56) hours in any one ( 1) week period; provided, that no uch em ploy e shall be p e ~mitted to work more than six ( 6) days in any sev en (7) day period. (g) To an employee acting in temporary r lie f for a fellow em ployee in continuous processes; provided? that one a3:1d one-half (11/2.) times the normal wage rate shall be paid for all time o worked 111 exc s of one (1) relief shift in any one (1) week of forty ( 40) hours. ECTION 4. Employmen t by ever al E111.,ployers.-o employer hall knowingly permit any rnr lo yee to work for any time which 1 ee paragraphs 2 (1) and 2 (2) of order approving this ode.

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43 when totall d with that already performe d with anoth r mploycr or employer in thi Industry or any other Inclu try o r in an T Trade exceeds the maximum permitted herein. SEcTio 5. Standa1 d TV eek.-o employe shall lJ J rmitt l to work more than ix (6) days in any even (7) day p rio
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44 paid by any employer shall not exceed five per cent ( 5% ) o f t h e t o t a l number of laboratory employees empl oyed by suc h empl oyer, and proYided further, that each empl oye r may employ at l ea s t one (1) uch laboratory boy at not le ss than such reduced rate. SECTION 3 . Piecewo1k 001np ens ation -Jfinimum, 1ages .-This Article IV e s tablishes a minimum rate of pay fo r any pay period 1'"'hic h shall apply, irrespective of whether an empl oyee is actuall y compensated on a time-rate piecework, or other bas i s . SECTION 4. F e m , ale Employees.-Female employees performing substantially the same w _ork as male emp l oyees shall rece i ve the same rate of pay as male employees, and when they displace mal e em ployees, they shall receiye the sa me rate of pay as the men they dis place. The Code Authority shall, within ninety (90) days after the effect ive date of this Code, file with the Board a l i s t of all occupations in the Industry in whjch both men and women are empl oyed . SECTION 5. Wage s Above th e JJJinimum , . -If equitable diff erential s in the wage rates above the minimum have not b ee n made s ince Jul y 1, 1933 , or were not in force prior there to and are not still in force, there shall then b e an equitable adjustment made within thirty (30 )
PAGE 19

an apprenti e b e paid l e e ion 1 of \..rt icl e I in appr ntic . 45 than the mmunum wao-pr vid d in ate which d not have law goYernmg AnTI LE V-GENER.\L LABOR Pnon IO:N' E TIO.l 1. Child L abor.-No person under eio-hteen (18) year f a hall be employed except in clerical, offic , ale , e r vic e te chni cal and engineering department office duties, and no per on un ler i:xt e n (16) y ar of age hall b e em ployed in any capacity. In any tat an mploye r hall be d ee med to have complied with this provi ion as to age if he shall have on file a certificate or permit duly i o-n d by the authority of such State empowered to i ue employment or age certificates or permit howing that the employee is of the r equired age. E TION 2. Provisio ns from, the .Act. -Emplo ees hall have the right to organize and bargain collectively through representatives of their own choosing, and shall be free from the interference , r e traint, o r coercion of employer s of labor, or their agents in the de ignation of such representatives or in self -organization or in other con erted activities for the purpose of collective bargaining or other mutual aid or protection. (a) No employee and no one seeking employment shall be r equired as a condition of emplo} ment to join any company union or to r e frain from joining, organizing, or as i sting a labor organization of his own choosing . (b) Employers shall comply with the maximum hours of labor, minimum rates of pay, and other conditions of employment, approved or prescribed by the President. SECTION 3. Reclassifi cation of Employees. No employer shall re cla sify employ ees or duties of occupation_ s performed, or engage in any other ubterfuge for the purpose of defeating the purpo e or provi ions of the Act or of this Code. SECTIO 4. tandards for Safety and H e alth.-Every employer shall provide for the safety and health of emp lo yees during the hours and at t h e place of their emp loyment. tandards for afety and h ealth shall b e submitted by the Code Authority to the Board within three (3) months after the eff cti ve date of this Code . SE TION 5. State L aics.o provi ion in thi Code hall upersede any State or Federal l aw whic h imposes on employers more stringent requirements as to age of emp lo yee , wage , hours of work, or as to safety, h ealth, sanitary, or general working condition s or insurance , or fire protection than are impo ed by this Code . SECTION 6. Po sting.-A ll empl oyers hall po t and keep po ted copies of. this Code in conspicuous places accessible to all emp lo yee . Every ~fember of Indu try shall comply with all rules and r egula tions relat ive to the posting of prov i ions of Codes of Fair Competition which may from time to time be pre cribed by the Board. SECTION 7. Dismissa l for O omplaint. -o employe r hall dismi s or demote any employee for making a complaint or giving evidence with re pect to an alleged violation of the provi ions of any Code. SEcTro 8 . 001npany Tovms and St01es.-Employee other than maintenance or superv i ory emplo ee , or tho e n ece ary to protect property, shall not be required, as a condition of employment, to

PAGE 20

46 live in hou e rented from or pecified b j t h e empl oyer . o em plo ee shall be require 1, a a condition of emp l oymen t , to trade a t a store owned or pecified by the empl oyer. ARTICLE'\ I -ORaAxrzATION. PowER AKD DuTIES OF THE ConE THORITY ORGA.NIZATION AND CONSTIT TIO:N ECTIO~ 1. A Code Authority to admini ter the provision of this Code i hereby con tituted and hall con i t of ix (6) voting mem ber . Five (5) of uch Yoting members hall be 0l ected from and by the member of the Executive Committee of the American Zinc In titute Inc. and one (1) of uch voting members shall b0 electe l by the I em b e r of Industry who are not memb e r of the American Zinc In titute Inc. The Secretary of the An1erican Zinc In titute, Inc.. hall be the Secretar3 and a non-,oting member of the Code uthority. The election of all members of the Code Authority '"hall be b a fair and equitable method of se l ection to be approved by the Board. In the e,ent that the e lection of the non-member of the American Zinc Institute, Inc. i s not mad0 within thirty (30) day after the e:ffecti-ve date of thi Code, uch memb e r may be sel ected by the Board. SE TION 2 . In addition to the above memb er hip, there may be not more than three (3) memb e r , without vote and without compen sation by the Indu try, to b e appointed by the Board to erve for uch term a it may pecify. SECTIOX 3. Each trade or indu trial a sociation directly or indi r ectly participating in the election or activi ies of the Code n thority hall, (1) irnpo e no inequitable r estrictions on member hip an l (2) ubmit to the Board true copie of it articles of a ociation by-law , rul0 and regulation and any amendment when made thereto together with ..,n c h other information a to m ember hip, organization and activitie as the Board may deem nece ary to effectuate the purpo e of the Act. ECTION 4. In order that the Code Authority hall a a11 time be truly repre entative of the Indu try and in other re pect comply with the proYision of the Act the Board may pre cribe u h hearing a it may deem proper; and thereafter if it hall find that the Code Authority is not trul repre en tati-v or doe not in oth r r pee comp l y with the provi ion of the Act, may require an appropriate modificat i on in the method of election of the od Authorit . SECTIOX 5: ... T othing ontained in thi o le hall con ti tut member of the ode uthority partn rs for an purp e . or hall any member of the Cod uthorit b liable in an mann r to anyone for any a t of anv other m mb r o:ffic r agent r mploy of the od uthoritv. or hall an member of the o l uthor itj. xerci inorea onable diljo-ence in. the con lu t of hi duti h re nn 1 r. b lia 1 to anyone for any action r omi ion to a t un 1 r thi. l ex er t for hi o"TT"n wilful malfea ance or n nf a ance.

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47 POWER AND DUTIES SECTIO 6. Subje t to uch rules and regulatio n s a may be i s ued by the Board and to the xtent permitted by the Act, the Code Authority shall have the following further pow e rs and duties : (a) To make inve tigation a to the functioning and obser v ance of any provi ions of thi Code at its own ins tance or upon complaint of any per on affected, and to report thereon to the Board. (b) To insure the execution of the provi ions of thi Code and provide for the compliance of the Industry with the provi ions of the Act. (c) To adopt by-laws and rules and regulations for its procedure and for the administration of this Code. The Code Authority hall promptly furnish to the Board true copies of the by-laws, rules and regulations adopted pursuant to this paragraph. ( d) To obtain from Members of Industry, through a confidential agency, such statistical information and reports as are required for the administration of this Code and to provide for submission by Members of Indu try of such statistical information and reports as the Board may deem necessary for the purposes recited in Section 3 (a) of the Act, which information and reports shall be submitted by Members of Industry to such governmental agencies as the Board may designate; provided, that nothing in this Code shall relieve any Member of Industry of any existing obligations to furnish reports to any government agency. No individual reports submitted to the Board and/or such government agencies as the Board may designate, shall be disclosed to any other l\tiember of Industry or any other party except to such government agencies as may be directed by the Board. ( e) 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 Authority of its duties or re ponsibilities under this Code and that su"h trade as ociations and agencie shall at all times be ubject to and comply with the provisions hereof. (f) To make recommendations to the Board for the coordination of the administration of thi Code and such other Code , if any, a s may be related to or affect Members of Industry. (g) To recommend to the Board the creation of additional Divi sions of the Industry and to call meetings of any Divi ion of the Industry to con ider and recommend to the Code Authority (1) fair competitive trade practice provisions to gov ern members of su c h Division in their relation to each other or with other Divisions of the ~ndustry and (2) control of production through voluntary agreern .ent or otherwi e; and to recommend to the Board such mea ures as have been considered covering such practices and control of production including stabilization of employment and con servation of natural resources, such r e commendations to be subj ect to approval of the Board after such notice and hearing as it may prescribe. (h) To engage the services of a certified, regi 'tered, chartered or other lawful practitioner of public accounting to inspect the books and records of any :Member of Industry who is alleged to have vio-

PAGE 22

48 lated thi Code. In case s uch an ins pection is ordered, such Member of Indu try shall open hi books and record to inspection by such certified, regi. tered, chartered or other lawful practitione r of public a ccounting as to all matters which may be pertinent to the allegation, 11pon the expre s condition that such in pection be made only by uch certifi ed, regi tered, charte r , ed or other lawful practit i one r of publi c accounting. ( i) In ca e such in pection indicate a violation of thi Code has not been committed the cer tifi ed, registered, chartered or other lawful practitioner of public accounting hall report that fact to the Co le Authority without further details. (j) In case such in pection indicate a Yiolation of thi Code ha been committed the certi.fied, regi tered, c hart ered or other lawful practitioner of public accounting shall make a full report of uch , iolation on l y to the Code Authority and to the Board. SECTION 7. It b eing found neces ary in order to support the adm.i n i tration of thi Code and to maintain the standards of fair com petition establi heel hereunder and to effectuate the policy of the Act, the Code Authority is authorized: (a) To incur suc h reasonable obligation a are nece ary and proper for the foregoing purpo es, and to m etsuch obligati ons out of funds which may be rai eel a hereinafter proYide :l and whi c h shall be held in tru t for the purpo es of thi Code . (b) To submit to the Board for i approval , ubject to uch notice and opportunity to be heard as i t may deem nece ary, (1) an itemiz ed budget of its e timated expen e for the foregoing pur po e , and (2) an equitable basi upon which the fund nece ary to support suc h budget shall be contributed b} :Member of Indu try. ( c) After uch budget and ba i of contribution have be e n approved by the Board, to detRrmine and obtain equitable contribution as above set forth by all Iember s of Industry, and to that end, if nece ar , to in titute legal proceeding therefor in it own name . SECTION 8. Each fember of Industr} hall pay hi or it equitab l e contribution to the expen e of the maintenance of the Cod Author ity, determined a hereinabove provided and subject to rules and regulation pertaining thereto i u ed b} the Board. Only :Membe rs of In lu try complying with the Code and ontributing to the ex pen e of it admini tration a s hereinabove provided ( unle duly ('Xemptecl from making uch contribution ) hall be entitled to participate in the election of members of the o le Authority or to rec iYe the benefit of any of it voluntary actiYities or to mak use f any mblem or in ignia of the ational R e oYery .... dmini t-rr.tion. ECTIO:N" 9. The ode uthority hull neither incur nor I ay any blioation ub tantially in exc of the amount th r of a timatecl in it. approved buclcr t and hall in no eYent x eer:1 th total amount ontainecl in the ar prayed budot exc pt upon appr Yal of th B arcl an :l n ub equent bu loet hall ntain an. l ficienc3 item for xpenclitur in e:sce of pri r bu l t , tima te excep th which th Boar 1 hall have o appr ycc_l. SE TIO 10. If th Boar 1 hall c1 t rmin that any a tion f th ode Authority or an agen y th r of ma. be unfair or 11nju. or contrary to th publi inter t th B anl may 1 uir that ~nch

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49 action be su pend d to afford an pportunity for inve . tiaation of the merit of u h action and further on ideration b n h ode uthori . or aa-ency pen lin final a tion which hall not b0 ffpcfr1; unl the Board approve or nnle it h all fail to disappr v aft r thirty (30) day n tice to it of intention to pro ed with u h a tion in it original or modified form. ARTI LE VII-REPORT SECTION 1. In addition to uch other report a may be r quire l :from time to time under the provi ion s of Sec ion 6, Sub ection ( l) of rticle I, f mbers of Indu try hall furni h the following r -port to the Secretary for compilation and rei uance in uch manner as not to di close eparately any confidential information fnrni hed by any Iember of Indu try. (a) For the Zinc ~fining Division, monthly reports coverina production, hip1nent , and ..,tocks of zinc ore and/or concentrates at mines and/ or concentrating mills. (b) For members of the Prime We tern Smelting Divi ion engaged in the production or ale of Prime We tern Selected, Bra Special, and/or Intermediate grades of slab zinc other than Special Intermediate zinc, except fembers of Industry who e entire production of such grades of slab zinc is con urned in their own departm nts or by sub icliary, parent or affiliated concern . and no part o:f which is sold on the market as slab zinc or any of uch grades. ( c) fonthly report howing total production from any ource, of lab zinc of Prime Western, Sel cted Bra s Special, and/ or Inte rmediate grades other than Special Intermediate zinc, hipment to buyer , and tock of lab zinc of such grade wherever located, including stock at smelters regardle s of owner ~hip. ( d) :1\Ionthly reports hawing receipt con umption and tock of zinc ore and concentrates and other zinc-bearing material for ..._melting purpo e regardle s of owner hip including material in tran it to plants. ( e) Weekly reports of ales and prices of lab zinc of Prime We tern. Selected Bra Spe ial and/or Interme liate grade other than pecial Intermediate zinc, including al and/or tran. fer to affiliated rolling mills or other plants for con umption and ale of zinc in slab form by such affiliated planL. SE TION 2. Any failure to file with the Code Authority or the Secretary any report, schedu le, contr:::.ct, or other information required pur uant to the provisions of thi Code, or the filing knowjnc;ly of any false information, hall be deemed unfair competition and hall con titute a violation 0 this Code. ARTICLE VIII-EXPORT TRADE To pron 10n of this Code relating to price or terms of selling, shippinoor marketing, shall apply to export trade or a les or. shipments for export trade. ' Export Trade " hall be a defined 1n the Export Trade Act adopted April 10 1918.

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50 ARn LE IX-APPLICATION oF CoDE To OPERATION ,vHEREIN OTHER METALS .ARE PRODUCED SECTIO 1. If any :Member of Industry is also a member of any other Indu try, provisions o f this Code shall appy only to that portion of its busines which i s a part of the Zinc Industry . SECTION 2 . , v here there i s any question a s to w heth e r zin c i the major production from the operation which do or which might produce zinc, lead, copper, gold, i lver or other materials, the n in any and every such event the question as to whic h Code of Fair Competition hall govern such operation of any s uch Member of Industry hall be referred to a Coordination Com1n i ttee . Thi Co ordination Committee hall be compo ed of two memb ers to be appointed by each of the Code Authorities for s u ch Indu tries as may b involved in each particular quest i on . In the event such Com mittee i s unable to reach a majority con"lusion, t h en either the Committee shall elect an additional impartial member or upon their failure so to aoTee on s uch additional impartial member, the Board then may appoint uch additional impartial committee m ember . Any .Member of Industry, the operations of which may raise such a question, hall file a statement of fact with the Code A uthority for its Indu try, and suc h tatem nt shall contain a statement of its preference a to the Code it would prefer to have such operations be governe l by, and such preference shall be granted unle s such Co ordination Committee hall find that the granting thereof would be unfair in view of the right of others or that it would have a ten 1ency contrar3 to the effectuation of the policies of the Act; pro vided, tha .. the operations of any :Membe r in the same State ancl/or l ocality producing an 1/or milling, or melting, or refining, or treating zin -bearing material , and materials b aring co1 per, lead, an 1/ r other mineral product , except coal, shall be governed by the provis ions relating to hour , ,,age and labo r conditions contained in the Code for the Industry covering the major portion of uch op erations, which major portion hall be the branch of the operations engaging the larger number of emplo yee . Any action taken by the Coordination Committee under any of the provi ion of thi Article IX hall be ubject to the approval of the Board. SECTION 3. ,vithin ten (10) davs after the effective date of this Code, any : Member of Industry may file uch a statement of fa t an l preferen e a to b inogoverned by any of suc h other Code Yd1ich may at that time be in eff ct . Thereafter, upon any uch other Code becominO' effe tiv , such statement may then b e :filed; pro Yi 1 1, however, that until any uch statement is filed and cleci ion is ma l e thcr on by uch Coordination ommitt e, s uch peration of su h :Memb r of thi In lu. try hall b governed by the provi ions of thi Coc1 . E 'TION 4. From time to tim" thereaft r if conditions chane J\fomb ers of thi Inc.ln. try , hall b entitle(1 t file u h tat ment . of fact an l pr fercnce a to hang of a portion of th ir op ration from th juris licti n f one Code to the jnri, li tion of another, and in :11 h ev ent th y shall b hanc11 d in th ame munn r n provi le l f r ab oYe.

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51 SECTION 5. The foregoing Section 1 to 4 inclu ive :f thi Article IX, shall not be effective until Code of Fair ompetition :for the Copper and Lead Indu trie , containing an Article s ub tantially the same a this Article have been approved and are in eff ct, and certified copies of such approved odes have been filed with the Code Authority :for this Industry. ARTICLE X-MODIFICATIO SECTION 1. This Code and all the provisions thereof are expressly made subject to the right of the President, in accordance with the provision of Subsection (b) of Section 10 of the Act, :from time to time to cancel or modify any order, approval, license, rule or regulation issued under this Act. SECTION 2. An amendment may be proposed by any interested party either to the Code Authority or directly by or to the Board. All propo ed amendments shall be referred to the Code Authority, who shall give Members of Industry an opportunity to be heard thereon, and thereafter the Code Authority may make such recom mendations thereon as are deemed proper; provided, however, that when approved by the Board as necessary to effectuate the policies of the Act, after such notice and hearing as it may pre cribe, any proposed amendment shall thereupon become effective as a part of this Code. ARTICLE XI-MONOPOLIES No provision of this Code shall be so applied as to promote monop olies or monopolistic practices, or to eliminate, oppress, or discriminate against small enterprises. ARTICLE XII-TERl\HN ATION This Code and all supplementary provisions thereto shall expire on June 16, 1935, or on the earliest date prior thereto on which the President shall by proclamation, or the Congress shall by joint resolution, declare that the emergency recognized by Title I of the Act has ended. ARTICLE XIII-EFFECTIVE DATE This Code shall become effective the second Monday after its approval by the President. ARTICLE XIV-CONSENT TO MODIFICATION By presenting this Code, those assenting hereto do not thereby consent to any modification thereof. Approved Code No. 555. Registry No. 1224-1-01. 0

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