The Blue Eagle


Material Information

The Blue Eagle
Physical Description:
v. : ill. ; 43 cm.
United States -- National Recovery Administration
National Recovery Administration
Place of Publication:
Washington, D.C
Publication Date:


Subjects / Keywords:
1929   ( fast )
Depressions -- Newspapers -- United States -- 1929   ( lcsh )
Depressions   ( fast )
United States   ( fast )
Newspapers   ( fast )
Periodicals   ( fast )
Newspapers.   ( fast )
Periodicals.   ( fast )
newspaper   ( sobekcm )
newspaper   ( marcgt )
Spatial Coverage:
United States -- District of Columbia -- Washington


Dates or Sequential Designation:
Vol. 1, no. 1 (June 11, 1934)-

Record Information

Source Institution:
University of Florida
Rights Management:
All applicable rights reserved by the source institution and holding location.
Resource Identifier:
oclc - 16917556
lccn - sn 87091090
lcc - AN14 .B48
System ID:

Full Text

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.: .!. .

Vol. 1, No. I Issued Weekly by the National Recovery Administration, Washing'to",.':-."" June 11, 1934




Administration Representatives
Depended Upon to Speed Plans
to Washington for Final O.K.

One of the most important duties
before the Administrative Members
S of Code Authorities is the matter of
watching the Code Authority budget
and methods of assessment.
It should be made clear that until
budgets are checked and the basis
of assessment approved by the Ad-
ministration at Washington. all
assessments for the support of Code
Authorities are on a voluntary
S basis.
Administrative Members should
urge the Code Authorities to get
their budgets and assessment plans
to Washington promptly since much
work will be required in ch-ecking
These figures, and in some cases
public hearings will be required to
determine whether or not they are
consistent with the actual needs of
administration. carry no items of
unduly high salaries, luxurious of-
fices,. unnecessary personnel, or
other items that any fair-minded
member of the industry would not
be willing to support in the interest
of administering the Code which the
industry has written.
Collections Give Acid Test
The whole matter of collecting
rissessments will be the acid test for
determining whether or not the in-
dustry in each case has written a
0.-.. _iInd.WQrkabIeCode that is desired
by the predominant majority of such
industry. The Administrator will
naturally expect some dissenters
who normally object to bearing their
fair portion for the support of any
public enterprise, and stands ready
to cooperate with the Code Author-
Ity in enforcing the collection from
such members if the budgets have
been checked and plans of assess-
meat determined to be fair and rea-
sonable, but he will definitely not
support, nor knowingly permit, any
attempt of Code Authorities or ad-
muinistrative bodies to use the NRA
as a means of saddling upon any in-
divual or industry any more than
the lowest actual cost of administer-
ing provisions of Codes which are
necessary to the well-being of the
ind Iustry.
Early Errors to be Expected
No pride of authorship nor love of
logic should prevent Code Authori-
ties from taking prompt action to
amend their Code anij get them
into workable condition when
trouble of assessment indicates that
any trade provisions are nt ile-
sired by the industry as a whole.
In such a comprehensive enter-
prise as the businesses of a great
country codifying themselves '.vith-
in a few months' rime, with na past
experience or signmpost to guide
them, it Is but natural that many
errors should be made-in many
instances efforts carried too far to-
ward an attempt at perfection, and
in the enthu-siasm and hurry of
codification in the interest of re-
covery, sufficient thought was not
always given to costs of ailninis-
tration. Most of the Codes have
been written. Now comes thie period
of refinement and simplification.
\Vllingness to pay the price is the
final test of value, and the colle'-
tion of assessments must determine
how well any Code meets the needs
of any particular industry.
STo each Code Authority we sug-
gest that if undue dlirficulties are
encountered in voluntarily collect-
ing assessments that they examine
closely the Code itself, their budget.
mine what action should be taken
to make it workable and acceptable
to those who are called upon to
S-uriiprort it

In the Path of Progress!



Litigations Division to Ask Broad
Rulings by Courts in Recovery
Test Cases
NRA's recently created Litigation
Division will urge to courts that
public policy and welfare demand
that the program of the N.I.R.A.
should receive judicial sanction both
on rights conferred and rights de-
nied. This was explained by the
Director of Litigation in a discus-
sion on enforcement to a group
meeting of NRA's legal forces.
"What we should stress is the
rights that are conferred. For
"' 1. The right to fair codes of fair
competition when the antitrust laws
have failed to function.
2. The right to plan business by
joint action and through exchange
of information which was formerly
"3. The right to restrain compe-
tition where the lack of restraint
menus business disaster.
To Stress Rights
4. The right of labor to bargain
nn an even basis with employers

and to be free from ruinous competi-
tion as to wages.
We should also stress some of
the rights that are denied.
"'. We will deny the-right of in-
dustrial giants to wreck each other
and cause national disaster.
"2. We will deny the right of
children to be permanently stunted
by laborious work in the days of
their childhood.
"3. We will deny the rights of
the master of industry to say that are mere chattels.
'"4. We will deny the right to
keep 10,000.000 of our rugged indi-
vidual citizens permanently r-agged.
Most sensible people are willing
to give the New Deal a chance and,
strange as it may se-m, the men
who have been the hardest hit and
who are as yet far from being
helped are the most patient.
*When the principle of 'dog eat
dog' and 'the devil take the hind-
most" prevailed, is it the conten-
tion of the critics of NRA that con-
ditions of industry. at that time
were Utopian or beyond criticism?
Relieve Injustices
It is not so niuli whether we
ha'-e arriveil. as the direction iii
'.ihi-ti we are traveling. -* *

A bicycling tourist, asling the di-
rection to Blankville. was told,
'That way you're traveling it's
25,000 miles, but If you turn around
you can make it In 3.'
"If we are on the way to an
ordered economy, where the ghastly
inequalities and injustices of the
near past can be greatly relieved.
then we should all be willing to
endure a few bumps along the wa..
"This procedure, this direction of
our traveling, we will gladly ubmuit
to the scrutiny of the courts. If it.
is approved, we can hopefully look
forward to a day when the tempo-
rary wrongs that have been caused
by mistakes of judgment can be cor-
rected. *
"Our impression is that this pro-
cedure not only Is just but that it
lihas been most ingeniously devised
to fit into our i,nmtitutiooal forms.
We confidently expect that our
courts can he convinced, both on
principle aud authority, that the
general procedure outlined is legal
and should have their judicial sanc-
iContinued on page 21

What the President Said

In the President's st.te-
ment of June 16, 1933. out-
lining policies of the NRA,
among other things, he
". . It is a challenge to
industry which has long in-
sisted that, given the right
to act in union, it could do
Hnuch for the genu-ral good
which has hithlrto been
,unla.,ful. From today it
has that right.
Many good men rotcd
this new charter with misa-
giiungs. I do not share
these doubts. I had part
in the great cooperation of
1917' and 1918. and it i-. my
faith that ice can count on
our industry once more to
join in our general purpose
to lift this miczc threat and
to do it without taking any
advantage of tIi, public-
tru-t which has this dai
bern reposed without stint
in the good faith nud high
pii'posC Of 01. Aifrican biei-



Several Million Insignia Go Out
to Employers Working Under
and Observing Codes

Hundred-i of thousands of Blue
Eagles are ior soon will be, in pro-
cess of distribution direct from Code
Authorities to employers who oper-
ate under and observe the provisions
of approved codes of fair competi-
After about 95 per:e-nt of the in-
dustry of the United States was
coded, the NRA decided upon a Blue
Eagle, the display of which would
mean that un employer was oper-
ating under a code which had
actually been approved, and that
he was complying with the terms of
that code-wages and hours, labor
provisions, and all other require-
Congestion is Cleared
These were to be distributed di-
rect from NRA Washington head-
quarters to individual trade and
industrial units, upon their written
application. The response created
a nfck-of-the-bottle congestion
and threatened to slow down the
distribution process. The Admin-
istrator quickly remedied that situ-
ation by evolving a modified plan,
which is now swinging into action,
tie fundamental of which is that
eai:h Code Authority distributes the
Blue Eagles to all employers in its
trade or industry who are qualified
to have the insignia. Thatmeans
thos-e "vho comply with th'e Coale:-
including, in cases where a budget
indl asse.mnierjt plan has been ap-
proved by the Administrator, the
payment of Code Authority assess-
,ents for administration of the
Of course, the Eagles will not be
given by i Code Authority to any
employer who has been adjudged a
-.ode violator, or against whom for-
mally certified complaints have been
mni'lde by Code Authorities to the
NRA Compliance Division or to a
Federal district attorney. In all
other cases Eagles will automati-
cally be issued by the Code Au-
thority to each member of its trade
or industry-without the necessity
of each employer or concern first
making a written application for
the incignia. Tie, presumption will
be that each employer operating un-
dier anl obeying a C'ode would make
written application, and the new
plan is tu save him that much
trouble and likewise to speed up
the Blue Earle dis-tribution just
that much.
Registration not Required
There are some areas where Code
Authorities are not organized
through n local agency to make this
distribution and where this is the
case NRA will send the Blue Eagles
direct to the members of trade and
industry who are qualified to dis-
play them.
Another point of the plan no\\
in operation is that registration of
each particular Blue Eanle is not re-
garded by the Administration as es-
sential. That question is left to the
disc-retion of each individual Code
Authority. It is the privilege and
responsibility of each such body to
require or not to require, as its
judlgmeut dictates, registration of
the Blue Eagles distributed in Its
trile or industry.
Furthermore, retail outlets in
town of less than 2,500 will be en-
titled to receive these Blue Eagles,
although by an Executive Order of
President Roosevelt they aje now
exelmpted-if operating nit more
thani three establishments each-
fr'in the wage and hour, the mini-
muuw price and the assessment pri-
visions of Codes. The-e employers
iu small towns are still required,
however, to comply with child-labor
provisions and with all fair-trade-
practice provisions of their Codes,
and failure to do that will mean
ground fr withlidinwal of the em-

The Purpose of This Paper

More than 90 percent of American Industry has become codified, and as the work of such
codification has tapered off at Washington, the work of administration has been proportionately
increasing throughout the country.
While NRA activities were centered at Washington all executives and those having to do
with the work were readily accessible, but as the activities have moved away it has become
increasingly difficult to retain contact with Administrative Members, Code Authorities, and State
Directors in a uniform manner to the end that common policies and understandings could be
In the interest of economy, coordination, and cooperation with industry, the Administration
launches this, the first edition of the Blue Eagle for the purpose of maintaining contact with all
Code Authorities, Compliance Boards, Administrative Members on the Code Authorities, Trade
Associations, and other individuals and bodies interested in rulings and policies of NRA. Others
who may wish to follow NRA activities may also find interest in the Blue Eagle and here turn
for authentic viewpoints and policies.
To the newspapers, radio, trade papers, and other news-distributing agencies that have
generously carried the messages of the NRA, the Administrator in particular, and, we believe,
the country at large, is deeply grateful. No effort will be made to absorb any of the functions
of distributing normal spot news, but the function of this publication will be to disseminate
information of a more educational and informative nature, which does not constitute current news,
to those individuals and organizations most concerned with the operation of NRA Codes for
Industry, and sometimes to Industry itself, to the end that all concerned may better understand
the purposes and policies of the NRA and that the normal morale of the scattered organizations
may be conserved.
In the terms of Industry itself, this. then, is to be the house organ of the NRA.

COmytes, nl'ou rl f.',n [Ct O ,% /u j'h P cs

2 .THE BLUE EAGLE June 11, 14

rad As itions Remain Important Factor
-. : '. _". . . .. .
': : S'** aM.-tWei' h if lnplnis- The Eagle's Brood Washington and i-ry on the latest
Have runciiOn UNder code Oper- trato, :o ..'uot .buld in no __________________________________omic -trait-jacket. t
nations Quite Apartfrom Those w". ".. .- r" ."eCo e" "As a matter of fact, the NRA
a-ons uin stryCoe Apa tdor intte Coderom has spent a large part of its time.
authorities .preventing an industrial O.G.P.U:
oufIndunn tre fCefondel *uthritie Representatives of industry have

Trade Associtition Committees
played an important lull it, the
drafting of Codes as they were the
only organize'] and articulate voice
of the industry, aud the only ma-
chiuery readily available for Code
making by ea.ih industry. In 111iuy
cases the adminmiBIrative personnel
of Trade Associations in whole o:,r in
part have become at least t-mnjporar.
administraive bodies of the Cod'es.
Bectiu-e of the similarity of per-
cournnel aud the more or less parallel
of iite'Ie-t it is natural that con-
fusi,,n should exist as to the natural
functions of Trade Associations in
contrast to that of Code Authorities.
Clear distinction should be made
betweti-n the functions of the two
organizations and auy similarity of
personnel and ,imilarity of interest
should not infer similarity of func-
tion. Many questions t-lve been
asked and statements made that in.
dicate theie is a feeling in some
quarters that the Code Authorities
will take ov(-r mu.-t ,f the functions
of the Trade A.oiiation-. This de-
cidedly is not the ..ase.
Properly conducted Trade Asscia-
tiouns, under the operation of the
Codes, should t -.ome a more im-
portant factr in industry
than ever before. Their tunctious
and activities may be greatly wid-
ened Ind their operation in the in-
terest of industry made far greater
than could be imagined a year ago.

Work for Trade Groups
It is true that up to the present
the executive personnel of most
Trade A-s,,iations have been so
concerned, and their time so ab.
sortbed with the writing andi launch-
ing of Codes, that the Code itself to ahs'orb much of the Trade'ciation's activities. It should
be borne in mind, however, that fai-
trade practice in Codes should have
to do only with those elements of
competitionn which involve unethi,:al
practi,'.?s orn the part of only a small
percentage i.f industry, and sut:h
prn-vi, ', are designed to correct
pi,':i i in this very small per-
tentage of cases.
The great percentage of the prob.
lems of recovery in normal c,:nd-.t
of industry have nothing whatever
to do with viulation :'f ethical stand-
ards. American bu-iness in total is
predominantly conducted upon a high
plane, and it is with that lar.e por-
tion of industrial problems that a
Trade Associhition should rightfully
c-ncern itself. The Trade Associa-
tion should stand ready t. cooperate

Altlhou-h the proper pince and
function of various elements v.'ould
seem self-evident, there has been
some c -onfusion, and accordingly
they may well be ideflnj-d and re-
ieated until everyone uliersrands
1. The function' of the NRA, the
Administrator and his staff, is to
administer the National Industrial
Recovery Act-passed by Congress
and signed by the President of the
United St ites on June 16, l)33, the
primary purpose of which \v'is to get
men to work and keep them working.
2. It is the function of a Code
Authority to administer the Codes
under the supervision of the Ad-
ministrator. who is interested only
in seeing to it that the provisions
of the Coiegres-sional act are ob-
8. The function of the Trade As-
sociation Is to make ,:ohesive and
articulate the i::mposite voice of
any industry, to) serve as a forum
for the me-mbers of that industry
where problemni s. viewpoints, and
plans may be worked out for the
furtherance of that particular in-
dustry, insofar as such problems do
not involve unfair or unethical
trade practices, and they should not
require any sanction or clo.ik ,.f au-
thority from the Govertiment to
carry out.
4. The function of the individual
business is to conduct itself in the
future as it has in the p-itt insofar
as all normal activities not involv-
ing starvation wages nor unethical
standards are concerned, without
interference on the part of anyone.
NRA Not a Dictator
The establishment of these dis-
tinctions and prte?(epts should be
evident to those members of the in-
dustry who. have been in Wash-
ington building Codes and have be-
come familiar with NBRA prac-
tices, but seem in order since there
is a considerable popular impression
that the NRA Is attempting to
direct and in some Instances ad-'
minister industry itself. This con-
fusion no doubt comes from the fact
that the ribilosophy back of the
Congressional act holds that some
things, which formerly were con-
sidered purely a matter of private
concern, such as labor relations and
destructive practices, are properly
matters for governmental regula-
tion. The normal and predomi-
nating activities of industry are of
no concern to NRA, except insofar
as the Administration is Interested
in keeping men at work.

In compensation to industry for
any privileges taken from it, by the
insistence that' rights of labor, and
control of some trade practices in
the interest of the common good are
properly government tal functions,
new privilege, were given It
Self-Government is Aim
It is probably true that many of
the normal functions of Trade As-
sociations have been written into
Codes. This tendency, in many
cases, has resulted in complication.
of Codes and made difficult their
The NRA is in purpose indus-
trial self-government, and the tend-
ency toward writing provisions
which involve neither element of
labor relations n,-r trade practices
which Involve ethics, but rightfully
come within the scope of Trade
Association activities, tends to de-
feat its basic purpose and creates
the impression that the NRA is
lending Government authority to

Courtesy Washington .Daily News
making mandatory, provisions
which do not actually have to do
with unfair trade practices, but are
the natural problems which indus-
try should settle within itself.
In it.s desire to co-perate with
industry, the Administration has
accepted the advice of Code Com-
mittees and passed many provisions
which even short experience has
demonstrated should not be in
Codes, but are quite properly the
affair of Trade Associations.
Administrator Hugh S. Johnson
brought this out in a recent ad-
dress on May 4th, at Columbus,
Ohio, when he said:
"There has been more than the
ordinary hue and cry recently about
regimentation, and, as usual, the
criers have left the dictionary in
the ruck in their efforts to fasten a
sinister significance to the words.
If you would believe all the delicate,
and some of the indelicate implica-
tions, the whole staff of the NRA
is sitting up nights devising new
and ingenious ways for compelling
reluctant industrialists to come to

swamped the deputies with' ppt
plans for constris-rion and restic-
tion, for corisu-rlption and linmita-
tion. The halls of the Oommerce
Building have resounded with the
demands of owners and managers
that the Government police their
business. Sometimes these demands
get translated into Code provisions,
but only after the wastebaskets
have been filled with unsound pro-
posals and the NRA officials have
been worn down by the industrial
It is perhaps natural that errors
of this kind should (occur in the
early stage of uch a movement, but
as the distinction of Code Authori-
ties and Trade Associlations becomes
better crystallized, simplification of
Codes through proper procedure, in-
volving amendments, hearings, etc.,
should result. As the distinction
between the functions of the two
bodies is better understood and the
natural activities of each kept in
their proper place, it will be found
that Code operations will meet
much less re-istance, cause less ir-
ritation, and the Trade Associations
will perform mru.:-h greater part in
the building o.f industry than ever

Some Suggestions
The following are among some of
the suggestions that have been made
indicating possibilities under the
new order:
Consolidated sales office for
smaller concerns in sections where
they have not. previously had repre-
Cooperative finance companies for
industries that do not already have
ample machinery availabl-e.
Advertising :caipaigrn for an in.
dustry designed to broaden the in-
dustry's field of activity for the
benefit of all ni-mbers.
Reducing selling prices and in-
creasing profits by cooperatively
working out better methods of dis-
Joint study and investigation for
development of foreign trade.
Industrial planning to the end
that production and demand may be
kept more evenly balanced.
Now that the ('ode making Is
largely done an'd the Codes launched,
the trade associations may very
properly take up the great work of
developing the opportunities given
them under the National Industrial
Recovery Act, bearing always in
mind that the new privileges of get-
ting together and working out com-
mon problems do not involve any
license to hurt someone else.


(Continued from page 1)
"We all knuw of the attack on the
N.I R.A. on the ground that it .is
beyond the porier of Congress un-
der the Constitution. We will rely
prinipaily o:,n the commerce clause
of the Constitution us a basis for
our proceeding in court.

National in Scope
"The National Industrial Recov-
ery Act is, in our opinion, the re-
sult of the conviction of Congress
and the President that, as was said
in Farmers Loan Co. v. Minnesota
(280 U.S. 204-, '-*1 i), "Primitive con-
ditions have passed; business is now
transacted on a national scale'; on
going back much further to John
Marshall, In commerce we are one
"As long as this is so, and there is
no power reserved in the States as
to commerce among the States, then
if business is to be regulated at all.
it must be by the national legisla-
ture. Our theories (f States' rights
have to yield to the undeniable ne-
ce-ssitiies of [le situatlii lIn other
words, it Is a In,"lltio,, Und not a
theory that confronts us.
Commerce Clause Cited
After quoting otherL substantiat.
nlug le.-isi.iins, the director suid:
We ,hall insist before the courts
in our enforcement a(.tivities that,
while it imay be it-u rh:at there are
somie businesses ,, small as either to
affect interstate riitmuerce slightly
or riot at all. tho range of such
enterprises is extremely narrow.
Business today really lives not unto
itself alone. What we need to do

is to bring our governmental ma-
chinery in line with our industrial
development, and this the NRA is
endeavoring to do.
"The Commerce Clause certainly
can be invoked to maintain jurisdic-
tion, on a nonemergency basis, in
actions involving the major part of
the proceedings where the penalties
of the Act will be invoked.
"Tihe factual ha-is for the Su-
preme Court's conclusion in 192-2
that 'Commerce is now a unit' has
been greatly strengthened by the
rapid development of the interde-
pendon:e of industry in the last
decade. The emergency, or the de-
pression, simply served to call our
attention to this fact; but it exists
not only in times of: stress, but
when industry is acting normally.
Indeed, it was our failure to recog-
nize the fact of our complete inter-
dependence in commercial matters
earlier that was one of the main
causes of the depression; and If the
courts deny the existence of the
dominant factor in the situation,
they will simply be helping to sow
the seeds of another depression.
To Stand on Facts
"We shall ask rhe courts to find
as a fact; as to particular violations,
that the trn.saction rnvlved was
either in or .ffected iuterstare com-
merce. Thiat the court will be in a
position to make a finding of fact
favorable to our contention in ria,'-
.rically every case submitted -recins
to be free from question."
The director said that other
points of attack that may come up
in cases will be that Congress made
an improper delegation of power in

the National Industrial Recovery
Act and (2) that the NRA set-up
violates the "due process of law"
provision of the fifth amendment to
the Constitution, which is that no
person may be deprived of life, lib-
erty, or property without due proc-
ess of law. He quoted court de-
cisions to sustain his belief that
such attacks will not be valid, and
"The Constitution does not se-
cure to anyone liberty to conduct
his business in such fashion as to
Inflict injury upon the public at
large, or upon any substantial group
of the people.
"Price control, like any other
form of regulations, Is unconstitu-
tional only If arbitrary, discrimi-
natory or demonstrably irrelevant
to the policy the legislature is free
to adopt and hence an unnecessary
and unwarranted interference with
Individual liberty. * *
.Confident of Result
"We. contend", he said after fur-
ther citation of decisions, "that the
end to be achieved by NIRA is
wholly within the powers of the
Government and that the Act is so
free, in its whole set-up, from any
arbitrary or capricious methods,
that its constitutionality, as against
the due process argument, is un-
"If due process is to be construed
as applying to procedure alone, and
this is undoubtedly the fundamen-
tally correct theory, the NIRA pro-
vides proper opportunity to be heard
by those involved and provides for
fair and impartial hearings before
representative bodies and properly
selected tribunals."

Expressing the belief that all he
had said as to the exercise of gov-
ernmental power in this matter is
applicable, regardless of the exist-
ence of the present emergency, the
director added that certainly in the
present emergency the courts will
Hardly hesitate to sustain the action
of Congress. The rule of self-pres-
ervation justifies every step thus
far taken to save the Nation from
the doom that was so clearly im.
pending prior to thl-? adoption of the
National Industrial Recovery Act."

State Rights
"We have a profound regard for
the principle of States' rights, but
the State's right to starve its citi-
zens Lbecause the State Is not per-
mitted to join in a national move-
ment for the relief of unemployment
and the correct iou orf business abuses
which, if unchecked, will make un-
employment a permanent economic
disease, does nhot arouse us to a very
zealous 'advocacy."
The director of lirirarion quoted
a decision u0 the United States Su-
preme Court in the ease of the Rail-
road Commisson of Wi-srcon.jii V.
the 0. B. & Q. R.R. 'i257 U.S. 55i9)
that:'" Commerce is a unit and does
not regard State lines, and while,
under our Constitution, interstate
and intrastate commerce are ordi-
narily subject to regulation by dif-
ferent sovereignties, yet when they
are so mingled together that the
Supreme Authority, the Nation, can-
not exercise complete effective con-
trol over interstate commerce with-
out incidental regulation of intra-
state commerce, such incidental
regulation is not an invasion of
State authority."

1216.1220 F STREET

H erees r o ad hrer cen

A R i. CoBle Eagle.!

VreCODi t1h rEcdf
| A P A

,,AT0, ,o 1, 934

... Tn ad,:.[Fing our ne LIII
C ode Eig l, lii,, been
-; g n.:-*J io u4, ,- say:
"-'%. ii llt h o 90 :rnli" :cit
greater and greater s success

.1 e hioe ireae u a olb
In [' :ilurcnil,-u, y'~f sijln
ehol' ro:,lar,, per- m
Truly II fsoprision and All the
Co(trhorr tdSoii (, Thankfaul
lor ih, Bl e aglei f,
We're l-ad to report this record of
achievement aince ihe establishment
of T. o R A
qWe arena giving emploment to
18.' more people than a year nago.
q]We hanc increased our pa rolI bj
thousands o dollars, per month this
year in comparison with last.
CIShortcr workingg hours have
brought longer hours of leisure for
man) of our employes.
41And business continues to be good
-we are happy to say-at JelleQ'sl

June 1I1, 1934




Because some approved codes of
fair competition contain provisions
abolishing home work and this has
been found to work hardships upon
certain classF's, Presidernt Roosevelt
has issued] an Executive order per-
mitting home work in special cases,
despite co'le prohibitions.
This order, announced by the Na-
tional Recovery Administration, Is
the result of the Administrator's
recommendation to the President,
and the Administrator's recommen-
dation, In turn, was based upon a
report to him on a special home-
work committee, established March
17. to study the question of home-
work abolition.
The order permits home work at
the same wage rate as paid In the
factory, or other regular place of
Business, to men and women who
are Incapacitated for factory work
by reason of injury, physical defects,
certain types of Illness, age, or be-
cause they must be at home to care
for another person who Is bed-ridden
or an invalid. Such borne workers
must be free from contagious dis-
ease and must have a special cer-
tificate obtained from State agencies
designated and instructed by the
United States Department of Labor.
Employers must file su,;h certificates
and give the Code Authority the
name and address of each such
Effective at Once
The order becomes effective Im-
mediately and applies to all codes
prohlIiting home work, except those
for f,,od or allied products trades,
Industries, or subdviso)nrs thereof.
Home work will continue prohibited
in food-products industries, if their
codles so prescribe, because food-
products home work may be a men-
ace to public health.
The special home-work commit-
tee vasf unanimous in its recom-
mendations to the foregoing effect
to the Administrator. The commit-
tee agreed that if provision Is made
through this Executive order to care
for these difficult cases of persons
dependent upon home work for their
Uliving, opposition to the present coduJe
provisions. abolishing home work
will be largely eliminated.
The committee will continue its
study and later will report on the
problems of home-work regulations
and control in the Industries in
which home work has not been abol-
Ished by the :codes.
The committee's report and the
Administrator's letter to the -Presi-
dent said that a relatively small
number of men and women accus-
tomed to doing home work are inca-
pacitated for factory work by rea-
son of injury, ph. sical defects, cer-
tain types of illness, ace, or the
necessity of being at home to care
for an invalid.



Modification of the so-called
transportation clauses of the whole-
sale and retail food and grocery
trade code has been ordered by the
National R,'ov ery Administrator.
Under the order, members of the
trade were required to include, when
coimputing cost of goods, transporta-
tion charges at the lowest published
fifth-class common carrier rate, if
the rate was-at least 10 cents per
hundred pounds.
This was found to operate inequit-
ably in many cases, especially in
metropolitan areas, and the order
stays that requirement pending
further study of the problems in-
volved. The order requires that
wholesalers rust include the actual
transportation charges, but sus-
pends application of any formula
for computing them.



Praise for the NRA attitude to-
wardt] small businesses came re-
cently from Frank R. Magel, of
New York, representing the Amer-
ican Booksellers' Association. Tes-
tifying on the book publishers' code,
he said the compact for hlis industry
had provided ample protection for
the small bookseller.


A srumall storekeeper who had been "going out of buhliiess" for the past eight months. according to signs
on his store, was called on the carpet by the Merchant;' NRA Rtail Code Authority last week to see why his
commercial denise was taking so long. He promised to take down his signs and stop "going out of business."
Business men as a whole have learned that mlsrepresentatlon brings short-lived ainus, and that the public can
be fooled only so often. However, there are still some vrwho ignore their better judgment, and if the NRA can
bring to these a new conception of business ethics it will have served a fine purpose.-Bayone, N.J., Times.

Labor leaders of the State have been invited by Earl Smith. State LLabor Compliance Offlcc-r of th- NRA,
to take part in the celebration of the first anniversary of the NIIA to lbe held at Laidloy Field, Charlesron, on
June 16. It is expected that 75,000 persons will take pAirt in th1 cc-l,-tration . The National Recovery Act
has put into morion the wheels of industry from the coal mine.; oind teel mills of the Nation to tiiK factories
that turn out :utomnobiles and refrigerators and the lik-. Its [6rst Ifnlversary shuild be marklced by important
celcbratiuus everywhere.-Faiirmont, W.Va'., TLmes.

Hinds Is the first Mississippi County to orcaniz-, n ,cun-tluiirs' council under tlie NRA. Mrs. Will WVil-on
Is chairman, with PFed Lotterlhos and Mrs. Rose WValley the other members. At least thiw trore members are
to be appointed by Frank Walker, Executive Director of the National Emergency Ct.ouncil . Such councils
are essential In keeping the entire NRA program well-balanced. The public supi,.lts lh,- program. But it Is
essential th&t consumers be protected against exploitation under the program, against greed and abuses of the
codes bLV any minority.-Jaekson, Miss., Olarion-Ledger.

Howard Davis, President of the American Newslnap -r Publishers' Assoctiatlon, says at the ANPA conven-
tion, that the constitutional guarantee of freedom of thce press remains unimpaired under the daily newspaper
code.-Louisvllle, Ky.. Times.

NEW YORK, June 1 iAP).-TlThe Royal f Cawida r:1ys in its June survey that the recovery In business
and Industry in the United States during the last year is an amazing spLctacle to th e outside world."
"With an increase of about 25 percent in commodity prices and 100 percent in security prices ", the bank
declares, the index or business activity in March 1934, was carried 44 percent above that of the previous March.
"Pig-iron production showed an increase of 198 percent; production of automobiles was 174 percent higher;
business failures fell off 40 percent;. production of such varied items as coal, cement, and lumber showed gains
of more than 50 percent."-Baltimore, Md., Sun.

RELIEF ROLLS REFLECT GAIN IN JOBS.-Families depending on public aid are reduced from 4,250
to 4,000 in last three weeks, according to Federal Bureau figures.-Other evidences of improvement.-Norfolk,
Va., Virginian-Pilot. \:
McOonnell that 10,702 are given Jobs in industry through Federal agencies; managers and session here.-Macon,
Ga., Telegraph.
OREGON PAY ROLLS GAIN.-Number of worker- r*aee 9- percent in month. Federal Reserve report shows
increase of 77 percent in wages over 1933.-Portland, Oreg., Oregonian.
cent; 8,021,000 still unemployed. Manufacturing leads in census.-Cincinnati, Ohio, Enquirer.


Keeping up morale of -a field force
in any enterprise is one of the most
difficult of administrative tasks.
The NRA finds itself In a position
similar to that of any typical unit
of any typical industry which has
agents scattered in all parts of the
country and working more or less
To you who have been selected
administrative representatives on
Code Authorities, the Administrator
wishes to give every support and
encouragement so long as you per-
form your tasks in accordance with
the true spirit of the N RA. You
may justly take pride in your posi-
tion.+ Most of you were drafted,
and no one of you was selected
without the most careful investiga-
tion by the Administrator's Office,
and your witness for the work was
determined so far as it is reason-
ably possible to appraise the ca-
pacity of men.
High Type Leaders
You will find much t.o> compensate
you for your public service in your
contacts with the generally high
type of industrial leaders who have
been selected by the various indus-
tries to serve on the Code Authori-
ties. You will find that many of
these Code Authority members lean
backwards in their effort to protect
the interests of those other than
themselves. Others may not be so
You are solemnly charged with
the duty of observing all activities
of Code Authorities and satisfying
yourself and the Administration at
Washington that the interests and
welfare of every element of the in-
dustry in which you are associated
is properly safeguarded.
Much Speculation
You will from time to time read
in the newspapers and hear by
rumor many stories of NRA
actiivties, prophecies, inter preta-
tions, and speculations that .I m he
disturbing you, and, If accepted by
you, may tend to lower your morale.
Please bear in mind that any enter-
prise as far-reaching as the Na-
tional Recovery Program which af-
fects so many people cannot help
but be the subject of all sorts of un-
founded rum,.r, speculation, and re-
port. The tendency to prophiesy
and transmit knowledge ahead of
others is inherent in the human
race, and though often resulting in
unfounded anxiety, no complaint
can be made of this natural

You will also find authentic quo-
tations from Executives connected
with the NRA which, as single
paragraphs or passages without
benefit of modifying or explana-
tory sections which surround them
in original speech or writing, carry
an entirely different meaning than
was their intent. This sometimes
is the natural result of brevity in
news transmittal, often the result
of careless interpretation, some-
times the result of intentional mis-
construction of meaning, and on oc-
casion willful misquotation.
All a Part of Public Service
These are all things that must be
expected. Before they are allowed
to disturb your effectiveness in
your work, we ask that you call
upon headquarters for explanations
if such would seem necessary to
your tranquillity of mind. We know
that mistakes will be made and as-
sure you that there is no disposi-

tion to laugh mistakes down the
wind, to shape any of your own
conclusions, nor to suppress any of
your legitimate criticism, but.we_
are extremely anxious to protect
your effectiveness by urging you to
guard against being influenced by
the winds or whirlwinds of un-
founded criticism which you may
sometimes meet in the field when
alone and out of direct communi-
cation with headquarters.

Right on the Button!

Coewey L dAngelW Ttmes


IS PROUD to Reproduce
the NEW Bankers Code
Assigned to the Bank



O NO. 1934
t_. .J .Ir.
Mw Blue Eage Has
Nom a Blue Bird of
Happies To Us.
It g the REAL Rew flr helpwnE Maa-
,on ad a. territory It mean wok. effort
andJ ro mal t ritism. 3 h" ellmg. pa. nay and
efforts te Md benin.
Jly 1. m1-
ParFpnl (pe yeal. 111000,00
D t14,46,5i00 oo.
May ,2. 1934-
Hoaploy 35
P=TIoiI (pee 'eal) 515185 00.
Dqc r 1.t52".600 0,.
New Acoa July 1.13 10to May 12. 19l.
_mp --- 1121
snvl (iwl l__ I ).)
Cci--srii 71S
Nubor of Losaw;made W mconumerda] pwrpowe
and to pot t. ork troi JoJy L, 133 to
Mar'12, 19%--Z5



Complying with a r.L-ently ap-
roved amendment to thLe code of
fair competition for the motor bus
industry. the National Recovery Ad-
ministrator lihass ariunti'ed an offl-
cial definrion of "the lowest rea-
sonable cost" upon which will be
based, in specific cases of interstate
transportation, the minimum rates
or fares which must be charged.
The Administrator's order polntsa
out that "tiis ,:ost is not neces-
sarily the cost of any particular op-
erator", and that it does not repre-
sent "average cost", but that it
means the lowest cost for the serv-
ice which is reasonable."
In determining a minimum rate,
the order provides, the Motor Bus
Code Authority shall give considera-
tion to ail of the elements of cost
necessary to continuous and ade-
quate service over the routes about
which complaint is made." The-e
cost elements the Administrator's
order dednes as follows: "Mainte-
nance and garage expenses, trans-
portation and station expense, traf-
fic promotion aind advertising ex-
pense, insurance and safety and ad-
ministrative expenses. State gaso-
line taxes, licenses. public utility
and corporation tises, p-rsonalI
property and real estate taxes, Fed-
eral capital stock anrid excise taxes,
and items of depreciation and re-
tiremnents as set forth In the code's
tipprnvetd clausidicatlon of accounts.
The order specifically provides
that "' there shall not be considered
as an element of cost in the determi-
nation of thL, lowest reasonable cost,
return on lu'estment and interest
on borrowed capital, or any ab-
normal item of co:,st iot experienced
Lij the ordinary :course of rendering
reasonably continuous and adequate
"Tn considering a variable such
as load factor", the order provides,
"'the Code Authority will have to
make a reasinaLle estimate based
upon the previous factor ex-
perie-n'e, talking into account the ef-
fect ou traffic of any change in rate
resulting from the determination of
the lowest reasonable cost."


Small druggist. hare found in the
Retail ll'ni, Code real protection
against the predatory practices of
large operators according to a res-
olution of the Retail Drug Code Au-
thority representing .0,0(10 small
businesses rhrou l ut the country.
The Administration, according to
the resolution, has recognized the
fundamental fact that the curbs on
prll'jtory3 compretitive practices must
(liffer between various fields of busl-
IS. activities and the Code Author-
ity expressed its confidence that all
Codes will be administered fairly by
the Administration "to the benefit
alike of the small man and the con-

Pithdrrbw from Crerar Lbri:-i,

The advertisements
shown in the Blue Eagle
are a few reduced repro-
ductions taken from the
daily press, and are pre-
sented to show how mer-
chants and other business
interests are using the
new Code Eagle in their
local advertising.

June 11, 1934


Are You Leooking For It
Wsen You TRADE?
Am You Dipla-g It
when You 97?
Maineseolod Icws for Ik,
Mo.m no child labor.
Monon-. labor -pso tooth.
K- lam- Pey vdl-.
M..- proFALs
Mau .!u morw f K'|
Moans bettor lpor hn

Means A Successful City
Let's Take
Stock of Progres Since Last
July 1933
RlB Stool Co. P.yooD 1 o .el)
Jshl 1913 May 10tIh. 1934
5II13,5d&02 lt1.0m.00
Repoblk Sele Cu Eoply outil Rll
July Il0. 1933 MX- 1.9 1!3
225 Mn 302 MNn
No 1trs IIn he city-Only one dlougroellt adly
Aad shortly roconuikd.
Moin EinploydJul 10. I1 ......... 071
Ms Eoplo;.d Moy b. m . ... ..5..s
Five Ezxposidons
A Ntlofluy Reocvdood Ctrihitoo
Wssk Celbrailon
T7. SucceM Mma:loM D.y Dnamstnlioa
An NRA Pard to bs Rber-d
Msr0 bt it o Grnt0% Mlojtip Ropotg
GCrl Profits
Le'. Hal s and HMT our
Worthy Prosdat
oBd Support Inaed of -Kno"
Owr NRA Adminittor
Lt'l Conlluiota sd
St hod by th RFC
Lader =od Cinno
Of Jt Board of Dircon
Hll End--ru to Gd
Mousv to Work to
Put Moo Worink
Evn AAurt Od Olfinri
By1fosfWhos Sould

The Fint National Bank in Maila



Hearty endorsement of the entire
NBA program, especiaUy the whole
sale grocers' code, and optimlstic
accounts of Increases in business are
contained In letteA received front
MLsslssippl wholesale grocers by thi
"From August until December
our expenses Increased enormously
with no increase in volume of busi
ness ", said one letter from Jackson
"However, with the approval of thi
grocery code our expenses have been
reduced to the extent that we are
now on a profitable basis. In fact
March was the best month we have
had in nearly 2 years, and condi
lions look very hopeful at this time.'

Reports "Big Improvement"

Another Jackson wholesaler re
ports, "There has been a big im
provement In business, especially In
our section here."
From Bro.)khaven comes the fol
lowing letter:
We have been undertaking to cooper
ate with the- Government in Its recovery
program and frankly believe thatit has
saved our country from serious indus
trial trouble.
Naturally it has been difficult to make
the changes that were asked of us with
out some friction and misunderstand
Wings; however, we have round among
our competitors and also our customer
a deep appreciation of the purposes In
volved In this program and on the whole
a splendid spirit of cooperation.
Business In nil lines has Improved ore
last year the same date

Volume up One-third

A Tupelo dealer lauded the recov
cry program and sent a suggestion
for better understanding of the grc
cery codes. His letter follows:
Our volume shows an Increase of ap
proslmately 83'3 percent There Is
marked Improved condition. People ar
at work, and the state of mind ha
The program must be a success, w
heartily approve It, and It is a pleasur
to operate under It.
Among the grocery merchants th
great trouble Is due to misunderstandij
Ing on account of carelessness. Man.
know very little about the code, and w
find once they are acquainted with th
provisions of It. the majority will co
operate. We suggest that local cod
authorities be requested to visit ea
towns and cities within their Jurlsdictio
and meet with the merchants and ente
Into a discussion of the code. This 1
the program adopted by our local cod
authority, and the results are gratifying

The Administrator Has Said:

Real recovery is under way at this moment . ."

I know of no industry which would willingly give up its code . ."

We can't do this job in an atmosphere of sniping and suspicion ."

Everybody liklies the benefits of NRA-nobody likes its burdens . ."

". . Tender the law, if NRA makes a mistake, the President can and will change it within 24 hours . ."

".. The antitrust acts have not been repealed. They impinge on every act in violation or abuse of a
code .."

".. NRA is an experiment, but it is an experiment under complete governmental control and absolute
flexibility .."

". . There is no right, however sacred, which in its exercise may not become an intolerable abuse of the
rights of others . ."

". . Just because a man has a million dollars he doesn't actually consume very much more than a man
who has a thousand dollars . ."

". . No good fairy is fluttering around on the horizon. We have got to hack our way out of this trouble
by our own efforts . ."

". . Too much of profit went back to build new factories and too little went to let people buy the prod-
uets of the factories we already had . ."

". . Leaders of labor and industry have been working 14, 16. and 18 hours a day-not for a day or two
but week after week-to carry out the President's high purpose ."

. The benefit to industry of NRA is very great. If section 7 is a burden, it is part of the bargain
they made in their extremity to save themselves a year ago . ."

". By the very nature of the organization and method I have just described, controversy on conflicting
views of adversary interest is of the very essence of NRA . ."

". . Let's live up scrupulously to the obligations of the law, the codes, and the agreements. If they are
wrong-and some of them are wrong-we promise to change them promptly and justly . ."

". . You cannot enforce a law like NRA with penalties and policemen. NRA can succeed only if a very
great majority of the people and of business not only want it but actively support it . ."

". . In such a partnership both sides have rights and duties, but the Government also has a duty. It
must see that industry bears its new burdens toward labor; that labor does not exploit industry; that neither
singly nor both jointly infringe the public interests . ."

". . In every important labor dispute, the President has set aside all other affairs of the Nation and, in
his most crowded days, sat patiently, hour after hour. with labor and industrial leaders personally to insure that
the rights of both sides under the law were fully assured . ."

".. We are making neither promises nor boasts, but we can tell you one thing very definitely and
surely-employers in this country want to do this thing harder than they ever wanted to do anything together
and in one big strong pull at any time in this country since the war . ."
"... Once there was a very poor farmer plowing a field with an ox and a mule. In the midst of a furrow
c the ox had an idea. He said to himself 'I don't need to go on pulling together.' So he laid down and chewed
e his cud-he would not get up and he would not pull. The field had to be plowed.
I "So the farmer got into the yoke with the mule. The ox ambled home and ate his hay. At sundown the

mule came home tired and worn out, and the ox was rested and talkative. He asked the mule:
1 "'What did the farmer say?'
y "' Nothing; he just pulled on together with me.'
"' Didn't he say anything? '
"' Nope.'
e "'Didn't he even mention my name?'
S "'Nope.' And then the mule remembered. 'Oh, yes', said the mule. 'A man drove along in a buck-
e board and the farmer went out to the fence and borrowed a chew of tobacco. Remember now that he did men-
e lion your name.*
S "' Who was the man?' asked the ox. The answer was:
"'That was the butcher.'
".I.. know that the butcher is the public spirit and opinion that is awake all over the land . ."

The Most Dependable Enforcement Officer General Retail Code Held

.=__=- __,_ To Cover Optical Stores
--I ______
Optical stores fall within those
=s groups coming under ithe general
retail code, and employees in such
e "concerns must be paid at least the
.minImum wages specified In that
code, the administration has ruled.
gsThe decision was In the case of the
Dr. Ritholz OpticalCotpany of
Chicago, which operates thirty-four
stores, and has more than ordinary
Interest since there are more than
20,000 such establlshnents In the
-i United States
7The case of the 'thloigo concern
Jr- was brought before the National
,n Compliance Board and at a recent
hearing the respondent asked for
the ruling of the Administration,
agreeing that he would abide by IL.
It had been charged that the corn-
pany had been paying its women
assistants uud '"receptionists"
wnages considerably below those
fixed in the retail code under which
it "'as presumed1 to be operating.
The defense was that the company
-y -does not belong In that group and
,e \--,athat Its position Is not clear Ite-
e- cause the proposed rode for the
optical tradekIhaS not yet booen up-
proved. It was held that optom-
n "/ ,//. Oetr'ists are not engaged In retail
rs /'J ...- trade as It Is ordinarily katiwn and
e the question of the professional
.c r tie aI~pi, Can-ni'r a .4ppeat status was raiseil.


""", 1934

We are proud to reproduce the new
Retail Code Eagle thar has been as-
Let's take stock of the past nine
since the establishment of NRA.
We have given employment to
23J% more people.
GOur co-workers are working
shorter hours.
*We have distributed hundreds
of thousands of dollars more
in our pay envelopes.
Our business has steadily forged
LTror tO. pm,t%. osolod. .oho.".'1
IS-S s lloo l l ot die corrnlodl~uI oio.
I cntr Is pirciout root.
Truly, the Blue Eagle Has Been
a Blue Bird of Happineuss


President Roosevelt has, by Ex-
e, utive order, exempted small busi-
ne-ses in towns of less than 2,.500
population from compliance with
provisions of the Codes to which
they may be subject other than
those banning child labor and estab-
Ushing fair trade practice rules.
Under the Executive Order "em-
ployers engaged only locally In re-
tail trade or local service trades or
industries" and operating not more
than three establishments In towns
of less than 2.500 are exempted
from "those provisions of approved
Codes of Fair Competition which
relate to hours of employment, rates
of nay. the minimum prices at
which merchandise may be sold or
services performed and the rollec-
tion of assessnj-,otq, except insofar
as any such ei,,l .:'yer shall after
the effective late of this order sig-
nify to the Administrator his inten-
tion to be tiouid Iy such provisions."
Amended Order
The text of [hlie Order, which
amends an earlier order esemptin
miercrhants and other employers In
small towns from the provisions
of the I'resrihent's Reemploymeni
Agreement, is as follows:
NO. 6354 OF OCIOBER 23. 1933.
By virtue of and pitsuant to the
authority vested in me under Title I ot
the National Industrial Recoverc Act of
June 16. 1933 (c 9t, 48 Stat. 1jiUI51. and
In order to effectuate the purposes of
said Titln. Ex'curiv.' Order No 6354 of
October 23, 1038, prescrilbing rules and
regulations under thu National Industrial
Recovery Act Is hereby tiamended b j
striking out the paragraph numbered 1
thereof and Inserting In Its send tihe
following paragraph :
Employers engaged only lorncallv In r
toll trade or local service trnd-.s or In-
dustries who operate not more than three
etiabllshments and whose place ijr places
of business is or tire located In n town or
towus each of li,-s titan 2,000 pppiilttlori
and not In the luim.diate trade area of a
city or town o larger populatin, as
determined by rho Admfilstrator. ire
exrempted froni those provisions of the
President's Re.-mployment Agr.'cment
And those p:rovislritis 'of approvIl .,odes
of fair ronip-tition which relate to liouri
of employnii:..nt. itH t'Nof pa*'. tih minil-
mum prices at whliich mercliandis-' ualy
be sold or servi's perforiii'd, and lbh
O'nllctlonr of assessments, except insofar
as any ,jrb employer shall rafter tit
effective dateo i..t thii order signify to tll
Admlnlitrntor his Intntilou to bh' bound
by such iprovlJons. This exemptiplon Is
lotilnded to r.ll-evo small busine ',;s entrr-
pils's In small towns front fistel d obllgitl
rllitu which alightl Impts t:-x(,,ptinnial
inrdship: but nil such ent,:rpni Ii's are
-Xpi,'.'ed to conform to thileo fulfi.-st extentil
1'ijiblc with te re'qnlruieomits whilth
otherwise w'oul bh cbllpgatory upon
The Admiiistrator for InrIustrinl Bt-
covt-y 3' lireby autlhori-.d Ito pPscrilsl
such lrui. s a ind rcgulltlnt 1a q lie miW
deem ieAIIIr-v to crnrry out lthe proVi"
slonais ol saii parnragripi tnibhered 1 IO
iircutlvei (Jrd'r No 0345 Is amended b
this nirl.r.
SSlgtlled IIPlimNctI.IN ID ROOSEiVI.T.
'1T114i Wlit It' ltlosn,
Slii I/ r.. I91 .

U S rO i i',i olHN C E Ir, Iic a II--I- I


Hails the New

NR A Code Eagle