»/ Approved Code No. 347 — Supplement No. 29 Registry No. 1605—02 NATIONAL RECOVERY ADMINISTRATION SUPPLEMENTARY CODE OF FAIR COMPETITION FOR THE BAKERY EQUIPMENT MANUFACTURING INDUSTRY (A Division of the Machinery and Allied Products Industry) AS APPROVED ON JULY 13, 1934 UNIV. OF FL LtS. ^E to OUR part U.S. D^pomrom UNITED STATES GOVERNMENT PRINTING OFFICE WASHINGTON: 1934 For sale by the Superintendent of Documents, Washington, D.C. Price 5 cents This publication is for sale by the SuperinteDtlent of Documents, Government Printing Office, Washington, D.C., and by district offices of the Bureau of Foreign and Domestic Commerce. DISTRICT OFFICES OF THE DEPARTMENT OF COMMERCE Atlanta, Ga. : 504 Post Office Building. Birmingham, Ala. : 257 Federal Building. Boston, Mass. : 1801 Customhouse. Buffalo, N.Y. : Chamber of Commerce Building. Charleston, S.C. : Cliaiiiber of Commerce Building. Chicago, III.: Suite 1706, 201 North Wells Street. Cleveland, Ohio : Chamber of C(jnmierce. 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Approved Code No. 347 — Supplement No. 29 SUPPLEMENTARY CODE OF FAIR COMPETITION FOR THE BAKERY EQUIPMENT MANUFACTURING INDUSTRY As Approved on July 13, 1934 ORDER Approving Supplementary Code of Fair Competition for the Bakery Equipment Manufacturing Industry A DIVISION OF the MACHINERY AND ALLIED PRODUCTS 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 Supple- mental Code of Fair Competition for the Bakery Equipment Manu- facturing Subdivision of Machinery and Allied Products Industry, and hearings having been duly held thereon and the annexed report on said Supplemental 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, I, Hugh S. Johnson, Administrator for Industrial Recovery pursuant to authority vested in me by Executive Orders of the Presi- dent, including Executive Order No. 6543-A, dated December 30, 1933, and otherwise; do hereby incorporate by reference said an- nexed report and do find that said Supplemental Code complies in all respects with the pertinent provisions and will promote the policy and purposes of said Title of said Act; and do hereby order that said Supplemental Code of Fair Competition be and it is hereby approved. Hugh S. Johnson, Administrator for Industrial Recoveinj. Approval recommended : Barton W. Murray, Division Administrator. Washington, D.C, July 13, 19Si. 73631° 829-64 34 (1) KEPORT TO THE PRESIDENT The President, The White House. Sir : This is a report on the Supplemental Code of Fair Competi- tion for the Bakery Equipment Manufacturing Subdivision of the Machinery and Allied Products Industry, public hearing having been conducted thereon in Washington, D.C., December 21, 1933, in ac- cordance with the provisions of Title I of the National Industrial Recovery Act. Every person who filed a request for an appearance was freely heard in public and all statutory and regulatory require- ments were complied with. GENERAL STATEMENT The Bakery Equipment Manufacturers Association, being truly representative of this subdivision of the Machinery and Allied Prod- ucts Industry, has elected to avail itself of the option of submitting a Supplemental Code of Fair Competition, as provided in Para- graph (2), Article I of the Basic Code for the Machinery and Allied Products Industry approved by you on the seventeenth day of March, 1934. This Subdivision represents a part of the capital goods industry, manufacturing for sale bakery machinery, ovens, and general equip- ment and appliances, accessories thereto and parts thereof, and in- cludes all those engaged in such manufacture for sale, excepting, however, those who are engaged in the manufacture of equipment, appliances and accessories and parts therefor coming within the defi- nition of another industry as defined in an approved code for such other industry and who are not otherwise employers within the scope of tlie definition of this Subdivision. ECONOMIC EFFECT This Subdivision in 1929 employed approximately 3,700 persons, including office workers. Estimated employment of factorv workers declined from 2,927 in 1929 to 1,908 in the second quarter of 1933, or 34.8 per cent and increased thereafter to approximately 2,406 worker^ in the last quarter of 1933, or 26.1 per cent. Employment for the last quarter of 1933 was 17.8 per cent below the 1929 level. Annual sales of the Subdivision, based on estimates furnished by the Bakerv Equipment Manufacturers' Association, declined from $24,700,000 in 1929 to $11,500,000 in 1932, or 53.4 per cent, and in- creased thereafter to $14,600,000 or 27.0 per cent. Sales for the year 1933 were 40.9 per cent below the 1929 level. Approximately 49 percent of the workers were working more than 40 hours per week during June 1933. The average work-week (2) declined from 50.8 hours in. June 1929 to 3G.5 in November 1933, or 28 per cent. Estimated average man-hours per vreek dechned from 148,690 in 1929 to 75,175 in the second quarter of 1933, or 49.4 per cent and increased thereafter to 87,820 in the last quarter of 1933, or 16.8 per cent. Man-hour requirements for the last quarter of 1933 were 40.9 per cent below the 1929 level. Until there is a further increase in man-hour requirements, the adoption of the 40-hour week will cause no increase in employment in this Subdivision. Approximately 18.8 per cent of the factor}'- workers in June, 1933 were receiving less than 40 cents per hour; 14.8 per cent were re- ceiving less than 38 cents per hour; 11.0 per cent were receiving less than 36 cents per hour ; and 6.0 per cent were receiving less than 32 cents per hour. Based on the distribution of hourly rates in June, 1933, the adoption of the minimum wage rates provided by the code is expected to be accompanied by an increase in total payrolls which probabl}^ will not exceed 2.5 per cent, assuming only upward adjust- ment in the brackets below the 40-cent minimum and no change in man-hour requirements. RESUME or THE SUPPLEMEXTAL CODE Article I states the purpose of the Supplemental Code. Article II accurately defines specific terms employed in this Sup- plemental Code. Article III. The labor provisions of the Basic Code for the Ma- chinery and Allied Products Industry as approved March 17, 1934, are incorporated by reference as the labor provisions of this Supple- mental Code. Article IV adopts the relevant portions of Article II, " Defini- tions " and Article VI, "Administration " ; and Articles VIII, " Mod- ifications and Termination " of the Basic Code for the Machinery and Allied Products Industry, as approved March 17, 1934. Article V establishes a Code Authoritj^ consisting of five members, one of whom shall be elected from the employers who are nonmem- bers of the Applicant. The Administrator in his discretion may appoint one additional member, without vote and without expense to the Subdivision. Article VI contains the mandatory provisions contained in Section 10 (b) of the Act and also provides for the submission of proposed amendments to the Supplemental Code. Article VII provides for the withdrawal of this Subdivision from jurisdiction of the Basic Code and for the continued functioning of this Subdivision as an individual industry under its own code. Article VIII stipulates that there shall be no inequitable restric- tions and provides against monopolies. Article IX gives the effective date of this Supplemental Code. FINDINGS The Deputy Administrator in his final report to me on said Sup- plemental Code having found as herein set forth and on the basis of all the proceedings in this matter : I find that: (a) Said Supplemental Code is well designed to promote the policies and purposes 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 provide for the general welfare by promoting the organiza- tion of industry 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 super- vision, by eliminating unfair competitive practices, by promoting the fullest possible utilization of the present productive capacity of in- dustries, by avoiding undue restriction of production (except as may be temporarily required), by increasing the consumption of indus- trial and agricultural products through increasing purchasing power, by reducing and relieving unemployment, by improving standards of labor and by otherwise rehabilitating industry. (b) Said Subdivision normally employs not more than 50,000 employees, and is not classified by me as a major industry. (c) The Supplemental Code as approved complies in all respects with the pertinent provisions of said Title of said Act, including without limitation Subsection (a) of Section 3, Subsection (a) of Section 7, and Subsection (b) of Section 10 thereof; and that the applicant association is an industrial association truly representative of the aforesaid Subdivision of the industry ; and that said associa- tion imposes no inequitable restrictions on admission to membership therein. (d) The Supplemental Code is not designed to and will not permit monopolies or monopolistic practices. (e) The Supplemental Code is not designed to and will not elim- inate or oppress small enterprises and will not operate to discrim- inate 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 Supplemental Code. For these' reasons, therefore, I have approved this Supplemental Code. Respectfully, Hugh S. Johnson, Administrator. July 12, 1934. SUPPLEMENTARY CODE OF FAIR COMPETITION FOR THE BAKERY EQUIPMENT MANUFACTURING IN- DUSTRY A DIVISION OF THE MACHINERY AND ALLIED PRODUCTS INDUSTRY Article I — Purposes To effectuate the policy of Title I of the National Industrial Recovery Act, the following provisions are established as a Sup- plemental Code for the Bakery Equipment Manufacturing Subdi- vision of the Machineiy and Allied Products Industry, and together with the Code of Fair Competition of Machinery and Allied Prod- ucts Industry, shall be the standard of fair competition for this Subdivision, and shall be binding on every employer therein. Article II — Definitions " Applicant " means the Bakery Equipment Manufacturers Asso- ciation, all members of which are engaged in the manufacture for sale of the products of the Bakery Equipment ]\Ianufacturing Sub- division of the Machinery and Allied Products Industry. " Industry " means the Machinery and Allied Products Industry, as defined in its Code of Fair Competition as approved by the President and as such definition may from time to tiniQ be amended. " Subdivision " means the Bakery Equipment Manufacturing Sub- division of the Machinery and Allied Products Industry as defined and set forth in Paragraph 2, Article II of the Code of Fair Com- petition of Machineiy and Allied Products Industry as follows : " Bakery Equipment Manufacturing Subdivision means the manu- facture for sale of bakery machinery, ovens, and general equipment and appliances, accessories thereto and parts thereof, and includes all those engaged in such manufacture for sale, excepting, however, those who are engaged in the manufacture of equipment, appliances and accessories and parts therefor coming within the definition of another industry as defined in an approved code for such other in- dustry and who are not otherwise employers within the scope of the definition of this Subdivision." " Code " means the National Industrial Recovery Code of the Machinery and Allied Products Industry as approved by the Presi- dent March 17, 1934, and as from time to time amended. " Person " means a natural person, a partnership, a corporation, an association, a trust, a trustee, a trustee in bankruptcy, a receiver or other entity. " Employer " means any person engaged in this Subdivision either on his own behalf or as an employer of labor. (5) " The Act " means Title I of the National Industrial Recovery Act. " The President " means the President of the United States. " The Administrator " means the Administrator for Industrial Recovery. " The Basic Code Authority " means the Code Authority for the Machinery and Allied Products Industry as constituted by the Code. " Code Authority " means the Code Authority constituted for this Subdivision as provided by the Code and by this Supplemental Code. " Group Code Authority " means the Code Authority for any group or product classification within this Subdivision. Article III — Emplotment Provisions The following Articles of the Code, viz : Article III, " Working Hours " ; Article IV, " Wages " ; and Article V, " General Labor Provisions " are hereby made a part of this Supplemental Code, with the same eifect as if they were written into this Supplemental Code. Article IV — Adoption or Other Provisions or Code The following Articles of the Code, viz : Article II, " Definitions ", Article VI, "Administration ", to the extent that they shall be ap- plicable to this Supplemental Code as such or as it may hereafter be administered as an autonomous Code, and Article VIII, " Modi- fications and Termination " are hereby made a part of this Supple- mental Code, with tlie same effect as if they were written into this Supplemental Code. Article V — Administration (a) A Code Authority for this Subdivision is hereby constituted to administer and supervise and to facilitate the enforcement of the Code and of this Supplemental Code in the manner and to the extent provided in the Code and in this Supplemental Code. (b) During a period not to exceed sixty (60) days following the effective date and pending the election of the permanent Code Au- thority, the executive committee of the Applicant shall constitute a temporary Code Authority. The Administrator, in his discretion, may appoint one additional member (without vote and without expense to the Subdivision). (c) The Applicant shall, by written notice mailed to all employers known to the Applicant, call a meeting of employers to be held within sixty (60) days after the effective date for the purpose of adopting procedural rules and regulations for the election, organiza- tion and operation of the permanent Code Authority and electing a permanent Code Authority which shall consist of five members, one of whom shall be elected from the employers who are non-members of the Applicant. The Administrator, in his discretion, may ap- point one additional member (without vote and without expense to the Subdivision). The permanent Code Authority so elected and appointed shall succeed the Temporary Code Authority. Any va- cancy on the Code Authority due to death, resignation or because a member thereof has ceased to be connected with this Subdivision shall be filled at a meeting of employers called by the Code Authority on at least ten days' notice by registered mail sent to all employers in this Subdivision and by a vote similar to the vote by which the retired member was originally selected. In order that the Code Authority shall at all times be truly rep- resentative of the Subdivision and in other respects comply with the provisions of the Act, the Administrator may prescribe such hearings as he may deem proper ; and thereafter if he shall find that the Code Authority is not truly representative or does not in other respects comply with the provisions of the Act, may require an appropriate modification of the Code Authority. Each trade or industrial association directly or indirectly par- ticipating in the selection or activities of the Code Authority shall (1) impose no inequitable restrictions on membership, and (2) sub- mit to the Administrator true copies of its articles of association, By-Laws, regulations, and any amendments when made thereto, to- gether with such other information as to membership, organization, and activities as the Administrator may deem necessary to effectuate the purposes of the Act. (d) 1. It being found necessary in order to support the adminis- tration of this Supplemental Code and to maintain the standards of fair competition established hereunder and to effectuate the policy of the Act, tlie 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 purposes of the Supplemental Code. (b) To submit to the Administrator for his approval, subject to such notice and opportunity to be heard as he may deem necessary, (1) an itemized budget of its estimated expenses for the foregoing purposes, and (2) an equitable basis upon which the funds necessary to support such budget shall be contributed by employers of the Subdivision. (c) After such budget and basis of contribution have been ap- proved by the Administrator, to determine and obtain equitable contribution as above set forth by all employers of the Subdivision, and to that end, if necessary, to institute legal proceedings therefor in its own name. 2. Each employer of the Subdivision 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 Administrator. Only employers of the Subdivision complying with the Supplemental Code and contributing to the expenses of its administration as here- inabove provided, unless duly exempted from making such contribu- tions, shall be entitled to participate in the selection of members of the Code Authority or to receive the benefits of any of its voluntary activities or to make use of any emblem or insignia of the National Recovery Administration. 3. The Code Authority shall neither incur nor pay any obligation in excess of the amount thereof as estimated in its approved budget, except upon approval of the Administrator; and no subsequent budget shall contain any deficiency item for expenditures in excess 8 of prior budget estimates except those which the Administrator shall have so approved, (e) Action by employers in any Subdivision meeting for the elec- tion of Code Authority shall be by vote of the employers entitled to vote as provided in Section (d) of this Article V, and who are pres- ent in person or by proxy, each such employer to have one vote only. Action by emploj'ers in any Subdivision meeting for the adoption of procedural rules, revisions or additions to the Supplemental Code, or the transaction of other business of the Subdivision under this Sujiplemental Code, shall be b}' vote of the employers in the Subdivi- sion who are entitled to vote thereat as provided in Section (d), Article V of the Supplemental Code and are present in person or by j^roxy duly executed and filed with Code Authority; cast and com- puted on the basis of one vote for each emplo^-er. (f) Emploj^ers in this Subdivision having a common interest and connnon problems may be grouped by Code Authority for adminis- trative purposes. There may be a Group Code Authority approved or appointed by Code Authority for each such group. (g) If formal complaint is made to Code Authority that pro- visions of this Supplemental Code have been violated by any em- ployers, Code Authority or the proper Group Code Authority may to the extent permitted by the Act, cause such investigation or audit to be made, as may be deemed necessary. If such investigation is made by Grou^^ Code Authority, it shall report the result of such investigation or audit to Code Authority for action. (h) The Code Authority may appoint a Trade Practice Commit- tee which shall meet with the Trade Practice Committee appointed under such other Codes as may be related to the Trade Subdivision for the purpose of formulating fair trade practices to govern the relationships between production and distribution employers under this Supplemental Code and under such others to the extent that such fair trade practices may be proposed to the Administrator as amendments to this Supplemental Code and such other codes. Article VI — Modifications (a) As provided by Section 10 (b) of the Act, the President may from time to time cancel or modify any order, approval, license, rule or regulation issued under Title I of the Act. (b) Any amendments, additions, revisions, or supplements of this Supplemental Code, proposed by Code Authority, and author- ized by the majority vote of the employers shall be in full force and effect upon approval by the President. The eligibility require- ments, method and effect of such voting shall be the same as pro- vided by Article V hereof. Article VII — ^Withdrawal Upon thirty days' notice to the Basic Code Authority and to the Administrator, this Subdivision may, upon the concurring affirmative vote of employers, within the said Subdivision, entitled to cast two- thirds or more of all the votes that might be cast by all employers within the Subdivision entitled to vote thereon, withdraw from the Jurisdiction of the Basic Code Authority. The eligibility of voters and the method and effect of such voting shall be in accordance witli the provisions of Article V hereof. After and in the event such withdrawal is accomplished, this Supplemental Code, together with the provisions of the Code, shall become and be the sole code govern- ing this Subdivision and the Code Authority shall, for this Subdi- vision, become and be the sole Code Authority and shall perform all the functions with respect thereto. Article VIII — Monopolies Applicant imposes and shall impose no inequitable restrictions on membership therein. The Supplemental Code presented hy it is not designed to promote monopoly and shall not be so construed or applied as to oppress or eliminate small enterprises or discriminate against them, and is designed to effectuate the policy of the Act. Article IX — Effective Date This Supplemental Code shall become effective and binding on all persons engaged in the Subdivision on the eleventh day after its approval. Approved Code No. 347 — Supplement No. 29. Registry 1605-02. O UNIVERSITY OF FLORIDA 3 1262 08583 0999