UNIVERSITY OF FLORIDA 3 1262 08482 9638 supplement No. 20 Registry No. 1039 — 2 — 04 NATIONAL RECOVERY ADMINISTRATION SUPPLEMENTARY CODE OF FAIR COMPETITION FOR THE STONE SETTING CONTRACTORS INDUSTRY (A Division of the Construction Industry) AS APPROVED ON DECEMBER 31, 1934 WE DO OUR PART UNITED STATES GOVERNMENT PRINTING OFFICE WASHINGTON : 1935 For sale by the Superintendent of Documents, Washington. D. C. Price 5 cents This publication is for sale by the Superintendent 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. : 1S01 Customhouse. Buffalo, N. Y. : Chamber of Commerce Building. Charleston, S. C. : Chamber of Commerce Building. Chicago, 111. : Suite 1706, 201 North Wells Street. Cleveland, Ohio : Chamber of Commerce. 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Approved Code No. 244 — Supplement No. 20 SUPPLEMENTARY CODE OF FAIR COMPETITION FOR THE STONE SETTING CONTRACTORS INDUSTRY As Approved on December 31, 1934 ORDER Supplementary Code of Fair Competition for the Stone Setting Contractors Industry a division of the construction 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, and pursuant to and in full compliance with the provisions of Section 5 of Article VIII of Chapter I of the Code of Fair Competition for the Construction Industry, approved January 31, 1934, for approval of Chapter XXI of said Code, which chapter is applicable to the Stone Setting Con- tractors Division of the Construction Industry, and hearings having been 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 au- thority vested in it by Executive Orders of the President, including Executive Order No. 6859, dated September 27, 1934, and otherwise; does hereby incorporate by reference said annexed report and does find that said Chapter complies 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 Chapter XXI be and it is hereby approved and that the previous approval of said Code of Fair Competition for the Construction Industry is hereby modified to include an approval of said Code in its entirety as supplemented by said Chapter XXI. National Industrial Recovery Board, By W. A. Harriman, Administrative Officer, Approval recommended : Walter G. Hooke, Acting Division Administrator. Washington, D. C, December SI, 1931,,. 105460° 1465-2 35 (1) REPORT TO THE PRESIDENT The President, The WMte House. Sir : This is a report on the Stone Setting Contractors Chapter of the Code of Fair Competition for the Construction Industry which is described as Chapter I and which was approved by you on January 31, 1934. This Chapter is a revision after a public hearing conducted in Washington on April 20, 1934, in accordance with the provisions of the National Industrial Recovery Act. This Chapter amplifies Chap- ter I, but applies specifically to the Stone Setting Contractors Divison of the Construction Industry. PROVISIONS FOR HOURS AND WAGES With very minor exceptions, the hours and wages set forth in Chapter I of the Construction Code as approved by you on January 31, 1934 are applicable to this Code. ECONOMIC EFFECT OF THE CODE No official or other authentic data are available to show the approx- imate amount of business done by members of this Division. Esti- mates indicate that approximately 13,100 employees were engaged in this Industry in 1929 and 5,120 in 1933. It is reasonable to predict that the establishment of uniform rates of pay and hours of work and the prohibition of unfair trade prac- tices will be beneficial to this Industry as well as to the employees and the consumer. FINDINGS The Deputy Administrator in his final report to the National Industrial Recovery Board on said Stone Setting Contractors Chap- ter of the Code of Fair Competition for the Construction Industry, having found as herein set forth and on the basis of all the pro- ceedings in this matter; The National Industrial Recovery Board finds that: (a) Said Stone Setting Contractors Chapter and said Code of Fair Competition for the Construction Industry, as supplemented by said Stone Setting Contractors Chapter, are well designed to promote the policies and purposes of Title I of the National Indus- trial 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 promot- ing the organization of industry for the purpose of cooperative (2) action among the trade groups, by inducing and maintaining united action of labor and management under adequate governmental sanctions and supervision, by eliminating unfair competitive prac- tices, by promoting the fullest possible utilization of the present productive capacity of industries, by avoiding undue restriction of production (except as may be temporarily required), by increas- ing the consumption of industrial and agricultural products through increasing purchasing power, by reducing and relieving unemploy- ment, by improving standards of labor, and by otherwise rehabilitat- ing industry. (b) Said Industry normally employs not more than 50,000 employ- ees; and is not classified by the National Industrial Recovery Board as a major industry. (c) Said Stone Setting Contractors Chapter and the Code of Fair Competition for the Construction Industry, as supplemented by said Stone Setting Contractors Chapter, as approved comply in all respects with the pertinent provisions of said Title of said Act, in- cluding 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 repre- sentative of the aforesaid Industry; and that said Association im- poses no inequitable restrictions on admission to membership therein. (d) Said Stone Setting Contractors Chapter and the Code of Fair Competition for the Construction Industry, as supplemented by said Stone Setting Contractors Chapter are not designed to and will not permit monopolies or monopolistic practices. (e) Said Stone Setting Contractors Chapter and the Code of Fair Competition for the Construction Industry, as supplemented by said Stone Setting Contractors Chapter, are 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 Stone Setting Contractors Chapter and of said Code, as supple- mented by this Stone Setting Contractors Chapter thereof. For these reasons, therefore, the National Industrial Recovery Board has approved said Stone Setting Contractors Chapter of the Code of Fair Competition for the Construction Industry. For the National Industrial Recovery Board : W. A. Harriman, Administrative Officer. December 31, 1934. Chapter XXI SUPPLEMENTARY CODE OF FAIR COMPETITION FOR THE STONE SETTING CONTRACTORS DIVISION OF THE CONSTRUCTION INDUSTRY Article I — Definitions Section 1. The term " Stone Setting Contractors Division " or " this Division ", as used herein, means contracting for and perform- ance for hire of the service, in accordance with established trade practices, of handling, erecting, cleaning, pointing, and repairing of all kinds of cut stone, granite, limestone, cut or cast artificial stone, marble, (except as defined in Chapter XVII, Marble Contracting Division of the Construction Industry Code) and other cut stone, including the furnishing of all materials and equipment incidental thereto, and also the removal of same in alterations, replacing, relo- cating, and reerecting, in connection with the Construction Industry as defined in subsections (a) and (b) of Section 1, Article II, of Chapter I of this Code, and such branches or subdivisions thereof as may from time to time be included under the provisions of this Code by the President, after such notice and hearing as he may prescribe. The provisions of this Chapter shall not apply to work herein defined when executed by members of another division or subdivision of this Code when performed by their own employees, except as to the provisions relating to hours of labor, rates of pay and other conditions of employment. Section 2. The term "Association ", as used herein, means the National Stone Setting Contractors Association. Article II — Wages, Hours and Conditions or Employment Section 1. The following are exempt from the provisions of Section 2 B of Article III of Chapter I of this Code relating to maximum hours : (a) Outside Salesmen. (b) Persons employed in a managerial, executive, or supervisory capacity, who earn not less than thirty-five dollars ($35.00) per week. However, no employee engaged in a supervisory capacity who per- forms manual labor shall be included in this exception. (c) Watchmen who shall not be permitted to work in excess of fifty-six (56) hours in any one week nor more than (6) days in any one week. Section 2. The Code Authority shall submit to the National In- dustrial Recovery Board before the expiration of sixt} 7 (GO) days after the effective date hereof a list of such operations or occupations, (4) referred to in Section 4, Article III of Chapter I, as hazardous in nature or dangerous to health. In any state an employer shall be deemed to have complied with the provisions of this Section as to age, if he shall have on file a certificate or permit duly issued by the authority in such state empowered to issue employment or age cer- tificates or permits showing that the employee is of the required age. Section 3. All members of this Division shall post and keep posted in conspicuous places readily accessible to all employees on their respective jobs and their established places of business, complete copies of Chapter I, General Provisions for the Construction In- dustry, and of this Chapter of the Code, together with the name and address of the nearest official place where Code violations may be reported. Section 4. 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 Au- thority to the National Industrial Recovery Board within six months after the effective date of the Code. Whenever such standards have been approved by the National Industrial Recovery Board, they shall become a part of this Code, and the failure of any member of the Division to comply with the same shall be a violation thereof. Section 5. No employee now employed at a rate in excess of the minimum shall be discharged and reemployed at a lower rate for the purpose of evading the provisions of this Code. Section 6. Any employer shall be subject to the applicable maxi- mum hourly limitations provided in this Code in his performance of manual labor or mechanical occupations customarily performed by employees. Section 7. (a) Wages due shall be payable at the end of every week in lawful currency of the United States or by negotiable check there- for payable on demand at par. If wages are paid by check, the em- ployer shall provide reasonably accessible facilities for the cashing thereof at par without expense to the employee. Employers shall also provide such identification as necessary to utilize such facilities. (b) Employers and/or their agents shall accept no rebates directly or indirectly on such wages, nor give anything of value or extend favors to any person for the purposes of influencing the rates of wages or the working conditions of their employees, except when required by law. Section 8. No employee shall be dismissed or demoted for making a complaint or giving evidence with respect to an alleged violation of this Code. Section 9. No member of this Division shall directly or indirectly sublet to any employee, laborer, or mechanic, the labor services re- quired by any contract secured by such member, except where said labor services are compensated at a rate of not less than the minimum prescribed herein or in any applicable agreement approved as pro- vided in Chapter I of this Code or Section 7 (b) of the Act. This shall not be interpreted to affect or modify the last paragraph of Section 2 (A), Article III of Chapter I. Section 10. In no case shall a member of this Division avoid or evade the labor provisions of this Chapter by contracting his work to any person or persons subject to labor provisions less stringent than those provided in this Chapter. Section 11. A person whose earning capacity is limited because of age or physical or mental handicap or other infirmity may be em- ployed on light work at a wage below the minimum established by this Code, if the employer obtains from the State Authority, desig- nated by the United States Department of Labor, a certificate author- izing his employment at such wages and for such hours as shall be stated in the certificate. Each employer shall file monthly with the Divisional Code Authority a list of all such persons employed by him, showing the wages paid to, and the maximum hours of work for, all such persons. Article III — Administration Section 1. A divisional code authority is hereby constituted to administer this Code within this Division. The Divisional Code Au- thority shall consist of ten (10) individuals, six (6) of whom shall be selected from the Board of Directors of this Association and elected to the Divisional Code Authority by a majority vote of said Board of Directors to serve for a term of one year, or until their successors are elected. The National Industrial Recovery Board shall appoint the four (4) remaining members of the Divisional Code Authority on a fair basis from and to represent the members of this Division who are not members of the Association. Recom- mendations and nominations for such appointments may be made by the Board of Directors of the Association or by any member of the Division who is not a member of the Association. Any such member shall serve for a term of one (1) year, or until he becomes a member of the Association, or until his successor shall have been selected by the members of the Division who are not members of the Association, pursuant to a method of selection satisfactory to and approved by the National Industrial Recovery Board, and such successor shall have been approved by the National Industrial Re- covery Board, whichever of said periods shall be the less. The term of office of every member of the Divisional Code Author- ity, except as herein provided, shall be one (1) year, and except that any member appointed to fill a vacancy shall be selected for the balance of the term of the vacant membership. Section 2. Subject to such regulations as may be issued by the National Industrial Recovery Board, the Divisional Code Authority shall have such powers and duties as are conferred in Article IV, Subdivision B, Section 2 of Chapter I of this Code, and shall also have the following powers and duties : To make recommendations to the National Industrial Recovery Board for the coordination of provisions of this Chapter, and its administration with the provisions and administration of any other code of fair competition that may be related to this Division or its members. Section 3. (a) It being found necessary in order to support the administration of this code and to maintain the standards of fair competition established hereunder and to effectuate the policy of the Act, the Code Authority is authorized : (1) 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 Code ; (2) To submit to the National Industrial Recovery 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 expenses for the foregoing purposes, and (2) an equitable basis upon which the funds necessary to support such budget shall be contributed by members of this Division; (3) After such budget and basis of contribution have been approved by the National Industrial Recovery Board, to determine and obtain equitable contribution as above set forth by all members of this Division, and to that end, if necessary to institute legal proceedings therefor in its own name. (b) Each member of this Division 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 National Industrial Recovery Board. Only members of this Division complying with the code and contributing to the expenses of its administration as hereinabove provided, unless duly exempted from making such con- tributions, shall be entitled to participate in the selection of mem- bers of the Code Authority or to receive the benefits of any of its voluntary activities or to make use of airy emblem or insignia of the National Recovery Administration. (c) The Code Authority shall neither incur nor pay any obliga- tion substantially in excess of the amount thereof as estimated in its approved budget, and shall in no event exceed the total amount contained in the approved budget, except upon approval of the National Industrial Recovery Board; and no subsequent budget shall contain any deficiency item for expenditures in excess of prior budget estimates except those which the National Industrial Recovery Board shall have so approved. Section 4. Costs and Price Gutting. — (a) The standards of fair competition for the Industry with reference to pricing practices are declared to be as follows : (1) Wilfully destructive price cutting is an unfair method of competition and is forbidden. Any member of the Industry or of any other Industry or the customers of either may at any time com- plain to the Code Authority that any filed price constitutes unfair competition as destructive price cutting, imperiling small enterprises or tending toward monopoly or the impairment of code wages and working conditions. The Code Authority shall within five (5) days afford an opportunity to the member filing the price to answer Such complaint and shall within fourteen (14) days make a ruling or adjustment thereon. If such a ruling is not concurred in by either party to the complaint, all papers shall be referred to the Research and Planning Division of NRA which shall render a report and recommendation thereon to the National Industrial Recovery Board. (2) When no declared emergency exists as to any given product, there is to be no fixed minimum basis for prices. It is intended that 8 sound cost estimating methods should be used and that consideration should be given to costs in the determination of pricing policies. (3) When an emergency exists as to any given product, sale below the stated minimum price of such product, in violation of (b) hereof, is forbidden. (b) Emergency Provisions. — (1) If the National Industrial Re- covery Board, after investigation shall at any time find both (a) that an emergency has arisen within the Industry adversely affecting small enterprises or wages or labor conditions, or tending toward monopoly or other acute conditions which tend to defeat the purposes of the Act; (b) that the determination of the stated minimum price for a specified product within the Industry for a limited period is necessary to mitigate the conditions constituting such emergency and to effectuate the purposes of the Act, the Code Authority may cause an impartial agency to investigate costs and to recommend to the National Industrial Recovery Board a determination of the stated minimum price of the product affected by the emergency and there- upon the National Industrial Recovery Board may proceed to deter- mine such stated minimum price. (2) When the National Industrial Recovery Board shall have determined such stated minimum price for a specified product for a stated period, which price shall be reasonably calculated to mitigate the conditions of such emergency and to effectuate the purposes of the National Industrial Recovery Act, it shall publish such price. Thereafter, during such stated period, no member of the Industry shall sell such specified products at a net realized price below said stated minimum price and any such sale shall be deemed destructive price cutting. From time to time, the Code Authority may recom- mend review or reconsideration or the National Industrial Recovery Board may cause any determinations hereunder to be reviewed or reconsidered and appropriate action taken. Article IV — Trade Practice Rules Section 1. General Definitions. — For all purposes of the Code the acts described in this Section shall constitute unfair practices and are prohibited. Any member of this Division who shall directly or indirectly through any officer, employee, agent, or representative, use, employ, or permit to be employed, any of the following unfair practices, shall be guilty of a violation of the Code. (a) The submission of a bid or acceptance of a contract to per- form work in which the contractor does not comply with Section 4, Article III. (b) No member of the Division shall submit a bid on an opera- tion after bids have been opened, except where all previous bids have been rejected in writing and a period of ninety (90) days has elapsed since such rejection, or where there has been a substantial change in the plans and/or specifications, or evidence of collusion or such marked differences between the bids submitted and the awarding authority's estimate as to the valuation of the work as would indicate to the awarding authority and his code authority the necessity of new bids in order to secure fair competition. (c) The misrepresentation in a bid of the work and materials included in estimate or failure to include in any estimate all work specifically called for in plans and specifications for this division of. a contract. (d) No member of the Division shall accept financing from, or shall agree to finance the General Contractor, or cut stone or granite fabricator or their representative or agent. No member of this Division shall agree to accept a delay in payments for a period greater than ten (10) days after the general contractor has been paid and shall be paid in full the amount received by the general contractor in this division contract. (e) The Code Authority shall, from time to time, stipulate and submit to the National Industrial Recovery Board after such notice as it shall prescribe, what constitutes unsafe or bad construction practices under this Code. Upon the approval of the National In- dustrial Recovery Board of such construction practices as unsafe or bad, they shall constitute unfair trade practices. (f) The furnishing of bids without adequate compensation there- for to a general contractor, cut stone, granite, or marble contractor, who uses the bid for checking purposes and performs the work him- self. (g) No member of this Division, after the bids have been sub- mitted, shall make credit allowances to the awarding authority until after the contract has been awarded and signed, and then such credits shall be made only at prices contained in his original proposal for this work and as listed in duplicate bid in depository. (h) No member of this Division shall make any secret payment of allowance or rebates, refunds, or commissions, or unearned dis- counts, whether in the form of money or otherwise or secretly extend to certain purchasers special services or privileges not extended to all purchasers under like terms and conditions. (i) The willful making or causing to be made of any false or de- ceptive statements, cither written or oral, of or concerning the busi- ness policy of a competitor, his workmanship, selling price, or his finamial, business, or personal standing. (j) No contract -shall be entered into which fails to include all estimated labor costs, as well as the cost of all materials required, to perform a contract under this Division. Section 2. Bid depositories for filing duplicate bids shall be desig- nated by the Code Authority according to such rules and regulations as it may prescribe from time to time, subject to the approval of the National Industrial Recovery Board. Article V Nothing in this Code shall nullify the provisions of Article VII, Section 9 of Chapter I. Article VI — Reference to Provisions or Chapter I Provisions of Chapter I of this Code, including any amendments thereto, except as herein specifically provided, are specifically incor- porated herein with the same force and effect as if set forth herein in full. 10 Article VII — Registration of Members of the Division Each member of this Division within thirty (30) days after the effective date of this Chapter, shall register with the Divisional Code Authority. All members of this Division who shall be within the Stone Setting Contractors' Division thereafter shall likewise register with the Divisional Code Authority. Registration of the members of this Division shall include the full name and mailing address of such member. Application may be made by the Divisional Code Authority to the National Industrial Recovery Board for an exten- sion of the time limit for registration by any member of this Divi- sion if it appears that the time limit as provided herein may cause injustice or undue hardship to any member of this Division. Article VIII — Review of Acts of Divisional Code Authority If the National Industrial Recovery Board shall determine that any action of the Divisional Code Authority or any agency thereof may be unfair or unjust or contrar}^ to the public interest, the Na- tional Industrial Recovery Board may require that such action be suspended to afford an opportunity for investigation of the merits of such action and further consideration by the Divisional Code Au- thority or agency pending final action which shall not be effective unless the National Industrial Recovery Board approves or unless it shall fail to disapprove after thirty (30) days' notice to it of inten- tion to proceed with such action in its original or modified form. Article IX — Amendments Subject to the provisions of Section 2 (c) of Article IV, B, of Chapter I of this Code, the provisions of this Chapter except as to provisions required by the Act, may be amended on the basis of experience or changes in circumstances, such amendments to be based upon application to the National Industrial Recovery Board and such notice and hearing as it shall specify, and to become effective on its approval. Article X — Mandatory Provisions of the Act Section 1. Labor Provisions of the Act. — Employees shall have the right to organize and bargain collectively through representatives of their own choosing and shall be free from the interference, restraint, or coercion of members of the Division, 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; no employee and no one seeking employment shall be required as a condition of employment to join any company union or to refrain from joining, organizing or assist- ing a labor organization of his own choosing; members of the Divi- sion shall comply with the maximum hours of labor, minimum rates of pay, and other conditions of employment, approved or prescribed by the President. 11 Section 2. Presidential Powers. — This Code, and all the provisions thereof, and of any Chapter thereof, are expressly made subject to the right of the President, in accordance with the provisions of sub- section (b) of Section 10 of the Act, from time to time to cancel or modify any order, approval, license, rule or regulation issued under Title I of the Act and specifically, but without limitation to the right of the President to cancel or modify his approval of this Code, or of any addition thereto, or any conditions imposed by him upon such approval. Article XI — Effective Date This Chapter shall become effective in this Division on the thirtieth (30th) day after its approval by the National Industrial Recovery Board. Approved Code No. 244 — Supplement No. 20. Registry No. 1030-2-U4. O