637— P Registry No. 504—1—02 NATIONAL RECOVERY ADMINISTRATION PROPOSED CODE OF FAIR COMPETITION FOR THE BANK NOTE PRINTING INDUSTRY AS SUBMITTED ON SEPTEMBER 6, 1933 The Code for the Bank Note Printing Industry in its present form merely reflects the proposal of the above-mentioned industry, and none of the provisions contained therein are to be regarded as having received the approval of the National Recovery Administration as applying to this industry UNITED STATES GOVERNMENT PRINTING OFFICE WASHINGTON : 1933 For sale by the Superintendent of Documents, Washington, D.C. Price 5 cents StJBMITTEa) BY ASSOCIATION OF BANK NOTE COMPANIES (II) CODE FOR THE ASSOCIATION OF BANK NOTE COMPANIES PREAMBLE To provide a free and ready market for the buying and selling of securities, such as bonds, stock certificates, and other negotiable documente representing value, the various stock exchanges of the United States have become a necessity to our business structure. Owing to the enormous monetary value of the securities and their wide distribution, it is imperative that they be protected against counterfeiting and duplication and be safeguarded during manu- facture in a manner equal to that employed in the making of the currency of the United States Government. For this purpose Bank Note Companies have been organized whose particular and special function it is to engrave and print securities. The principal stock exchanges through j^ears of experience have found it necessary to require the highest standard of qualifications to be met by those bank note companies preparing securities dealt in or listed on their Boards. Among these qualifications are : Quality of workmanship, experience and reputation, financial responsibility, proper plant and vault facilities. There are ten bank note companies in the United States that have been qualified to engrave securities for listing on all important stock exchanges. Of the ten bank note companies, eight are subscribers to this Code. The remaining two have been invited to join but as yet have not signified their intention to do so. Code To effectuate the policj^ of Title I of the National Industrial Re- covery Act the following provisions are established as a National Industrial Recovery Code for bank note companies. The term Bank Note Companies shall be understood to apply only to those companies wdiose business includes engraving of securities acceptable for listing on all stock exchanges in the United States of America. 1. Working Hours. — To effectuate the policy of this Code of Fair Competition maximum hours of labor shall be uniform for the whole country. Standard working hours shall be eight hours per day, five days per week, for all mechanical employees. The maximum hours referred to in this section shall not apply to employees in a mana- gerial or executive capacity w^ho now receive more than $35,000 per week, nor to employees on emergency maintenance and repair work, nor to watchman service. When necessary, overtime and extra shifts shall be permitted, provided that no mechanical employees shall work more than the maximum 40 hours per week during the present 9664—33 (1) emergency. It is not the intention of this paragraph to limit the number of clays a plant may operate. In case of necessity, arising from an emergency or from the char- acter of the work, or from the inability to obtain competent labor, permission maj^ be granted b}^ the Executive Committee of the As- sociation, upon proper showing being made, to exceed the foregoing limitation, provided such permission shall be granted onlj^ upon such conditions imposed by the Executive Committee as will make certain that no emploj^ee will work more than 1,040 hours in any six months. 2. The minimum wage in this industry shall be $14.00 per week of 40 hours, or 35 cents per hour for part time. 3. (A) 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 employers, or their agents, in designation of such representatives or in self-organi- zation or in other concerted activities for the purpose of collective bargaining or other mutual aid or protection; (B) No employee, and no one seeking employment, shall be re- quired as a condition of employment to join any compan}^ union or to refrain from joining, organizing, or assisting a labor organiza- tion of his own choosing ; (C) Employers shall comply with the maximum hours of labor, minimum rates of pay, and other conditions of employment, ap- proved or prescribed by the President : (D) Employers and employees shall be free to bargain individu- ally or collectively; (E) Emploj^ees may be selected, retained, or discharged and ad- vanced on the basis of individual merit regardless of affiliation or nonaffiliation with any labor organization. 4. The supervising and fact-finding agency for the Bank Note Companies shall be The Association of Bank Note Companies, 1427 Eye Street NW., Washington, D.C. The Companies shall furnish to this agency duly certified reports every four weeks showing number of employees, maximum hours worked by any employee in any week, and actual hours worked by the various occupational groups of employees, and minimum hourly wages. It shall be the dutj^ of this agency to compile these figures when, as, and if the President requires such compilation. It shall also be the duty of this agency to investigate and develop facts regarding complaints from any source and present the resulting data to the Administrator, if circumstances warrant and if so instructed by the Association. 5. Standards. — To provide a means to settle questions as to the proper preparation of any securities there shall be set up a committee of five persons, three of whom shall be from the bank-note industry, one of whom shall be a representative of the Stock Exchanges, one from the United States Bureau of Engraving and Printing, Wash- ington, D.C. 6. Selling Below Costs. — The industry wishes to establish rules as soon as satisfactory cost-finding methods, etc., may be worked out. 7. Firvi Bidding. — Violation of the principle of firm bidding shall be a violation of the Code. Firm bidding shall be understood to mean that where there is competitive bidding the original bid sub- mitted shall not be altered unless there is a change of specifications, and such revised specifications submitted to all bidders. 8. Engrawing Charges. — All engravings are an element of cost and must be charged for when made and shall not be prorated over sub- sequent orders. 9. Rehates. — There shall be no commissions, rebates, or allowances made to any interests representing the buyer. 10. Guaranties. — There shall be no guaranty given against ad- vances or declines in prices. 11. Competitors'' Employees. — IS^o person while in the employ of a member of this Industry shall be induced by any means whatsoever to leave that employment by any other member. 12. Terms of Payment. — The regular terms of payment shall be thirty days net. Interest to be charged after maturity at the pre- vailing legal rate in the State in which work is done. 13. Misrepresentation. — No members of this Industry shall make misrepresentations regarding its products or otherwise. 14. Defaonation. — No member of this Industry shall resort to defa- mation of a competitor or its product. 15. Storage of TlnbiUed) Orders. — The principle of inducing com- panies to place orders for securities to be prepared and stored in vaults of members of this Industry to be billed and paid for as delivered is to be discouraged. 16. Authors'' Chojuges. — Proper charges shall be made for substan- tial authors' changes in proofs. 17. The industry may, when facts become available, present addi- tions to this Code for eliminating destructive competitive practices and for stabilizing the industry. 18. The President may from time to time cancel or modify any order, approval, license, rule, or regulation issued under this Title. o UNIVERSITY OF FLORIDA 3 1262 08584 7696