J 637 D Registry No. 501—06 NATIONAL RECOVERY ADMINISTRATION PROPOSED CODE OF FAIR COMPETITION FOR THE TEXTBOOK PUBLISHING INDUSTRY AS SUBMITTED ON SEPTEMBER 6, 1933 preuMJNTa pen. u.s. otK*rroKY The Code for the Textbook Publishing 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 Submitted by NATIONAL TEXTBOOK PUBLISHERS' COUNCIL cm THE CODE OF THE TEXTBOOK PUBLISHING INDUSTRY FOR THE ADVANCEMENT OF THE NATIONAL INDUS- TRIAL RECOVERY ACT Article I — Purpose of the Code Section 1. This Code, hereinafter referred to as " the Code ", is adopted pursuant to Title I of the National Industrial Recovery Act. Sec. 2. The purpose of the Code is to effectuate the provisions of the National Industrial Recovery Act insofar as it is applicable to the Textbook Publishing Industry, to increase employment, to estab- lish fair and adequate wages and fair hours of labor, and to elimi- nate unfair trade competition in the Textbook Publishing Industry. Article II — Definitions Section 1. The term " Textbook Publishing Industry " is defined as the business of publishing and selling books, printed materials, and/or accessories, in the United States and its possessions, for use in educational institutions such as public schools, private schools, colleges, and universities, and for instructional use by individuals or groups. Sec. 2. The term " Member of the Textbook Publishing Industry " is defined to include any person, partnership, corporation, associa- tion, or public body now or hereafter engaged in the Textbook Pub- lishing Industry as defined above. Sec. 3. The term " unfair competition " is defined as any act on the part of any Member of the Textbook Publishing Industry in violation, under the National Industrial Recovery Act, of the pro- visions of this Code. Sec. 4. The term " person " means and includes any natural per- son, partnership, corporation, association, institution, or public body. Article III — Membership Section 1. Any Member of the Textbook Publishing Industry shall be entitled to be a participating member of the National Text- book Publishers' Council as hereinafter provided for, upon accept- ing his share of the responsibilities and costs of such participation, and shall be entitled to all the benefits thereof; but all Members of the Textbook Publishing Industry, in accordance with the provi- sions of the National Industrial Recovery Act, shall be subject to the provisions of the Code when approved by the President of the United States, whether such Members of the Textbook Publishing Industry are or are not Members of the National Textbook Pub- lishers' 'Council. Article IV — Administration of the Code Section 1. The Code shall be administered by the National Text- book Publishers' Council founded for this purpose and whose mem- bership is made up as follows : each Member of the Textbook Pub- lishing Industry who agrees to comply with the provisions of the Code, may designate one executive from its own organization as 9473—33 (1) 2 its representative to serve until replaced by the Member of the Textbook Publishing Industry making such designation, and such representatives so designated shall constitute the National Text- book Publishers' Council, hereinafter referred to as the " Council." Sec. 2. The members of the Council shall elect from its member- ship a Chairman, a Vice Chairman, a Secretary, and a Treasurer, and shall then elect from its membership not more than seven, who, together with the elected officers, shall constitute the Executive Committee. All officers and members of the Executive Committee shall serve for one year or until their successors are elected, or as may be provided in the By-Laws of the Council. Sec. 3. In accordance with the By-Laws of the Council, the admin- istration of the Code shall be vested in and under the direction of the Executive Committee of the National Textbook Publishers' Coun- cil, and said Executive Committee shall have all the powers and duties conferred upon it by the Code, and such other powers and duties as may be necessary and proper to fully administer the Code and effectuate its purpose. Sec. 4. Unless otherwise provided by the Bj'-Laws of the Council, the Chairman of the Council shall be the Chairman of the Executive Committee ; he shall call meetings of the Executive Committee upon his own initiative or when requested by four Members of the said Committee; he shall call such meetings of the Council as may, in the judgment of the Executive Committee, be deemed necessary, or upon a signed request of one fourth of the members of the Council. The Vice Chairman of the Council shall be the Vice Chairman of the Executive Committee, and in the absence of the Chairman shall act in his place. Sec. 5. Unless otherwise provided by the By-Laws of the Council, the Secretary of the Council shall be the Secretary of the Executive Committee, and under the direction of said Committee he shall keep all books (except books of account) and records of the Council and the Executive Committee ; and, except as such Committee shall other- wise provide, shall collect, file, and tabulate all statistics and other information required by the Executive Committee for the proper administration of the Code. Sec. 6. The Treasurer of the Council shall, under the direction of the Executive Committee and in accordance with the By-Laws of the Council, collect, have custody of, and have charge of the disposi- tion of all funds collected under the Code ; he shall keep proper books of account of the collection and distribution of such funds; and he shall perform such other duties as may be prQA'ided in the By-Laws of the Council. Sec. 7. In accordance with the By-Laws of the Council, the Execu- tive Committee shall appoint, remove, and fix the compensation of such employees as said Committee shall deem necessary for the administration of the Code, and provide such office facilities as may be necessary. Sec 8. The expenses of administering the Code shall be paid by the Members of the Textbook Publishing Industry, and funds for defraying such expenses shall be payable to the Treasurer as follows: (a) Each Member of the Industry shall pay annually $100.00; and (b) in addition the Executive Committee may levy against each Member of the Industry such proportionate assessments as may be necessary. Sec. 9. The Executive Committee shall have the powers and duties as provided herein, and shall also (a) from time to time require such reports from the Members of the Textbook Publishing Industry as may be necessary to inform the said Committee adequately of the administration and enforcement of this Code and to satisfy all the requirements of the National Recovery Administration : (b) upon complaint of interested parties, or upon its own initia- tive, make such inquiry and investigation into the operation of the Code as may be necessary, and take such action as may be required by or permitted under the Xational Industrial Recovery Act ; (c) make rules and regulations necessary for the administration and enforcement of the Code ; (d) submit to the Council for adoption such supplementary provi- sions, amendments, or revisions to the Code or additional Code as may be found desirable, and, when adopted, shall present the same for the approval and ratification of the National Recovery Adminis- tration: and (e) appoint from time to time such other or subcommittees as may be necessary to carry out the provisions of the Code. Members of the committees so appointed may be from the Council, the Execu- tive Committee, or from both. Sec. 10. The Executive Committee, with such additional mem- bers as may be recommended or appointed by the National Recovery Administration, shall constitute a general planning and coordinat- ing Board for the Industry. Article V — Hours of Labor. Rates of Pat, and Conditions of Employment Section 1. Pursuant to Section 7 (a) of the Xational Industrial Recovery Act, the Code shall be subject to the following conditions: (a) Employees shall have the right to organize and bargain col- lectively through representatives of their own choosing and shall be free from the interference, restraint, or coercion of employers of labor or their agents in the designation of such representatives or in self-organization or in other concerted activities for the purpose of collective bargaining or other mutual aid or protection. (b) No employee and no one seeking emplojTnent shall be required as a condition of employment to join any company union or to re- frain from joining, organizing, or assisting a labor organization of his own choosing. (c) Employers shall comply with the maximum hours of labor, minimum rates of pay, and other conditions of emploj-ment, ap- proved by the President of the United States. Sec. 2. No individual shall be employed in the Textbook Publish- ing Industry in excess of forty hours in any one week, except during the period in which seasonal or peak demand places an unusual or temporary burden upon production, distribution, stock taking, or bookkeeping, provided, however, that while an employee may be per- mitted to work in excess of forty hours in any one week in order to take care of a peak demand upon the business as described above, the number of such excess hours worked shall be so restricted that the average number of hours worked per week by the given employee shall not exceed forty within any six months' period. Sec. 3. Except as hereinafter provided, within ten days after the effective date of this Code, the minimum wage that shall be paid in the Textbook Publishing Industry to any employee shall not be less than $15.00 per week in any city of over 500,000 population, or in the immediate trade area of such city; nor less than $14.50 per week in any city of between 250,000 and 500,000 population or in the im- mediate trade area of such city ; nor less than $14.00 per week in any city of between 2,500 and 250,000 population or in the immediate trade area of such city; and in towns of less than 2,500 population all wages shall be increased by not less than twenty percent provided that such increase shall not require wages in excess of $12.00 per week. Office boys or girls, learners, and casual employees may be paid not less than eighty percent of minimum wages as herein pro- vided, but the total amount paid to such office boys or girls, learners, and casual employees shall not exceed in any calendar month five percent of the total amount paid by an employer to all his employees. Sec. 4. The provisions for a minimum w T age in this Code shall establish a guaranteed minimum rate of weekly pay regardless of whether the employee is compensated on the basis of a time rate or on a piecework performance. If the provisions herein for maximum hours worked per week shall entail a reduction in the number of hours worked per week heretofore, no reduction in the present com- pensation of emploj^ees now receiving in excess of the minimum wage herein provided shall thereby result. Sec. 5. No Member of the Textbook Publishing Industry shall employ any person under sixteen years of age. Article VI — Industry Regulations Section 1. Members of the Textbook Publishing Industry, as requested by the Executive Committee, shall furnish the said Com- mittee such information as may be necessary for the administration of the Code and for the enforcement of the rules and regulations thereof. Sec. 2. Within ten days after the effective date of this Code, each member of the Textbook Publishing Industry shall file with the Executive Committee the title, list price, and maximum discount f.o.b. publisher of each regular publication or accessory offered for sale or adoption in the United States and its possessions, intended for elementary and secondary school use, and thereafter the title, list price, and maximum discount f.o.b. publisher of each additional publication or accessory not previously filed shall be similarly filed. The publication of a so-called special edition of a regular text- book representing immaterial manufacturing changes or slight changes in content for the purpose of effecting a disproportionate reduction in price shall be considered unfair practice. Nothing in this section, however, shall be construed to prohibit the adaptation of a regular edition of a textbook to the grade or course of study requirements of any state, city, or district school system, or to other reasonable requirements of adopting boards. If the adaptation of a regular edition causes any change in price, such price shall be duly filed with the Executive Committee. Changes in prices of books so listed shall be filed with the Executive Committee 10 days before such books shall be sold or offered for sale or adoption at such revised price. Prices offered in sealed competitive bids for adoption shall be filed with the Executive Committee within ten days after the bids are opened and samples of books so offered shall be submitted to the Committee. All prices filed with the Executive Committee shall be included in official current price lists and catalogs as issued from time to time by members of the Industry. Sec. 3. It shall be unfair competition for any Member of the Text- book Publishing Industry to sell, offer, or contract for sale or adop- tion, directly or indirectly, by any means whatsoever, any product of the Textbook Publishing Industry at a lower price or at a greater discount than listed and/or filed by its publisher with the Executive Committee, or on more favorable terms than provided in the Code. Sec. 4. On and after January 1, 1934, an exchange allowance may be made as follows : When an old. displaced, complete, basal ele- mentary, and/or high-school textbook of the same subject and grade is received in exchange for a new and different textbook introduced in its stead, an additional discount of not in excess of five percent of the list price of the new book purchased may be allowed. New and salable books of the same subject and grade may be accepted dollar's worth for dollar's worth, but the credit for any one book shall not be in excess of the net charge for the new book. The num- ber in the aggregate of the new and old books accepted for exchange shall not exceed the number of new books purchased. All books subject to exchange must be delivered to the Member of the Text- book Publishing Industry making the exchange before any credit shall be allowed. Sec. 5. Inasmuch as the sending of sample textbooks for examin? tion is a recognized part of the promotional work of the Tex + ' '°^ Publishing Industry, it is agreed that such samples shf>V ue sen "j complimentary only to school boards, school official* :