V Approved Code No. 187— Amendments Nos. 1-2 Registry No. 235—1—01 NATIONAL RECOVERY ADMINISTRATION AMENDMENTS TO CODE OF FAIR COMPETITION FOR THE COTTON CLOTH GLOVE MANUFACTURING INDUSTRY AS APPROVED ON MAY 5, 1934 WE DO OUR PART 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 Superintendent of Documents, Government Printing OflBce, 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. : Chamber of Commerce Building. Chicago, 111.: Suite 1706, 201 North Wells Street. Cleveland, Ohio : Chamber of Commerce. Dallas, Tex. : Chamber of Commerce Building. Detroit, Mich. : 801 First National Bank Building. Houston. Tex. : Chamber of Commerce Building. Indianapolii?, Ind. : Chaml>er of Commerce Building. Jacksonville, Fla. : Chamber of Commerce Building. Kansas City, Mo. : 1028 Baltimore Avenue. Los Angeles, Calif. : 1163 South Broadway. Louisville, Ky. : 408 Federal Building. Memphis, Tenn. : 229 Federal Building. Minneapolis, Minn. : 213 Federal Building. New Orleans. La. : Room 225-A, Customhouse. New York. N.Y. : 734 Customhouse. Norfolk, Va. : 406 East Plume Street. Philadelphia, Pa. : 422 Commercial Trust Building. Pittsburgh. Pa. : Chamber of Commerce Building. Portland, Oreg. : 215 New Post Office Building. St. Louis, Mo.: 506 Olive Street. San Francisco, Calif. : 310 Customhouse. Seattle, Wash.: 809 Federal Office Building. Approved Code No. 187 — Amendments Nos. 1-2 AMENDMENTS TO CODE OF FAIR COMPETITION FOR THE COTTON CLOTH GLOVE MANUFACTURING INDUSTRY As Approved on May 5, 1934 OEDER Amendments to Code of Fair Competition tor the Cotton Cloth Glove Manufacturing 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 three amend- ments to a Code of Fair Competition for the Cotton Cloth Glove Manufacturing Industry, and hearings having been duly held thereon and the annexed report on said amendments, 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 Recov- ery, pursuant to authority vested in me by Executive Orders of the President, including Executive Order No. 6543-A, dated December 30, 1933, and otherwise; do hereby incorporate, by reference, said annexed report and do find that the said Amendments I and II re- lating to Article VIII on Unfair Trade Practices and the Code as constituted after being amended comply in all respects with the per- tinent provisions and will promote the policy and purposes of said Title of said Act, and do hereby order that said Amendments I and II be and they are hereby approved, and that the proposed Amend- ment III relating to Article IV on Wages be and it is hereby denied and disapproved, and that the previous approval of said Code ig hereby modified to include an approval of said Code in its entirety as amended. Hugh S. Johnson, Administrator for Industrial Recovery, Approval 'recommended : Sol a. Rosenblatt, D-ivisiori A dministrator. Washington, D.C, May S, 193J^. 57214° 544-33 34 (1) REPOKT TO THE PRESIDENT The President, The White Bouse. Sir: The Public Hearing on three proposed amendments to the Code of Fair Competition for the Cotton Cloth Glove Manufactur- ing Industry as submitted by the Code Authority was conducted on Monday March 12, 1934, ui Room " D " of the Washington Hotel, Washington, D.C. Every person who requested an opportunity to be heard was fairly heard in public in accordance with the require- ments of the National Recovery Administration as set forth in No- tice of Hearing: No. 71-A. Present at the hearing were duly au- thorized representatives of the Code Authority and other representa- tive members of the Industry. Article IX, Section 2 of the Code of Fair Competition for the Cotton Cloth Glove Manufacturing Industry, approved by you on December 30, 1933, provides that the code may be modified after due notice and hearing, on the basis of experience or changes in circum- stances ; such modification to be based on the recommendation of the Code Authority. In accordance with this provision, the Code Au- thority submitted two amendments designed to eliminate certain unfair practices not already covered in the approved Code. In final form these amendments have been approved by the Labor Advisory Board, Industrial Advisory Board, Consumers' Advisory Board, the Research and Planning Division and the Legal Division of the National Recovery Administration. The Code Authority has also indicated its assent and approval to the amendments as revised at a post-hearing Conference. It will be noted that the memoranda from the several Advisory Boards and the report of the Research and Planning Division refer to three amendments. This is due to the fact that three amendments were heard at the hearing. Though the Boards and Divisions gave unqualified approval to Amendments I and II relating to Article VIII on Unfair Trade Practices, the Research and Planning Divi- sion and the Labor Advisory Board emphatically objected to Amend- ment III, the intent of which was to grant a wage-differential to members of the Industry located in the Southern States. For this reason, and because wage-differentials between geographical areas have given rise to complaints of unfair competition in the past, it was deemed advisable to deny Amendment III. The Deputy Administrator in his final report to me on Amend- ments I and II to said Code, having found as herein set forth and on the basis of all the proceedings in this matter : I find that : (a) The Amendments I and II to said Cotle and the Code as amended are well designed to promote the policies and purposes of Title I of the National Industrial Recovery Act including the re- (2) moval of obstructions to the free flow of interstate and foreign com- merce which tend to diminish the amount thereof, and will provide for the general welfare by promoting the organization of industry for the purpose of cooperative action among trade groups, by induc- ing and maintaining united action of labor and management under adequate governmental sanction and supervision, by eliminating unfair competitive practices, by promoting the fullest possible utili- zation of the present productive capacity of industries, by avoiding undue restriction of production (except as may be temporarily re- quired), by increasing the consumption of industrial and agricultural products through increasing purchasing power, by reducing and relieving unemployment, by improving standards of labor, and by otherwise rehabilitating industry. (b) The Code as amended complies in all respects with the perti- nent provisions of said Title of said Act, including without limita- tion subsection (a) of Section 3, subsection (a) of Section 7 and sub- section (b) of Section 10 thereof. (c) The Code empowers the Code Authority to present the afore- said Amendments I and II on behalf of the Industry as a whole. (d) The Amendments I and II and the Code as amended are not designed to and will not permit monopolies or monopolistic practices. (e) The Amendments I and II and the Code as amended 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 amendments. For these reasons, the Amendments I and II relating to Article VIII on Unfair Trade Practices have been approved, and Amend- ment III relating to Article IV on Wages has been denied. Respectfully, Hugh S. Johnson, Administrator. May 5, 1934. AMENDMENTS TO CODE OF FAIR COMPETITION FOR THE COTTON CLOTH GLOVE MANUFACTURING INDUSTRY Amendment No. 1 I. The following to be added to Article VIII after Section 2 of the Code, as Subsection (a) : " No member of the Industry shall compensate any broker, commissioned salesman or selling agent, who is employed or established by or affiliated with another purchaser (except where such purchaser is a bona fide glove manufacturer sub- ject to the provisions of this Code) or any purchasing agency of the products of this Industry directly or indirectly." Amendment No. 2 II. The following to be added immediately after the above ag Subsection (b) : " No member of the Industry shall permit brokers, selling agents or salesmen on commission and/or salary to split and/or divide commission and/or salary with any purchaser, pur- chasing agency or group of purchasers of products of this Industry ; nor shall any member of the Industry enter into any such arrange- ment or agreement for such purposes; and provided further that any arrangement or contract between a member of the Industry and his or its brokers, salesmen or representatives shall be in writing and contain in substance the conditions of this provision." Amendment No. 3 The following to be inserted between subsections (d) and (e) of Article IV of the Code : " There is to be an exception to items A, B and D in that the basic wage for the southern section of the Indus- try shall be $1.00 per week of 40 basic hours less than the basic wage mentioned in these sections. The southern section of the Industry to be the states of Kentucky, Virginia, Tennessee, North and South Carolina, Georgia, Alabama, Mississippi, Florida, Arkansas, Texas and Louisiana." Approved Code No. 187 — Amendments Nos. 1-2. Registry No. 235-1-01. (4) ■ iiiiiii©"