Generaf Johnson Approves Lumber's Plan of Industry Controf Organization

Prospective Administrator of Industries Recovery Act States General Administrative Position---National Association of Manufacturers Adopts Lumber Code and Administrotive Set-up as Models for All Groups---Principal Provisions

Washington, June 6.-In accordance with the recommendation of the conference of lumber and timber products industries at Chicago, May 24 and 25, the Executive Committee of the National Lumber Manufacturers Association arranged a conference with Gen, Hugh S. Johnson, prospective administrator of the Industry Recovery Act.

In this conference Gen. Johnson expressed his approval of the plan of organization of the lumber industry in coordination with the administration of the act. The tentative outline of code of fair competition submitted by the Executive Committee was stated to be in line with Gen. Johnson's ideas on the subject because under it no minority within the industry or within any division of it is shut out of an equal opportunity to participate in the formulation of the code.

The Adminstration desires that the submitted codes be based on limitation of the work day, coupled with limitation of the work week or month and minimum wages; together with such provisions regarding production and minimum prices as may be necessary to make the proposed provisions effective. The general position of the Administration seems to be that at the beginning the code should not include other matters that do not have a substantial bearing upon the enforcement of provisions regardinC (1) hours, (2) minimum wages, (3) production and (4) minimum prices. As the Administration proceeds with its work other features of the codes will be adopted.

Protection Against "Chiseling"

It was made clear at the conference that whereas the minority group in any industry must be protected, there must also be protection of majorities against minority "chiseling" after the code has been approved. It will probably be up to the industry through the Emergency Central Committee to devise the most practical and effective way of preventing any devious evasion of responsibility of performance under the provisions of the code and the Administration will back it up.

At the Emergency Meeting of the National Association of Manufacturers held here on June 3, a booklet was distributed containing a model code of fair competition for the guidance of organizations planning to cooperate with the Industry Control administration. The form and virtually the entire wording of this draft are those of the lumber industry tentative outline of code and is so accredited. The "model plan" of organization drafted is precisely the plan adopted by the Lumber Conference in Chicago week before last. That plan starts with a National Control Committee of five, which is the contact with the Administration of the act, with similar committees from other building material industries, and with an Emergency Central Committee of twenty members representing the timber products industries. The last named committee has contacts with committees representing wholesale distributors, retail distributors, and exporters. The Emergency Central Committee is also the medium through which the Executive Committee of the various regional or divisional associations or groups of lumber manufacturers make their contacts with the National Control Committee. Each division or regional Executive Committee deals for and with its group on hours and wages, production, prices, and enforcement provisions.

Principal Code Provisions

The principal provisions of the outline code either as required by the bill or proposed by the Committee are in substance as follows:

1. Employes have the right to bargain collectively through representatives of their own choosing, but no employe shall be required to join or to refrain from joining a labor organization.

2. Employers agree to comply with the maximum hours of labor, minimum rates of pay and other working condi. tions prescribed by the Administration.

3. Ifours of labor, to be specified as later developed.

4. Minimum wages shall be as specified in a scale to be adopted and revised from time to time.

5. Each established division of the set-up is to undertake at once the formulation of standards in respect to hours of labor, minimum wages and other working conditions. These standards are to be submitted to the Emergency National Committee of the Lumber Industry and upon adoption shall be binding upon all concerned.

6. The Emergency National Committee of the Lumber Industry, co-operating with the Timber Conservation Board, is to determine and revise estimates of expected lumber consumption and derive therefrom quotas for each division, which divisional quotas are to be distributed within the division.

7. Each division is to establish and revise a scale of minimum prices for the various classifications of logs, lumber and timber products. This scale of prices shall govern upon adoption by the Emergency National Committee. In connection with prices it is declared to be unfair to offer for sale non-standard grades, sizes, dimensions or classifications of logs, lumber and timber products for the purpose of evading price regulation.

8. Distribution is governed, except as otherwise provided, by the National Code of Trade Practices and National Sales Policy.

9. Manufacturers mav not sell to wholesaler or other at ress than minimum prices ap-