Press Release

For immediate release

R-14

(25)

September 22, 1938

U. S. DEPARTMENT OF LABOR

Wage and Hour Division

Administrator Elmer F. Andrews, of the Wage and Hour Division of the U. S. Department of Labor, today (Thursday) issued the Rules of Procedure which will be followed by Industry Committees in their work of investigating and recommending minimum wage rates between 25 and 40 cents an hour.

The rules were issued under section 5(c) of the Fair Labor Standards Act which requires the Administrator to establish the procedure to be followed.

The first committee to operate under the new rules will be the Cotton, Rayon, and Silk Textile Industry Committee, of which Donald Nelson, of Chicago, is chairman. Mr. Andrews stated that this committee will convene in Washington October 11, 1938, to begin its work.

Two-thirds of the members of an industry committee will constitute a quorum and a decision cannot be made by a committee with less than a majority vote of its members.

When the committee has filed a report with the Administrator containing its recommendations, it will be reconvened upon the order of the Administrator.

Industry committees are advised in the Rules to adhere closely to the policy of the Act to correct and as rapidly as is practical to eliminate, in industries engaged in (interstate) commerce or in the production of goods for (interstate commerce) "labor conditions detrimental to the maintenance of the minimum standard of living necessary for health, efficiency and general well-being of workers."

After giving due consideration to economic and competitive conditions, the committee is required to recommend the highest minimum wage rate or rates (within the maximum limits prescribed) which will not substantially curtail employment in the industry.

Committee reports containing recommendations for a wage order are to be filed as soon as possible after completion of an investigation. The report shall contain recommendations as to the minimum wage rate or rates for the industry.