The National Recovery Administration: An Analysis and Appraisal

By Leverett S. Lyon; Paul T. Homan et al. | Go to book overview

CHAPTER V
THE CODE-MAKING PROCESS

In formulating rules and regulations to govern code making, the NRA was bound by few statutory requirements. As earlier examination has shown (page 9), the law required only that the representative character of applicant groups be determined and that "public notice and hearing" be afforded. All rules and regulations, administrative devices, and procedures designed to secure an orderly and legal process in formulating codes of fair competition were prescribed either by executive order of the President, or by direct action of the Recovery Administrator. Supplementing a basic organization including administrative officials and legal and research divisions, the NRA added to its structure the three advisory boards to represent the interests of business, labor, and consumer groups respectively at each step of the code-making process. In the interests of legality as well as to facilitate administrative action, it created the device of the public hearing. These elements of the plan are described as follows in a condensed official statement:

As to the machinery -- the practical way of accomplishing what we are setting out to do, when a trade association has a code ready to submit and the association has qualified as truly representative, and after reasonable notice has been issued to all concerned, a public hearing will be held by the Administrator or a deputy. A Labor Advisory Board appointed by the Secretary of Labor will be responsible that every affected labor group, whether organized or unorganized, is fully and adequately represented in an advisory capacity and any interested labor group will be entitled to be heard through representatives of its own choosing. An Industrial Advisory Board appointed by the Secretary of Commerce will be responsible that every

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