were allowed. tovrite into code for tneir ir.'.-..t.-, l'bor classifications,
wape scales and hours that would mak:e iore c.ifficu!t the -ath of the out-
of-town manufacturers.

 To give a clear cut picture of tae cor;J]itio1? that lee to the then
existing{ situation, I quote from a 1oc',mennt ile on or nbout September
13, 1935 with the Administration (Dr. i'rrnha!1 revie,-: Division) anC ore-
pated by the former Code Director I-'.. iittent.L I. (:L'.ibit O)

 "Up until the year 1929, more th1,n 8'` ; of th-e indusct--.. ''as located.
within the Metropolitan area of Few.7 York. The industry loc-ted in New
York has been in contractual relations :ith the Union for almost twenty
years. In the year 1928, the first mrnrrufc'cturer moved a'-ay from the
unionized centre of L'etropolitan i-ev York, a510 bean manufacturing in
Allentown, Pennsylv-nia, under non-union conditions. At thi, time the
Union minimum wagess filed byr Prreemen. vith the manufacturers in 1ew York
were $45.00 a week for skilled -`orkers. Acunmission of Torkers to the
skilled branches were controlled by Lile Tnio-n, so that in some of those
branches of the industry- workers .ei'nec on a noiece '-ork brei- from $100.00
to $200.00 in a 44 hour week. Those amnr-.ifc turers :,ho moved from ie,' York
were unable to obtain -1killed v worker in their re.s'mcctive localities.
They were compelled to em~lo-.- workers withoutt an" previous e::oerience in
the industry. Machinery heretofore little used in industry ,,r a- invented
to take the place of manr of the operations )erfor edc. by skilled .-orkers
in the E'ew York factories. 7orke-xs in these neo. localiti'o r'ere oaid
$6.00 or $7.00 oer -eek, and they- worked from 48 to 54 hou-irs a -!eek. "

 "7ith the tremendous difference in labor costr, thiosc maniufcturing
outside of re'r York, vere .ble to giv? greater p.alues or sell for less,
with the result that the minufa.cturers oer.tin- in 'ew York under Union
conditions '.ore forced to meet this competition by s.-crificir' their pro-
fits. The success of the fen ,Jho --ov-d r'a-, offered the incentive for
others to follow. In the year 1.933, oinly., oout 50? of the industry still
remained in the "etrooolitan are. of iJe' Yor.::. Those T.io iove3. or opened
new factories located in the eastern states, a fe" in the Cicago area,
and a few small units were scattered throuhfiut the countrvr, chief, on
the Pacific Coast. The Union was unable to ect.iilish Union conditions in
these factories outside of ,.E' York:." (Some out of torn factories were
and are unionized but under different conditions then those of i1er York
City).

 "The factories remaining in !e"' Yor!k -ere chiefl-' those making the
high grode handbags which required the most .killful workers."

 "At the time the Code w:s bein.- Cra.fted, the industr,- was about
equallv divided bet-.',een those manufacturers havin, contractual relations
with the Union located in iew York, and thone without Union conditions
all of whom were located outside of lTevr Yor'.-. Factories in re'I York
were paying first class workers (by Union AJ.reement) $35.75 a week, and
second class workers $:32.00 a week. "eneral ha.lp about $18.00 a week
for a 44 hour ,eek. Factories outside of Pew Yor'k were -oaring their best
worker, about $20.00 to $22.00 a w.;ek enrK rier- 1 hel') from $6.00 to $8.00
a week for a 48 to 54 hour week."


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