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3. FPR.Or.i SUB.ISION OF FIRST DRA'T CODE TO P'FBLIC :EA7jFj '

 1. 3rief Snummary of ConferenceF an4 fiegotiations

 CoAistant reference is found in thile --?neral files, Volume A and the
transcript o' the first hearing as to conferences, proposed and held.,
both in the several months proce-dir.-, and follovwin; the first hearing,
but no record of these are to be found in the files., Ireither is there
anr record of the many conferences held byr industry for I am told that
because of the bitterness of the fightin: it i.as not deemed politic to
keep such.

 In the lirht of my own kno'2led(e it is however not difficult to
piece together the hav.eni.-.-s of that time and to at least form an idea
of the orinci-al points at issue.

 It wis maintained by the iajor dissenting 7roup nationala l Associa-
tion of Ladies Hendbs- I-nr.facturers) that the sponsors of the first code
raft submitted were not representative, therefore it followed their
vie",s '',ere not as so,._nI and. constructive as they should and myi.-ht have
been. Thi- it -,:7s felt, 'Tas particularlyr the case with respect to clas-
sificationr of workers, which 1iew York wanted, and representation on, ancd
method of selection of the Code Authority.

 naturally Y'ational's conclusions (see brief incorporated. in trans-
cript of Public Hearin-, poa.es 238 to 263 inclusive) led to frequent con-
ferences, corresoondenne and telegra-,, which last are to be found in the
general files. In addition, Col. Lea's files, Vol, me A, shove that meet-
ings and correspondence were held with officials of the nationall detail
Dry Goods Association ','ith respect to the discount and term provisions
proposed by industry. A c-lance over the many communications received
gives an idea of who's who in the Department Store field, and definitely
expresses unalterable opoositioi to ,n", changes in terms over those in
existence for some years.

 Here as in other industries it "as a case of i-er York vs. the rest
of the country, co-apled with a particularly- bad labor situation intensi-
fied by the mi ration movement.

 Both labor and manufacturers were in the pre-depression d.,-s suffer-
ing fror too much financial fat, inability to think clearly, and refusal
to consider and find the sensible approach to their problems. Labor, as
re'ore3.ntec'. by Union Officials then in power, refused to discipline their
o.'n oeo olo- so th't rank and file ran riot. In this connection it is in-
terestirn- to note that, as is often the case it was a small thin, that
led to the first Te,- York mr.-iuf'acturer leaving the Lletropolitan area.
This ma.nu'acturer complained to Union officials that one of his ':.orloien
had. scat in his face and called him unprintable nr-r.eq. The manufacturer
nsturall' e-:mected the offendinC 'orkman would. be edisciplinede. Failing
to -et redress from the Union he came to the conclusion thot he could no
lon-er live in hprmon- i with the Union and decider to find factory accomo-
dations outside the cit-'r limits, movin.- to P n:n.-Ivania. Little byr little
industr-y ].eft Ieir Yox City, anc the *epre.:ion setting in in full force
the situation became* denu-erousl-7 acute.
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