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Volume 063-4 - October 2009 (6 pages)

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Page: of 6

Charles Clinch Supports
The NRA
by Gage McKinney
HE NEW DEAL ADMINISTRATION OF FRANKLIN D.
Roosevelt gave the nation the action it craved with a
sweeping army of legislation in its first one hundred days.
By summer 1933 the President had signed bills that authorized a string of new government agencies designated by
initials, an alphabet soup reminiscent of the many agencies
that emerged during the First World War. The most ambitious was the National Industrial Recovery Act (NIRA),
with its administrative arm, the National Recovery Administration (NRA), that made a deep impression everywhere.
The NRA “codes of fair competition” affected business
enterprise throughout Nevada County as it did, in fact, in
every county across the country. Its symbol, the blue eagle,
became a badge of public faith that appeared in shop windows, on packages and in the newspapers.
On June 16, 1933, the day he signed the NIRA into law,
President Roosevelt said: “History will probably record
the National Industrial Recovery Act as the most important
and far-reaching legislation ever enacted by the American
Congress.” That day the President appointed the colorful
General Hugh S. Johnson as NRA administrator. Johnson,
a West Point graduate, had earned his stars serving under
General Pershing in Mexico and later in Washington during
World War I. While he appeared urbane and collected when
he appeared on the cover of Time as the
magazine’s 1933 “Man of the Year,”
he was in fact melodramatic, truculent and profane. “No one in Washington,” remarked Arthur Schlesinger, Jr.,
“labored so long, shouted so loudly,
smoked so many cigarettes, or drank so
much liquor.”
Johnson saw NRA as the console of a giant organ that would pipe
through the whole economy. The heart
of NRA was “the code,” the pledge
made, industry-by-industry, to shorter hours, higher wages, better trade
practices and better labor relations.
Laisser faire capitalism was dead;
rational planning was born. Johnson
threw his NRA staff into negotiations
with the country’s largest industries— .
textiles, coal, petroleum, lumber,
garments, steel, automobiles, construcGeneral Hugh S. Johnson
I
ny »
Nevada County Historical Society
Bulletin
eee 63 NUMBERZ % OCTOBER 7,
tion and others—to create codes for each. Johnson delivered speeches tirelessly to promote NRA and build public
support.
When the largest industries proved intractable, he turned
to organizing the smallest. A campaign of press events,
parades and good old “ballyhoo” succeeded in persuading over two million employers to sign a preliminary code
known as the “President’s Re-Employment Agreement.”
The blanket code was superseded by codes negotiated for
individual industries and exempt from the provisions of the
anti-trust laws. Code signatories were allowed to use the
blue eagle symbol with the slogan, “We Do Our Part,” as
long as they remained compliant. Over the next year and a
half codes covered over three-quarters of private non-farm
employment. Some 16 million workers, out of a non-farm
labor force of 25 million, worked under the codes.
At least initially the West Coast, along with most of the
country, took enthusiastically to the NRA. Soon merchants
and tradesmen of all kinds, from butchers and bakers to mechanics and carpenters, were meeting to set prices for their
sector of the economy. In Los Angeles,
Seattle, and Portland, NRA got credit
for economic improvement.
Nevada County kept step with the
West and Grass Valley and Nevada City
led among the towns. By July 1933
Nevada and Placer county contractors
met in Grass Valley to draft a code.
Auto dealers from the two counties met
in Auburn. Butchers, barbers, shoemakers, cleaners, electricians, florists, dairy
and garage owners, plumbers, grocers,
painters and decorators, dry good and
furniture dealers, haberdashers, restaurant and cafe owners and other merchants also met.
After a series of preparatory meetings,
more than 200 merchants, employees
and citizen gathered at the Veterans
Building in late July to create a local
NRA organization. These local organi-