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A.L.A. Schechter Poultry Corporation v. United States

The National Industrial Recovery Act Of 1933

In June of 1933, Congress passed the National Industrial Recovery Act (NIRA), one of the central policy initiatives of President Roosevelt's New Deal. The act established the National Recovery Administration (NRA), which would operate as a coordinating committee for business and labor. Through the NRA, industrial leaders could create regulatory codes which would be exempt from prosecution on antitrust grounds. These codes would set guidelines in competitive practices, hours, and wages in various industries.

In addition, the NIRA pumped more than $3 billion into the Public Works Administration (PWA). The PWA and NRA proved popular with the public: the former put men to work in public works and the latter helped ensure fair treatment of labor.

Administered by Hugh Johnson, the NRA and its Blue Eagle symbol were a fixture of public life for over a year. By 1934, the NRA hit troubled times due to concerns expressed by senators that the agency's codes amounted to price-fixing. In May of 1935, the Supreme Court struck down the NIRA in A.L.A. Schechter Poultry Corp. v. United States.

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Law Library - American Law and Legal InformationNotable Trials and Court Cases - 1918 to 1940A.L.A. Schechter Poultry Corporation v. United States - The New Deal On Trial, The National Industrial Recovery Act Of 1933