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Tuesday, August 8, 1950
tions, b employment of 14- and 15-year-old children, and c age certificates.
The interpretations of the Secretary contained in this part indicate the con struction of the law which will guide him in performing his duties until he is di rected otherwise by authoritative rulings of the courts or until he shall subse quently decide that his prior interpreta tion is incorrect.
450.1 General scope of statutory provisions. The most important of the child labor provisions are contained in sections 12 a, 12 c, and 3 1 of the act. Section 12 a provides that no producer, manufacturer, or dealer shall ship or deliver for shipment in interstate, or foreign commerce any goods produced in an establishment in or about which oppressive child labor was employed within 30 days before removal of the goods. The full text of this subsection is set forth in 450.3 and its terms are discussed in 450.4 to 450.10, inclusive.
Section 12 c prohibits any employer from employing oppressive child labor in interstate or foreign commerce or in the production of goods for such commerce.
The text and discussion of this provision appear in 450.11 and 450.12. Section 3 1 of the act, which defines the term oppressive child labor, is set forth in 450.16 and its provisions are discussed in 450.17 to 450.20, inclusive. It will further be noted that the act provides various specific exemptions from the foregoing provisions which are set forth and discussed in 450.21 to 450.25, in clusive.
450.2 Comparison with wage and hours provisions. A comparison of the child labor provisions with the so-called wage and hours provisions contained in the act discloses some important dis tinctions which should be mentioned.
a The child labor provisions con tain no requirements in regard to wages.
The wage and hours provisions, on the other hand, provide for minimum rates of pay for straight time and overtime pay at a rate not less than one and onehalf times the regular rate of pay for overtime hours worked. Except as pro vided in certain exemptions contained in the act, these rates are required to be paid all employees subject to the wage and hours provisions, regardless of their age or sex. The fact, therefore, that the employment of a particular child is prohibited by the child labor provisions or that certain shipments or deliveries may be proscribed on account of such employment, does not relieve the em ployer of the duties imposed by the wage and hours provisions to compensate the child in accordance with those require ments.
b There are important differences between the child labor provisions and the wage and hours provisions with re spect to their general coverage. As pointed out in 450.13, two separate and basically different coverage provisions are contained in section 12 relating to child labor. One of these provisions section 12 c, which applies to the employment by an employer of oppres sive child labor in commerce or in the Production of goods for commerce, is
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similar to the wage and hours coverage provisions, which include employees en gaged in commerce or in the production of goods for commerce. The other pro vision section 12 a, however, differs fundamentally in its basic concepts of coverage from the wage and hours provi sions, as will be explained in 450.3 to 450.10.
c Another distinction is that the exemptions provided by the act from the minimum wage and/or overtime provi sions are more numerous and differ from the exemptions granted from the child labor provisions. There are only four specific child labor exemptions of which only one applies to the minimum wage and overtime pay requirements as well.
This is the exemption for employees engaged in the delivery of newspapers to the consumer.8 With this exception, none of the specific exemptions from the minimum wage and/or overtime pay requirements applies to the child labor provisions. However, it should be noted that the exclusion of certain employers by section 3 d4 of the act applies to the child labor provisions as well as the wage and hours provisions.
COVERAGE OF SECTION 1 2

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450.3 General. Section 12 a of the act provides as follows:
No producer, manufacturer, or dealer shall ship or deliver for shipment in commerce any goods produced in an establishment situated in the United States in or about which Within thirty days prior to the removal of such goods therefrom any oppressive child labor has been employed : Provided, That any such shipment or delivery for shipment of such goods by a purchaser who acquired them in good faith in reliance on writtén assurance from the producer, manufacturer, or dealer that the goods were produced in compliance with the requirements of this section, and who acquired such goods foy value without notice of any such violation, shall not be deemed prohibited by this sub section : AndTprovided further, That a prose cution and conviction of a defendant for the shipment or delivery for shipment of any goods under the conditions herein prohibited shall be a bar to any further prosecution against the same defendant for shipments or deliveries for shipment of any such goods before the beginning of said prosecution.

In determining the applicability of this provision, consideration of the meaning of the terms used is necessary.
These terms are discussed in 450.4
to 450.10, inclusive.
450.4 Producer, manufacturer, or d e a l e r It will be observed that the prohibition of section 12 a with re spect to certain shipments or deliveries for shipment is confined to those made by producers, manufacturers, and deal ers. The terms producer, manufac turer, or dealer used in this provision are not expressly defined by the statute.
However, in view of the definition of 8Section 13 d of the act.
4 Section 3 d defines employer to in clude any person acting directly or indi rectly in the interest of an employer in relation to an employee but shall not in clude the United States or any State or political subdivision of a State, or any labor organization other than when acting as an employer, or anyone acting in the capacity of officer or agent of such labor organiza tion.

produced in section 3 j, for purposes of this subsection a producer is con sidered to be one who engages in pro ducing, manufacturing, handling or in any other manner working on goods in any State.8 Since manufacturing is considered a specialized form of produc tion, the word manufacturer does not have as broad an application as the word producer. Manufacturing generally involves the transformation of raw ma terials or semifinished goods into new or different articles. A person may be considered a manufacturer even though his goods are made by hand, as is often true of products made by home workers. Moreover, it is immaterial whether manufacturing is his sole or main business. Thus, the term includes retailers who, in addition to retail sell ing, engage in such manufacturing ac tivities as the making of slip-covers or curtains, the baking of bread, the mak ing of candy, or the making of window frames. The word dealer refers to anyone who deals in goods as defined in section 3 i of the act/.including per sons engaged in buying, selling, trading, distributing, delivering, etc. It includes middlemen, factors, brokers, commis sion merchants, wholesalers, retailers and the like.
450.5 Ship or deliver for shipment in commerce. a Section 12 a for bids producers, manufacturers, and dealers to ship or deliver from ship ment in commerce the goods referred to therein. A producer, manufacturer, or dealer may ship goods in commerce either by moving them himself in inter state or foreign commerce or by causing them to so move, as by delivery to a carrier/ Thus, a baker ships hi&
bread in commerce whether he carries it in his own truck across State lines or sends it by contract or common carrier to his customers in other States. The word ship must be applied in its ordinary meaning. For example, it does not apply to the transmission of tele graphic messages.8
b To deliver for shipment in com merce means to surrender the custody of goods to another under such circum stances that the person surrendering the goods knows or has reason to believe th at the goods will later be shipped in commerce. Typical is the case of a 8For a discussion of the definition of pro duced as it relates to section 12 a, see 450.7.
6 See 450.6.
1Section 3 b of the act defines "com merce to mean trade, commerce, trans portation, transmission, or communication among the several States or between any State and any place outside thereof.
8Western Union Telegraph Co. v. Lenroot, 823 U. S. 490.
8 Tobin v. Grant, N. D. Calif., 79 F. Sup.
975 which was a suit for injunction by the Secretary of Labor against a manufacturer of books and book covers employing oppres sive child labor. The facts showed that the manufactured articles sold by defendant to purchasers in the same State had an ultimate out-of-State destination which was manifest to defendant. The court construed the words deliver for shipment in commerce as sufficiently broad to cover this situation even though the purchasers acquired title to the goods.