American industry comes of age
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Transcript of American industry comes of age
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American Industry Comes of Age
Matt Lopez. Selected slides from Ms. Susan M. PojerMatt Lopez. Selected slides from Ms. Susan M. Pojer
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1. Unskilled & semi-skilled labor in abundance2. Capital3. Entrepreneurs 4. Market growing as population increased5. Government willing to stimulate economic growth6. Abundant natural resources
1. Unskilled & semi-skilled labor in abundance2. Capital3. Entrepreneurs 4. Market growing as population increased5. Government willing to stimulate economic growth6. Abundant natural resources
Causes of Rapid IndustrializationCauses of Rapid Industrialization
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Social Darwinism
Law of the jungle
The strong survive, the weak fail
No government interference – “laissez faire”
Therefore, state intervention to reward society and the economy is futile!
Most people liked this concept because it appealed to their work ethic
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The Gospel of Wealth:Religion in the Era of Industrialization
The Gospel of Wealth:Religion in the Era of Industrialization
$ Wealth no longer looked upon as bad
$ Viewed as a sign of God’s approval
$ Christian duty to accumulate wealth
$ Should not help the poor
$ Wealth no longer looked upon as bad
$ Viewed as a sign of God’s approval
$ Christian duty to accumulate wealth
$ Should not help the poor
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“On Wealth”“On Wealth”
Andrew CarnegieAndrew Carnegie
$ The Anglo-Saxon race is superior.
$ “Gospel of Wealth” (1901).
$ Inequality is inevitable and good.
$ Wealthy should act as “trustees” for their “poorer brethren.”
$ The Anglo-Saxon race is superior.
$ “Gospel of Wealth” (1901).
$ Inequality is inevitable and good.
$ Wealthy should act as “trustees” for their “poorer brethren.”
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Robber BaronsMen that do anything to achieve great wealth
Accused of exploiting workers
Forcing horrible working conditions
Unfair labor practices
Selling cheap, then raising price after competitor goes out of business
“Captains of Industry” (euphemism)
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Modern Robber BaronsModern Robber Barons
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Trust
Stockholders turn their stock over to trustees and they run the corporation
Many companies joined together
Merger
Company buys out competitor
Monopoly
Company buys out everyone
Only provider of that service
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Oil IndustryJohn D. Rockefeller started Standard Oil Company
Used a trust to gain control of other companies
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Andrew CarnegieBuilds steel empire using:
New machinery (better products)
Cheap production methods
Talented workers paid in stock
Competition among workers
Vertical and horizontal integration
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Labor Unions
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Workers were being exploited
1882 – 675 workers killed each week in factories
Wages – which often got cut laterChild .27 per day
Women - $267 per year
Men - $498 per year
No benefits
6 day work week – 12-14 hours per day
Unions improved wages, hours, and conditions over time
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“Tools” of Management
“Tools” of Labor
“scabs”
P. R. campaign
Pinkertons
lockout
blacklisting
yellow-dog contracts
court injunctions
open shop
boycotts
sympathy demonstratio
ns
informational picketing
closed shops
organized strikes
“wildcat” strikes
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Early Unions
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The Molly Maguires(1860s - 1870s)
The Molly Maguires(1860s - 1870s)
JamesMcParland
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Pinkerton Agents
The Corporate “Bully-Boys”:
Pinkerton Agents
The Corporate “Bully-Boys”:
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National Labor Union
1866-1873
Laid groundwork for future unions
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Knights of Labor - 1869Knights of Labor - 1869 Eight-hour workday.
Workers’ cooperatives.
Worker-owned factories.
Abolition of child and prison labor.
Increased circulation of greenbacks.
Equal pay for men and women.
Safety codes in the workplace.
Prohibition of contract foreign labor.
Abolition of the National Bank.
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Haymarket Riot (1886)Haymarket Riot (1886)Chicago
Haymarket Affair – protest against police brutality in breaking up strikes
Bombing at protest
Blamed on anarchists
8 Arrested
Knights of Labor lose support
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American Federation of Labor
Started by Samuel Gompers 1886
By 1915 avg. work week went from 55hrs to 49 hrs
Avg. weeks wage rose from $17.50 to $24
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Violent Strikes
Great Strike of 1877 – railroad strike that stopped trains for a week, federal troops called in to halt strike
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Homestead Strike – steel workers strike, more violence and death
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Company TownsPullman Illinois
Built by George M. Pullman for employees
Built sleeper cars
Residents were provided for
Homes- very nice
Medical Needs, shops, parks…
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A “Compan
yTown”:
Pullman, IL
A “Compan
yTown”:
Pullman, IL
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Pullman, IL.An outsider goes to visit
He likes it at first
Well planned and laid out
Talks to residents and company officers and changes his opinions
Pullman had a lot of control
Residents could not drink
Could not hang out on their porches
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Pullman Strike – strike against Pullman’s control & wage cuts, more violence and death
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The SocialistsThe Socialists
Eugene V. Debs
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Big Corporate Profits!Big Corporate Profits!
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The Rise & Decline of Organized Labor
The Rise & Decline of Organized Labor