Industrial Life Rich vs. Poor

Robber Barons – The Rich Cruel and ruthless businessmen Used unfair business practices –being anti-competitive –This means they take over an entire industry and form trusts

Trust What is a trust? –a combination of companies having total control of an industry, commodity or service. Why was it bad? –Prevented competition –control the prices of goods –Example: No one could compete with Andrew Carnegie who owned the whole steel industry

Vertical Integration Controlling as much of an industry as possible Example – Andrew Carnegie owned a steel production plant, BUT he also bought out his suppliers and distributors –Controlled the resources put into steel –Controlled the delivery of the steel to customers

Horizontal Integration Companies producing similar products merge Example – Andrew Carnegie bought out other steel producing plants No one could stay in business - took ALL their customers

Vertical and Horizontal Integration Horizontal Vertical

Sherman Anti-Trust Act Gov’t steps in! Made it illegal to form a trust that interfered with free trade between states. Language didn’t clearly define trust –Businesses would just reorganize into single corporations

Life for Average Americans Majority of population still used candlepower in their homes, had no indoor plumbing or heating, cooked on wood-fire stoves, and could not afford a telephone Only ¼ of the population owned property, so most workers lived in crowded city apartments called tenements

Industrial Working Conditions Work 6 days a week, hours a day No vacation or sick days Poor heating, poor ventilation, bugs, repetition, injuries because of faulty equipment, even death Work required little training or skill Amount of money made often depended on how many pieces were produced

Triangle Shirtwaist Fire What the heck is a shirtwaist?

Triangle Shirtwaist Fire The Triangle Shirtwaist Company occupied the top three floors of bldg. in NY Employed mostly young female immigrants who worked 14-hour days sewing clothes

Triangle Shirtwaist Fire The conditions of the factory were typical of the time –Flammable textiles –smoking was common –open gas lighting –no fire extinguishers! On March 25, 1911, a fire began on the eighth floor.

Legacy of Triangle Factory Fire 146 young women died Within a month of the fire the governor of NY created the Factory Investigating Commission. FIC conducted many hearings of businesses = important factory safety legislation.

Women and Child Labor –Women and children paid less than men –Child Labor Why? Poverty = need to have as many people in your family work that can Most were between the ages of Working conditions harmful for children, stunting growth, causing illness and even death

Minority and Immigrant Laborers Immigrant and minority workers were forced into mostly unskilled positions with low wages

Immigrant Labor

How will working conditions change? Formation of unions –Unions protect workers’ rights