S2: Industrialization

“The electric age was ushered into being in this last decade of the nineteenth century today when President Cleveland, by pressing a button, started the mighty machinery, rushing waters and revolving wheels in the World’s Columbian exhibition.” With this announcement about the official start of the Chicago World’s Fair in 1893, the Salt Lake City Herald captured the excitement and optimism of the machine age. “In the previous expositions,” the editorial continued, “the possibilities of electricity had been limited to the mere starting of the engines in the machinery hall, but in this it made thousands of servants do its bidding . . . the magic of electricity did the duty of the hour.”

The fair, which commemorated the four hundredth anniversary of Columbus’s journey to America, was a potent symbol of the myriad inventions that changed American life and contributed to the significant economic growth of the era, as well as the new wave of industrialization that swept the country. While businessmen capitalized upon such technological innovations, the new industrial working class faced enormous challenges. Ironically, as the World’s Fair welcomed its first visitors, the nation was spiraling downward into the worst depression of the century. Subsequent frustrations among working-class Americans laid the groundwork for the country’s first significant labor movement.

Unit Interactive Timeline

Inventors of the Age 

The late nineteenth century was an energetic era of inventions and entrepreneurial spirit. Building upon the mid-century Industrial Revolution in Great Britain, as well as answering the increasing call from Americans for efficiency and comfort, the country found itself in the grip of invention fever, with more people working on their big ideas than ever before. In retrospect, harnessing the power of steam and then electricity in the nineteenth century vastly increased the power of man and machine, thus making other advances possible as the century progressed.

Facing an increasingly complex everyday life, Americans sought the means by which to cope with it. Inventions often provided the answers, even as the inventors themselves remained largely unaware of the life-changing nature of their ideas. To understand the scope of this zeal for creation, consider the U.S. Patent Office, which, in 1790—its first decade of existence—recorded only 276 inventions. By 1860, the office had issued a total of 60,000 patents. But between 1860 and 1890, that number exploded to nearly 450,000, with another 235,000 in the last decade of the century. While many of these patents came to naught, some inventions became lynchpins in the rise of big business and the country’s move towards an industrial-based economy, in which the desire for efficiency, comfort, and abundance could be more fully realized by most Americans.

An Explosion of Inventive Energy

From corrugated rollers that could crack hard, homestead-grown wheat into flour to refrigerated train cars and garment-sewing machines, new inventions fueled industrial growth around the country. As late as 1880, fully one-half of all Americans still lived and worked on farms, whereas fewer than one in seven—mostly men, except for long-established textile factories in which female employees tended to dominate—were employed in factories. However, the development of commercial electricity by the close of the century, to complement the steam engines that already existed in many larger factories, permitted more industries to concentrate in cities, away from the previously essential water power. In turn, newly arrived immigrants sought employment in new urban factories. Immigration, urbanization, and industrialization coincided to transform the face of American society from primarily rural to significantly urban. From 1880 to 1920, the number of industrial workers in the nation quadrupled from 2.5 million to over 10 million, while over the same period urban populations doubled, to reach one-half of the country’s total population.

In offices, worker productivity benefited from the typewriter, invented in 1867, the cash register, invented in 1879, and the adding machine, invented in 1885. These tools made it easier than ever to keep up with the rapid pace of business growth. Inventions also slowly transformed home life. The vacuum cleaner arrived during this era, as well as the flush toilet. These indoor “water closets” improved public health through the reduction in contamination associated with outhouses and their proximity to water supplies and homes. Tin cans and, later, Clarence Birdseye’s experiments with frozen food, eventually changed how women shopped for, and prepared, food for their families, despite initial health concerns over preserved foods. With the advent of more easily prepared food, women gained valuable time in their daily schedules, a step that partially laid the groundwork for the modern women’s movement. Women who had the means to purchase such items could use their time to seek other employment outside of the home, as well as broaden their knowledge through education and reading. Such a transformation did not occur overnight, as these inventions also increased expectations for women to remain tied to the home and their domestic chores; slowly, the culture of domesticity changed. 

Perhaps the most important industrial advancement of the era came in the production of steel. Manufacturers and builders preferred steel to iron, due to its increased strength and durability. After the Civil War, two new processes allowed for the creation of furnaces large enough and hot enough to melt the wrought iron needed to produce large quantities of steel at increasingly cheaper prices. The Bessemer process, named for English inventor Henry Bessemer, and the open-hearth process, changed the way the United States produced steel and, in doing so, led the country into a new industrialized age. As the new material became more available, builders eagerly sought it out, a demand that steel mill owners were happy to supply.

In 1860, the country produced thirteen thousand tons of steel. By 1879, American furnaces were producing over one million tons per year; by 1900, this figure had risen to ten million. Just ten years later, the United States was the top steel producer in the world, at over twenty-four million tons annually. As production increased to match the overwhelming demand, the price of steel dropped by over 80 percent. When quality steel became cheaper and more readily available, other industries relied upon it more heavily as a key to their growth and development, including construction and, later, the automotive industry. As a result, the steel industry rapidly became the cornerstone of the American economy, remaining the primary indicator of industrial growth and stability through the end of World War II.

Alexander Graham Bell and the Telephone

Advancements in communications matched the pace of growth seen in industry and home life. Communication technologies were changing quickly, and they brought with them new ways for information to travel. In 1858, British and American crews laid the first transatlantic cable lines, enabling messages to pass between the United States and Europe in a matter of hours, rather than waiting the few weeks it could take for a letter to arrive by steamship. Although these initial cables worked for barely a month, they generated great interest in developing a more efficient telecommunications industry. Within twenty years, over 100,000 miles of cable crisscrossed the ocean floors, connecting all the continents. Domestically, Western Union, which controlled 80 percent of the country’s telegraph lines, operated nearly 200,000 miles of telegraph routes from coast to coast. In short, people were connected like never before, able to relay messages in minutes and hours rather than days and weeks. 

One of the greatest advancements was the telephone, which Alexander Graham Bell patented in 1876 . While he was not the first to invent the concept, Bell was the first one to capitalize on it; after securing the patent, he worked with financiers and businessmen to create the National Bell Telephone Company. Western Union, which had originally turned down Bell’s machine, went on to commission Thomas Edison to invent an improved version of the telephone. It is actually Edison’s version that is most like the modern telephone used today. However, Western Union, fearing a costly legal battle they were likely to lose due to Bell’s patent, ultimately sold Edison’s idea to the Bell Company. With the communications industry now largely in their control, along with an agreement from the federal government to permit such control, the Bell Company was transformed into the American Telephone and Telegraph Company, which still exists today as AT&T. By 1880, fifty thousand telephones were in use in the United States, including one at the White House. By 1900, that number had increased to 1.35 million, and hundreds of American cities had obtained local service for their citizens. Quickly and inexorably, technology was bringing the country into closer contact, changing forever the rural isolation that had defined America since its beginnings

Thomas Edison and Electricity

Although Thomas Alva Edison  is best known for his contributions to the electrical industry, his experimentation went far beyond the light bulb. Edison was quite possibly the greatest inventor of the turn of the century, saying famously that he “hoped to have a minor invention every ten days and a big thing every month or so.” He registered 1,093 patents over his lifetime and ran a world-famous laboratory, Menlo Park, which housed a rotating group of up to twenty-five scientists from around the globe.

Edison became interested in the telegraph industry as a boy, when he worked aboard trains selling candy and newspapers. He soon began tinkering with telegraph technology and, by 1876, had devoted himself full time to lab work as an inventor. He then proceeded to invent a string of items that are still used today: the phonograph, the mimeograph machine, the motion picture projector, the dictaphone, and the storage battery, all using a factory-oriented assembly line process that made the rapid production of inventions possible.

In 1879, Edison invented the item that has led to his greatest fame: the incandescent light bulb. He allegedly explored over six thousand different materials for the filament, before stumbling upon tungsten as the ideal substance. By 1882, with financial backing largely from financier J. P. Morgan, he had created the Edison Electric Illuminating Company, which began supplying electrical current to a small number of customers in New York City. Morgan guided subsequent mergers of Edison’s other enterprises, including a machine works firm and a lamp company, resulting in the creation of the Edison General Electric Company in 1889.

The next stage of invention in electric power came about with the contribution of George Westinghouse. Westinghouse was responsible for making electric lighting possible on a national scale. While Edison used “direct current” or DC power, which could only extend two miles from the power source, in 1886, Westinghouse invented “alternating current” or AC power, which allowed for delivery over greater distances due to its wavelike patterns. The Westinghouse Electric Company delivered AC power, which meant that factories, homes, and farms—in short, anything that needed power—could be served, regardless of their proximity to the power source. A public relations battle ensued between the Westinghouse and Edison camps, coinciding with the invention of the electric chair as a form of prisoner execution. Edison publicly proclaimed AC power to be best adapted for use in the chair, in the hope that such a smear campaign would result in homeowners becoming reluctant to use AC power in their houses. Although Edison originally fought the use of AC power in other devices, he reluctantly adapted to it as its popularity increased.

S2d: Binding the Nation by Rail

The locomotive was not an invention of the Post-Civil War Era. Indeed Americans had traveled by rail in the decades that preceded the Civil War. But such travel was risky. Passengers often sat in the same room as a wood burner and had to be watchful of wayward sparks landing on their clothing. Braking systems were not always trustworthy. Several engines even exploded while trying to reach a destination. Traveling also represented a tremendous investment in time. Rail passengers often had to change trains frequently because the width between tracks varied from company to company. Such a journey could be uncomfortable, boring, and dangerous.

After the Civil War many rail problems were solved. George Westinghouse invented the air brake and trains could stop more reliably as a result. Railroad firms agreed on a standard width between tracks to reduce transfers. The Pullman Car Company produced sleeper cars and dining cars to make travel more comfortable.

Soon after the railroad made its appearance in the U.S. in the 1830s, Americans dreamed of linking the Atlantic and Pacific Oceans by rail. A Transcontinental Railroad would allow for settlement of the west, open new markets for eastern manufacturers, and bring relief to overcrowded eastern cities. Steaming locomotives would hasten western settlement, spread democratic values, and increase the size of the United States (Arizona, Oklahoma, New Mexico etc., were not yet states, only Territories. Western settlement was a paramount national interest. As such, the federal government awarded the contract to link the coasts by rail to two companies, the Union Pacific and the Central Pacific.

Union Pacific workers, many of whom were Irish and Chinese immigrants, started at Omaha, Nebraska, and hammered their way westward. From Sacramento, California, the Central Pacific made its way eastward with the assistance of thousands of Chinese immigrants. Those working on the railroad gave their sweat and sometimes their lives blasting through the often unforgiving terrain. Other dangers that workers faced were disease, searing summer heat, freezing temperatures in the mountains, Native American raids and the lawlessness and violence of pioneer towns.

The government declared that the two lines would merge at Promontory Summit near Ogden, Utah. On May 10, 1869, Leland Stanford, representing the Central Pacific Railroad, was provided the honor to hammer a golden spike into the ground that marked the completion of the coast-to-coast line. Celebrations erupted across the land. Even the Liberty Bell tolled once again to commemorate the occasion.Soon, other transcontinental lines were constructed and travel across the continent became worlds simpler, less expensive, and much faster, than by the old Conestoga wagon.

The engineering achievement was monumental. The costs of the operation to railroads were enormous. Tens of thousands of workers had to be paid, sheltered, and fed. Tons of steel and wood were required. However, the economic incentives to railroads were enormous. The government offered generous loans to companies who were willing to assume the risk. The greatest reward was land. For each mile of track laid by the Central and Union Pacific Railroads, the companies received 640 acres of public land. In other rail projects, state governments often kicked in additional acres for a growing number of rail companies.

All in all, the railroads received nearly 200 million acres of land from the U.S. government for fulfilling contracts. Directors of some railroads made fortunes. Foremost among the Railroad Tycoons were Cornelius Vanderbilt, James J. Hill, and Jay Gould.

But freight railroad abuses grew rampant. Money lined the pockets of greedy public officials who awarded generous terms to the railroads. Railroad companies set their own shipping rates. Sometimes it was more expensive for a small farmer to ship goods to a nearby town than to a faraway city. Because the companies kept their rates secret, one farmer could be charged more than another for the same freight transport.

To reduce competition, railroad companies established pools. These were informal arrangements between companies to keep rates above a certain level. Consequently, the public suffered. Finally, in 1887, Congress responded to public outcry by creating the Interstate Commerce Commission to watch over the rail industry. This was the nation's first Regulatory Agency.

The public reaped great benefits. Eastern businessmen could now sell their goods to California citizens. As a result of improved transportation all Americans had access to more goods at a cheaper price. The westward movement was greatly accelerated. Those seeking a new start in life could much more easily "go west."

No industrial revolution can occur without a transport web. The nation was now bound together by this enormous network and its citizens were ready to reap the rewards.

S2e: Robber Barons or Captains of Industry?

The post-Civil War inventors generated ideas that transformed the economy, but they were not big businessmen. The evolution from technical innovation to massive industry took place at the hands of the entrepreneurs whose business gambles paid off, making them some of the richest Americans of their day. Steel magnate Andrew Carnegie, oil tycoon John D. Rockefeller, and business financier J. P. Morgan were all businessmen who grew their respective businesses to a scale and scope that were unprecedented. Their companies changed how Americans lived and worked, and they themselves greatly influenced the growth of the country.

Andrew Carnegie and The Gospel of Wealth

Andrew Carnegie, steel magnate, has the prototypical rags-to-riches story. Although such stories resembled more myth than reality, they served to encourage many Americans to seek similar paths to fame and fortune. In Carnegie, the story was one of few derived from fact. Born in Scotland, Carnegie immigrated with his family to Pennsylvania in 1848. Following a brief stint as a “bobbin boy,” changing spools of thread at a Pittsburgh clothing manufacturer at age thirteen, he subsequently became a telegram messenger boy. As a messenger, he spent much of his time around the Pennsylvania Railroad office and developed parallel interests in railroads, bridge building, and, eventually, the steel industry.

Ingratiating himself to his supervisor and future president of the Pennsylvania Railroad, Tom Scott, Carnegie worked his way into a position of management for the company and subsequently began to invest some of his earnings, with Scott’s guidance. One particular investment, in the booming oil fields of northwest Pennsylvania in 1864, resulted in Carnegie earning over $1 million in cash dividends, thus providing him with the capital necessary to pursue his ambition to modernize the iron and steel industries, transforming the United States in the process. Having seen firsthand during the Civil War, when he served as Superintendent of Military Railways and telegraph coordinator for the Union forces, the importance of industry, particularly steel, to the future growth of the country, Carnegie was convinced of his strategy. His first company was the J. Edgar Thompson Steel Works, and, a decade later, he bought out the newly built Homestead Steel Works from the Pittsburgh Bessemer Steel Company. By the end of the century, his enterprise was running an annual profit in excess of $40 million.

Although not a scientific expert in steel, Carnegie was an excellent promoter and salesman, able to locate financial backing for his enterprise. He was also shrewd in his calculations on consolidation and expansion, and was able to capitalize on smart business decisions. Always thrifty with the profits he earned, a trait owed to his upbringing, Carnegie saved his profits during prosperous times and used them to buy out other steel companies at low prices during the economic recessions of the 1870s and 1890s. He insisted on up-to-date machinery and equipment, and urged the men who worked at and managed his steel mills to constantly think of innovative ways to increase production and reduce cost.

Carnegie, more than any other businessman of the era, championed the idea that America’s leading tycoons owed a debt to society. He believed that, given the circumstances of their successes, they should serve as benefactors to the less fortunate public. For Carnegie, poverty was not an abstract concept, as his family had been a part of the struggling masses. He desired to set an example of philanthropy for all other prominent industrialists of the era to follow. Carnegie’s famous essay, The Gospel of Wealth, expounded on his beliefs. In it, he borrowed from Herbert Spencer’s theory of social Darwinism, which held that society developed much like plant or animal life through a process of evolution in which the most fit and capable enjoyed the greatest material and social success.

Social Darwinism added a layer of pseudoscience to the idea of the self-made man, a desirable thought for all who sought to follow Carnegie’s example. The myth of the rags-to-riches businessman was a potent one. Author Horatio Alger made his own fortune writing stories about young enterprising boys who beat poverty and succeeded in business through a combination of “luck and pluck.” His stories were immensely popular, even leading to a board game where players could hope to win in the same way that his heroes did.

John D. Rockefeller

He was America's first billionaire. In a pure sense, the goal of any capitalist is to make money. And John D. Rockefeller could serve as the poster child for Capitalism. Overcoming humble beginnings, Rockefeller had the vision and the drive to become the richest person in America. At the turn of the century, when the average worker earned $8 to $10 per week, Rockefeller was worth millions.

What was his secret? Is he to be placed on a pedestal for others as a "Captain of Industry?" Or should he be demonized as a "robber baron." A Robber Baron, by definition, was an American capitalist at the turn of the 19th century who enriched himself upon the sweat of others, exploited natural resources, or possessed unfair government influence.

Whatever conclusions can be drawn, Rockefeller's impact on the American economy demands recognition. Rockefeller was born in 1839 in Moravia, a small town in western New York. His father practiced herbal medicine, professing to cure patients with remedies he had created from plants in the area. John's mother instilled a devout Baptist faith in the boy, a belief system he took to his grave. After being graduated from high school in 1855, the family sent him to a Cleveland business school. 

Young John Rockefeller entered the workforce on the bottom rung of the ladder as a clerk in a Cleveland shipping firm. Always thrifty, he saved enough money to start his own business in produce sales. When the Civil War came, the demand for his goods increased dramatically, and Rockefeller found himself amassing a small fortune.

He took advantage of the loophole in the Union draft law by purchasing a substitute to avoid military service. When Edwin Drake discovered oil in 1859 in Titusville, Pennsylvania, Rockefeller saw the future. He slowly sold off his other interests and became convinced that refining oil would bring him great wealth. 

Rockefeller introduced techniques that totally reshaped the Oil Industry. In the mid-19th century, the chief demand was for kerosene. In the refining process, there are many by-products when crude oil is converted to kerosene. What others saw as waste, Rockefeller saw as gold. He sold one byproduct paraffin to candlemakers and another byproduct petroleum jelly to medical supply companies. He even sold off other "waste" as paving materials for roads. He shipped so many goods that railroad companies drooled over the prospect of getting his business.

Rockefeller demanded rebates, or discounted rates, from the railroads. He used all these methods to reduce the price of oil to his consumers. His profits soared and his competitors were crushed one by one. Rockefeller forced smaller companies to surrender their stock to his control.

This sort of arrangement is called a trust. A Trust is a combination of firms formed by legal agreement. Trusts often reduce fair business competition. As a result of Rockefeller's shrewd business practices, his large corporation, the Standard Oil Company, became the largest business in the land.

As the new century dawned, Rockefeller's investments mushroomed. With the advent of the automobile, gasoline replaced kerosene as the number one petroleum product. Rockefeller was a bona fide billionaire. Critics charged that his labor practices were unfair. Employees pointed out that he could have paid his workers a fairer wage and settled for being a half-billionaire.

Before his death in 1937, Rockefeller gave away nearly half of his fortune. Churches, medical foundations, universities, and centers for the arts received hefty sums of oil money. Whether he was driven by good will, conscience, or his devout faith in God is unknown. Regardless, he became a hero to many enterprising Americans.

J. Pierpont Morgan

Unlike Carnegie and Rockefeller, J. P. Morgan was no rags-to-riches hero. He was born to wealth and became much wealthier as an investment banker, making wise financial decisions in support of the hard-working entrepreneurs building their fortunes. Morgan’s father was a London banker, and Morgan the son moved to New York in 1857 to look after the family’s business interests there. Once in America, he separated from the London bank and created the J. Pierpont Morgan and Company financial firm. The firm bought and sold stock in growing companies, investing the family’s wealth in those that showed great promise, turning an enormous profit as a result. Investments from firms such as his were the key to the success stories of up-and-coming businessmen like Carnegie and Rockefeller. In return for his investment, Morgan and other investment bankers demanded seats on the companies’ boards, which gave them even greater control over policies and decisions than just investment alone. There were many critics of Morgan and these other bankers, particularly among members of a U.S. congressional subcommittee who investigated the control that financiers maintained over key industries in the country. The subcommittee referred to Morgan’s enterprise as a form of “money trust” that was even more powerful than the trusts operated by Rockefeller and others. Morgan argued that his firm, and others like it, brought stability and organization to a hypercompetitive capitalist economy, and likened his role to a kind of public service.

Ultimately, Morgan’s most notable investment, and greatest consolidation, was in the steel industry, when he bought out Andrew Carnegie in 1901. Initially, Carnegie was reluctant to sell, but after repeated badgering by Morgan, Carnegie named his price: an outrageously inflated sum of $500 million. Morgan agreed without hesitation, and then consolidated Carnegie’s holdings with several smaller steel firms to create the U.S. Steel Corporation. U.S. Steel was subsequently capitalized at $1.4 billion. It was the country’s first billion-dollar firm. Lauded by admirers for the efficiency and modernization he brought to investment banking practices, as well as for his philanthropy and support of the arts, Morgan was also criticized by reformers who subsequently blamed his (and other bankers’) efforts for contributing to the artificial bubble of prosperity that eventually burst in the Great Depression of the 1930s. What none could doubt was that Morgan’s financial aptitude and savvy business dealings kept him in good stead. A subsequent U.S. congressional committee, in 1912, reported that his firm held 341 directorships in 112 corporations that controlled over $22 billion in assets. In comparison, that amount of wealth was greater than the assessed value of all the land in the United States west of the Mississippi River.

S2f: The Plight of Labor

Between the end of the Civil War and the turn of the century, the American workforce underwent a transformative shift. In 1865, nearly 60 percent of Americans still lived and worked on farms; by the early 1900s, that number had reversed itself, and only 40 percent still lived in rural areas, with the remainder living and working in urban and early suburban areas. A significant number of these urban and suburban dwellers earned their wages in factories. Advances in farm machinery allowed for greater production with less manual labor, thus leading many Americans to seek job opportunities in the burgeoning factories in the cities. Not surprisingly, there was a concurrent trend of a decrease in American workers being self-employed and an increase of those working for others and being dependent on a factory wage system for their living

 Yet factory wages were, for the most part, very low. In 1900, the average factory wage was approximately twenty cents per hour, for an annual salary of barely six hundred dollars. According to some historical estimates, that wage left approximately 20 percent of the population in industrialized cities at, or below, the poverty level. An average factory work week was sixty hours, ten hours per day, six days per week, although in steel mills, the workers put in twelve hours per day, seven days a week. Factory owners had little concern for workers’ safety. According to one of the few available accurate measures, as late as 1913, nearly 25,000 Americans lost their lives on the job, while another 700,000 workers suffered from injuries that resulted in at least one missed month of work.

From 1870 through 1900, the number of women working outside the home tripled. By the end of this period, five million American women were wage earners, with one-quarter of them working factory jobs. Most were young, under twenty-five, and either immigrants themselves or the daughters of immigrants. Their foray into the working world was not seen as a step towards empowerment or equality, but rather a hardship born of financial necessity. Women’s factory work tended to be in clothing or textile factories, where their appearance was less offensive to men who felt that heavy industry was their purview. Other women in the workforce worked in clerical positions as bookkeepers and secretaries, and as salesclerks. Not surprisingly, women were paid less than men, under the pretense that they should be under the care of a man and did not require a living wage.

Factory owners used the same rationale for the exceedingly low wages they paid to children. Children were small enough to fit easily among the machines and could be hired for simple work for a fraction of an adult man’s pay. The image below  shows children working the night shift in a glass factory. From 1870 through 1900, child labor in factories tripled. Growing concerns among progressive reformers over the safety of women and children in the workplace would eventually result in the development of political lobby groups. Several states passed legislative efforts to ensure a safe workplace, and the lobby groups pressured Congress to pass protective legislation. However, such legislation would not be forthcoming until well into the twentieth century. In the meantime, many working-class immigrants still desired the additional wages that child and women labor produced, regardless of the harsh working conditions.

S2g: Labor Protests

 The Great Railroad Strike (or Upheaval) of 1877

It started with a 10% pay cut. When leaders of the Baltimore and Ohio Railroad Company ordered this second reduction in less than eight months, railroad workers in Martinsburg, West Virginia decided they had had enough. On July 16, 1877, workers in that town drove all the engines into the roundhouse and boldly declared that no train would leave until the owners restored their pay. The local townspeople gathered at the railyard to show their support for the strikers. A great showdown was on.

Strikes or other actions seen as disturbances are usually handled at the local level. The mayor of Martinsburg tried in vain to threaten the striking workers, but the crowd merely laughed and booed. The local police were far too insubstantial to match the numbers of the rabble. In desperation, the mayor turned to the governor of West Virginia for support. The governor sent units of the National Guard to Martinsburg to accompany the trains out of town by force of arms. There was little support for the effort among the Guardsmen, however, because a majority of them were railroad workers themselves. After two people were killed in the standoff, the Guard simply lay down their weapons and began chatting with members of the crowd. Only when federal troops sent by President Hayes arrived did the trains leave the station. Even then they were sabotaged and harassed along their routes. Only one train reached its destination.

The Martinsburg Strike might have gone down in history as one of many small local strikes put down by force, but this time the strike spread. Soon other B & O units joined the Martinsburg strike. The movement spread into Pennsylvania, when workers on the Pennsylvania and Reading Railroads joined their compatriots. Pittsburgh is the gateway to the Midwest, and so the strike widened to that region.

The police, the National Guard, and the United States Army clashed with angry mobs throughout America. Throughout the land, wealthy individuals feared that the worst had finally come. A violent revolution seemed to be sweeping the nation.

But then it stopped. In some cases the strikes were ended by force. In others, the strikers simply gave up. After all, most workers were not trying to overthrow the government or the social order. They simply wanted higher wages and more time to spend with their families. The GREAT UPHEAVAL was not the first strike in American History; it was the first mass strike to involve so many different workers separated by so much space.

Was it successful? From a distance, it seems to have failed. However, in many cases, workers did have their demands met. There is no telling how many future pay cuts were avoided because of fear of reprisal from the laborers. The Great Upheaval was spontaneous. There was absolutely no advanced planning, showing how many rank and file workers had the same concerns about quality of life, as well as the same anger at those who controlled the wealth. More than 100,000 workers had gone on strike, shutting down nearly half of the nation's rail systems.

When the strike ended in the first week in August, over 100 people were killed and a thousand more were imprisoned. Untold millions of dollars of damage was caused to rail lines, cars, and roundhouses. The fight was over, but America had not seen the last of the mass strike.

Labor vs. Management

The battle lines were clearly drawn. People were either workers or bosses, and with that strong identity often came an equally strong dislike for those who were on the other side. As the number of self-employed Americans dwindled in the Gilded Age, workers began to feel strength in their numbers and ask greater and greater demands of their bosses. When those demands were rejected, they plotted schemes to win their cases.

Those who managed factories developed strategies to counteract those of labor. At times the relationship between the camps was as intellectual and tense as a tough chess match. Other times it was as ugly as a schoolyard fight.

The most frequently employed technique of workers was the strike. Withholding labor from management would, in theory, force the company to suffer great enough financial losses that they would agree to worker terms. Strikes have been known in America since the colonial age, but their numbers grew larger in the this era.

Most 19th century strikes were not successful, so unions thought of other means. If the workers at a shoe factory could garner enough sympathy from the local townspeople, a boycott could achieve desirable results. The union would make its case to the town in the hope that no one would buy any shoes from the factory until the owners agreed to a pay raise. Boycotts could be successful in a small community where the factory was dependent upon the business of a group of people in close proximity

In desperate times, workers would also resort to illegal means if necessary. For example, sabotage of factory equipment was not unknown. Occasionally, the foreman or the owner might even be the victims of worker-sponsored violence.

Owners had strategies of their own. If a company found itself with a high inventory, the boss might afford to enact a lockout, which is a reverse strike. In this case, the owner tells the employees not to bother showing up until they agree to a pay cut. Sometimes when a new worker was hired the employee was forced to sign a Yellow-Dog Contract, or an ironclad oath swearing that the employee would never join a union.

Strikes could be countered in a variety of ways. The first measure was usually to hire strikebreakers, or scabs, to take the place of the regular labor force. Here things often turned violent. The crowded cities always seemed to have someone hopeless enough to “cross the picket line” during a strike. The striking workers often responded with fists, occasionally even leading to death.

Prior to the 20th century the government never sided with the union in a labor dispute. Bosses persuaded the courts to issue injunctions to declare a strike illegal. If the strike continued, the participants would be thrown into prison. When all these efforts failed to break a strike, the government at all levels would be willing to send a militia to regulate as in the case of the Great Upheaval.

What was at stake? Each side felt they were fighting literally for survival. The owners felt if they could not keep costs down to beat the competition, they would be forced to close the factory altogether. They said they could not meet the workers' unreasonable demands. What were the employees demanding? In the entire history of labor strife, most goals of labor can be reduced to two overarching issues: higher wages and better working conditions. In the beginning, management would have the upper hand. But the sheer numbers of the American workforce was gaining momentum as the century neared its conclusion.

Labor Organizes

In 1866, seventy-seven delegates representing a variety of different occupations met in Baltimore to form the National Labor Union (NLU). The NLU had ambitious ideas about equal rights for African Americans and women, currency reform, and a legally mandated eight-hour workday. The organization was successful in convincing Congress to adopt the eight-hour workday for federal employees, but their reach did not progress much further. The Panic of 1873 and the economic recession that followed as a result of over-speculation on railroads and the subsequent closing of several banks—during which workers actively sought any employment regardless of the conditions or wages—as well as the death of the NLU’s founder, led to a decline in their efforts.

Although the NLU proved to be the wrong effort at the wrong time, in the wake of the Panic of 1873  and the national railroad strike, another, more significant, labor organization emerged. The Knights of Labor (KOL) attracted a sympathetic following by widening its base and appealing to more members. Philadelphia tailor Uriah Stephens grew the KOL from a small presence during the Panic of 1873 to an organization of national importance by 1878. That was the year the KOL held their first general assembly, where they adopted a broad reform platform, including a renewed call for an eight-hour workday, equal pay regardless of gender, the elimination of convict labor, and the creation of greater cooperative enterprises with worker ownership of businesses. Much of the KOL’s strength came from its concept of “One Big Union”—the idea that it welcomed all wage workers, regardless of occupation, with the exception of doctors, lawyers, and bankers. It welcomed women, African Americans, Native Americans, and immigrants, of all trades and skill levels.  Under the new leadership of Terrence V. Powderly, the KOL had a membership in excess of 700,000 by 1886.

In one night, however, the KOL’s popularity—and indeed the momentum of the labor movement as a whole—plummeted due to an event known as the Haymarket affair, which occurred on May 4, 1886, in Chicago’s Haymarket Square. There, an anarchist group had gathered in response to a death at an earlier nationwide demonstration for the eight-hour workday. At the earlier demonstration, clashes between police and strikers at the International Harvester Company of Chicago led to the death of a striking worker. The anarchist group decided to hold a protest the following night in Haymarket Square, and, although the protest was quiet, the police arrived armed for conflict. Someone in the crowd threw a bomb at the police, killing one officer and injuring another. The seven anarchists speaking at the protest were arrested and charged with murder. They were sentenced to death, though two were later pardoned and one committed suicide in prison before his execution.

The press immediately blamed the KOL as well as its leader, Terrance V. Powderly for the Haymarket affair, despite the fact that neither the organization nor Powderly had anything to do with the demonstration. Combined with the American public’s lukewarm reception to organized labor as a whole, the damage was done. The KOL saw its membership decline to barely 100,000 by the end of 1886. Nonetheless, during its brief success, the Knights illustrated the potential for success with their model of “industrial unionism,” which welcomed workers from all trades.

During the effort to establish industrial unionism in the form of the KOL, craft unions had continued to operate. In 1886, twenty different craft unions met to organize a national federation of autonomous craft unions. This group became the American Federation of Labor (AFL), led by Samuel Gompers from its inception until his death in 1924. More so than any of its predecessors, the AFL focused almost all of its efforts on economic gains for its members, seldom straying into political issues other than those that had a direct impact upon working conditions. The AFL also kept a strict policy of not interfering in each union’s individual business. Rather, Gompers often settled disputes between unions, using the AFL to represent all unions of matters of federal legislation that could affect all workers, such as the eight-hour workday.

By 1900, the AFL had 500,000 members; by 1914, its numbers had risen to one million, and by 1920 they claimed four million working members. Still, as a federation of craft unions, it excluded many factory workers and thus, even at its height, represented only 15 percent of the nonfarm workers in the country. As a result, even as the country moved towards an increasingly industrial age, the majority of American workers still lacked support, protection from ownership, and access to upward mobility.

The Decline of Labor: The Homestead and Pullman Strikes

While workers struggled to find the right organizational structure to support a union movement in a society that was highly critical of such worker organization, there came two final violent events at the close of the nineteenth century. These events, the Homestead Steel Strike of 1892 and the Pullman Strike of 1894, all but crushed the labor movement for the next forty years, leaving public opinion of labor strikes lower than ever and workers unprotected.

At the Homestead factory of the Carnegie Steel Company, workers represented by the Amalgamated Association of Iron and Steel Workers enjoyed relatively good relations with management until Henry C. Frick became the factory manager in 1889. When the union contract was up for renewal in 1892, Carnegie—long a champion of living wages for his employees—had left for Scotland and trusted Frick—noted for his strong anti-union stance—to manage the negotiations. When no settlement was reached by June 29, Frick ordered a lockout of the workers and hired three hundred Pinkerton detectives to protect company property. On July 6, as the Pinkertons arrived on barges on the river, union workers along the shore engaged them in a gunfight that resulted in the deaths of three Pinkertons and six workers. One week later, the Pennsylvania militia arrived to escort strike-breakers into the factory to resume production. Although the lockout continued until November, it ended with the union defeated and individual workers asking for their jobs back. A subsequent failed assassination attempt by anarchist Alexander Berkman on Frick further strengthened public animosity towards the union.

Two years later, in 1894, the Pullman Strike was another disaster for unionized labor. The crisis began in the company town of Pullman, Illinois, where Pullman “sleeper” cars were manufactured for America’s railroads. When the depression of 1893 unfolded in the wake of the failure of several northeastern railroad companies, mostly due to overconstruction and poor financing, company owner George Pullman fired three thousand of the factory’s six thousand employees, cut the remaining workers’ wages by an average of 25 percent, and then continued to charge the same high rents and prices in the company homes and store where workers were required to live and shop. Workers began the strike on May 11, when Eugene V. Debs, the president of the American Railway Union, ordered rail workers throughout the country to stop handling any trains that had Pullman cars on them. In practicality, almost all of the trains fell into this category, and, therefore, the strike created a nationwide train stoppage, right on the heels of the depression of 1893. Seeking justification for sending in federal troops, President Grover Cleveland turned to his attorney general, who came up with a solution: Attach a mail car to every train and then send in troops to ensure the delivery of the mail. The government also ordered the strike to end; when Debs refused, he was arrested and imprisoned for his interference with the delivery of U.S. mail. The image above shows the standoff between federal troops and the workers. The troops protected the hiring of new workers, thus rendering the strike tactic largely ineffective. The strike ended abruptly on July 13, with no labor gains and much lost in the way of public opinion.

A New American Consumer Culture

Despite the challenges workers faced in their new roles as wage earners, the rise of industry in the United States allowed people to access and consume goods as never before. The rise of big business had turned America into a culture of consumers desperate for time-saving and leisure commodities, where people could expect to find everything they wanted in shops or by mail order. Gone were the days where the small general store was the only option for shoppers; at the end of the nineteenth century, people could take a train to the city and shop in large department stores like Macy’s in New York, Gimbel’s in Philadelphia, and Marshall Fields in Chicago. Chain stores, like A&P and Woolworth’s, both of which opened in the 1870s, offered options to those who lived farther from major urban areas and clearly catered to classes other than the wealthy elite. Industrial advancements contributed to this proliferation, as new construction techniques permitted the building of stores with higher ceilings for larger displays, and the production of larger sheets of plate glass lent themselves to the development of larger store windows, glass countertops, and display cases where shoppers could observe a variety of goods at a glance. L. Frank Baum, of Wizard of Oz fame, later founded the National Association of Window Trimmers in 1898, and began publishing The Store Window journal to advise businesses on space usage and promotion.

Even families in rural America had new opportunities to purchase a greater variety of products than ever before, at ever decreasing prices. Those far from chain stores could benefit from the newly developed business of mail-order catalogs, placing orders by telephone. Aaron Montgomery Ward established the first significant mail-order business in 1872, with Sears, Roebuck & Company following in 1886. Sears distributed over 300,000 catalogs annually by 1897, and later broke the one million annual mark in 1907. Sears in particular understood that farmers and rural Americans sought alternatives to the higher prices and credit purchases they were forced to endure at small-town country stores. By clearly stating the prices in his catalog, Richard Sears steadily increased his company’s image of their catalog serving as “the consumer’s bible.” In the process, Sears, Roebuck & Company supplied much of America’s hinterland with products ranging from farm supplies to bicycles, toilet paper to automobiles, as seen below in a page from the catalog.

The tremendous variety of goods available for sale required businesses to compete for customers in ways they had never before imagined. Suddenly, instead of a single option for clothing or shoes, customers were faced with dozens, whether ordered by mail, found at the local chain store, or lined up in massive rows at department stores. This new level of competition made advertising a vital component of all businesses. By 1900, American businesses were spending almost $100 million annually on advertising. Competitors offered “new and improved” models as frequently as possible in order to generate interest.

From toothpaste and mouthwash to books on entertaining guests, new goods were constantly offered. Newspapers accommodated the demand for advertising by shifting their production to include full-page advertisements, as opposed to the traditional column width, agate-type advertisements that dominated mid-nineteenth century newspapers (similar to classified advertisements in today’s publications). Likewise, professional advertising agencies began to emerge in the 1880s, with experts in consumer demand bidding for accounts with major firms.

It may seem strange that, at a time when wages were so low, people began buying readily; however, the slow emergence of a middle class by the end of the century, combined with the growing practice of buying on credit, presented more opportunities to take part in the new consumer culture. Stores allowed people to open accounts and purchase on credit, thus securing business and allowing consumers to buy without ready cash. Then, as today, the risks of buying on credit led many into debt. As advertising expert Roland Marchand described in his Parable on the Democracy of Goods, in an era when access to products became more important than access to the means of production, Americans quickly accepted the notion that they could live a better lifestyle by purchasing the right clothes, the best hair cream, and the shiniest shoes, regardless of their class. For better or worse, American consumerism had begun.

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