Andrew Carnegie is a steel plant owner who claims to support unions and the working man. His charge is that he ignored the legitimate grievances of his employees at his plant in Homestead Pennsylvania and that his neglect contributed to the death of several of his employees during a strike at Homestead in June of 1892 and that he should be held accountable. Andrew Carnegie has dealt with strikes at his plants before. One strike was at his plant in Braddock Pennsylvania where he settled with the workers by agreeing to higher pay but without input from the Union, essentially ruining it. The union at Homestead was one of the last unions in any of his plants. Leading up to the strike at Homestead, Andrew Carnegie left for a vacation in Scotland. During this time he left plant owner Frick in charge. Frick openly hated unions and lowered the wages at …show more content…
Frick hired 300 pinkertons who are armed guards and also built a fence around the plant. The Prosecution's first witness was Hugh O'Donnell. He had been working at the Homestead plant since before Andrew Carnegie owned it. He was one of the workers that had gone on strike. He stated that under Carnegie's management, life was worse for employees while Carnegie was making an obscene amount of money. There were lots of horrible burn injuries because of a new method of steel production in the factory using coke. Many workers became deaf. Under Frick’s management the workers wages were lowered from 26 dollars to 23 dollars per month. He also hired the pinkertons to guard the plant from rioting and fired workers. O’Donnel said that Carnegie is at fault because he gave Frick power and allowed him to do his dirty work for him. The second witness was Sylvia Plucinski, a Polish immigrant whose husband was
Because of an economic stumble, Andrew Carnegie, a prominent businessman who was the head of the steel industry, had his company adversely affected. The price of steel-rolled products declined from $35 to $22 in early 1892. Henry H. Frick, a manager of the Homestead steel plant, which was largely owned by Carnegie, worked to combat the economic hiccup by cutting wages and attempting to end the Amalgamated Association of Iron and Steel Workers, one of the largest labor unions in the country. Once the union’s contract expired, Carnegie encouraged Frick’s efforts and instructed Frick to close the plant and wait for the workers to concede. Carnegie believed that the workers would end their union in order to hold on to their jobs.
The singular event of the Homestead Strike turned a highly profitable and mutually beneficial relationship into a series of disagreements which only concluded with the sale of Carnegie Steel to the J.P. Morgan creation, United States Steel Corporation for $480 million dollars, approximately $329 billion dollars in 2006 dollars. That final transaction occurred only after Carnegie’s attempt to impose the terms of the Iron Clad Agreement on Frick. The Iron Clad Agreement required any shareholder of Carnegie Steel to sell his stock back to the Company at book value if so requested by the holders of 75% of the outstanding stock Carnegie owned 45% of the stock. Carnegie demanded that Frick tender his stock which would have resulted in Frick being paid approximately $1.5 million dollars. A settlement was reached and less than three years later when Carnegie Steel was sold to United States Steel Corporation, Frick was paid $51 million dollars.
Frick’s reply: “Tell him that I’ll meet him in hell.” That is all the book is about. In nineteenth century, which was the first quarter of iron and steel industry, the relation between management and labor was remarkably
They wanted to strike about it but there was no strike allowed in the steel mill. They would threaten the workers poorly and have them go home with less than $2 to provide for their families. These documents show that Andrew Carnegie was a Robber Barron and wouldn't treat his workers right and would fight for what he wanted. He would scam his customers and pay his workers poorly. On the other hand, he is a good
On July 30, 1892, the strike of the workers of Homestead Mill began. The chairman of Carnegie, H.C. Fick, quickly went to work protecting the Mill, by wrapping the plant in electrified fence topped with barbed wire. Also, Fick set up searchlights and even invested in a patrol boat for the river located next to the factory. Then it began: 3,500 men with access of up to 500,000 dollars against the wealth and power of Carnegie Steel.
The employees stopped working and got into scuffles with the guards at the mill. The encounter was very violent and showed that Carnegie’s system needed a big change. His workers were not being treated right. Flash-forward two years and not much has changed. The workers 11 hour workday has extended to 12 hours with a very slight pay raise.
The Strike was a national railroad strike. The main conflict began when nearly 4,000 factory employees of the Pullman Company began a wildcat strikes in response to a reduction in wages. Most factory workers lived in the company town. The town was mostly owned by Pullman himself. When Pullman laid off workers and lowered wages, he did not reduce rents, and this caused workers called for a strike.
In the end, the workers were forced to go back to work and they were forced to take a pay cut.” Carnegie refused to give his workers a raise and improve their working conditions. This proves that Carnegie cared more about his reputation and keeping sales than his employees. He would kill some of them just so they would comply and go back to work. To prove this, there is a reason it was renamed the homestead massacre in replacement of the homestead
Carnegie was involved in a highly competitive business. Does this excuse him (and others) for their treatment of workers? As told Carnegie grew up poor and then was forced to work unbearable hours and six days a week for little pay. “In 1849, at the age of 14, Ohio Telegraph Company hired Andrew as a telegraph messenger for $2.50 per week. With roaring ambition and an unbelievable work ethic propelling him, Carnegie taught himself the language of the telegraph and within a year became the operator.
Kracha experienced first hand the harshness that working as a laborer in the Gilded Age entailed. While Kratcha was working on the railroad in White Haven he had to line and surface railroad tracks, repair railroad tracks that were already built, and fight fires, all while only being paid ten, or even sometimes nine, cents (21). This difficult, dangerous, and low paid work made it tough for Kracha to earn enough money to be prosperous. When Kracha, Andrej, and Dubik tried to achieve the American Dream in the Steel Mills they were faced with the many dangerous conditions. Hoping to make more money Kracha worked in two of Carnegie’s steel mills.
They did not accept any competition and would go through great lengths to remain the main steel producers. This meant lowering production costs and paying lower wages. Their controversial decision to take down the AAISW (Amalgamated Association of Steel Workers) in 1892 led to the most horrific, catastrophic event in history. The workers were furious at getting lower wages and refused to work. Carnegie inconveniently leaves to his home in Scotland leaving Frick with all the trouble.
This is also known as the Homestead Strike. Carnegie then hired Pinkerton thugs to attack the workers. In the same excerpt, the author says, “he hired Pinkerton thugs to intimidate strikers. Many were killed in the conflict, and it was an episode that would forever hurt Carnegie's reputation and haunt the man.” He uses unfair ways to have a successful business through low wages, and using wealth to his
Andrew Carnegie was one of the most famous and wealthiest American industrialist during the Industrial Age. He was a robber baron who made a fortune in the steel industry and applied vertical integration to his business. Carnegie contradicted his views as a robber baron because he supported, but destroyed many unions. This made many of his views unethical.
Carnegie’s right hand was Henry Frick, who was known for his hostility. Frick was left in charge of the Homestead
The strikers eventually won causing the company to stay closed. Then five days later the governor in Pennsylvania sent soldiers to restore order and re-open the the plant. Two months later the strike was called off, Carnegie was criticized for Fricks actions. Carnegie did a lot to achieve his large empire, he fought competitors and made good business