Big Business and Organized Labor

1. Big Business and Organized Labor Main Idea Business leaders guided industrial expansion created new ways of doing business, while workers organize. Why It Matters Now These leaders developed modern corporations, while unions gains benefit workers today.

2. CA Standards • 8.12.3 Students explain how states and the federal government encouraged business expansion through tariffs, banking, land grants, and subsidies • 8.12.4 Students discuss entrepreneurs, industrialists, and bankers in politics, commerce, and industry (e.g. Andrew Carnegie, John D. Rockefeller, and Leland Stanford).

3. 8.12.6 Discuss child labor, working conditions, and laissez-faire policies toward big business and examine the labor movements, including its leaders (e.g., Samuel Gompers), its demand for collective bargaining, and its strikes and protests over labor conditions. • 8.12.9 Name the significant inventors and their inventions and identify how they improved the quality of life (e.g., Thomas Edison, Alexander Graham Bell, Orville and Wilbur Wright.

4. Daily Guided Questions • What big business tactics did Carnegie and Rockefeller use to eliminate competition? • What hardships did workers face in the late 1800’s? • In which ways did workers try to fight injustices of big business, give at least one example?

5. Quick Write “Pretend you are the child in the photo, instead of going to school you are working 10-12 hour day for 75 cents a day. Write a journal entry as the child in the photo.” • Writings must be at least 60 words long. You have 5 min.

6. Mill Worker and Coal miners

7. New Ways of Doing Business • Entrepreneurs expansion businesses by creating corporations. -Raise capital (money) by selling stock. -Run by board of directors. • Corporations join together to create trusts. -Threat to free enterprise=system where businesses compete freely. -Government had laissez faire (easy) policy on big business.

8. Bankers • Loans huge amounts of capital (money) to corp. to expand faster. • J.P. Morgan became powerful by controlling many industries, railroads and steel.

9. Andrew Carnegie • Scottish immigrant, created monopoly of the steel industry. • Controlled every part of making steel. -Vertical Integration=Buy out raw material producers and distributors. -Used Bessemer process, which produce more steel at a lower cost.

10. John D. Rockefeller • American businessman that controlled oil industry through his Standard Oil Trust. -Horizontal Integration= buys out competition to create monopoly. -Trust, group of corporations run by board of directors. • Both Carnegie and Rockefeller known as “robber barons” and philanthropists.

11. Carnegie Rockefeller

12. Social Darwinism • “Survival of the fittest” in society and business. -Based on Darwin’s theory of evolution. -Justify doctrine of laissez faire (business free of gov.reg).

13. Women and Children • Jobs attract thousands to work in industry in the cities. • Women outnumber men in most industry. -Worked in sweatshops= workshop where workers work long hours in dangerous conditions. • Children worked in the same horrible conditions as adults. -Textile mills, tobacco factories, coal mines and sweatshops.

14. Dangerous Conditions • Long hours, 12-14 hours. • Low pay, dollar a day. • Unhealthy, lung disease, extreme heat, and burns. • No compensation for injuries or death. • Triangle Shirtwaist Factory. -Fire killed over 150 people (mostly women) on March 25, 1911.

16. Labor Unions • Created to protect employee jobs and rights. -Meetings, rallies, and strikes. • Knights of Labor, 1869. -Admitted everyone. - 8 hr. workday, equal pay, and arbitration. • American Federation of Labor (AFL), 1886. -Created by Samuel Gompers. -Admitted only skilled workers. -Uses collective bargaining, union leaders and business owners negotiate.

17. Women and Unions • Worked to improve conditions and ban child labor. -Mary Harris (Mother) Jones, campaigned and supported strikes.

18. Strikes • Haymarket Square, May 4, 1886. -Striking workers protest police brutality. -Bomb thrown into crowd of police, kills 8. -Police fire into crowd. -Riot turns public against unions. • Pullman Strike, 1893. -Railroad company cuts wages by 25%, but didn’t reduce rent on company housing. -Strike halts county’s rail lines. -President Grover Cleveland sends troops to break strike. -Jails Eugene V. Debs, union president.

20. Public Opinion • Sees labor unions as dangerous and radical. • Socialism= Economic theory where there is social control of the means of production. -Foreign ideas. -About 3% of workers will be in unions by 1900.

21. Primary Source Analysis • You will be shown a series of primary sources (photos and political cartoons) • Look at them carefully. • In the first box I want you to complete the statement, “This is a picture of…” • In the second box write how the image makes you feel or think about, “This picture makes me think about…” • In the third box write at least one question the image makes you think about, “Questions I have about this picture…”

27. Primary Source pg. 642 • Read the primary source, Lewis Hine’s, Child Labor in Coal Mine, on textbook page 642. • Answer the three questions based on the primary source.

28. Study Guide pg. 221 • Copy and complete the study guide on page 221. • Use your notes and textbook pages, 488-493to finish it.