Vertical Integration- When a company manages all parts of production; Meat company owning the cows, the fields they grazed, the slaughterhouses, etc. Used by Swift.
Horizontal Integration- When a company bought out competition by drastically lowering their prices. This made consumers go for that company, bringing competition out of business and bought out by initial company. Used by industry leaders like Rockefeller. Created conglomerates; monopolies.
Trusts- When multiple companies worked as one in investing, Usually bad b/c they created monopolies.
Shift in management- Split important tasks up; e.g. one leader for finances, one leader for marketing, one leader for manufacturing, etc.
Skilled vs Unskilled Workers- Skilled workers were craftsmen who dedicated their work to creating something in whole. Unskilled work didn’t require thinking, just doing one specific action repeatedly; e.g. putting a screw into something. With an industry expanding, unskilled workers replaced skilled workers b/c they were cheaper, more abundant, and required less care.
Scientific Management- Rewarding workers who worked faster with higher pays, workers would listen to their bosses entirely without question. Robotic workers. Didn’t catch on b/c of stubborn workers and Labor Unions.
Immigration- Old immigrants came from English speaking countries like Ireland, some Germans, usually protestant. New Immigrants came from Eastern Europe: Italy, Poland, Russia, and other small Eastern European Countries; usually peasants escaping poverty or religious persecution (Jews). Didn’t speak English. Jewish & Catholic. Heavily discriminated against. “Birds of Passage”, 1/3 returned home after making enough $. Chinese also came due to Burlingame Treaty & gold, etc.
Chinese Exclusion Act- Banned all Chinese immigration, along with denying Japanese & citizenship. Paper sons were people who forged papers to get in.
Great Railroad Strike- Thousands of laborers protested wage cuts. Opened American eyes to labor unions and strikes.
Henry George & Poverty and Progress- Warned Americans of optimism towards industry. Argued Industrial power meant poverty. Made Americans start to doubt big business and industry and just how beneficial it was.
Greenback Labor Party- Pushed for better work and railroad regulations. Wanted to increase the flow of money in order to aid borrowers of loans, which would foster economic growth. E.g. Farmers would be able to pay back their loans, allowing them to put more money towards farming.
Producerism- Dismissed wealthy business owners as living off the labor of others.
Granger Laws- Imposed many regulations on railroads, not really enforced, but started reform movements.
Knights of Labor- Wanted to build universal brotherhood between workers. Allowed anyone to join except Chinese. No child labor, no trusts, no strikes (wanted gov intervention) Didn’t work much as the gov consistently sided w/ business. Wanted public ownership of railroads & telegraphs.
Haymarket Protest- Violent protest, led to a backlash of labor unions, especially Knights. “If workers didn’t go on strike there wouldn’t be any violence.”
Farmers Alliance- Group of farmers, shared Greenback & Granger ideas, fought for farmers rights. Farmers weren’t winning over industry.
Hatch Act- Provided federal funding for agricultural research & education; win for Farmers Alliance
Interstate Commerce Act- Went against Wabash v Illinois- no gov. regulation of railroad- by creating ICC; regulated interstate shipping & railroads. Good for farmers expect it wasn’t really enforced.
Closed Shop- needed to be part of a Union to be employed b/c craft workers wanted to keep lower-wage workers out of unions; as it would strengthen their Unions.
AFl (American Federation of Labor)- Led by Samuel Gompers. Craft unions, wanted better wages, better working conditions, “bread & butter” essentials (8 hour work day, etc.). Negotiated w/ employers directly since Gov didn’t care about workers.
Tactics against Labor Unions-
Lockout (closure)
Blacklists (list of “troublemakers”, people who were part of Unions)
Yellow dog contracts (loyalty contracts; workers promised not to join Unions)
State militias
Court injunctions (Prevented workers from going on strike)
Homestead Strike & Pullman Strike- Violent strikes...basically. More examples of strikes b/c of how dissatisfied workers were.
Haymarket Affair - A labor protest that turned violent, highlighting the tensions between workers and law enforcement.