6.5-6.9+Gilded+Age-+Capitalism+and+Immigration

Labor in the Gilded Age

Overview of Gilded Age

  • Definition: The term "Gilded Age" was coined by Mark Twain in his book of the same name in 1873, highlighting the era's superficial glitter of wealth contrasted with underlying social issues.

  • Time Period: Covered from 1865 to 1898, marked by the rise of large corporations and industrial capitalism.

  • Socioeconomic Control: Dominated by the "captains of industry" who amassed great fortunes and influenced politics, while numerous problems existed for workers, farmers, and cities.

Challenges for Wage Earners

  • Labor Conditions:

    • Two-thirds of all employed Americans worked in wages under harsh conditions (10-hour days, 6 days a week).

    • Wages determined by supply and demand, often just above subsistence level due to competition from immigrant workers.

    • David Ricardo's "Iron Law of Wages": Raising wages would increase population, leading to a cycle of low wages and poverty.

  • Family Income:

    • Real wages rose, yet most families could not live on one income.

    • By 1900, children made up 20% of the workforce, indicating economic necessity in many families.

    • Most families earned less than $380 annually.

Labor Discontent

  • Shift from Artisan to Factory Work:

    • Transition to factory work diminished personal craftsmanship, resulting in monotonous tasks.

    • Emphasis on time management affected work satisfaction.

    • Dangerous conditions with exposure to harmful substances.

  • Worker Resistance:

    • Workers often rebelled against poor conditions through absenteeism or quitting, averaging job changes every three years.

  • Labor Organizations:

    • Many factory workers did not join unions to express discontent, opting instead for other forms of protest.

Struggles of Organized Labor

  • Labor Conflict Severity: The late 19th century was characterized by violence and confrontations between laborers and management; many worried about impending warfare between the two.

Industrial Warfare Tactics

  • Management's Advantages:

    • Easy replacement of strikers with strikebreakers.

    • Key tactics included:

      • Lockouts: Closing factories to suppress strikes.

      • Blacklists: Preventing pro-union workers from getting jobs.

      • Yellow-Dog Contracts: Prohibiting union membership as a job condition.

      • Militias/Private Guards: Used to suppress strikes.

      • Court Injunctions: Legal means to prevent strikes.

  • Public Perception: Unions often seen as radical and un-American, with management usually prevailing in conflicts due to government support.

Labor Tactics

  • Diverse Views: Division among labor leaders on strategies—some supported political action, while others favored direct actions (e.g., strikes, boycotts) for rights and conditions.

Major Strikes

  • Great Railroad Strike of 1877:

    • Triggered by wage cuts during an economic depression; spread nationally, involving multiple industries.

    • Resulted in federal troops being used for the first time to quell a labor strike; over 100 fatalities occurred.

  • National Labor Union:

    • Formed in 1866 as the first nationwide labor organization, advocating for higher wages and an eight-hour workday. Suffered losses due to economic recession and unsuccessful strikes.

  • Knights of Labor:

    • Established in 1869, opened to all workers, advocated various reforms. Initially peaked in membership before decline post-Haymarket riot due to a shift in public opinion against unions.

Haymarket Bombing

  • A pivotal 1886 event where labor violence erupted during a May Day rally in Chicago, leading to a backlash against unions and a significant decline in the Knights of Labor's popularity.

American Federation of Labor (AFL)

  • Founded: 1886, focused on skilled workers with narrower goals compared to the Knights of Labor.

  • Leadership: Samuel Gompers directed strategies emphasizing negotiation and collective bargaining.

  • Grew rapidly to become the largest labor organization in the U.S. by 1901, yet faced struggles achieving major victories until the early 20th century.

Strikes in the 1890s

  • Homestead Strike (1892): A response to wage cuts, it involved violent clashes and ultimately failed to secure labor rights.

  • Pullman Strike (1894): Originated from wage cuts and management retaliation, leading to national disruption and federal intervention. Resulted in legal precedent aiding management's ability to break strikes and unions.

Conditions by 1900

  • Union Membership: Only 3% of American workers were union members.

  • Management Dominance: Employers typically retained the upper hand in labor disputes, backed by government forces.

  • Regional Economic Concentration: Industrial growth primarily in the Northeast and Midwest, synonymous with urbanization and immigration influx.

Labor in the Gilded Age

Overview of Gilded Age

  • Time Period: 1865-1898; rise of large corporations and industrial capitalism.

  • Socioeconomic Control: Wealthy industrialists vs. workers, farmers, and cities facing numerous challenges.

Challenges for Wage Earners

  • Labor Conditions: 66% of workers in harsh conditions (10-hour days); wages near subsistence due to immigrant competition.

  • Family Income: Real wages rose, but families needed multiple earners; 20% of workforce were children, average earnings < $380.

Labor Discontent

  • Shift to Factory Work: Reduced craftsmanship and job satisfaction.

  • Worker Resistance: Protests through absenteeism and frequent job changes.

  • Labor Organizations: Many workers opted not to join unions.

Struggles of Organized Labor

  • Labor Conflict Severity: Marked by violence and fear of warfare between workers and management.

Industrial Warfare Tactics

  • Management Advantages: Easy striker replacement, locking out workers, blacklisting, yellow-dog contracts, and using militia.

  • Public Perception: Unions seen as radical, management typically supported by government.

Labor Tactics: Divisions among labor leaders between political and direct action approaches.

Major Strikes

  • Great Railroad Strike of 1877: Sparked by wage cuts; first national use of federal troops, resulting in over 100 fatalities.

  • National Labor Union: First nationwide labor group (1866) that faded due to economic issues.

  • Knights of Labor: Founded in 1869, peaked before decline due to public backlash post-Haymarket.

  • Haymarket Bombing (1886): Violence during Chicago's May Day rally led to anti-union sentiment.

  • American Federation of Labor (AFL): Established in 1886 focusing on skilled labor, emphasized negotiation, grew to become the largest union by 1901.

Strikes in the 1890s

  • Homestead Strike (1892): In response to wage cuts; ended in violence without labor rights.

  • Pullman Strike (1894): Nationwide disruption from wage cuts led to federal intervention, aiding management's control.

Conditions by 1900

  • Union Membership: 3% of American workers were unionized.

  • Management Dominance: Employers generally maintained control during disputes.

  • Economic Concentration: Industrial growth concentrated in Northeast and Midwest, paralleling urbanization and immigration.