Standard Oil Company; Trusts, Industrial -- United States
Labor, though, as always, the most silent, suffered the most. Three
hundred coopers were thrown out of work in Titusville alone within a
short time, and the loss of employment to the workmen in the refineries
was still more serious. This was not because trade was bad. Exports
were never greater than in 1889. Government statistics reveal as in a
mirror what was being done.
The exports of refined petroleum increased 21 per cent. in 1889 over
1888. But Perth Amboy, from which the independents shipped for the
most part, showed a decrease of over 18-1/2 per cent. By the stroke of
a freight agent's pen the business of these men was being taken from
them, to be given to others. The general tide was rising, but their
feet were sinking in a quicksand.
The export business of Boston in oil was given to the "seaboard
refiners" by the same stroke. Freights that had been $100 were now $174
to Boston, and $188 to New York. These rates were so high as to stop
oil from going through. "The Nova Scotia trade," it was testified,
"goes to New York, and from there by water, whereas they used to buy
in Boston. Boston brokers will ship oil from New York and get it to
Nova Scotia cheaper than if it went from Boston, whereas when we had
the export rate we could compete in that market."[246] Two months
later most of what remained of the business of the independents in
New England was added to the gift of their foreign trade, which had
already been made to the "seaboard refiners." By an order of October
25, 1888, the railroads made it known to these "pestilences," as the
lawyers of the railroads called the independent refiners in court,[247]
that they would not be allowed to send any more through shipments into
New England. This was done, as in Ohio in 1879,[248] without the notice
required by law, though in the meantime a Federal law had been passed
requiring notice.[249]
This order was the finishing touch in the task of using the freight
tariff to prevent freight shipment. It shut the independents--the
hunted shippers--out of over 150 towns in New Hampshire, Vermont,
Maine, Massachusetts, including Manchester, Burlington, Portland,
Salem, in which they had built up a good business, and it made
it impossible to reach these places except by paying high local
rates--from station to station--which were not required of their
competitor, who shipped on through rates. The railroads would take the
oil of the independents for shipment, but would not tell them what the
rates would be. In this, as in all the moves of this game, we see the
railroad managers of a score of different roads, at points thousands
of miles apart, taking the same step at the same time, like a hundred
electric clocks ticking all over a great city to the tune of the clock
at headquarters that makes and breaks their circuit.
Public-domain text, read in full here on John Shaqi.
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