Beginning of The Crisis
The formation of the U.S. Steel trust in 1901 threatened the AA with ruin. U.S. Steel not only combined Elbert Gary and J.P. Morgan's Federal Steel with Andrew Carnegie's steel operations, it also incorporated the plants of the American Tin Plate Co. The AA was confronted with a crisis: It had to organize the plants of U.S. Steel before the corporation, with its relatively infinite resources, could stop the union drives. But the executive committee of U.S. Steel was equally aware of the threat the AA posed, and the company's board of directors secretly adopted a resolution on June 17, 1901, opposing any unionization attempt. U.S. Steel's Tin Plate subsidiary reneged on promises to recognize the AA on the grounds that the union had not won contracts at every plant owned by the American Sheet Steel Co. Sheet Steel executives, meanwhile, refused not only to not recognize the union at its nonunion plants but also began withdrawing recognition and refusing to bargain at its unionized plants.
Read more about this topic: U.S. Steel Recognition Strike Of 1901
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