Who was carnegie?
Andrew Carnegie, best known for his work in building the steel industry, was born on November 25, 1835 in Dunfermline, the medieval capital of Scotland. Since Dunfermline was the center of the linen industry at the time, it is not surprising that he was born to a weaver, William Carnegie. Andrew was expected to follow in his father's footsteps and become a weaver, but the invention of the steam powered loom left his father's craft obsolete, and so he lost his job. Andrew's mother had to work in order to support the family. It is ironic that the Industrial Revolution, which had ruined his early life and sent his family into poverty, would eventually make him one of the richest men in the world. This life of poverty only made the fire of the longing for success in Andrew's heart burn stronger. He later wrote " I began to learn what poverty meant. It was burnt into my heart then that my father had to beg for work. And then and there came the resolve that I would cure that when I got to be a man."
Fearing for the survival of her family (both as a result of poverty and the Carnegie men's belief in political egalitarianism) Andrew's mother borrowed 20 pounds and in 1848, the Carnegie family came to America. They lived with relatives in Pittsburgh, the iron-manufacturing center of the country. William found work in a cotton factory, and Andrew got a job in the same building as his father as a bobbin boy, being paid $1.20 a week. Though a simple job, Carnegie did his work to the best of his ability and never passed up an opportunity to get new responsibilities. His long journey for industrial kingship had begun.
Fearing for the survival of her family (both as a result of poverty and the Carnegie men's belief in political egalitarianism) Andrew's mother borrowed 20 pounds and in 1848, the Carnegie family came to America. They lived with relatives in Pittsburgh, the iron-manufacturing center of the country. William found work in a cotton factory, and Andrew got a job in the same building as his father as a bobbin boy, being paid $1.20 a week. Though a simple job, Carnegie did his work to the best of his ability and never passed up an opportunity to get new responsibilities. His long journey for industrial kingship had begun.
Carnegie begins his career
While working, Carnegie met Thomas Scott (pictured left), a young man beginning his career with the Pennsylvania Railroad, who immediately took to Carnegie and made him his private secretary and personal telegrapher. Now being paid $35 a month, Carnegie, ever eager to take on new responsibilities, moved up the ranks of the Pennsylvania Railroad Company, eventually succeeding Scott as superintendent of the Pittsburgh Division. The start of the Civil War fueled the iron industry, and Carnegie saw this a s his chance. He quit the Railroad business and turned his attention toward the Keystone Bridge Company. This company replaced old wooden bridges with new iron ones, and after a year working for Keystone Bridge, Carnegie had an annual income of about $50,000. Despite his great success, Carnegie disliked the life of a businessman. At age 35, Carnegie made the most important decisions of his life: yearning to get away from the Railroad business, he found a new steel refining process being used by the English to convert iron to a more flexible and less brittle metal. In 1892, he built a steel plant in Pittsburgh and began his business.
Carnegie Steel company
One of Carnegie's most important characteristics was he was able to detect when things would change, and he not afraid to invest heavily in new things. As a result, Carnegie and his company were always on the top line. Also, Carengie focused a great deal on keeping costs down and ran his business following his motto "watch costs and the profits take care of themselves." Unlike other industrial captains of his time, Carnegie fought heavily for workers' rights, but when it came to his own workers, he was dauntingly hypocritical. He often made his workers work long hours under poor conditions and doing strenuous and dangerous work for little money. In 1892, the same year his business began, the workers at Carnegie Steel went on strike. The doors of the factories were locked and street thugs were hired to intimidate the strikers. Many were killed in the conflict, and as a result Carnegie's reputation was tarnished for years to come.
Despite this setback, Carnegie Steel continued to push forward, and by 1900 the company made more steel than all of Great Britain. Later however, at the age of 64, Carnegie came face-to-face with financier J. Pierpont Morgan. Confident he could easily defeat Morgan in a five to fifteen year battle, Carnegie was un-eager to do so, preferring instead to spend more time with is wife and daughter. Carnegie wrote his asking price for his company on a sheet of paper and delivered it to Morgan, who accepted without hesitation. Carnegie sold his company for $480 million. After finalizing the deal, Morgan told Carnegie "Congratulations, Mr. Carnegie. You are now the richest man in the world."
Despite this setback, Carnegie Steel continued to push forward, and by 1900 the company made more steel than all of Great Britain. Later however, at the age of 64, Carnegie came face-to-face with financier J. Pierpont Morgan. Confident he could easily defeat Morgan in a five to fifteen year battle, Carnegie was un-eager to do so, preferring instead to spend more time with is wife and daughter. Carnegie wrote his asking price for his company on a sheet of paper and delivered it to Morgan, who accepted without hesitation. Carnegie sold his company for $480 million. After finalizing the deal, Morgan told Carnegie "Congratulations, Mr. Carnegie. You are now the richest man in the world."
the final years
Carnegie's impoverishment past had left a mark on his heart, and as a result Carnegie was fond of the saying "the man who dies rich dies disgraced." Disliking charity, Carnegie preferred to invest his money into "helping people help themselves." He established over 2,500 libraries and supported institutions of higher learning. In total, he gave away almost $350 million dollars.
Also, ever the advocate for world peace, Carnegie called for a "league of nations" and built a "palace of peace", which would later become the World Court. His hopes for international peace were shattered, however, with the start of World War I in 1914. On August 11th, 1914, just one month after the start of World War I, Andrew Carnegie died.
Also, ever the advocate for world peace, Carnegie called for a "league of nations" and built a "palace of peace", which would later become the World Court. His hopes for international peace were shattered, however, with the start of World War I in 1914. On August 11th, 1914, just one month after the start of World War I, Andrew Carnegie died.