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Autobiography of Andrew Carnegie

Andrew Carnegie

close, I can never fail to feel and evince the liveliest interest in the welfare of such as have been identified with the Pittsburgh Division in times past, and who are, I trust, for many years to come to contribute to the success of the Pennsylvania Railroad Company, and share in its justly deserved prosperity. Thanking you most sincerely for the uniform kindness shown toward me, for your zealous efforts made at all times to meet my wishes, and asking for my successor similar support at your hands, I bid you all farewell. Very respectfully (Signed) ANDREW CARNEGIE Thenceforth I never worked for a salary. A man must necessarily occupy a narrow field who is at the beck and call of others. Even if he becomes president of a great corporation he is hardly his own master, unless he holds control of the stock. The ablest presidents are hampered by boards of directors and shareholders, who can know but little of the business. But I am glad to say that among my best friends to-day are those with whom I labored in the service of the Pennsylvania Railroad Company. In the year 1867, Mr. Phipps, Mr. J.W. Vandevort, and myself revisited Europe, traveling extensively through England and Scotland, and made the tour of the Continent. "Vandy" had become my closest companion. We had both been fired by reading Bayard Taylor's "Views Afoot." It was in the days of the oil excitement and shares were going up like rockets. One Sunday, lying in the grass, I said to "Vandy": "If you could make three thousand dollars would you spend it in a tour through Europe with me?" "Would a duck swim or an Irishman eat potatoes?" was his reply. The sum was soon made in oil stock by the investment of a few hundred dollars which "Vandy" had saved. This was the beginning of our excursion. We asked my partner, Harry Phipps, who was by this time quite a capitalist, to join the party. We visited most of the capitals of Europe, and in all the enthusiasm of youth climbed every spire, slept on mountain-tops, and carried our luggage in knapsacks upon our backs. We ended our journey upon Vesuvius, where we resolved some day to go around the world. This visit to Europe proved most instructive. Up to this time I had known nothing of painting or sculpture, but it was not long before I could classify the works of the great painters. One may not at the time justly appreciate the advantage he is receiving from examining the great masterpieces, but upon his return to America he will find himself unconsciously rejecting what before seemed truly beautiful, and judging productions which come before him by a new standard. That which is truly great has so impressed itself upon him that what is false or pretentious proves no longer attractive. My visit to Europe also gave me my first great treat in music. The Handel Anniversary was then being celebrated at the Crystal Palace in London, and I had never up to that time, nor have I often since, felt the power and majesty of music in such high degree. What I heard at the Crystal Palace and what I subsequently heard on the Continent in the cathedrals, and at the opera, certainly enlarged my appreciation of music. At Rome the Pope's choir and the celebrations in the churches at Christmas and Easter furnished, as it were, a grand climax to the whole. These visits to Europe were also of great service in a commercial sense. One has to get out of the swirl of the great Republic to form a just estimate of the velocity with which it spins. I felt that a manufacturing concern like ours could scarcely develop fast enough for the wants of the American people, but abroad nothing seemed to be going forward. If we excepted a few of the capitals of Europe, everything on the Continent seemed to be almost at a standstill, while the Republic represented throughout its entire extent such a scene as there must have been at the Tower of Babel, as pictured in the story-books--hundreds rushing to and fro, each more active than his neighbor, and all engaged in constructing the mighty edifice. It was Cousin "Dod" (Mr. George Lauder) to whom we were indebted for a new development in our mill operations--the first of its kind in America. He it was who took our Mr. Coleman to Wigan in England and explained the process of washing and coking the dross from coal mines. Mr. Coleman had constantly been telling us how grand it would be to utilize what was then being thrown away at our mines, and was indeed an expense to dispose of. Our Cousin "Dod" was a mechanical engineer, educated under Lord Kelvin at Glasgow University, and as he corroborated all that Mr. Coleman stated, in December, 1871, I undertook to advance the capital to build works along the line of the Pennsylvania Railroad. Contracts for ten years were made with the leading coal companies for their dross and with the railway companies for transportation, and Mr. Lauder, who came to Pittsburgh and superintended the whole operation for years, began the construction of the first coal-washing machinery in America. He made a success of it--he never failed to do that in any mining or mechanical operation he undertook--and he soon cleared the cost of the works. No wonder that at a later date my partners desired to embrace the coke works in our general firm and thus capture not only these, but Lauder also. "Dod" had won his spurs.
Illustration note[Illustration: GEORGE LAUDER]
The ovens were extended from time to time until we had five hundred of them, washing nearly fifteen hundred tons of coal daily. I confess I never pass these coal ovens at Larimer's Station without feeling that if he who makes two blades of grass grow where one grew before is a public benefactor and lays the race under obligation, those who produce superior coke from material that has been for all previous years thrown over the bank as worthless, have great cause for self-congratulation. It is fine to make something out of nothing; it is also something to be the first firm to do this upon our continent. We had another valuable partner in a second cousin of mine, a son of Cousin Morrison of Dunfermline. Walking through the shops one day, the superintendent asked me if I knew I had a relative there who was proving an exceptional mechanic. I replied in the negative and asked that I might speak with him on our way around. We met. I asked his name. "Morrison," was the reply, "son of Robert"--my cousin Bob. "Well, how did you come here?" "I thought we could better ourselves," he said. "Who have you with you?" "My wife," was the reply. "Why didn't you come first to see your relative who might have been able to introduce you here?" "Well, I didn't feel I needed help if I only got a chance." There spoke the true Morrison, taught to depend on himself, and independent as Lucifer. Not long afterwards I heard of his promotion to the superintendency of our newly acquired works at Duquesne, and from that position he steadily marched upward. He is to-day a blooming, but still sensible, millionaire. We are all proud of Tom Morrison. [A note received from him yesterday invites Mrs. Carnegie and myself to be his guests during our coming visit of a few days at the annual celebration of the Carnegie Institute.] I was always advising that our iron works should be extended and new developments made in connection with the manufacture of iron and steel, which I saw was only in its infancy. All apprehension of its future development was dispelled by the action of America with regard to the tariff upon foreign imports. It was clear to my mind that the Civil War had resulted in a fixed determination upon the part of the American people to build a nation within itself, independent of Europe in all things essential to its safety. America had been obliged to import all her steel of every form and most of the iron needed, Britain being the chief seller. The people demanded a home supply and Congress granted the manufacturers a tariff of twenty-eight per cent _ad valorem_ on steel rails--the tariff then being equal to about twenty-eight dollars per ton. Rails were selling at about a hundred dollars per ton, and other rates in proportion. Protection has played a great part in the development of manufacturing in the United States. Previous to the Civil War it was a party question, the South standing for free trade and regarding a tariff as favorable only to the North. The sympathy shown by the British Government for the Confederacy, culminating in the escape of the Alabama and other privateers to prey upon American commerce, aroused hostility against that Government, notwithstanding the majority of her common people favored the United States. The tariff became no longer a party question, but a national policy, approved by both parties. It had become a patriotic duty to develop vital resources. No less than ninety Northern Democrats in Congress, including the Speaker of the House, agreed upon that point. Capital no longer hesitated to embark in manufacturing, confident as it was that the nation would protect it as long as necessary. Years after the war, demands for a reduction of the tariff arose and it was my lot to be drawn into the controversy. It was often charged that bribery of Congressmen by manufacturers was common. So far as I know there was no foundation for this. Certainly the manufacturers never raised any sums beyond those needed to maintain the Iron and Steel Association, a matter of a few thousand dollars per year. They did, however, subscribe freely to a campaign when the issue was Protection _versus_ Free Trade. The duties upon steel were successively reduced, with my cordial support, until the twenty-eight dollars duty on rails became only one fourth or seven dollars per ton. [To-day (1911) the duty is only about one half of that, and even that should go in the next revision.] The effort of President Cleveland to pass a more drastic new tariff was interesting. It cut too deep in many places and its passage would have injured more than one manufacture. I was called to Washington, and tried to modify and, as I believe, improve, the Wilson Bill. Senator Gorman, Democratic leader of the Senate, Governor Flower of New York, and a number of the ablest Democrats were as sound protectionists in moderation as I was. Several of these were disposed to oppose the Wilson Bill as being unnecessarily severe and certain to cripple some of our domestic industries. Senator Gorman said to me he wished as little as I did to injure any home producer, and he thought his colleagues had confidence in and would be guided by me as to iron and steel rates, provided that large reductions were made and that the Republican Senators would stand unitedly for a bill of that character. I remember his words, "I can afford to fight the President and beat him, but I can't afford to fight him and be beaten." Governor Flower shared these views. There was little trouble in getting our party to agree to the large reductions I proposed. The Wilson-Gorman Tariff Bill was adopted. Meeting Senator Gorman later, he explained that he had to give way on cotton ties to secure several Southern Senators. Cotton ties had to be free. So tariff legislation goes. I was not sufficiently prominent in manufacturing to take part in getting the tariff established immediately after the war, so it happened that my part has always been to favor reduction of duties, opposing extremes--the unreasonable protectionists who consider the higher the duties the better and declaim against any reduction, and the other extremists who denounce all duties and would adopt unrestrained free trade. We could now (1907) abolish all duties upon steel and iron without