Big Businesses During The Progressive Era

The late 1800’s to the early 1900’s is known as America’s Progressive Era. During this time, big businesses were giving Americans more opportunities than ever before. However, within the big businesses people were mistreated and overlooked. This led to many groups trying to solve the problems caused by big industries. These groups sought out the problems such as lengthy work days, lack of disability, no paid holidays, no safety codes, and pay cuts. America had a philosophy that allows businesses to operate without intrusion from the government, so it was up to only the employees on the inside to make their demands a reality.
A group that wanted to regulate corporations were called the progressives. The progressives were centered in America’s cities instead of rural areas, like most were. Their leaders were made up of teachers, religious leaders, lawyers, and owners of small businesses. They wanted honest government, with power in the hands of the people. They wanted an active government that would regulate big business. When they voiced themselves, they spoke of improved labor conditions for women, children, and
other workers. However, the progressives aim did not include improved rights for any other minority group.
Some progressives were known as muckrakers. They were the ones that wrote about corruption in American lives, and criticized big business, and the government. Books such as History of the Standard Oil Company(Ida M. Tarbell: 1903), The Shame of Cities(Lincoln Steffens:1904), and The Jungle(Upton Sinclair:1906) commented on business practices, corrupt practices in city government, and practices of the meat-industry. Although what the progressives wanted was legitimate, it was hard for them to make any sort of impact on regulating big business at a local level.
However, the progressives weren’t the only people trying to regulate big business. Farmers wanted big business regulated as well, mostly because the economy was not in their favor at the time. It was hard for these smaller groups to be recognized at any higher level than local, so when attempts failed they went to the federal government. Who in turn created the The Interstate Commerce Act of 1887. This marked the beginning of federal regulation of big business. The idea behind the Interstate Commerce Act was to stop railroads from forming pools, giving rebates, or charging unfair rates. Within the act was another group called the Interstate Commerce Commission which was supposed to oversee the railroad
changes.
However, the Interstate Commerce Act didn’t work well because they failed to spell out what rates were fair and what ones weren’t, and they couldn’t give the Interstate Commerce Commission the authority to control the railroads. Only courts could do that, and usually they sided with the railroads.
Another act called The Sherman Antitrust Act of 1890 was also aimed at regulating big business. They were the first act to be passed by congress that dealt specifically with trusts and monopolies. They claimed that any deal made between big corporations in “restraint of trade” (with the idea of limiting trade) was against the law. This act also proved to be weak because congress failed to clearly state what was meant by “restraint of trade” so it was hard to prove that businesses were violating the act.
It wasn’t until the after the assassination of William Mckinley in 1901 that some real changes started to happen. Progressives found a supporter inside the white house, Theodore Roosevelt. He had strong ideas about government. He thought that the government should protect the people and he was willing to use all his power to do that. Roosevelt used his power to step in on big businesses that worked around trusts, he broke them apart. He was then referred to as the “trust buster”. Roosevelt showed his support for laborers after he took office as well. He regulated railroads, and got big businesses to negotiate with progressives about changes. Big Businesses in America was truly regulated once he took office.