The Business of Mining

The discovery of gold in California in 1848 had set this mining frenzy in motion. Over the next thirty years, successive waves of gold and silver strikes in Colorado, Nevada, Washington, Idaho, Montana, and the Dakotas lured individual prospectors with shovels and wash pans. One of the biggest finds came with the Comstock Lode in the Sierra Nevada. All told, miners extracted around $350 million worth of silver from this source. Two of those who came to share in the wealth were Samuel Clemens and his brother Orion. Writing from Carson City, Nevada, Samuel described his new surroundings to his family: “The country is fabulously rich in gold, silver, copper, lead . . . thieves, murderers, desperadoes, ladies . . . lawyers, Christians, Indians, Chinamen, Spaniards, gamblers, sharpers, coyotes . . . poets, preachers, and jackass rabbits.” He did not find his fortune in Nevada and soon turned his attention to writing, finally achieving success as the author called Mark Twain.

Like Twain, many of those who flocked to the Comstock Lode and other mining frontiers were men. Nearly half were foreign-born, many of them coming from Mexico or China. Using pans and shovels, prospectors could find only the ore that lay near the surface of the earth and water. Once these initial discoveries were played out, individual prospectors could not afford to buy the equipment needed to dig out the vast deposits of gold and silver buried deep in the earth. As a result, western mining operations became big businesses run by men with the financial resources necessary to purchase industrial mining equipment.

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See Document 15.1 for a description of a gold rush town.

When mining became an industry, prospectors became wageworkers. In Virginia City, Nevada, miners labored for $4 a day, which was a decent wage for the time, but one that barely covered the monthly expenses of life in a mining boomtown. Moreover, the work was extremely dangerous. Mine shafts extended down more than a thousand feet, and working temperatures regularly exceeded 100 degrees Fahrenheit. Noxious fumes, fires, and floods of scalding water flowing through the shafts posed a constant threat. Between 1863 and 1880, at least three hundred miners died on the job, and accidents were a daily occurrence, leaving many men disabled and out of work with no compensation.

Struggling with low pay and dangerous work conditions, western miners sought to organize. In the mid-1860s, unions formed in the Comstock Lode areas of Virginia City and Gold Hill, Nevada. Although these unions had some success, they also provoked a violent backlash from mining companies determined to resist union demands. Companies hired private police forces to help break strikes. Such forces were often assisted by state militias deployed by elected officials with close ties to the companies. For example, in 1892 the governor of Idaho crushed an unruly strike by calling up the National Guard, a confrontation that resulted in the deaths of seven strikers. A year later, mine workers formed one of the most militant labor organizations in the nation, the Western Federation of Miners. Within a decade, it had attracted fifty thousand members. However, union solidarity did not extend to all races and ethnicities. The union was made up of members from Irish, English, Italian, Slavic, and Greek backgrounds but excluded Chinese, Mexican, and Indian workers from its ranks.