The Story
Birmingham, Alabama, or "The Magic City." is a quiet gem of the South. However, it was not always this way. Birmingham, Alabama, was once a bustling steel hub that produced over a third of the country's steel, significantly boosting the local economy while simultaneously invigorating the global economy. Special conditions led to the founding of this city and industry. Established in 1871, Birmingham was founded on a geological anomaly, with every ingredient to make steel within a thirty-mile radius, the city was set up for significant industrial development. The discovery of vast iron ore deposits in the Red Mountain region of Alabama provided the opportunity for the city's establishment, drawing in entrepreneurs and investors eager to capitalize on the new steel industry. The introduction of the Bessemer and Birmingham Smelting process in the late 19th century revolutionized steel production, making it faster, cheaper, and more efficient. With its proximity to essential raw materials and an extensive network of railroads, Birmingham quickly became a leading center for steel production in the southeastern United States. The industry's rapid growth fueled economic prosperity, attracting a diverse workforce nationwide and beyond. Immigrants migrating from the rural South and individuals seeking employment opportunities flocked to Birmingham, transforming it into a bustling urban center. That is until a combination of brutality, racial injustices, and economic failures led to this industry's ultimate downfall.
Sloss & Sheffield
Established in 1881 in Birmingham, Alabama, Sloss Furnaces emerged as a pivotal iron manufacturing complex, contributing significantly to the city's economic development. Founded by Col. James Withers Sloss, the furnace capitalized on Birmingham's abundant coal, iron ore, and limestone resources. Initially focusing on pig iron production, Sloss aspired to dive into steel manufacturing but faced challenges due to the region's raw materials. Despite declining markets, Sloss sold control of the enterprise to investors from Richmond, Virginia, leading to its reorganization as the Sloss Iron and Steel Company (SISC).
Tennessee Coal, Iron & Railroad Co.
Originally established as the Sewanee Mining Company in Tennessee in 1852, the Tennessee Coal, Iron and Railroad Company (TCI) played a pivotal role in Birmingham's iron and steel industry. Throughout its history, TCI was a major economic force, owning extensive land and mining operations while producing various iron and steel products at its Birmingham Fairfield Works. Despite financial challenges and management changes, TCI expanded through mergers, becoming a key player in Birmingham's industrial landscape. During the financial panic of 1907, TCI became a subsidiary of the United States Steel Corporation (U.S. Steel), leading to a period of stability and growth. Despite labor challenges and the Great Depression, TCI expanded during World War II. However, corporate changes in the 1940s and 1950s marked the end of TCI as a separate entity, becoming a division of U.S. Steel Corporation.
The Human Cost
Brutalities and Racial Injustices
The Birmingham steel industry, driven by a combination of cheap labor and racial segregation, was marked by a legacy of brutality and injustice. Following the Civil War, former slaves and the impoverished were compelled to seek employment in the industry due to limited alternatives. Racial segregation persisted, reinforced by antebellum-era racial attitudes among workers, which facilitated exploitative labor practices. Sloss Furnaces, a prominent symbol of this brutality, bore witness to tragic accidents like the deaths of Aleck King and Bob May, who were consumed by molten metal during their hazardous cleaning duties. Additionally, the industry perpetuated brutality through the antebellum era convict lease system, which saw inexperienced prisoners sent to work in coal mines in what was a new type of slavery, resulting in a staggering mortality rate. This grim reality was further compounded by the industry's strategic use of promotions to sow division. The Tennesse Coal And Iron Company deliberately elevated African American workers to positions of authority, fostering divisions with white foremen. This tactic, aligned with U.S. Steel's overarching strategy for maintaining control on the shop floor, exploited competition between black and white workers for desirable jobs, undermining unity and thwarting unionization efforts. This persisted until 1964 when the Civil Rights Act was enacted, prohibiting discriminatory employment practices and outlawing unequal pay disparities based on race. These changes greatly impacted Sloss and TCI, as they were required to provide equal pay to African American workers compared to their white counterparts. The exact amount that Sloss and TCI had to pay is undisclosed, but by examining their profits during that period, a significant decline is evident, given that three-fourths of their respective workforces comprised African American employees. Six years after this both Sloss and TCI closed its doors.
The Lasting Effect
In the early 1970s, the steel industry closed its doors, with an incapacity to align itself with evolving societal dynamics and a significant reduction in demand for its products. The steel industry entered an unavoidable decline. Struggling to find footing in a transformed economic terrain, Birmingham witnessed a shift where the steel industry was no longer the sole player that once defined its industrial identity. Over time, the combination of these factors, coupled with the previously highlighted racial injustices and brutalities, ultimately led to the demise of the Birmingham, Alabama, steel industry. The lasting effect of this industry and its powerful hold on the city and state has left Birmingham a scar to remember. With over 15,000 abandoned homes and structures and a handful of closed industries, Birmingham struggles to find new economic prosperity.