CALUMET AND HECLA MINING COMPANY

The 'Calumet and Hecla Mining Company' was a major copper-mining company based in the Michigan Copper Country. In the 1800s, the company paid out more than $72 million in shareholder dividends, more than any other mining company in the United States during that period.

Contents
History
Labor Issues
The end of copper mining
See also
Popular culture
References

History


In 1864, Edwin J. Hulbert discovered a copper-bearing section of what became known as the Calumet Conglomerate of Precambrian age. The find was in Houghton County, Michigan, between the rich Cliff copper mine to the northeast, and the copper mines of Portage Lake to the southeast, but a long way from either. Hulbert formed the Calumet Company in 1865, with Boston investors.[1] The company spun off the Hecla Company the following year, and assigned shares in the new company to Calumet shareholders.
Alexander Agassiz was a leading force in the success of Calumet & Hecla

Hulbert was a major shareholder in both companies, and was in charge of mine operations. But despite the rich ore, Hulbert did not have the practical knowledge to dig out the ore, crush it, and concentrate it. Frustrated with Hulbert’s lack of success, the company sent Alexander Agassiz, son of famous geologist Louis Agassiz to Michigan to run the mine.
Under Agassiz’ expert management, the Hecla company paid its first dividend in 1868, and the Calumet company began paying dividends in 1869. The two companies merged in 1871 as the Calumet & Hecla Mining Company. The town of Calumet, Michigan formed next to the mine.[2]
Calumet and Hecla built itself into a copper mining colossus. By 1901 the underground mining complex had 16 shafts. The company operated a large ore treatment facility at Lake Linden, Michigan. The first smelter was built at Hancock, Michigan, but in 1887, the company moved its smelting to the new smelter at Lake Linden. The company later built a second smelter at Buffalo, New York, which took advantage of the cheap electricity generated from Niagara Falls to electrolytically refine copper. Electrolytic refining had the advantage that it separated out the silver from the copper.
Calumet and Hecla also grew by buying and merging with neighboring copper mines. The company bought the Tamarack Mining Company about 1921. In 1923, Calumet and Hecla merged with the Ahmeek, Allouez, Centennial, and Osceola mining companies. The combined entity was renamed the Calumet and Hecla Consolidated Copper Company. The merged company essentially controlled all the operating copper mines north of Hancock, Michigan.

Labor Issues


By 1902, Calumet and Hecla had 5,000 employees, and the towns of Calumet, Laurium, and Lake Linden were virtual company towns. The mining superintendents (called “captains”) were traditionally Cornishmen; the workers were Finns, Poles, Italians, Irish, and other immigrant nationalities.
Calumet and Hecla was a pioneer in providing employee benefits. The company built and ran a hospital for employees. It established an Employee Aid Fund for disability and death benefits; each employee paid in 50 cents per month, and the company matched the amount. The company maintained employee clubhouses and free libraries, and donated land and funds for churches. However, the all-encompassing company presence also led to charges of “paternalism.”
In July 1913, the Western Federation of Miners called a general strike against all mines in the Michigan Copper Country. Hundreds of strikers surrounded the Calumet and Hecla mine shafts to prevent others from reporting to work. All Calumet and Hecla mines shut down, although the workers were said to be sharply divided on the strike question. The union demanded an 8-hour day, a minimum wage of $3 per day, an end to use of the one-man drill, and that the companies recognize it as the employees’ representative.[3]
The mines reopened under National Guard protection, and many went back to work. The companies instituted the 8-hour day, but refused to set a $3 per day minimum wage, refused to abandon the one-man drill, and especially refused to employ Western Federation of Miners members.[4]
On Christmas Eve 1913, the Western Federation of Miners organized a party for strikers and their families at the Italian Benevolent Society hall in Calumet. The hall was packed with between 400 and 500 people when someone shouted “fire.” There was no fire, but 73 people, 62 of them children, were crushed to death trying to escape. This became known as the Italian Hall Disaster. The strikers held out until April 1914, but then gave up the strike.
Calumet and Hecla employees were not unionized until 1943, when the company signed an agreement with the CIO-affiliated International Union of Mine, Mill, and Smelter Workers.

The end of copper mining


During the Great Depression, copper prices dropped, and as a result most copper mines in the Copper Country closed, including Calumet and Hecla. Many mines reopened during World War II, when government subsidies raised the price of copper. After the end of the war, subsidies ended and copper prices quickly plummeted. Most copper mines closed almost immediately. However, Calumet and Hecla was able to stay afloat due to C&H’s practice of acquiring many of the formerly great mines in the Keweenaw during and before the depression, and as a result outlasted nearly all other mining companies. The company also began reprocessing stamp sand near its mills, leaching additional copper from it using more modern methods.
Calumet and Hecla opened several new shafts, and reopened some old, with the hope of striking another motherlode. However, none of its shafts produced the great quantity of copper needed to turn large profits at the low copper prices of the time, and the company slowly closed most of its shafts.
Universal Oil Products (U.O.P.) bought Calumet and Hecla in 1968. That same year the Calumet and Hecla employees went on strike. The last of its copper mines shut down, and as labor and management were unable to agree, the company shut down the dewatering pumps in 1970, and the mines are still idle.
Today, many Calumet and Hecla company mines and buildings are part of Keweenaw National Historical Park.
See also

Copper mining in Michigan

Popular culture


Folksinger Woody Guthrie wrote and sang ''1913 Massacre'', a song about the Italian Hall disaster. His son Arlo Guthrie also recorded the song.

References


1. C. Harry Benedict, (1952) ''Red Metal'', Ann Arbor: University of Michigan Press, p.28-39.
2. Horace J. Stevens (1902) ''The Copper Handbook'', v.2, Houghton, Mich.: Horace J. Stevens, p.133-144.
3. ''The Copper Country strike'', Engineering & Mining Jour., 2 Aug. 1913, p.230.
4. ''Lake Superior wages'', Engineering & Mining Jour., 13 Dec. 1913, p.1136.


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