The sun., 1903-10-07
DRAGGED DOWN ABIG CONCERN
y-yIONS HUNG AT THE HEELS OF
THE MORSE IRON WORKS.
Strike AFTER Strike ~ Last Proved Suc-
cesstul in the Work Of Destruction
How the Business in South Brook
Iyu Grew From Modest Heginnings.

How the Business In South Brook
lyn Grew From Modest Beginnings.
Idle union workmen stood about the
barred gates of the Morse Iron Works and
Dry Dock Company, at the foot Of Fifty
Grh street, Brooklyn, yesterday, and
contemplated what ia left OF the greatest
industry of the kind in the United States.
wrecked bv their own hands or those Of
their agents. Out on the green slopes Of
Raw Ridge, not far from where the wreckers
were iding, women, with babes in their
arms, and older children playing about
them. sat talking Of the closing Of the works
md with anxious faces, asked one another
where the money was coming from to buy
bread, now that their men were out Of q
JOB.
Inside the gates. Sterling F, Hayward,
one of the directors OF the company. whom.
on the application OF three creditors whose
claims aggregate $500. Judge Thomas Of
the United States District Court appointed
receiver of the company on Monday, was
irving to find out in just what shape the
trades union wreckers had left the great
industry. Late in the afternoon he said
that he was unable to cay whether the
company would resume busin ess, but
that he had practically decided to keep
the floating dry dock open for business,
for the present, at any rate.
Tie liabilities OF the company outside
its bonded Indebtedness, are estimated at
something less than 81 100000. The cred
itors include those who supplied the COM
panv materials and those who lent 1t money.
These latter include the officers and stock
holders of the corporation and friends OF
these officers and stockholders The COM
panv was not q borrower to any extent
from banks. It is probable that arrange
ments could easily be made with the cred
i.ors that would enable the company to
resume business. But on the authority Of
Edward p. Morse, the companys presi-
will be made to resume business unless
very definite and positive contracts, Of at
least wears duration can be made with
skilled mechanics to be employed by the
company in the future
It has taken tho folio wing trades unions
Just four years to put the Morse Iron Works
and Dry Dock Company into the hands OF
a receiver The blacksmiths, coppersmiths,
plumbers, electricians, painters, boiler
makers, machinists and pipe filters. The
only unions with which the company has
had no trouble are those Of the carpenters
and the JOlHers. vi tne olsturDn8 eie-
ments, the company had the most trouble
with the pipe filters. Members Of this
union struck, on an average, about every
fifteen minutes during the working day Of
eight hours. The boilermakers and copper
smiths ran almost head and head with the
pipe filters.
The Morse company originally was
Just Edward p Morse, who, in 1884, opened
a shop for the repairing Of small boats at
the foot Of Twenty-sixth street, South
Brooklyn At first Mr.. Morse did his own
work, with the assistance OF one mechanic.
In month he had to hire two more, and by
the end of the year he had built up busi-
ness which gave steady employment to
more than 100 men, Incidentally, he made
considerable money for himself.
In six wears the business had grown to
such an extent that Mr.. Morse decided to
form a small company and capitalize ii.
The Morse Iron Works was Incorporated in
being held by Mr.. Morse, C. G. Street, the
vice president, and Mary A. Gasner. This
company prospered. never had any trouble
with its mechanics. although it employed
500 of them, and in eight years had more
business than it could possibly take care Of.
On its capitalization the Company paid
something like 400 per cent,
In 1890 business all over the country was
booming and ships were in demand to carry
our products to foreign ports. The skilled
mechanics of the country hadn't then for
gotten the evil days previous to the cleo
ton Of William Mckinley and their heads
hadn't been turned by years Of steady en-
ployment at high wages. The times seemed
TO Justify an extension Of the business Of
the Morse Iron Works.
Mr.. Morse talked the scheme over with a
few friends, with the result that the Morse
Iron Works were acquired by the Morse
Iron Works and Dry Dock Company, OF
new company was capitalized at $3.50. 1000,
all common stock, with $3.50 600 OF per cent.
bonds The old plant, at the foot Of Twenty
sixth street. was given up. and new works
built on twenty-one acres Of land extending
east and west from the foot OF Fifty-ffth
street Tho new feature OF the new plant
was floating dry dock, said to be the larg-
est in the United States.
The principal stockholders in the COM
panv, besides Mr.. Morse, were: G. q.
Street, president of the Consolidated Fire
Works Company; Sterling F. Hayward,
treasurer and general manager OF the
panv. and Jacob Detwller fireworks
maker Of Jersey City. There were some
smaller stockholders, but these four men
held tie bulk Of the stock and the bonds.
Tie Washington Trust Company was des-
igrated as the trustee Of the bondhoiders
and 1t was stipulated that $4,000 should
De SCI tSlClc tilcH Ntdl w So w NeAt oiic p"y-
mcnt Of the bonds, which mature in thirty
yeas.
The company made money from the start.
Mr. Morse was its active head and the num-
ier of men employed increased from 100
TO ,0o0 to 500, to 1000 and finally, at the
beginning of this year, to $500. The year
1901 was the most successful In the COM
panv's history, in which the equivalent OF
10 per cent. on the stock was earned, be-
sides setting aside the $4,000 for the sink
ing fund. No dividends were to be declared
on the stock for the first five years, however,
20 the net profits were put into the plant
to develop It.
During the first two years after the COM
rany was organized there were several
small strikes but they were regarded as of
o. little importance that they were settled,
usually on the strikers own terms That
the course then taken by the company's
officers was a mistake was frankly acknowl-
edged Yesterday by Mr.. Morse. In speak
ing of these and the strikes that followed
Mr.. Morse said:
If this 90 npany is reorganized, and I
am at the head of it, I will fight the very
first unreasonable demand made by the
unions, and I'll win, il we don't do lick
of work in ten years. / see now the great
mistake | made in yielding to their demands
In tie icEinning. The first yielding made
them thir k they owned us.
-We lad little no account strikes almost
from he time we opened these works. But
business was rushing. We had contracts
to execute and the demands were so trivial,
at least we thought them so, that sooner
han have the work in any department stop
a., To-,