The “Big Four” of Central Pacific Railroad fame included Charles Crocker and Leland Stanford, both of New York. While the War Between the States raged in the East, they made a fortune through generous government subsidies usually obtained by bribery or special treatment for Republican Party donors. While that party claimed to be waging war against the American South to eradicate slavery, the government-supported railroad companies used virtual slave labor for construction crews. The railroad crews used white supervisors of Chinese laborers in the same manner as Northern regiments of colored troops were led by white officers.
Bernhard Thuersam, www.Circa1865.com
Chinese Labor for the Central Pacific Railroad
“Early in January 1865 Crocker’s agents scoured Sacramento, Stockton, and San Francisco for laborers . . . [but many] quit when they had earned enough money to pay stage fare to Virginia City. But children, too, were scarce in the foothills and for months the labor shortage remained acute. In the company’s new San Francisco office [Leland] Stanford . . . petitioned the War Department to send out five thousand Rebel prisoners to be put to work under the guard of a few companies of Union soldiers. But the war ended and the scheme had to be shelved.
A plan of importing, under contract, thousands of peons from Sonora and other Mexican states never got beyond the discussion stage . . . [but another] dubious possibility remained – the lowly Chinese. There were already thousands of them on the Coast . . . crowded into the wretched warrens of a score of “Chinatowns.”
A threatened strike of his white crews proved the deciding point. [Fifty] Chinese were herded on freight cars in the Sacramento yards and hauled to the end of the track. By sunrise they went to work with picks, shovels, and wheelbarrows. At the end of their first twelve hours of prodding industry Crocker and his engineers viewed the result with gratified astonishment.
Another gang of fifty was hired at once, then a third. Finally all doubt vanished and the Chinatowns of the state were searched for every able-bodied male who could be tempted by the bait of steady work and forty dollars a month.
Of course the white laborers of the Coast resented the affront. To counteract this injury, railroad spokesmen were presently referring to the Chinese as “the Asiatic contingent of the Grand Army of Civilization,” and Stanford was incorporating into company reports long defense for them . . . To charges that the Chinese were held in a state of virtual serfdom by the labor contractors with whom the company dealt, Stanford stated: “No system similar to slavery . . . prevails . . . Their wages . . . Paid in coin at the end of each month, are divided among them by their agents . . . in proportion to the labor done by each . . . These agents are generally American or Chinese merchants, who furnish them with supplies of food, the value of which they deduct monthly . . .”
By the end of 1865 the company was committed to the use of Chinese for most of their labor, and Stanford was hopeful that the force might be increased to fifteen thousand during the coming year. Of course no such supply was available in California . . . [but accordingly] boats from Canton were presently tying up at San Francisco piers, their rails swarming with yellow faces, while labor leaders predicted economic ruin for the Coast and threatened reprisals.
The advent of the Chinese relieved white men of pick and shovel work; many became gang foremen, others were promoted to teamsters, powdermen, or stone-workers. Moreover, the Chinese lived in their own camps, cooked their own meals, and knew their place. Thus the superiority of the Caucasian was undiminished, his dignity enhanced. Harmony reigned in the Sierra canyons and real progress began to be made.”
(The Big Four, The Story of the Building of the Central Pacific, Oscar Lewis, Borzoi Books, 1938, excerpts, pp. 69-72)