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AMA's 85 years of mining stewardship

North of 60 Mining News - August 2, 2024

Alaska Miners Association celebrates 85 years of service, advocating for growth and sustainability in Alaska's mining industry.

As the Alaska Miners Association celebrates its 85th anniversary, the organization's vital role in advancing the state's mining industry comes into sharp focus. Founded in 1939 at the onset of the Fair Labor Standards Act, the AMA was similarly established to advocate for fair labor practices and safe mineral development in the Last Frontier.

Over the decades, the AMA has navigated economic challenges and legislative changes, becoming a cornerstone in ensuring the sustainable utilization of Alaska's vast mineral resources and shaping the industry into a stable foundation for the state's well-being.

As the world stood on the brink of World War II, an uncertain venture took shape in the remote expanse of Alaska shortly after President Franklin Roosevelt signed into law the Fair Labor Standards Act (FLSA), which set minimum wages, mandated a maximum workweek, and banned oppressive child labor, a lasting reflection of his New Deal vision to uplift American workers during the Great Depression.

Recognizing the need for an organization that could provide a unified voice for miners against this backdrop of global uncertainty and national reform, several individuals sought to establish the Alaska Miners Association (AMA).

The AMA emerged to champion the interests of miners and the equitable development of Alaska's rich mineral resources. Their goal was to create an association that would represent the interests of miners, advocate for fair labor practices, and ensure the orderly development of Alaska's mineral resources – this vision aimed to balance economic growth with the well-being of mining communities.

Since then, this vision has grown into a guiding hand for mining across the state.

For 85 years, the Alaska Miners Association has played an integral role in supporting numerous mining operations – from family run placer mining operations on Alaska's many gold-rich streams to the Usibelli Coal Mine, which has been around almost as long as the AMA, and on to projects like Fort Knox, the largest gold mine in the state, and Red Dog Mine, which stands among the world's largest producers of zinc.

These projects, along with hundreds of other mining endeavors over the years, have not only contributed to the state's economy but also provided thousands of jobs, establishing the sector as a cornerstone of Alaska's economic foundation.

In recent years, the AMA has continued to uphold its mission by engaging in various initiatives that promote the sustainable development of Alaska's mineral resources.

The association works closely with state and federal agencies to influence policies that support the mining industry, advocates for fair and realistic land use regulations, and provides educational programs to increase public awareness about the importance of mining to Alaska's economy.

Additionally, the AMA hosts annual conventions and industry events, fostering collaboration and innovation within the mining community. Through these efforts, the AMA ensures that the mining sector remains vital to Alaska's economic landscape, contributing to the state's prosperity and development, while maintaining the homeland that all Alaskans love.

Fair Labor Standards Act

Library of Congress

Last signature necessary to bring wages-hours bill to floor of house. Rep. Joseph Mansfield of Texas, affixing his signature. Left to right: Rep. Mary Norton, Chairman of House Labor Committee; Speaker Bankhead; and Rep. Pat Boland, House Whip. December 2, 1937.

In 1938, amid the economic turmoil of the Great Depression, Roosevelt signed the FLSA into law. The primary goal of this unprecedented legislation was to improve labor conditions across the U.S., addressing widespread exploitation and poor working environments.

For Alaska's mining industry, the FLSA brought significant changes. Miners, who endured long, grueling hours and hazardous conditions for minimal pay, now saw the promise of improved labor standards.

This transformative change set a new benchmark for labor practices, providing a framework that aimed to uplift workers during a time of great economic hardship.

The nationwide impact of the FLSA was profound. However, it faced significant opposition from business owners and industrialists who argued that the new wage and hour regulations would increase operational costs and reduce profits.

Despite these challenges, the FLSA garnered strong support from labor unions and progressive politicians who saw it as essential for protecting workers' rights and improving living standards.

In Alaska, the mining sector had to adapt to these changes as well. Large companies such as Kennecott Copper Corp., which operated the Kennecott Mines, and smaller operations across the state needed to comply with the new labor standards.

The consolidation of Independence Mine and Alaska Free Gold Mine into the Alaska-Pacific Consolidated Mining Company (APC) in 1938 was partly driven by the need to streamline operations and meet these regulatory requirements.

This allowed APC to become the largest producer in the district, significantly improving labor conditions and operational efficiency.

Recognizing the profound impact of these new labor standards, industry leaders saw the need for a unified voice to advocate for miners' rights and navigate the evolving regulatory landscape.

This realization led to the founding of the AMA less than a year later, marking a new chapter in the state's mining history.

Founding the AMA

After an extensive review of numerous records, it quickly became clear that, despite the incomplete list of individuals involved in its inception, the founding of the AMA was not something devised through whimsy or chance but was a carefully considered response to the pressing needs and opportunities within Alaska's mining industry.

The necessity for such an organization became even more apparent with the passage of new federal labor legislation in the late 1930s, which introduced factory-type regulations to industries, including mining, that had previously operated with less oversight.

This shift created significant challenges for Alaska's miners, who faced unique conditions far removed from the factory environments the laws were crafted around.

Recognizing the need for a unified voice, Alaskan Congressional Delegate Tony Dimond advised local mining leaders to organize and send a representative to Washington to seek exceptions for their industry.

University of Alaska, Fairbanks, Archives

First AMA President Luther Hess in the Livengood District, circa 1930s.

While the specifics of many founding members remain elusive, two names stand out for their direct involvement in the creation of the AMA – Robert Hatcher and Luther Hess.

"In 1939, Hatcher joined with other pioneers to organize the Alaska Miners Association in response to new federal legislation on wage and hours," Beverly Beeton penned in an article on Hatcher for the Alaska Mining Hall of Fame Foundation.

Hatcher's involvement underscored the collective effort required to establish the AMA. However, he was not alone in this endeavor. Alongside him, Hess played a pivotal role by not only participating in the organization but also serving as its first president, helping to organize the association during that critical time of regulatory change.

According to a history piece on Hess compiled by the late Charles Hawley for the Alaska Mining Hall of Fame Foundation, "In 1939, Hess also participated in the organization of the Alaska Miners Association (AMA). Miners were always noted for their independence, but had never organized. In the late 1930s, the U.S. Congress passed workers compensation and wage-hour legislation that applied factory-type economics to almost unregulated miners."

Hawley notes that Alaskan Congressional Delegate Tony Dimond "advised Alaska mining leaders that they had to get organized and send a representative to Washington to seek exceptions for their industry. Miners met in Fairbanks and organized. Two of the participants were Alaska Hall of Fame inductees Earl R. Pilgrim and Wesley Earl Dunkle. Luther Hess helped organize the meeting and was elected the first President of AMA, which, incidentally, did send a representative to Washington, D.C."

By sending representatives to Washington, the AMA ensured that the voices of Alaskan miners were heard at the highest levels, advocating for necessary exceptions and adaptations to federal regulations.

The early days of the AMA were characterized by a strong sense of purpose and unity among its members. This collective effort aimed not only for regulatory adjustments but also improving working conditions and ensuring fair labor practices. The organization laid the groundwork for future industry growth and community welfare, establishing itself as a cornerstone in Alaska's mining history.

An economic force

Alaska Miners Association

The first gold bar poured from Manh Choh, weighing 37.5 pounds and valued at $1.4 million, underscores the vital support of the Alaska Miners Association, which helps make such success stories possible through its advocacy and influence in the state's mining industry.

From modest beginnings to a leading force, the AMA has significantly contributed to the economic growth and sustainability of Alaska's mining sector. As one of the state's top economic drivers, mining provides thousands of direct and indirect jobs, generating substantial state and local tax revenues, and contributing royalties to Native corporations.

According to the AMA, in 2023, Alaska's mining industry supported 11,800 direct and indirect jobs and paid $1.1 billion in wages statewide. Additionally, the industry spent $1.1 billion on goods and services from over 450 Alaska businesses.

Mining activities generated millions in state and local tax revenues and $5.7 million in charitable contributions to approximately 250 non-profits across Alaska.

With an average resident hire rate of 72% at the six largest mines, the industry's reach extends to around 90 communities throughout the state, showcasing its widespread economic influence.

Gold, silver, copper, zinc, lead, and coal mining not only supports employment but also underpins the development and maintenance of essential infrastructure such as roads, docks, bridges, and renewable energy sources like hydroelectric plants in Southeast Alaska.

Mining in Alaska spans from Kotzebue to Ketchikan, reflecting the vast opportunities available in the Last Frontier. This extensive reach is a testament to the enduring tradition of exploration and production that has shaped the state's history and continues to drive its economic progress today.

Beyond its economic contributions, the AMA actively engages with state and federal agencies to influence policies that support the mining industry.

The association advocates for fair and realistic land use regulations and provides educational programs to increase public awareness about mining's importance to Alaska's economy. Additionally, the AMA hosts annual conventions and industry events that promote collaboration and innovation within the mining community.

In 2023, the AMA's annual convention attracted over 1,000 attendees, including representatives from all operating mines and potential mining development projects in Alaska.

This event highlights the association's role in fostering a collaborative and forward-looking mining community, ensuring that the sector remains an institution of Alaska's economic landscape.

Moving forward

Looking ahead to its 85th year and beyond, the AMA continues to drive forward with ambitious plans and hopes of improvement in an industry older than recorded history.

The association's membership comprises a wide range of individuals and organizations involved in Alaska's mining industry, from individual prospectors to large mining companies. This diverse membership base highlights the association's significant influence in shaping the future of the state's mining sector.

In November, the AMA is set to host its annual convention, expecting to draw more than 1,000 attendees from across the industry. This event will provide a platform for collaboration, innovation, and the sharing of best practices, ensuring that Alaska's mining sector remains at the forefront of industry advancements.

The AMA's ongoing efforts to engage with state and federal agencies continue to be crucial in shaping policies that support sustainable mining practices and in helping navigate the often complex and discouraging federal permitting process.

By working closely with regulatory bodies, the AMA strives to streamline these processes, advocating for more efficient and transparent procedures that balance environmental stewardship with economic development.

As Alaska's mining industry evolves, the AMA remains committed to its mission of promoting and fighting for responsible mineral development and fair policies and regulations related to mining across America's Last Frontier. Through its proactive initiatives and steadfast advocacy, the association will undoubtedly continue to play a pivotal role in the economic and environmental stewardship of Alaska's vast mineral resources for many years to come.

 

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