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Why did George M. Pullman build the company town of Pullman near Chicago?

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shantytown in Chicago — Pullman Strike A shantytown on the lakefront in Chicago during the Pullman Strike and general economic downturn of 1893–94.

George M. Pullman constructed the company town of Pullman, Illinois, as a strategic effort to address issues of poverty and labor unrest. By establishing a planned community with clean air and high-quality facilities, he aimed to cultivate a happy, loyal, and productive workforce.1

Pullman believed that by providing a controlled environment—specifically one free from saloons, red-light districts, and labor agitators—he could foster moral and social stability among his employees. Beyond these social goals, the town was also designed to be a profitable business venture; the company generated significant revenue through rents and the provision of utilities and goods to its residents. While the town was initially praised for its apparent benevolence, it functioned as a restrictive company town where Pullman exercised near-total authority over the lives and living conditions of his workers.1