The Merger of the HBC The Merger of the HBC and the NWCand the NWC

Changes at Red River ColonyChanges at Red River Colony

• By 1820 both HBC and NWC were suffering financially

• Fur resources were declining

• Profits were shrinking

MergerMerger

• In 1821, the companies joined together

• There were 100 shares in the company

• The HBC controlled 45 shares

• The NWC controlled 55 shares

• The Company was called the Hudson’s Bay Company

BenefitsBenefits

• Great Britain gave the new company control over Rupert’s Land

• It extended the monopoly to west of the Rocky Mountains

• The company controlled over half modern Canada

HBC Maintains PowerHBC Maintains Power

• Even though the NWC had more shares in the company the HBC maintained control.

• The old HBC trading routes were used because they were cheaper

• By 1825, the NWC partners sold their shares back to the HBC

Native PeoplesNative Peoples

• The company reduced the number of its European employees after the merger

• They relied on the Native people as:• Guides• Trappers• Translators• Map makers• Canoe builders

• Native women worked at the post• Gardening• Tending Livestock• Chopping Wood

• If pemmican was not available the HBC relied on the Native people to provide meat for the posts.

A New Boss:A New Boss:

George SimpsonGeorge Simpson

• George Simpson became Governor of the Governor of the Northwest DepartmentNorthwest Department

• Dynamic and an experienced manager

• Spent 40 years traveling across Rupert’s Land visiting trading posts

The Little Emperor

• Autocratic leader

• High standards

• Arrived at the post without warning

Frances SimpsonFrances Simpson

• 18 year old wife of George Simpson

• Simpson was also married to a native woman in Red River

• Simpson’s Red River Family was shipped away from the post before Frances arrived

Anti-social Simpson’sAnti-social Simpson’s

• Mrs. Simpson refused to socialize with the Metis wives at the post

• The Simpson’s were isolated from the community

• It was lonely and George Simpson started writing down all of the faults of his employees in his “character” book

• The Simpsons left Red River in 1832

• They later settled in Montreal

• George Simpson died in 1860.