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This is why we need to get past the idea that everyone needs to work to earn a living. Why does anyone need to earn the right to live? Our society has enough empty homes to house the homeless, and throws away enough food to feed the hungry. Why are people still homeless and hungry then? Take your example of the steel plant. Presumably when the 9500 people were laid off, productivity remained the same (or increased) a…
There wasn't extra profit because all the mills automated and they are all competing with each other. If expenses were lower, one would cut prices to gain a market advantage, others would follow until the price reached its floor.
Ever heard of Carnegie Tech (CMU), the Wharton School, or Swarthmore college? They exist precisely because of the existence of massive profits from steel.