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n2doc

(47,953 posts)
Fri Feb 28, 2014, 12:12 PM Feb 2014

Hundreds Of American Companies Pay Employees As Little As 23 Cents An Hour

By Jonathan Wolfe,

When you think of prison labor, what comes to mind? You might envision inmates making license plates and highway signs or cleaning up road debris. For decades, this perception would have been roughly accurate. Using prison labor in the private sector was illegal, so inmates worked on public projects.

But this dynamic changed dramatically in 1979 with the passing of the Prison Industry Enhancement Certification Program (PIE). PIE made it legal for private sector companies to contract prison labor to produce goods.

Ever since then, corporations have turned to prison labor at an ever-increasing rate to make their products. At a time when unemployment remains high and millions of Americans look for work, American corporations are capitalizing on America’s sky-high incarceration rates by using inmates to make their products.

The dynamic is a corporation's dream – inmates make as little as 23 cents an hour, never show up late for work, and don’t demand benefits or time off. These inmates don’t account for some small percent of manufacturing production, either.

more

http://www.opposingviews.com/i/society/crime/hundreds-american-companies-pay-employees-little-23-cents-hour?=fb

11 replies = new reply since forum marked as read
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NYC_SKP

(68,644 posts)
2. Public funds feed and house inmates, inmate labor makes private companies profits.
Fri Feb 28, 2014, 12:21 PM
Feb 2014

Ergo, public funds are being indirectly funneled to private companies via the prison system.

Frightening, but not surprising.

freedom fighter jh

(1,782 posts)
8. Yes. Companies should pay something comparable to what they would pay on the outside . . .
Fri Feb 28, 2014, 03:05 PM
Feb 2014

. . . partly to keep the playing field level and partly to defray the state's cost in keeping prisoners.

Would be nice if they could pay the prisoners, but that would create an incentive to commit crime among ppl on the outside who can't find work. If you had small children and no job and not enough to feed them, you might be awfully tempted to commit a crime just so you'd get sent to jail and be able to send money home. Come to think of it, maybe that would be a good thing -- if it gets generally known -- because it would show just how cruel the system has become.

burfman

(264 posts)
10. don't know....
Fri Feb 28, 2014, 03:22 PM
Feb 2014

Paying prisoners next to nothing does sound amazing like the stories we've heard in the past about Walmart getting things made in China by prisoners (ie. slave laborers)....

Personally I think that if it was your kids you would do just about anything to help them out - however it's hard to believe you would leave them alone on the outside to fend for themselves without you around.

Hey the whole country needs to be a little more caring and stop this race back to the way things used to be during the depression....

woo me with science

(32,139 posts)
5. The Obama administration is aggressively growing private prisons.
Fri Feb 28, 2014, 12:25 PM
Feb 2014

that benefit from this type of exploitation. The growth of this outrage is being aggressively supported by both Republicans and the corporate Third Way, for one simple reason: Imprisoning human beings is a very profitable industry. But a government's complicity in attaching a profit motive to the imprisonment of human beings is nothing short of evil.


Poor minorities are worthless to corporations on the street. In prison they can bring in $40,000/yr
http://www.democraticunderground.com/10023368969

Government guarantees 90% occupancy rate in private prisons.
http://www.democraticunderground.com/?com=view_post&forum=1002&pid=2569173

The Obama administration is aggressively growing private prisons
http://www.democraticunderground.com/10022568681

Obama's 2013 budget: One area of marked growth, the prison industrial complex
http://sync.democraticunderground.com/1002392306

Obama selects the owner of a private prison consulting firm as the new Director of the United States Marshals Service (USMS)
http://www.wsws.org/en/articles/2010/12/mars-d03.htmlPoor Land in Jail as Companies Add Huge Fees for Probation
http://www.democraticunderground.com/1014158005

Private prison corporations move up on list on federal contractors, receiving BILLIONS
http://www.nationofchange.org/president-obama-s-incarcernation-1335274655

The Caging of America - Why do we lock up so many people
http://www.democraticunderground.com/1002226110

Prison Labor Booms As Unemployment Remains High; Companies Reap Benefits
http://www.huffingtonpost.com/2012/12/10/prison-labor_n_2272036.html

Private Prison Corporation's Letters to Shareholders Reveal Industry's Tactics: Profiting from Human Incarceration
http://www.democraticunderground.com/10022665091



Financial growth of private prison industry...Profiting from caging humans.

http://l.yimg.com/bt/api/res/1.2/BshteP8i282pcaeH8pdUsA--/YXBwaWQ9eW5ld3M7cT04NTt3PTUyMA--/

This Is How Private Prison Companies Make Millions Even When Crime Rates Fall
http://www.motherjones.com/mojo/2013/09/private-prisons-occupancy-quota-cca-crime

This Is How Private Prison Companies Make Millions Even When Crime Rates Fall

—By Andy Kroll
| Thu Sep. 19, 2013 9:43 AM PDT MotherJones

We are living in boom times for the private prison industry. The Corrections Corporation of America (CCA), the nation's largest owner of private prisons, has seen its revenue climb by more than 500 percent in the last two decades. And CCA wants to get much, much bigger: Last year, the company made an offer to 48 governors to buy and operate their state-funded prisons. But what made CCA's pitch to those governors so audacious and shocking was that it included a so-called occupancy requirement, a clause demanding the state keep those newly privatized prisons at least 90 percent full at all times, regardless of whether crime was rising or falling.

Occupancy requirements, as it turns out, are common practice within the private prison industry. A new report by In the Public Interest, an anti-privatization group, reviewed 62 contracts for private prisons operating around the country at the local and state level. In the Public Interest found that 41 of those contracts included occupancy requirements mandating that local or state government keep those facilities between 80 and 100 percent full. In other words, whether crime is rising or falling, the state must keep those beds full. (The report was funded by grants from the Open Society Institute and Public Welfare, according to a spokesman.)

All the big private prison companies—CCA, GEO Group, and the Management and Training Corporation—try to include occupancy requirements in their contracts, according to the report. States with the highest occupancy requirements include Arizona (three prison contracts with 100 percent occupancy guarantees), Oklahoma (three contracts with 98 percent occupancy guarantees), and Virginia (one contract with a 95 percent occupancy guarantee). At the same time, private prison companies have supported and helped write "three-strike" and "truth-in-sentencing" laws that drive up prison populations. Their livelihoods depend on towns, cities, and states sending more people to prison and keeping them there.

Autumn

(45,120 posts)
6. Surfs, they have a roof over their heads and food to eat.
Fri Feb 28, 2014, 12:26 PM
Feb 2014

They should have to pay them minimum wage at least. Rec.

 

Scuba

(53,475 posts)
7. Pacur, owned by US Senator Ron Johnson (R-Wi) is such a company...
Fri Feb 28, 2014, 12:38 PM
Feb 2014
http://www.jsonline.com/blogs/news/104605089.html

Companies operated by Ron Johnson, the Republican candidate for U.S. Senate, employed up to nine work-release inmates whose health care was paid for by state taxpayers.

The development is significant because Johnson has campaigned on a limited government theme, arguing that the private sector, and not government, is the best method for creating jobs.

The two companies are Pacur and Dynamic Drinkware, both of which operate in Oshkosh, and have been employing such prison labor since at least 1998, state records show. The workers are still under the custody of the state Department of Corrections and are paid by the two companies, but their health insurance and health care is taken care of by state taxpayers.

littlewolf

(3,813 posts)
9. the prison that I worked at had inmates that worked
Fri Feb 28, 2014, 03:19 PM
Feb 2014

at a local peanut plant. others worked at a chicken processing plant.
they were paid at least minimum wage and after a period of time
they got raises. when they got out they were promised jobs
if they wanted them.
their pay went into their accounts minus any child support or fines or
Restitution they owed. additionally they were required to pay the state
for room and board.
they had their own dorm area because of their work/sleep schedule.

 

KamaAina

(78,249 posts)
11. It's not just prison labor. It's the labor of people with disabilities, too.
Fri Feb 28, 2014, 03:58 PM
Feb 2014

Thanks to a loophole known as Section 14(c) of the Fair Labor Standards Act, it is perfectly legal to pay disabled workers less than minimum wage, in some instance as little as the prisoners get.

https://nfb.org/fair-wages

Written in 1938, Section 14(c) of the Fair Labor Standards Act (FLSA) discriminates against people with disabilities. The provision allows the Secretary of Labor to grant to employers Special Wage Certificates that permit them to pay workers with disabilities subminimum wages (wages that are less than the federal minimum wage) primarily in sheltered workshops (segregated work environments). This is based on the false assumption that disabled workers are less productive than nondisabled workers, which has been disproven by the successful employment models that have emerged in the last seventy-five years to assist people with significant disabilities in acquiring the job skills needed for competitive work. Section 14(c) sustains segregated subminimum-wage workshops that exploit disabled workers, paying some only pennies per hour for mundane, repetitive tasks.


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