In this episode of Stuff You Should Know, the hosts examine the history and present state of prison labor in the United States. They trace its evolution from Thomas More's proposal as an alternative to execution, through the exploitation of freed Black individuals after the Civil War via convict leasing and chain gangs, to today's system where the majority of incarcerated people work for minimal wages under limited protections.
The episode explores how the current prison labor system operates, including wage structures, working conditions, and legal frameworks that exempt incarcerated workers from standard labor protections. The hosts also discuss ongoing reform efforts, including constitutional changes in some states and economic research suggesting potential benefits of fair wage implementation for incarcerated workers.

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Josh Clark discusses how prison labor evolved from Thomas More's proposal of labor as a humane alternative to execution, to its implementation in American colonies through convict transportation. Following the American Revolution, penitentiaries emerged with a focus on rehabilitation through reflection and work, though this quickly gave way to exploitation.
After the Civil War, Southern states exploited the 13th Amendment's loophole allowing slavery as punishment for crime. Through convict leasing and the implementation of Black Codes, they effectively re-enslaved freed Black individuals. This system expanded into chain gangs in the 1920s, particularly in the South, where prisoners endured severe abuse while performing grueling road work.
Today, about 80% of incarcerated individuals work directly for prisons, with only about 5% working for private industry. Despite the variety of work performed, prisoners earn an average of just 52 cents per hour, which is further reduced by deductions for room and board. As Carla Simmons reports from Georgia, some prisoners aren't paid at all.
Incarcerated workers lack basic protections, with courts ruling they're exempt from labor laws and don't qualify for Social Security or Medicaid credits. Refusing to work can result in severe consequences, effectively coercing participation in the labor system.
Reform advocates are pushing for significant changes, including minimum wage requirements and standard worker protections. The Edgeworth Economics Group suggests that paying fair wages could benefit society, yielding returns of $2.40 to $3.16 for every dollar spent on prisoners' wages.
Some states, including Alabama, have banned forced, unpaid prison labor in their constitutions. Chuck Bryant notes that while New Deal-era laws attempted to address exploitation by prohibiting interstate trade of prison-made products, challenges persist, particularly regarding unfair competition from prison labor in government contracts.
1-Page Summary
The historical development of prison labor in the United States has evolved from punitive beginnings to labor-based approaches, with a sordid history of exploitation and abuse.
Josh Clark discusses the evolution of prison labor, initiating from ideas in Thomas More's book "Utopia," where More proposed labor as a humane alternative to harsher physical punishments, such as execution, for those who committed crimes.
Post American Revolution, the former British colonies employed prisoner labor through convict transportation. England sent convicts to the American colonies for labor-intensive tasks like farming. These convicts were referred to as the King's Passengers and were seen as a cheap labor pool, especially in places like Maryland and Virginia where they were heavily involved in tasks similar to industrial revolution work or tobacco farming.
Indigent servitude initially targeted white people in the American colonies and early United States. The government didn't intervene in the punishments administered to slaves by plantation owners as this would deny them labor.
With the rise of penitentiaries after the American Revolution, influenced by the Quakers, the intended purpose was rehabilitation through quiet reflection and finding God. Auburn Prison in New York notably turned into a semi-industrial plant through private business leases, showcasing early exploitation of inmate labor.
The exploitation of prisoner labor took on egregious forms following the Civil War, with convict leasing acting as a continuation of slavery, particularly in Southern states.
After the Civil War and the 13th Amendment, which abolished slavery except as punishment for a crime, Southern states used this loophole to maintain forced labor. The Black Codes criminalized free Black individuals leading to their arrest and subsequent leasing as laborers, akin to the previous slave conditions.
In Georgia, convict leasing bore semblance to slavery, notorious for being thrifty with care, leading to many deaths; this made up a significant portion of Alabama's state revenue by 1898. The federal government's withdrawal post-Reconstruction enabled the surge in prison labor, essentially reintroduced slavery through the 13th Amendment.
Chain gangs, particularly in the South during the 1920s, served as a form of very public penal labor often employed in road building. Prisoners, chained toge ...
Historical Development of Prison Labor in the Us
The use of low-wage or unpaid prison labor is prevalent in the United States, with multiple implications for incarcerated individuals and the broader economy.
A significant number of incarcerated individuals in the United States engage in various forms of prison labor. Around 80% work directly for the prisons in roles such as cafeteria or laundry work, and a considerable portion supports government-run operations beyond their prison's immediate needs. However, only about 2% of the federal prison workforce is employed by a private company called Unicor.
There are still around 40,000 people, roughly 5% of the incarcerated workforce, who work for private industry. This can include roles at fast food restaurants or as custodial staff at well-known hotel chains. Josh Clark mentions that products sold by major retailers may be made by convicts leased out to these companies, highlighting the indirect benefits that corporations receive from prison labor despite policies against direct usage.
Despite the variety of labor tasks, the average pay for a prison laborer in the U.S. is 52 cents an hour, and after deductions for room and board or restitution to victims for financial crimes, the actual earnings may be mere pennies an hour. Carla Simmons, incarcerated in Georgia, even reported instances where prisoners aren't paid and sort through trash for food.
While direct employment of prison labor by corporations may be uncommon, corporations can still benefit indirectly. Examples include scenarios where a company outsources work to contractors who may use convict labor, or franchisees of a larger corporate brand employing prison labor beyond the control of the corporate office.
In the current system, prisoners are exempt from many labor laws and do not qualify for worker protections such as those provided by OSHA or the Fair Labor Standards Act. This exemption stems from the legal perspective that a pr ...
The Modern Prison Labor System and Its Impacts
Reform advocates are pushing for substantial changes in the prison labor system, suggesting that it could teach skills, offer at least federal minimum wage, and include standard worker protections.
Advocates argue that incarcerated workers should be paid at least the federal minimum wage and receive typical worker protections. The Edgeworth Economics Group points out that doing so could have significant societal benefits.
Furthermore, there are proposals to permit prison labor to count towards Social Security contributions and to provide medical coverage without suspending benefits, which would lead to a more equitable treatment of prisoners as workers.
The current system allows for private prisons to profit by exploiting labor, receiving tax breaks for leasing out inmates, and alongside that, collecting fees. This setup has been described by experts as quite the racket.
Some states, like Alabama, one of seven, have banned forced, unpaid prison labor in their constitutions, setting a precedent that all prison labor must be voluntary, paid, and free from coercion.
Chuck Bryant acknowledges efforts like the New Deal-era laws that pro ...
Efforts to Reform the Prison Labor System
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