At present, 21 States statutorily authorize and 6 prohibit private-sector involvement in prison-based industries. As of December 1984, 26 private-sector prison industries were operating in 17 prisons in 9 States. Six models for these industries were identified. The employer model, involving private ownership and operation of the industry, was favored by small businesses and represented in 15 of the programs. Large corporations tended to prefer the customer or controlling customer model of involvement. While businesses benefit through free use of space and facilities and lower labor costs, disadvantages include high turnover rates and training costs, and outward mobility (as opposed to upward occupational mobility) of inmates. In addition, there are some problems surrounding the legal status of inmate employees. Recommendations for correctional agencies and private businesses interested in private-sector involvement in prison industry are provided. Research instruments are appended. 10 tables, 2 maps, and 2 figures.
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