Charles,
It seems that Ken Smith is making a few acquaintances in the media. I was reading today's USA Today and in the money section there is an article, "Prison labor shackled with complaints".
I couldn't find the link on the USA Today website but the gist of the article discussed the concerns that small business has that prison labor is posing a threat to to small business due to the generally cheap wages paid to most inmates (The federal program, Unicor).
However, it mentioned that state facilities normally pay at least minimum wage.
Actual, on second thought, it won't take me long to retype the article so here goes:
USA Today (money section 20 Oct, 1998)
Prison labor shackled with complaints
by Stephanie Armour (USA Today)
Skyrocketing numbers of convicts are being put to work, a trend fueled by tight labor markets an a surging inmate population.
But prison labor is being called a threat to small businesses and a consumer safety risk. The criticism comes amid congressional efforts to increase employer access to federal inmates, a bill expected to be taken up next session.
"Our government is doing this to us," says Sam Brickle of Woonsocket, RI, who says competition from federal prison labor hurt his blanket-making business. "We had to lay off 50 people. What are they trying to do to hard-working people? It's ridiculous."
But many in the prison industry say it works. The Justice Department reports more than 1.7 million inmates in 1997, up 4.7% from a year ealier.
Federal inmates earn 23 cents to $1.15 an hour, while those in state programs often get at least minimum wage.
"I don't like that I was here for about a decade, but I'm going home with something more than I came in with," says Dennis Rollins, released today a Talledega, Al, federal prison where he made furniture.
Still critics say there are several concerns:
> Preferential treatment.
The government is required to give mandatory preference to goods made by federal prison industry. Small business owners argue that's unfair, while others say federal agencies still are allowed to request waivers.
>Unfair advantages.
Private employers hiring state prison inmates may avoid health care costs or other expenses, critics say. But employers argue they don't get breaks.
>Consumer safety.
Consumers may give out private information to telemarketers or others they don't know are convicts, critics say.
But some employers say they use safeguards, such as preventing inmates from taking credit-card numbers.
"They develop work habits," says Kenneth Smith, CEO of US Technologies in Marietta, GA, a firm with operations in four prisons. "That leads to self-respect, and self-respect can change a person's life."
But others say the system is rife with problems. The Coalition for Government Procurement estimates federal prison industries cost the furniture industry more than 2,000 jobs since 1993.
The number working in federal prison industries has grown from roughly 5,000 in 1980 to about 20,000 today.
End of story.
So there we have it. Folks are griping so but primarily revoicing long standing complaints against low-paid federal prison PIE programs where inmates make sub-minimum wage and compete with local business.
I believe Ken Smith still holds to his business plan that he will only set up shop in areas where they will not impact, or compete with, local small business. He also pays a fair wage that permits inmates to set aside a nestegg for the time when he/she is released back into society.
But most of all, the reason I support what USXX is doing is that idle hands make for mischief. Keep inmates busy and gainfully employed, and while they still are denied their freedom, they are also trained with talents that may, just may, keep them from a return visit.
JMO. At the very least we're seeing Ken Smith finding his name in nationwide media and I don't think that will hurt public awareness of this company.
Regards,
Ron |
