The problem is that there’s double dipping and profiteering. The prison company gets paid by the government for the same it costs the government to house prisoners and then contracts out the prison labor to private companies for basically pure profit. Private prisons’ ability to sell slave labor is a perverse system. The government doing so is at least marginally less but still exploitative in that it robs prisoners of their humanity and feeling like they’re part of the social fabric. Pay them a living wage for that effort and they start to learn that there’s respect and reward that come from being integrated in society.

Its a fair point but its probably not practical.

I don't think there's enough jobs in prisons that need physical labour where they can cover the costs. You would then have to train them in useful skills but incompetence is not a crime so you cannot penalize those who "cannot learn/do" skilled work.

Other alternative is to make them work the same job they did outside but that is a slippery slope with lot of potential for abuse.

Apologies for my ignorance, exactly what kind of jobs do prisoners work inside that benefit the society outside?

the US has had lots of programs where labor can effectively be bought or contracted from prisoner sites by private companies.

I know of prison ran machine shops that were doing die-casting and tool production. I also heard of one (didn't see) that was doing basket weaving for a floral/arrangement company.

these are shallow 'social benefits'; but the companies were privately owned.

I guess the classic example is license plate pressing.. I guess that's a social good? I don't know if it goes on at all anymore.

Why do they have to stay inside? Have a chain gang trim overgrown weeds along roads, fill in potholes, clean leaves, clean and repair sidewalks, plant shrubs, etc.