Hyundai Supplier Terminates Prison Labor Contract in Alabama Following Public Outcry

In 2022, it was revealed that certain Hyundai suppliers in the USA were employing child labor. By 2023, the federal government intervened and Hyundai took decisive action to address the issue. However, in 2024, it came to light that Hyundai suppliers were engaging another contentious labor practice – utilizing prison laborers. Fortunately, due to mounting public pressure, this practice has now been discontinued.

Ju-Young, a company based in Korea, participated in Alabama’s prison labor program as a supplier. The program allows incarcerated individuals to work outside of prison and earn a modest wage. However, a report highlights that the true nature of this opportunity is much more intricate than it appears.

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According to a report from the New York Times, a prisoner who works for Ju-Young compared the situation to having to choose between bad and worse options. The prisoner, who is currently serving a 20-year sentence for marijuana trafficking, mentioned that there is no choice but to work, as refusing could lead to being sent back to the camp and facing disciplinary charges. Such charges could have severe consequences, such as losing the chance for parole or receiving a longer sentence.

According to the report, an anonymous employee at the Ju-Young plant confirmed Mr. Anderson’s depiction of the work environment for inmates, including the implied threat of punishment. This revelation reflects poorly on Ju-Young and Hyundai. Consequently, a few weeks later, the supplier terminated its contract with the state for prison labor.

According to a spokesperson from the automaker, Hyundai is not involved in making individual hiring decisions by independent suppliers. The spokesperson emphasized that Hyundai mandates all its suppliers to comply with the law and its supplier code of conduct. Furthermore, the company has a history of taking appropriate action upon learning about alleged violations.

In all fairness, Hyundai is not the sole company entangled in America’s prison labor controversy. Numerous states have implemented programs that enable incarcerated individuals to work for wages that are alarmingly low, sometimes earning less than $10 per hour, or even less than a dollar per hour in certain instances. Critics argue that these workers are often subjected to inhumane treatment and their safety and well-being are given little consideration.

It is deeply troubling to see how this practice has become accepted as the norm. Numerous industries, whether it be fashion or automotive, rely on prison labor without much public awareness. However, the ethical implications of this arrangement are questionable, particularly when inmates are coerced into these labor conditions. If an organization’s business model hinges on exploiting individuals who are unable to refuse, perhaps it is essential to reconsider their approach and overall strategy.

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Jan McDonald – Managing Partner Originally from Baton Rouge, Louisiana, Jan McDonald relocated to the Demopolis area in 1991. Over the years, she has built an extensive career as a journalist and freelance writer, contributing her talents to various news outlets across Louisiana, Wisconsin, and Alabama. With her wealth of experience in journalism, Jan has honed her skills in reporting, writing, and storytelling, making her a versatile and respected voice in the field. As Managing Partner of The Watchman, Jan plays a crucial role in overseeing and producing editorial content for the publication. Her responsibilities include curating stories, ensuring high-quality journalism, and managing the day-to-day operations of the editorial team. Jan's dedication to maintaining the integrity of The Watchman's reporting, combined with her deep connection to the community, allows her to guide the publication with both passion and expertise.