A BRIEF HISTORY OF PRISON LABOR IN THE U.S. FORMS A PROLOGUE TO A DESCRIPTION OF THE LEAA-FUNDED FREE VENTURE PROGRAM. THE FREE VENTURE CONCEPT IS TRACED FROM ITS FORMULATION BY ECON, INC., IN 1975 TO ITS PRESENT STRUCTURE AND IS ASSESSED IN TERMS OF ITS IMPACT ON THE WORK ENVIRONMENT, THE PRISONERS, AND ON THE PRISON. DISCUSSION ON INDUSTRIAL RELATIONS APPROPRIATE TO A PRISON INDUSTRY ENVIRONMENT CENTER ON PRISONER MOTIVATION; PERSONNEL RECRUITMENT, SELECTION, AND PLACEMENT; PAY PLANS AND INCENTIVES; BENEFITS, HEALTH, AND SAFETY; AND PRISONER ORGANIZATIONS AND JOB SATISFACTION. CONSIDERATION IS GIVEN TO THE ESTABLISHMENT AND COMPOSITION OF AN ADVISORY BOARD AND ON WAYS TO USE THE BOARD ONCE IT HAS BEEN CREATED; SUGGESTIONS SHOULD BE ADAPTED TO INDIVIDUAL STATES. TOPICS ADDRESSED RELATING TO WORKERS' COMPENSATION PROGRAMS FOR PRISON LABOR INCLUDE (1) THE PROVISIONS OF SOME STATE STATUTES WHICH CREATE WORKERS' COMPENSATION BENEFITS FOR PRISONERS; (2) THE COST OF WORKERS' COMPENSATION FOR PRISON INDUSTRIES EMPLOYEES IN STATES WHICH HAVE SUCH PROGRAMS; (3) THE APPLICABILITY OF WORKERS' COMPENSATION IN THE PRISON SETTING; AND (4) FREQUENTLY VOICED OBJECTIONS TO THE EXTENSION OF WORKERS' COMPENSATION TO PRISONERS, AND THE MERIT OF THESE OBJECTIONS IN THE CONTEXT OF THE FREE VENTURE CONCEPT. PAY PLANS, INCLUDING WAGES, BONUSES, PROFIT SHARING, AND OTHER MOTIVATORS ARE EXPLORED IN THE CONTEXT OF THE OBJECTIVE OF PRISON INDUSTRIES TO MAINTAIN WORKING CONDITIONS AS MUCH LIKE THOSE OF PRIVATE INDUSTRY AS POSSIBLE. THIS OBJECTIVE IS ALSO CONSIDERED IN DISCUSSION ON VOCATIONAL EDUCATION. NOTES ARE PROVIDED. FOR OTHER VOLUMES IN THIS SERIES, SEE NCJ 60756, NCJ 60758-62, AND NCJ 87053. (MHP)