BOP Program Statement 8120.04 § 2

(a) Federal Prison Industries, Inc. (FPI) - A government corporation organizationally

within the Bureau of Prisons whose mission is to provide work simulation programs and

training opportunities for inmates confined in Federal correctional facilities. The commercial

or “trade” name of Federal Prison Industries, Inc. is UNICOR. Most factories or shops of

Federal Prison Industries, Inc. are commonly referred to as “UNICOR” or as “Industries”.

Where these terms are used, they refer to FPI production locations and to the corporation as a

whole. UNICOR, FPI, and Industries are used interchangeably in this manner. For these

purposes, Federal Prison Industries, Inc. will hereinafter be referred to as FPI.

(b) Superintendent of Industries (SOI) - The Superintendent of Industries, also referred to as

Associate Warden/Industries and Education, is responsible for the efficient management and

operation of an FPI factory. Hereinafter, referred to as SOI.

For FPI facilities without an SOI, responsibilities of the SOI discussed in this program statement

are delegated to the Senior Operations Manager, Operations Manager, or Factory Manager, as

specified throughout this program statement. The Senior Operations Manager or Operations

Manager has overall responsibility for business group operations at a location. The Assistant

Director is also referred to as the Chief Executive Officer of FPI.

(c) FPI work status - Assignment to an Industries work detail.

(1) An inmate is in FPI work status if on the job, on sick call during the inmate's assigned

hours, on furlough, on vacation, for the first thirty days on writ, for the first 30 days in

administrative detention, or for the first 30 days on medical idle for FPI work-related

injury so long as the injury did not result from an intentional violation by the inmate of

work safety standards.

(2) Full-time work status. A work schedule for an inmate consisting of 90% or more of the

normal FPI factory work week.

(3) Part-time work status. A work schedule of less than 90% of the normal FPI factory

work week.

A primary use of part-time work status is job share, which is a work schedule whereby two or

more inmates working different shifts share the work of a single work assignment. For example,

if a factory has 100 positions, it could provide work to 140 inmates by using 60 inmates on a

full-time basis and 80 inmates on a job-share basis.

(d) Unit Team - Bureau of Prisons staff responsible for the management of inmates and the

delivery of programs and services. The Unit Team may consist of a unit manager, case

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manager, correctional counselor, unit secretary, unit officer, education representative, and

psychologist.

(e) Unit Discipline Committee (UDC) - The term Unit Discipline Committee refers to one or

more institution staff members delegated by the Warden with the authority and duty to hold

an initial hearing upon completion of the investigation concerning alleged charge(s) of

inmate misconduct (see 28 CFR 541.15). The Warden shall authorize these staff members

to impose minor sanctions for violation of prohibited act(s).

(f) Discipline hearing officer (DHO) - This term refers to an independent discipline hearing

officer who is responsible for conducting Institution Discipline Hearings and who imposes

appropriate sanctions for incidents of inmate misconduct referred for disposition following

the hearing required by 28 CFR 541.15 before the UDC.

(g) Pretrial inmate - The definition of pretrial inmate in 28 CFR 551.101(a) is applicable to

this part.

Such an inmate is defined as a person who is legally detained but for whom the Bureau of

Prisons (Bureau) has not received notification of conviction. Thus, “pretrial inmate” ordinarily

includes a person awaiting trial, being tried, or awaiting a verdict.

h. DOT Code. Code listed for a specific job as identified in the Dictionary of Occupational

Titles (DOT) created by the U.S. Department of Labor. The DOT classifies jobs into over 12,000

titles based on the tasks performed and industry designation.

i. Inmate Employment. Terms such as “work,” “worker,” “employment,” “hire,” etc., refer to

participation in an FPI work program. The term “inmate” includes all persons in federal custody,

including those housed in residential reentry centers, home confinement, and private prisons.

j. Prison Industry Enhancement Certification Program (PIECP). A program codified at 18

U.S.C. § 1761(c) that allows correctional industries to sell products to the commercial market

under specific conditions. Inmates performing PIECP work do not receive grades and are paid

based on the local prevailing wage, subject to allowable deductions. As discussed in Chapter 5,

some of the benefits received by graded inmates are inapplicable to inmates performing PIECP

work.

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CONTENTS

Chapter 1. Delegation of Authority, Inmate Personnel Management System

Purpose/Summary............................................................................................................................7

Delegations......................................................................................................................................7

Chapter 2. Labor Utilization and Position Classification

General.............................................................................................................................................8

Action...............................................................................................................................................8

Position Classification.....................................................................................................................8

Understanding of the Program.........................................................................................................9

Classification Integrity...................................................................................................................10

Chapter 3. Recruitment and Hiring Practices

Recruitment....................................................................................................................................11

Hiring.............................................................................................................................................11

Waiting List Hiring Exceptions.....................................................................................................12

Refusal to Employ..........................................................................................................................13

Assignments to FPI........................................................................................................................13

Chapter 4. Inmate Worker Standards and Performance Appraisal

General...........................................................................................................................................15

Inmate Worker Standards..............................................................................................................15

Performance Appraisal for Inmate Workers..................................................................................17

Inmate Worker Dismissal..............................................................................................................18

Chapter 5. Inmate Pay and Benefits

General...........................................................................................................................................21

Purpose and Summary...................................................................................................................21

Inmate Pay.....................................................................................................................................21

Premium Pay..................................................................................................................................22

Incentive Pay Plans........................................................................................................................24

Piecework Rates.............................................................................................................................24

Overtime Compensation................................................................................................................25

Longevity Pay................................................................................................................................25

Vacation Pay..................................................................................................................................26

Administrative Pay.........................................................................................................................27

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Holiday Pay....................................................................................................................................27

Inmate Performance Pay................................................................................................................27

Training Pay...................................................................................................................................28

Inmate Earnings Statement............................................................................................................28

Inmate Accident Compensation.....................................................................................................28

Post-Release Inmate Accident Compensation...............................................................................28

Funds Due Deceased Inmates........................................................................................................29

Referral of Releasable Medical Data to FPI Staff.........................................................................29

Inmate Medical Work Limitation..................................................................................................29

Claims Limitation..........................................................................................................................29

Retention of Benefits.....................................................................................................................29

Guidelines for Inmate Pay and Benefits......................................................................................32

Chapter 6. Awards Program

General...........................................................................................................................................33

Official Commendations................................................................................................................33

Cash Bonus or Cash Award...........................................................................................................33

Procedures for Granting Awards for Suggestions/Inventions.......................................................34

Awards for Special Achievements for Inmate Workers................................................................34

Chapter 7. FPI Inmate Training and Scholarship Programs

General...........................................................................................................................................36

Pre-Industrial Training...................................................................................................................36

Apprenticeship Training................................................................................................................37

Job Safety Training........................................................................................................................37

FPI Scholarship Fund.....................................................................................................................37

Chapter 8. Records and Files

General...........................................................................................................................................40

Permanent Records........................................................................................................................40

Personnel Forms.............................................................................................................................41

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Chapter 1. Delegation of Authority, Inmate Personnel Management System

1. PURPOSE/SUMMARY

To establish delegation of authority for inmate worker personnel matters.

2. DELEGATIONS

The Director, Bureau of Prisons, re-delegates the authority for general administration of inmate

worker personnel matters to the Assistant Director/Chief Executive Officer, FPI (hereafter

referred to as Assistant Director). Certain functions can then be re-delegated by the Assistant

Director to the Senior Operations Manager, Operations Manager, or Factory Manager, as

indicated below.

a. Selection Authority. Authority to employ inmates and to select inmates for key positions,

premium pay positions, and other specialized positions that may become available to inmate

workers in FPI is delegated to the Factory Manager after appropriate screening by the unit team.

The Factory Manager may further delegate the selection authority to FPI staff, via an official

memorandum to those staff members from the Factory Manager.

b. Classification Authority. Authority to classify inmate worker positions is delegated to the

Factory Manager.

c. Corrective Action Authority. Authority to take FPI corrective actions regarding an inmate

worker is delegated to the Factory Manager.

Violations of FPI inmate worker standards may be handled within the local FPI organization

structure at the Factory Manager’s discretion and are to be appropriately documented.

Violations of Bureau rules are processed in accordance with the Program Statements Inmate

Discipline Program and Special Housing Units.

Chapter 2. Budget, Labor Utilization, and Position Classification

1. GENERAL

It is FPI’s policy to employ inmate resources efficiently. During the annual FPI planning cycle,

FPI will develop a Memorandum of Understanding (MOU), i.e., Annual Operating Plan, with

each Warden and Senior Operations Manager or Operations Manager on the level of inmate

employment necessary to support planned sales and earnings for the FPI operation at each

facility. During budget planning and formulation, the Senior Operations Manager or Operations

Manager must coordinate with the appropriate Financial Management Branch representative and

meet deadlines contained in the Budget Formulation and Execution SOP.

2. ACTION

Senior Operations Managers or Operations Managers must, at a minimum, complete the

procedures listed below to ensure the effective employment of inmate resources:

■ Formulate an inmate worker staffing pattern annually. The Senior Operations Manager or

Operations Manager will note turnover rates, workload increases and decreases expected,

labor availability, expected population trends, and anticipated mission, product, or program

changes that will have a significant impact on operations. This may be executed as a part of a

total workforce assessment effort in which both civilian and inmate workforces are

examined. The Senior Operations Manager or Operations Manager must have the analysis

available for discussion with FPI corporate executives, program managers, and others as

needed.

■ Review all short-range operation plans (one year or less) to assess inmate workforce needs.

■ Review projected and actual overtime use and design methods of reducing overtime costs

while optimizing inmate employment.

■ Review the results of internal and external audits to improve the program.

■ Make recommendations on the consolidation of functions, reorganization, duplication of

effort, layering, better use of technology, vertical integration, and other means of workforce

utilization.