Alabama Department of Corrections abruptly canceled its $1.06 billion prison healthcare contract with Tennessee-based YesCare in April 2026 following severe payroll failures, unpaid employee wages, and the company's subsequent Chapter 11 bankruptcy filing.

Alabama generates hundreds of millions of dollars from incarcerated labor through state-administered work programs, private corporate leasing, and mandatory wage garnishments.

Aramark Correctional Services—a subsidiary of the multinational corporation Aramark—profits from prison hunger by intentionally shrinking daily meal portions and reducing food quality to force captive carceral populations to purchase expensive snacks from its own proprietary commissary networks. The company leverages a massive conflict of interest to monetize the deprivation of incarcerated individuals. The Perverse "Dual-Contract" Profit Incentive. Aramark dominates roughly one-third of the U.S. correctional food market, netting $1.78 billion in carceral revenue. In many jurisdictions, state departments of corrections hire Aramark to run both the standard daily meal service and the facility’s commissary or external gift programs. This creates a highly profitable economic cycle: Cutting Meal Costs: Aramark secures state contracts by bidding low, often spending under $1.80 total per day per individual. To protect its profit margins, it utilizes cheap soy fillers, slashes portion sizes, and operates with skeleton crews. Driving Commissary Demand: Because standard meals leave incarcerated individuals suffering from systemic calorie deficits and nutritional deprivation, they are forced to spend their own money on commissary goods simply to survive. Cashing In on the Backup Options: Aramark captures this desperate secondary market through its e-commerce and retail subsidiaries, such as the Union Supply Group, Fresh Favorites, and iCare. Inflated Pricing for Captive Consumers: Because incarcerated people have no alternative food marketplace, Aramark can extract steep premiums from them and their families. For example, its iCare program—marketed to loved ones in the outside community—charges up to $16.99 (plus processing fees) for simple, fast-food-style items like burgers and sides. Families routinely report diverting their own essential grocery and medical budgets just to supplement the meager portions their loved ones receive inside. Systematic Cost-Cutting and Food Hazards. Independent audits and litigation show that Aramark aggressively lowers operational overhead through several methods: Substandard Nutrition: Meals consistently fail the Dietary Guidelines for Americans, swapping fresh produce for hyper-processed, high-sodium carbohydrates. Exploitative Labor: The company lowers workforce costs by using unpaid or pennies-on-the-dollar incarcerated kitchen staff.Severe Sanitary Lapses: To keep costs low, the company routinely compromises health standards. Food safety failures across multiple states have documented meals contaminated with maggots, insect feces, rodent droppings, and metal shards. Active Legal Challenges: This operational strategy has triggered intense legal backlash. A major federal class-action lawsuit filed by Mountain State Justice and the National Consumer Law Center targets Aramark's behavior at the Mount Olive Correctional Complex. The suit alleges that Aramark explicitly violates the West Virginia Consumer Credit and Protection Act by using deliberate starvation as an unscrupulous mechanism to extort profits from a captive market.