Corrections Corp. of America, the Nashville-based prison company that operates the Silverdale workhouse in Hamilton County, announced Tuesday a restructuring of the company’s corporate operations to trim 50 to 55 full time jobs, or about 12 percent of the corporate staff.
CCA said the changes should save $9 million in 2017 as the company adjusts to Justice Department announcement last month that it would phase out use of the facilities for prisoners.
The Homeland Security department has said it will also examine use of private prisons and Democratic presidential candidate Hillary Clinton said Monday she would like to also see state and local governments ends the use of private prisons so that no business is financially rewarded by locking up more people.
CCA Chief Executive Damon Hininger also said he would forfeit $2 million worth of restricted stock units he received in February and requested the board not award him any equity-based compensation in 2017.
“Proactively addressing the challenges and opportunities of our business means very difficult decisions must be made, and our most immediate concern is for the welfare of the employees affected by the restructuring,” Hininger said.