To be fair this is hardly a problem unique to western capitalism. Gulag labor in the USSR was widely acknowledged and documented. And there are likewise credible accusations of forced labor (and much worse) in China as well. It's bad in every case, and intellectually honest observers would condemn this practice in every instance.

This isn't capitalism or communism - it's an autocracy and human rights issue. The places with the best criminal justice outcomes these days are generally the "third way socialism" eg Scandinavian model countries which have a blended version of regulated capitalism and wealth redistribution.