It hooks them up to a VR simulation of 1950's america and they're the abusive husband to a hot wife and two kids. Racism is alive and well and the USA and white people by extension run the world.
They can never leave, much like the matrix they're locked into the simulation for life but it's more humane than wholesale genocide because let's face it, a lot of people in the USA deserve it.
The Animatrix taught me that this is the most humane option for irredeemably murderous chuds.