I am not saying that they should not but I am under the impression that soviets are designed to have mediocre stock units with gaps filled by doctrinal units...
Well if one designs Penals as cannon fodder one should provably adjust conscripts either increasing their far DPS or giving them some bonus when in cover so that that they are more cost efficient against axis infantry far.
The conscripts will become the troops that fight in cover from far and Penal will become the troops used to charge enemy and use their anti fortification/garrison kit...
The thing is, Conscripts are meant to be cannon fodders not Penals. They are meant to perform hard jobs, but they are not Osstruppen as they are mostly officers. Penal battalion =/= Penal companies. Their first implementation also reflected this, same cost as PG and DPS of G43 grens.
I'll remove the SVT and give them Guards Mosin profile. Give them 3 type of upgrades, PPSH with flamer, SVT or DPs. If that proves to be too much, just improve the SVT and give them either PPSH flamer or DPs as an upgrade.
Replace trip wire at vet1 with increased performance as they lose members.