Second chances are excellent and sure, users certainly deserve them.
However I would have to say removing all users from the permanent ban list would be working backwards. This would be giving some of them a fifth or sixth chance, when I do not believe they deserve one at all based around the fact that we had allowed them back in the desk multiple times before and they insisted on nothing less than causing total catastrophe regardless of anything.
Some permanent ban users yes - did deserve to be permanently banned by all means however should deserve a second chance. Others, not so much!