In another sign of
trouble, SEIU-UHW is reportedly facing demands for takeaways from Dignity
Health during contract negotiations that began last month. The current
contract, which is set to expire April 30, covers 15,000 workers and is
SEIU-UHW’s second largest contract after Kaiser Permanente.
According to
SEIU-UHW, Dignity wants to eliminate SEIU-UHW members’ access to fully
employer-paid family health insurance, which has been a standard benefit at
unionized California hospitals since the 1970s. Instead, management wants SEIU-UHW
members to pay $125 per month to get health insurance for a spouse, and $175
per month for a spouse and children. Only “employee-only” coverage would be
free to workers.
The demands spell
trouble for Dave Regan.
SEIU-UHW members are
already reportedly facing takeaways from Kaiser, which is the union’s largest
employer. According to Regan, Kaiser
wants 10%-20% cuts to the wage scales for future hires in California’s
Central Valley, stretching from Sacramento to Fresno. Kaiser says it hasn’t
begun negotiations with SEIU-UHW and has not yet put any proposals on the
table.
So... in 2018, Regan
will be in defensive bargaining covering more than 70% of the union’s
membership even though both Kaiser and Dignity are flush with profits.
What’s going on?
The two companies apparently
see Regan as vulnerable.
And Regan is vulnerable. But he can only blame
himself for SEIU-UHW’s current problems. Why?
Because he laid the
groundwork for the cuts by negotiating similar benefit cuts and wage freezes
with other hospital companies. “We want the same cuts you gave to the other companies,” the execs at Dignity and Kaiser seemed to be telling Regan.
Soon after
parachuting into California in 2009, Regan quickly began slashing workers’
long-established contract standards. Alameda Hospital was the first hospital
where Regan agreed to eliminate SEIU-UHW members’ fully employer-paid family
health benefits. Instead of paying $0 for family health coverage, Regan
required SEIU-UHW members to pay $170 per month to get coverage for their
children. Once the ink was dry on Dave’s signature at the bottom of the
contract, Alameda Hospital executive Kerry Easthope told the San Jose Mercury News that Regan’s cuts
were “a groundbreaking concession.” (Michele Ellso, “Alameda
Hospital employees to get pay raise,“ San
Jose Mercury News, 04/30/2009)
Next, Regan
negotiated similar cuts to health insurance with entire hospital chains like the
Daughters of Charity Healthcare System. In 2012, Regan used ramrod
ratification votes to force massive concessions down the throats of
thousands of thousands of Daughters of Charity workers. Regan tossed their fully
employer-paid family health coverage in the trash can. Instead, SEIU-UHW
members were
forced to pay 25% of the monthly health insurance premiums -- or hundreds
of dollars a month.
Regan also eliminated
workers’ defined-benefit pension plan (he replaced it with a 401k plan),
implemented an invasive corporate wellness program, and allowed the company to
double workers’ out-of-pocket costs for prescriptions, doctors visits and other
healthcare procedures.
At Dignity, Regan agreed
to eliminate
workers’ defined-benefit pension plan and accepted wage
freezes for 15,000 SEIU-UHW members... even though the company was making
profits.
So… is it a shocker
that Kaiser and Dignity are now coming to Regan for more cuts?
