Thursday, August 30, 2018

Ten Years Later...



This month marks the tenth anniversary of some of the headline-grabbing events that led up to SEIU's disastrous trusteeship of SEIU-UHW.

Ten years ago, SEIU-UHW -- then led by president Sal Rosselli -- was one of the most successful healthcare unions in the nation. Labor journalist Steve Early called SEIU’s takeover of SEIU-UHW “the mother of all trusteeships.” Unfortunately, it gave birth to a Frankenstein-like child headed by Dave Regan, who quickly drove the once-powerful union into the ground.

So what happened ten years ago?

During August 2008, a reporter named Paul Pringle published eight articles in the Los Angeles Times detailing a massive corruption scandal perpetrated by Tyrone Freeman, one of Andy Stern’s closest allies.

Freeman’s corruption was stunning. It ranged from union-funded jaunts to Hawaii with his personal assistant, $175 glasses of cognac and cigars at an exclusive cigar club frequented by Los Angeles movie stars, no-show jobs for relatives, and kickbacks from corporations in exchange for deals that sold out low-wage healthcare workers.

During the months leading up to August 2008, Freeman had served as Andy Stern’s attack dog in Stern’s campaign to “implode” SEIU-UHW. A boatload of Stern’s staffers also worked on the campaign, such as Stephen Lerner, Dave Regan, Bill Ragen, Tom DeBruin, Josie Mooney, Debbie Schneider, Steve Trossman and Denise Poloyac.
Andy Stern

Earlier in the summer of 2008, Freeman was riding high after Stern initiated a maneuver to transfer 65,000 union members out of Rosselli’s SEIU-UHW and put them in Freeman’s union… without a democratic vote by the workers. 

Following the transfer, Freeman would have led one of SEIU’s largest local unions… and he then would have delivered all of his union’s votes to Stern at SEIU’s conventions where Stern sought reelection as the international union’s president.

But in August 2008, the curtains were finally pulled back on Freeman’s years-long corruption scandal and he plummeted to earth like a flaming meteor.

Stern, angry at the loss of his loyal ally, announced on August 25, 2008 that SEIU was launching trusteeship hearings against Rosselli’s union. During the preceding years, SEIU-UHW’s members had caught Stern and his DC-based staffers making backroom deals with healthcare corporations that sold out workers and patients, and violated democratic principles.

In 2010, Stern resigned as the President of SEIU after launching yet another disastrous attack, this time against UNITE HERE. Freeman, in turn, ended up in federal prison. "May God have mercy on me," said Freeman at the time of his sentencing. "I am accountable for these bad decisions."

Meanwhile, Rosselli and his crew of rank-and-file leaders launched the National Union of Healthcare Workers (NUHW) as a militant, member-led, democratic alternative to SEIU.

Ten years later, this history stands sharper in our collective memory.

Here’s a link to the series of articles in the Los Angeles Times from August 2008.