CALIFORNIA: PERB SEEKS TO BLOCK UC-STANFORD HOSPITAL MERGER
The state Public Employment Relations Board (PERB) "hasThis is part of the California Healthline Daily Edition, a summary of health policy coverage from major news organizations. Sign up for an email subscription.
filed a complaint against the University of California (UC)
regents aimed at blocking the merger of the UC-San Francisco
Medical Center [UCSF] with Stanford Medical Center." SAN
FRANCISCO EXAMINER reports that the "complaining parties are four
unions" which represent about 4,000 UCSF workers who oppose the
merger "because they believe it will costs jobs." Rick
Malaspina, UC spokesperson, called the move "premature" because
no final vote on the merger has been taken, but said that the
proposed merger does not violate labor laws.
DETAILS: EXAMINER reports that the regents voted in July
to approve the merger and "created a governing structure that put
all of the hospital's assets into the hands of a private
corporation." The corporation, NEWCO, will consist of a 17-
member board, "of which six members will be regents." The
regents were supposed to vote on the merger in September,
however, the vote has been delayed until October because of
employee objections.
UNPOPULAR MOVE: The PERB complaint is the second made by
UCSF unions "in their effort to block the merger." Unions have
already filed a complaint in San Francisco Superior Court,
"seeking to compel disclosure of the business plans for NEWCO."
A hearing on that complaint is scheduled for Thursday. James
Eggleston, an attorney representing the unions, said, "Our
principal concern is that this was done largely in secret,
without public understanding. It's perhaps the most significant
policy decision the regents will make in 50 years (and) could be
the beginning of the privatization of the entire UC system." The
regents have said that most of the workers who will be affected
by the merger will be hired back by NEWCO. However, Libby Sayre,
a business agent for Local 9119 of the University Professional
and Technical Workers, said that the rehiring will not be
automatic "and that workers won't have the contracts and the job
security and benefits package they now have" (Brazil, 9/21).