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Nursing Home Strike Possible
Union Wants State to Appoint Receiver
Pam Dawkins, Connecticut Post
September 17, 2004
Approximately 1,000 health-care workers at seven state nursing homes, including one in Milford, could walk off their jobs on Sept. 29, according to the union that represents them.
"The workers have authorized a strike, said Jennifer Smith, a spokeswoman for the New England Health Care Employees Union District 1199, on Thursday.
Most of the workers are certified nurse's assistants, but others work in housekeeping and the dietary fields.
The seven nursing homes are the Newington Health Center, the Wethersfield Health Center, West River Health Center in Milford, Westport Health Center, Danbury Health Center, Darien Health Center and Long Ridge of Stamford. As of June, the seven homes had 1,073 residents, according to the state Department of Social Services.
The seven homes filed Chapter 11 bankruptcy protection in June individually. However, a June 30 story in the Connecticut Post named Care Realty of Hackensack, N.J., as the owner.
According to Smith, Care Realty claims it is not financially responsible for the homes.
Ann Collette, a spokeswoman for Care Realty, did not return calls for comment Thursday.
Those individual bankruptcy filings are at the core of the strike threat, according to Smith.
The union is challenging the individual filings, because the homes claim they don't have the financial resources to meet their obligations. According to Smith, a series of contract violations has occurred over the summer.
The union charges that the nursing homes aren't making contractually required payments into employee pension plans, are below staffing requirements after layoffs that cut more than 150 caregivers, and is deducting money from paychecks for union dues but not giving that money to the union.
The union estimates that the nursing homes have kept more than $750,000 that should have gone into the pension and education funds or paid as union dues.
"We've just had increasing problems with Care Realty and these seven nursing homes, said Smith.
Its members will meet before the strike day, said Smith, but the union has not yet settled upon a date.
The union sent a letter alerting the DSS and the Department of Public Health to the possibility of the strike Thursday. Legally, it must give the business 10 days' notice of a strike, so the nursing homes can make preparations, such as hiring temporary workers. The business then notifies the DSS and DPH, said DSS spokesman Matthew Barrett.
Because the union hasn't yet issued a strike notice to the business, Barrett said, people with relatives in the nursing homes should not make plans to transfer them.
The seven nursing homes have a total of 1,170 beds. The June census figure of 1,073 patients puts their combined occupancy rate at nearly 92 percent.
According to Barrett, the daily per diem rates the DSS pays the seven nursing homes for Medicaid patients amount to approximately $40 million annually.
The seven homes' daily Medicaid rate ranges from approximately $155 to $199.22 in the Stamford home. The daily rate in Milford is $184.60.
"Nursing facility care is very expensive in Connecticut," he said.
The union is asking the state to step in and appoint a receiver.
But, according to Barrett, the triggers for such an appointment haven't happened yet. Those include financial instability leading to inadequate patient care. The DSS, DPH and the Attorney General's Office will be assessing the situation over the next few days, Barrett said.
But it might take a strike to raise those issues, he added, which means that it might take a walkout to convince the state to step in.
"If the state does so [appoints a receiver], then we will call off the strike, said Smith. But "The best way to resolve this is for Care Realty to end this charade [and take financial responsibility for the nursing homes].
Pam Dawkins, YourMoney editor, can be reached at 330-6351.
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