'Perfect storm' boosting union success
Labor unions continue to gain ground in healthcare because of employment instability anxiety among workers
Over the last decade, labor unions have had many successes gaining ground within the healthcare industry. In the coming years, the industry will see more of the same.
The most recent semi-annual report produced for the American Society for Healthcare Human Resources Administration found 71 percent of elections in 2013 resulted in union creation in the healthcare industry. The most successful unions were the Service Employees International Union, the American Federation of State, County and Municipal Employees, United Food and Commercial Workers and National Nurses United (the latter won 100 percent of its elections in 2013).
While labor union activity has weakened in other industries, a “perfect storm” has given unions an advantage in the healthcare industry, said Jim Trivisonno, president of IRI Consultants and author of the ASHHRA report.
The Affordable Care Act’s pressure on the industry to reduce costs and become more efficient, and the increasing numbers of mergers and acquisitions in the industry has created employment instability anxiety among healthcare employees, he said, making them more open to labor unions and their promise of stability.
For leaders in the healthcare industry who may disdain labor’s claims of securing employment stability, Kate Vonderhaar, a consultant of research and insights at the Advisory Board Company, cites a number of surveys the company has conducted which support labor’s claims that employers with a unionized workforce have more employment stability than employers without unionized employees. For instance, the studies found that turnover at unionized hospitals was 10 percent in 2013, while at those without unions it was 13 percent. And employers with unions spend more money (4.8 percent of payroll) on “premium” labor compared to 3.3 percent at non-union employers.
Healthcare companies can expect labor unions not to let up, said Trivisonno. In 2012, more than one-quarter of hospitals reported seeing an increase in union activity in their area.
Unions will continue to use the same tactics they have successfully used for years to build their membership, Trivisonno said. The traditional option is to have an election. If that fails, they turn to corporate campaigns, which are designed to highlight problems with employers’ reputations and patient care. Such campaigns often include leveraging relationships with legislators, regulators and community groups to put pressure on hospitals to allow for elections.
“It’s death by a thousand cuts instead of a single blow,” said Trivisonno.
