Kaiser Permanente reaches deal with workers after strike

Photo: Sundry Photography/Getty Images

Kaiser Permanente labor unions representing 85,000 healthcare workers reached a tentative agreement with the health system Friday across seven states and the District of Columbia.

Both sides credited Acting Secretary of Labor Julie A. Su in reaching an agreement. Su was there in person for the deal reached in San Francisco.
 
WHY THIS MATTERS

Workers were striking over wages and staffing levels. Under the tentative agreement, California workers will receive a minimum hourly wage of $25, where most of Kaiser's facilities are located, and $23 in other states, according to AP. In addition, they will see a 21% wage increase over four years. 

The ratification process is scheduled to begin this week.

Steve Shields, Kaiser's senior vice president of labor relations, said the deal would not affect rates at the integrated health system, the AP report said.

THE LARGER TREND

This was reportedly the largest healthcare labor dispute in U.S. history.

The new contract aims to address staffing shortages that striking workers argued was hurting patients.

In early October, tens of thousands of nurses, ER technicians, and pharmacists reportedly participated in a three-day strike.

ON THE RECORD

"What the parties have achieved here in Oakland demonstrates, once again, that collective bargaining works. When workers have a voice and a seat at the table, it can result in historic gains for workers, their employer and our country," Su said. "The president and I congratulate the parties on reaching a mutually beneficial deal that delivers important stability for this critical workforce, for Kaiser Permanente and for the patients in their collective care."
 

Twitter: @SusanJMorse
Email the writer: SMorse@himss.org