Prime ordered to pay $1.6M over cuts to hospital employee healthcare benefits

The National Labor Relations Board has ordered Ontario, Calif.-based Prime Healthcare Services to reimburse hundreds of employees at Centinela Medical Center in Inglewood, Calif., for out-of-pocket increases they incurred when Prime made changes to the caregivers' health insurance.

The NLRB found Prime violated federal labor law when it made a unilateral decision to change workers' healthcare benefits over a five-year period.

The NLRB's decision requires Prime to pay employees an estimated $1.6 million to cover any increase in premiums and copayments during the five-year period, according to a SEIU-UHW news release.

The decision also requires Prime to restore the health plan options and costs that were in effect prior to Jan. 1, 2011.

A Prime spokesperson said, "Centinela Hospital Medical Center is disappointed and disagrees with the NLRB's decision." The hospital is appealing the matter, according to the spokesperson.

More articles on health law:

6 latest healthcare industry lawsuits, settlements
4 trends in healthcare litigation and thoughts on legal compliance
7 latest False Claims Act settlements

Copyright © 2024 Becker's Healthcare. All Rights Reserved. Privacy Policy. Cookie Policy. Linking and Reprinting Policy.

 

Articles We Think You'll Like

 

Featured Whitepapers

Featured Webinars