The end of Allina Health's recent open-ended walkout could signal the beginning of changes in how hospitals and unions across the nation negotiate, according to a Minnesota Public Radio report.
Allina ultimately got its wish, as unionized nurses agreed to switch from their union-backed health plans to Allina's corporate plans.
However, the health system guaranteed benefit levels of its most popular corporate health plan through 2021 and provided nurses up to $2,500 over the next five years in their health reimbursement or savings accounts, reports the Star Tribune.
The agreement between the two parties, the report notes, came earlier this month after a 17-hour negotiating session arranged by Minnesota Gov. Mark Dayton and Minnesota Lt. Gov. Tina Smith.
Now, labor analysts predict Minneapolis-based Allina's victory in the labor dispute will shape other nursing contract negotiations, according to Minnesota Public Radio.
"It had national implications," Roger King, a labor attorney at the Washington D.C.-based HR Policy Association, told the news outlet.
Mr. King said many other large healthcare systems like Allina could be more tempted to adopt a strategy similar to the health system.
The fact that Allina, a large, unionized employer, took a firm stance, Mr. King said, "I think probably emboldens other healthcare organizations around the country to consider the same approach," according to Minnesota Public Radio.
To fill in staffing gaps during the recently concluded six-week Allina strike, the health system hired roughly 1,500 replacement nurses. Mr. King said in the report that Allina gained momentum in negotiations by continuing with its usual business. Hiring replacement nurses is costly. However, the report notes, added risks and costs decrease as the walkout continues, meaning hospitals might be more willing to endure a strike, if there's hope they could substantially reduce their employee health costs over the long-term.
Mr. King said in the report the fact the Minnesota Nurses Association, which represents the nurses, backed an open-ended strike at Allina was a tactical error, since a lengthy walkout put nurses in more immediate financial bind than Allina.
"If I were advising the union I would certainly want to reconsider the success of that kind of strategy," he said.
So National Nurses United, the MNA's counterpart, is reconsidering the strategy, according to NNU's collective bargaining director Fernando Losada.
Additionally, Mr. Losada said in the report, the NNU may reaffirm its preference for spot strikes, where unionized employees typically walk out for just a few days, according to the report. The report notes that spot strikes tend to have a greater financial impact on hospitals than nurses, and they can be repeated multiple times. The latest Allina strike was open-ended and lasted six weeks.
For now, Mr. Losada told Minnesota Public Radio, NNU leaders want to take some time to digest what happened in the Allina walkout and why.
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