HCA Kansas hospital sues union over 401(k) plan grievance

HCA Healthcare's Menorah Medical Center in Overland Park, Kan., is suing National Nurses United for grievances the union filed over cuts to nurses' 401(k) plan, reports the Kansas City Business Journal.

The lawsuit, filed July 31 in the U.S. District Court for the District of Kansas, argues that the union violated the hospital's agreement with nurses by filing a grievance and requesting arbitration when Menorah cut retirement benefits.  

The union's grievance, cited by the Journal, alleges Menorah "unilaterally made changes to the 401k in a manner that was discriminatory to the bargaining unit members and in violation of the contract." 

But Menorah said the agreement — which runs to May 31, 2021 — allows it to make 401(k) plan changes that are not subject to the grievance and arbitration provisions of the contract, according to the newspaper.

Menorah seeks attorney's fees and is requesting that the union withdraw its grievance and arbitration request. 

The union provided a statement to Becker's Hospital Review, calling Menorah's lawsuit a distraction. 

"This is a transparent effort by HCA and Menorah Medical Center to distract from their abysmal failure amidst a surging pandemic to assure proper safety measures, putting patients and front-line caregivers at risk, by continuing to refuse to provide proper staffing and lifesaving personal protective equipment," National Nurses United said. "HCA is the wealthiest hospital system in the United States. It made $1.1 billion in profits in the second quarter of 2020, and it received $1.7 billion from the CARES Act, as well as more than $4 billion in Medicare payments. It should be using its wealth and resources to focus on public health and safety." 

Menorah is part of HCA Midwest Health, which is part of Nashville-Tenn.-based for-profit hospital operator HCA Healthcare. 



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