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 ASC COMMUNICATIONS 2019. Interested in LINKING to or REPRINTING this content? View our policies by clicking here.

 

Top 40 Articles from the Past 6 Months