Hospital union members protest new contract's salary provisions

Several employees of the Hospital of the University of Pennsylvania are upset with recent changes in their employment contracts. Members of the union serving the operational and maintenance division of HUP feel the new package deal they have been presented is not quite what it should be, according to a union spokesperson. He said the package offers workers a 2 percent raise during the first year of the two-year contract. The following year, workers will receive a "lump sum payment, but no raise." "A 2 percent raise is all we get over two years," he said. "I know [a lot of] folks are very unhappy." Long-term hospital employees will also be asked to contribute to the cost of their medical benefits, previously a requirement of only those employees hired after 1993. "With no increase in our raise, some people will be making less money than before by the end of the two years," the union spokesperson said. However, HUP officials argue that the new package is fair. "[Contribution to employee medical benefit costs] is not unusual at all," said Medical Center spokesperson Lori Doyle. "In fact, HUP was one of the last employers in the nation and in Philadelphia to initiate premium sharing with their employees." She explained that employees of other area hospitals, such as Presbyterian Hospital, have been making contribution toward medical benefits for years. Union members are still not convinced, however. Fran McGovern, a 15-year employee and union member, said the new plan "doesn't make sense to me -- it sounds a lot like greed." McGovern said he was disturbed by an article in The Summer Pennsylvanian which mentioned HUP's extremely high operating margin -- the largest in the state. "What they're telling is not that they don't have any money but that 'you ain't getting any,' " he said. The union spokesperson agreed that the information in the article was "hard to swallow." He explained that employees are required to receive medical services at HUP or with HUP affiliates. "Basically, by making employees come to HUP, they're generating more business [for themselves]," he said. Doyle said HUP is "committed to providing competitive pay and benefits to its employees. In fact, we are currently one of the best payers in the region." She said HUP targets salary levels to be in the 75th percentile when compared to other hospitals in the region. She went on to say that, overall, HUP employees are in the 90th percentile. However, she did add that while most of the HUP workforce fits in this category, there are some individuals who are in lower percentiles. "HUP employees were recently given a 2 percent across-the-board pay increase with an opportunity to earn an additional 1 to 2 percent percent if patient satisfaction target are reached," Doyle said. "We understand that many Philadelphia hospitals have given no across-the-board raises." McGovern said he can see a lot of people "leaving this fine institution," in the near future. He said there is a very high turnover rate in the administration and "each guy who comes through changes things just a little bit more and we lose more money." "The people who have been here five years [or more] -- we're the ones who make this place work and we're the ones who are taking the brunt," he said. The union spokesperson said he, too, can see disgruntled employees leaving. "The new package doesn't make you want to stay," he said. "At this point I look at that as it could be zero as easily as two percent." Doyle said she could not comment on the specifics of the negotiation with union members since they are "still ongoing." However, she did confirm reports that private negotiating sessions between union and HUP representatives were planned. McGovern said he hopes HUP officials will realize what they are doing. "They showed you the nice big cake, but [they didn't tell you that] the inside looks pretty nasty," he said. "When I got hired, we had people who still prided themselves on putting people back on their feet."

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