The B.C. government and its participating health authorities (Fraser Health, Vancouver Coastal including Providence Health Care, and Provincial Health Services) are fast-tracking the consolidation of services first announced last summer.

The Ministry of Health Services’ latest effort to hurry consolidation along is a Request for Proposal (RFP) for private-sector consultants to oversee the project and ensure quick results. The RFP deadline was February 23.

Corporate, support service and so-called back office functions in the Lower Mainland are the primary targets. But, according to the RFP, “virtually every non-clinical service will be looked at a potential consolidation opportunity”.

The RFP also suggests that current consolidation projects will impact as many as 7,395 full-time equivalent (FTE) positions in a variety of areas with baseline budgets totalling $1.17 billion.

The request states that ” savings can be realized from a variety of sources” including “standardizations of workflow, a reduction in the overall number of positions, reductions in space and facilities, consolidation of technology, shared licenses and the elimination of redundant processes.”

HEU secretary-business manager Judy Darcy says, “Health authorities are being pushed to act quickly and find significant cost savings by the end of March. There is little attention being paid to the longer range impact of consolidation schemes on workers or on health care.

The RFP specifies the scope and speed of consolidation: “the intent is for the consolidation to be expanded to the Northern Health Authority, Interior Health Authority and the Vancouver Island Health Authority once the value is demonstrated in the Lower Mainland.” And ” projects initiatives have to have a reasonable expectation of returning financial benefit by fiscal 2009-2010 year end.

The current fiscal year ends March 31.

The RFP makes it clear that government will forego a thorough examination of the business cases for any of there consolidations. It reads, “Comprehensive business cases will not be required for each project initiative; the pace and magnitude of savings will drive flexibility in the business models.

Under the proposed settlement, members affected by Lower Mainland consolidation and other future consolidations will have expanded protections: no interruption of pay or benefits if transferred to another health-sector employer; portability of service and related banks; portability of seniority with the right to maintain seniority with the original employer for up to five years; the right to go on the former employer’s casual list and accumulate seniority for time worked, and more.

The tentative agreement also provides for health authority-wide seniority in every health authority across the province.

The Health Authority Shared Services Organization (SSO) – will remain in the facilities subsector and not be moved to the community subsector as planned. They will continue to be covered by the facilities collective agreement with its superior provisions.

“Keeping SSO members in the Facilities Bargaining Association was another priority identified by members last fall,” says Darcy. “Under the tentative agreement, SSO members will stay in the FBA. They will not be moved to a sector where their wages and benefits would have been reduced.”

The RFP also lists the Lower Mainland consolidation projects in progress, along with their approximate FTE counts and baseline budgets.

Fraser Health Authority

• Facilities management, 660 FTEs and $190 million
• Protection services, 20 FTEs and $17Million
• Pharmacy, 800 FTEs and $150 Million

Vancouver Coastal Health Authority:

• Communication services, 75 FTEs and $9 Million
• Diagnostic imaging, 1,400 FTEs and $220 Million
• Housekeeping, food, laundry, business initiatives revenue, patient transport, 795 FTEs and $200 Million.

Providence Health Care:

• Biomedical engineering, 160 FTEs and $150 Million
• Health information management, 695 FTEs and $43 Million

Provincial Health Services Authority:

• Interpretation services, 30 FTEs and $2.4 Million
• Pathology and laboratory medicine, 1,800 FTEs and $200 Million
• IT/IMIS including IT switchboard, 560 FTEs and $82 Million

Projected totals:7,395 FTEs and $1.17 billion.

February 9, 2010 

TENTATIVE AGREEMENT PROVIDES STABILITY AND PROTECTS WAGES AND BENEFITS FOR 48,000 B.C. HEALTH CARE WORKERS

A tentative agreement covering more than 48,000 hospital and long-term care workers has been reached between the multi-union Facilities Bargaining Association and B.C.’s health employers.

The two-year agreement protects wages and extended health benefits, expands options for workers affected by restructuring and privatization, and provides compensation increases for targeted job categories.

The FBA bargaining committee and the Provincial Executive of the Hospital Employees’ Union – representing more than 90 per cent of the workers in the sector – are also recommending ratification.

The agreement was reached against the backdrop of a government freeze on public sector compensation and just weeks before the tabling of a post-Olympic budget that is expected to result in a new round of health authority budget cuts.

Under the government’s negotiating mandate, any improvements in the contract that have cost implications had to be paid for by making adjustments elsewhere in the agreement.

FBA spokesperson Judy Darcy says that despite the challenges, the unions negotiated an agreement that provides members with the stability they need to weather the next two years of health authority cuts and restructuring.

“We were crystal clear that tough times are no excuse for inaction,” says Darcy, the secretary-business manager for the Hospital Employees’ Union.

“By making creative and reasonable choices, we were able to make progress on our members’ key bargaining priorities. We did this while protecting wages and ensuring that extended health plan benefits – which are so critical to our members and their families – remained intact and sustainable.”

Key tentative agreement highlights

Here is a summary of the major highlights of the agreement. A comprehensive report that includes full details is being prepared for members.

The tentative agreement runs from April 1, 2010 to March 31, 2012.

Job security and expanded employment options

• Employees transferred to the provincial Health Authority Shared Services Organization (SSO) will not be moved into the Community Health subsector and will continue to be covered by the Facilities Agreement.
•  All employees will have access to a health authority-wide seniority list. 
• A number of measures have been negotiated to assist members affected by the consolidation of services (such as Lower Mainland consolidation) or the transfer of services to the new SSO including:
  -No interruption of pay or benefits.
  -Port service and related banks (like sick leave and vacation).
  -Port seniority to new employer while maintaining seniority with previous employer for up to five years.
  -Right to go on casual list with former employer and accumulate seniority for time worked. 
• For the first time, enhanced severance of up to $17,000 for employees laid off as a result of contracting out is included in the collective agreement.
• Enhanced severance can be accessed by employees who retire or resign under a Voluntary Departure program designed to free up positions and avoid layoffs due to privatization. 
• A retraining fund of up to $2.5 million has been established for workers affected by privatization. 
• Casuals impacted by privatization can now register on a casual list in another department and can port seniority if reemployed by another health sector employer within six months.

Targeted compensation increases

Targeted compensation increases have been negotiated for LPNs, lab assistants, nursing unit assistants (unit clerks), accountants, buyers and sterile supply technicians.

• A six-step increment system for LPN pay will be phased in over the two-year agreement, with three increments implemented in the first year and a further three increments in the second year. 
• Over the term of the agreement LPNs will see wage increases of up to seven per cent, depending on years of service. 
• In order to establish the increment grid, a starting step for new hires who are newly licensed LPNs (less than one year) will be set at three per cent below the current wage. But no current employee will have their wage rolled back as a result of this new step. 
• Lab assistants, nursing unit assistants (unit clerks), accountants, buyers and sterile supply technicians will receive a 1.5 per cent wage hike in the first year.

 Wages and extended health benefits protected for all members

The vision care benefit increases by $125 – from $225 to $350 every 24 months for employees and dependents.

•  The one-time annual deductible, which has been at $25 since 1968, rises to $100.
•  A $9 limit on dispensing fees for prescription drugs falls within the rates charged by most B.C. pharmacists. 
• LTD claimants can return to their own job after being on benefits for up to 19 months (reduced from 24 months). This change affects new claimants only. 
• Vacation entitlement will be adjusted for all employees over the term of the agreement. Even with the changes, the vacation entitlements in this agreement remain among the best in the country in the health care sector.

For the period April 1, 2010 to March 31, 2011
1 year continuous service – 18 days
2 to 4 years service – 19 days
5 to 29 years service –no additional vacation day
30 or more years service – one day less
casual workers – pay in lieu reduced from 12.2 % to 11.8 %

For the period April 1, 2011 to March 31, 2012
1 to 4 years service – 18 days
5 to 29 years service –no additional vacation day
30 or more years service – one day less
casual workers – pay in lieu reduced to 11.4 %

From March 31, 2012 onward
1 to 4 years service – 18 days
5 to 29 years service – one additional vacation day
30 or more years service – 43 days
casual workers – pay in lieu set at 11.4 %

• Any savings from changes to vacation entitlement after March 31, 2012 will be applied to improve the terms and conditions of the collective agreement.

Other improvements

• A joint committee on safe patient/resident handling techniques will be established to develop strategies and make recommendations on ways to reduce injury rates. 
• Typing/keyboarding test results will stand for 24 months and members will not be required to retest when applying for positions that require the same or lesser standard. 
• The provisions on Responsive Shift Scheduling that previously applied only to LPNs and care aides are now extended to include all members. 
• The highly successful, union-administered FBA Education Fund will receive $1.25 million in continuing funding and, for the first time, casual employees will be eligible for education funding under the program. 
• A Joint Engagement Committee including senior representatives from unions, government and health authorities will build on the work of the nursing team policy committees. The JEC will work to optimize utilization of LPNs, care aides and unit clerks as well as engage non-clinical teams such as trades and maintenance workers.

 Please check the IUOE website over the next few days for fact sheets on various aspects of the agreement, and for details of upcoming meetings and ratification votes.