January 2003
Volume 27 No. 1

Stanford, Packard hospitals and SEIU agree on new contract

Stanford Hospital & Clinics and Lucile Packard Children's Hospital announced on Dec. 19 that they have reached agreement on a contract providing an average pay increase of 21 percent over three years to nearly 1,400 employees represented by the Service Employees International Union Local 715.

The settlement was reached with the assistance of a federal mediator and was ratified by SEIU's members during a Dec. 19 vote. Hospital and union negotiators had accepted the terms of the agreement the previous day. The agreement covers hospital support employees, such as nursing assistants, lab technicians, housekeepers and other support staff.

In a joint statement, administrators at both hospitals welcomed the agreement. "We are very pleased to have reached an equitable agreement with our SEIU-represented employees. They are an integral part of our team," said Martha Marsh, chief executive officer of Stanford Hospital & Clinics, and Christopher Dawes, chief executive officer of Lucile Packard Children's Hospital.

"This is a fair agreement that will make our SEIU-represented employees among the highest paid in the area for their job categories while ensuring the continued stability of our hospitals," the executives said.

In addition to the pay increase, the new three-year contract also calls for full-time SEIU-represented workers to receive a one-time payment of $400; part-time SEIU-represented workers will receive a payment based on their hours worked. The one-time payments are for ratifying the contract on Dec. 19. In addition, the contract includes continuation of free health insurance to employees and their children and the establishment of a joint management and labor committee to provide employees a voice in staffing and patient-care issues. The proposed committee's work will be subject to mediation, although final approval remains with hospital leadership.

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