Staff at Mercy Health East in Janesville are currently on strike after weeks of negotiations for safety and pay have garnered no results.
A rally featuring the striking workers, along with community members, was held July 18 in front of the hospital, 3524 E. Milwaukee St., as staff represented under United Auto Workers (UAW) Local 95 unit 12 called on administration to bargain in good faith. Workers are asking for a 7% raise per year, a reduction in the proposed increase to premiums and hiring of security for the hospital. Three bargaining sessions have been held that ultimately yielded no results, with its most recent as the worst yet. The strike began on July 2.
Negotiation began in April of this year. The bargaining team was given two best and “final offers,” said Enrique Casiano, a registered nurse and chairperson of UAW Local 95 unit 12.
“We’ve come to terms with some non-economics and economics, and then we got to wages, we got to health care, we got to security,” Casiano said. “Those are the sticking points they’ve [Mercy] haven’t been able to come to terms with us.”
The pay raise lobbied by Mercy for workers was 3%. Staff took issue with the rate as it was matched, under or slightly below the current inflationary rate. A raise in insurance premiums, in consideration of current pay and proposed raises, at 8% year after year would price out current staff from care.
Casiano estimated that the current increase in insurance premiums would cost staff between $20-50; $240-600 more per year.
“It’s not fair for receptionists and some of the phlebotomists that don’t get paid the big bucks,” Casiano said.
Concerns in security have been a consistent issue that has not been addressed by Mercy. Staff report instances of panhandling in parking lots, people camping out in lobbies despite not being there for care and security cameras not functioning. At the rally itself, security was hired to monitor the property. Security was not hired inline with demands of staff.
After discussions, UAW Local 95 unit 12 brought offers to members for ratification but was not accepted. Another session brought about another offer that was struck down by members again.
With two failures to come to an agreement, a federal mediator was brought in July 11. Mercy refused to negotiate anything up from its most recent offer, Casiano said.
“They refused to bargain in good faith because they didn’t give us anything. We came and we gave them something that we thought would help ratify a contract and a return to work letter after the strike, and they haven’t gotten back to us yet. So this is day 16 that we’re out here and we’re stronger than ever,” he said.
Mercy alleges that it doesn’t have the money to give raises, but employees cite its earnings and the current pay of its CEO.
In Mercy’s most recent tax filings available, its net profit was over $59 million. Pay for its CEO Javon Bea totaled to $11,561,020, according to ProPublica’s Nonprofit Explorer. Mercy told the bargaining team that their demands would cost the hospital $1.5 million — which equals out to less than 10% of the CEOs pay or 2.54% of 2023’s reported profits.
No news of the next bargaining session has been given yet and no end date for the strike is planned. Every Democrat in the State Legislature has signed a letter to Mercy asking them to bargain in good faith.
