“After more than a year of negotiations, we have reached agreement with the California Nurses Association (CNA) on a contract that helps Mills-Peninsula achieve the goal of being more affordable for our patients,” according to Bob Merwin, Mills-Peninsula CEO.
“The agreement, which Mills-Peninsula registered nurses voted Thursday to ratify, represents compromise on both sides, resulting in a good contract for registered nurses and progress toward greater parity in wages and benefits across our organization,” Merwin said. “We began this work in May 2011 committed to fairness for all Mills-Peninsula employees while also focused on responding to the market-place demand for lower health care costs.”
Mills-Peninsula’s overarching goals stated at the beginning of negotiations were to align wages with the rate of inflation, increase staffing flexibility, and establish more equitable RN contributions to health plan benefit premiums.
The new agreement largely achieves these goals over its remaining two years:
- Two percent wage increase on ratification; two percent in September 2013 (no ratification bonus or retroactive 2011 increase)
- Move from a zero-cost health plan option for the RN-only to $48 per month in 2014.
- Transition from the legacy retiree health plan benefit to a retiree health savings account in 2014 with a maximum of $30,000, at $1,000 for each year of service.
- Retain the extended sickness leave (ESL) benefit, capping it at 700 hours.
“I thank the Mills-Peninsula RNs who voted to ratify the new contract and look forward to building on this collaboration to be more affordable for our community,” Merwin said. “I gratefully acknowledge the dedication and commitment of managers and staff who stayed the course this past year and a half to care for our patients through five strikes. Thanks to all these efforts, we are moving in the right direction with key agreements now that help ensure a strong future for everyone at Mills-Peninsula and excellent health care for the communities we serve.”