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Hospitals targeted by union proposals

March 11, 2012 |  7:32 am

As healthcare workers gathered outside California hospitals recently to collect signatures for two proposed ballot initiatives, they told voters the measures would rein in excessive hospital billings and expand healthcare for the poor.

Unspoken in the public pitch was the fact that the measures, backed by the Service Employees International Union and aimed at private hospitals, would have a major effect on facilities the union has tried unsuccessfully to organize, while exempting those where many of its members work.

Dignity Health, the state's largest hospital chain, and Kaiser Permanente, the largest HMO, would not be subject to the proposals. The measures would prohibit their private competitors from charging more than 25% above the actual cost of providing care and require nonprofits to devote at least 5% of their patient revenue to free care for the poor. The union represents nearly 60,000 workers in those two systems.

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