In January the 6 hospital chain of Daughters of Charity were put up for sale and now it’s drawing protests. Daughters of Charity have 2 hospitals in the Los Angeles area and the others are in the bay area. Hospital workers are protesting the the proposed purchase and there’s no additional details on the proposal from Prime.
Hospitals Feeling The ACA Crunch In California As Financially Strapped Daughters of Charity Health System Put Six Hospitals Up For Sale
Now we can cross over into Kansas where tow former employees were laid off and are filing a lawsuit. It appears now that Prime will own 4 hospitals in Kansas once the current deal goes through and already operates two other hospitals. Employees who worked at the first two hospitals bought by Prime says 49 workers were laid off and were not provided promised severance benefits.
Prime now owns 27 hospitals and is known for coming in and buying up distressed hospitals. BD
Prime Healthcare Services Inc., a hospital chain that has come under fire for billing and patient privacy issues, is facing opposition over its potential acquisition of six California hospitals, including two medical centers in Los Angeles County.
On Friday, hospital workers, union representatives and elected officials protested against Prime outside St. Vincent Medical Center near downtown Los Angeles, one of the six hospitals put up for sale this year by the Daughters of Charity Health System.
Daughters of Charity began seeking offers in January. Issai said there are seven buyers interested in purchasing the six-hospital system. He declined to provide any further details.
Issai said the chain has struggled financially as medical costs continue to rise and reimbursements from Medicare and Medi-Cal, the state's Medicaid program, have fallen. He said the chain hopes a buyer will "breathe new life" into the hospitals, but also retain their mission of serving the poor and providing quality healthcare.
Just days after Prime Healthcare Services agreed to buy two Kansas City-area hospitals, laid-off employees of two other area hospitals owned by Prime sued the company, claiming they were not provided with promised severance benefits.
The suit seeks class-action status on behalf of other terminated employees. It says 49 workers were let go immediately after Prime bought Providence Medical Center in Kansas City, Kan., and Saint John Hospital in Leavenworth, Kan., from the Sisters of Charity of Leavenworth Health System in April 2013.