Corporations Out of Health Care

8/3/2019 Corporations Out of Health Care

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CorporationsOutofHealthCare


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CUPEResearch

Corporations Out of Health Care

ProfitdoesnothaveaplaceinOntariohealthcare.OCHUhaslongsincearguedagainst

contracting-outhealthcareworktofor-profitcorporationsandbusinesses.Payingforprofitisa

wasteoftax-payersdollars1

andusuallycontributestopoorhealthcarequalitywhichisdangeroustothepublicandtoworkers.Littletraining,fewsupplies,feelingrushed,highstaff

turnover,highstaffinjuryrates,littleteamworkandpoorworkingconditionsareoftenthe

problemsofworkingforhealthcarecorporations.

PoorWorkingConditions,HealthandSafetyViolations,ThreatsandFirings2

Oneofthewayshealthcarecorporationscutcostsinordertomakemoreprofitistocutwages

andworsenworkingconditions.Corporationshavealsopromotedanti-unionsentiment.The

HospitalEmployeesUnion(HEU),CUPEshealthcareaffiliateinBritishColumbia,helpedlaunch

theLivingWagecampaignin2007tohighlightthelowwagesofSodexo,Compass(Marquise)

andAramarkstaffwiththemessagethatworkshouldliftyououtofpoverty,notkeepyou

there.3

Sodexo:

*Protestsagainstsweatshop-likeconditionsincludingracisminhiringandpromotions,poor

wages,sexualharassmentandanunfairsick-leavepolicypromptedaprotestinsixcountriesin

June20114andAmericanuniversityprotestsincludingMay2011atOhioStateUniversityand

UniversityofWashington.5InJanuary2011,TransAfricaForumreleasedareportaboutthemistreatmentofworkersbySodexoinfivecountries:Morocco,Columbia,theDominican

Republic,FranceandtheU.S.

6

1 Privatecontractorcostoverrunsarenotorious.RecentpublicsectorexamplesarenotedinaCUPEfactsheet

Factsaboutsolidwasteservices.(2010,May18).http://cupe.ca/privatization/solid-waste-services.Abandoned

contractsalsoaddtocostcontractorcostoverrunspaidbythetaxpayer.Forinstance,seethisstoryexplaining

howSodexoabandonedafoodpreparationplanthalfwaythroughthecontractinTennesseein2007inHodge,

Hope.(2011,April4).CompanysupplyingfoodLejeunesubjectofcontroversy.MCTRegionalNews.Jacksonville,

NorthCarolina.2 Formoreinformation,clickontheHospitalEmployeesUnionwebsiteatwww.heu.org3LivingWageCampaign.fromhttp://www.heu.org/campaigns-issues/living-wage-campaign.Retrieved

August31,2011

4Glasstetter,Josh.(2011,June7).SodexoWorkersandGlobalUnionCoalitionTakeActionforWorkersRights-EventsinSix

Nations.http://cleanupsodexo.org/2011/06/sodexo-workers-and-global-union-

coalitio.php?utm_source=twitterfeed&utm_medium=twitter 5 Pyle,Encarnacion.(2011,May24).PolicebreakupcampusprotestatGee'soffice.MCTRegionalNews.Ohio andWong,

Queenie.(2011,May20).Anti-Sodexostudentgroupstagesanothersit-inatUW.MCTRegionalNews.Seattle .Formore

information,clickonhttp://kickoutsodexo.usas.org/6 TransAfricaForum.(2011,January).VoicesforChange:SodexoWorkersFromFiveCountriesSpeakOut .

http://transafrica.org/wp-content/uploads/2011/01/Soxedo%20Report%20Final%20with%20graphics%20Jan%202011.pdf


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CorporationsOutofHealthCare 2

CUPEResearch

*RacialDiscriminationLawsuit:Abilliondollarclass-actionracialdiscriminationlawsuitwasfiled

intheUnitedStatesagainstSodexo.Sodexosettledbypaying$80milliontothousandsof

racializedemployees.ThestaffarguedthatSodexopromotionswerebasedonpersonal

preferencesratherthancriteria-basedandthatracismensued7

*Workersfiredandthreatened:A2010HumanRightsWatchreportfoundthatSodexothreatenedandfiredworkerswhotriedtounionize.EvidencewasgatheredfromU.S.labour

decisions,employeecourttestimonyandworkerinterviews8

*Strikes:1400healthcarestaffrepresentedbytheHospitalEmployeesUnion(HEU),CUPEs

healthcareaffiliateinBC,wentoutonaseven-weekstrikeagainstSodexoin2005mainlyover

rock-bottomwages.Forinstance,workersdoingimportanthospitalcleaningworkmadeabout

$10/hourbeforethestrikeandabout$13/hourafterthesettlement.9Therehavebeenother

strikesagainstSodexoinmanydifferentcountriesincludingtheUnitedKingdom10

*Anti-Union:A1998Sodexohandbookformanagersexplainedhowtoavoidunionsinthe

workplace.Themanualadvocatesbanningunionactivityfromcompanypremises,encouragesmanagerstotalkonaone-to-onebasistotryanddissuadeemployeesfromjoiningaunionand

informingapotentiallystrikingemployeethathe(sic)canbereplacedifhedoesstrike11

Compass:

*HealthandSafetyViolations:WorkSafeBC(BritishColumbiagovernmentshealthandsafety

agency)failedCompassintwoinspectionreportsfrom2008and2009.Healthcarecleaning

workersdidnothaveaccesstoPPE(PersonalProtectiveEquipment)suchasgoggles,chemical

glovesandboots,andrespiratorsthatcausedskinirritations,respiratoryproblems,hairloss,and

noseinflammation12

7 Sodexho:CorporateCrimes.Powerbasewebsite.August14,2007

http://www.powerbase.info/index.php/Sodexho:_Corporate_CrimesandSodexhoAlliance.(2009,April3).Knowmore.org

http://knowmore.org/wiki/index.php?title=Sodexho_AllianceandWest,Karl.(2009,February24).Sodexounderfireover

defencedeal;cityFOCUS.DailyMail,LondonUK.8 AStrangeCase:ViolationsofWorkersFreedomofAssociationintheUnitedStatesbyEuropeanMultinationalCorporations.

(2010,September).HumanRightsWatchhttp://www.hrw.org/sites/default/files/reports/bhr0910web_0.pdfinOlive,David.

America,theworld'ssweatshop(2011,May11).TorontoStar.

9 SodexhoworkersratifyReadyrecommendations(2005,December9)andLRBappointsVinceReadyasmediatorinSodexhodispute(2005,November4).www.heu.org

10Sodexhoprofile.(2009,April3)www.knowmore.org

11Crocodyl:Sodexoprofile,downloadedAugust16,2011http://www.crocodyl.org/wiki/sodexho_allianceandSodexho

Alliance.(2009,April3).Knowmore.orghttp://knowmore.org/wiki/index.php?title=Sodexho_Alliance

12Spalding,Derek.(2010,May21).HousekeepinglinkedtoC.diff;Documentsshowexpertsblamedcleanersforillness.Harbour

CityStarandWCBissuesorderstoVIHAcleaningcontractor.(2009,January7).HEUNewsRelease.


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CUPEResearch

Aramark:

*In2008,AramarkworkerswentonstrikeatMarkhamsSenecaCollegefightingtoraisetheirless

than$10/hourwages13

Veolia(aSteriProParentCompany):

*TheTransportSalariedStaffsAssociationaUKbasedunioninOctober2006saidthatVeolia

(formerlyConnex)wasfoundguiltyofbreakingemploymentlaw14

InvestigationsandFraudAllegations:CanTheseCorporationsBeTrusted?

For-profithealthcarecorporationsoftenhavelonglistsoffraudchargesassociatedwiththeir

names.Sodexo,Compass,AramarkandVeoliaarenoexception.

*InJune2011,theU.S.DepartmentofAgriculturebeganinvestigatingSodexo,Compass(andthe

CompassaffiliateChartwells)andAramarkforthepossibilityofwithholdingdiscountsfrom

schooldistrictsotherwiseknownasfraud.Thesamecompanieswerefoundin2005tonotpass

onsavingstoschooldistrictstothetuneof$1.3million.Another$4.7millionmayalsobe

missingbutU.S.DepartmentofAgricultureauditorscouldntdeterminethisbecauseofthetype

ofaccountingsystemsusedbythecorporations!15

Sodexo:

*InJuly2010,Sodexopaid$20milliontoNewYorkstateafteritallegedlyoverchargedforfoodin

publicschools16

*AccountingirregularitiesoccurredforSodexoinIrelandandtheUKin2002whichwasthe

likelycauseofa30percentdropinSodexostockpriceatthattime17

13CUPE79.(2008,March14).LettertoRickMilnersupportingthestrikingAramarkFoodServiceandCleaning

workersatSenecaColleg.http://local79.ca/index.php?option=com_content&view=article&id=286:letter-to-rick-

milner-supporting-the-striking-aramark-food-service-and-cleaning-workers-at-seneca-college&catid=25:recent-

letters&Itemid=1214 GlobalInvestmentWatch.(2008,November6).VeoliaEnvironnement:AGlassHalfEmpty?

http://globalinvestmentwatch.com/veolia-environnement-a-glass-half-empty/RetrievedAugust26,2011.And

RichardRosser,generalsecretaryoftheTransportSalariedStaffs'Associationrailunion,said:"Thisnewsisnot

surprising-Connexhasalwaysbeentheproblemchildoftheprivatisedrailway.Itspassengersanditsemployeeshavecertainlyfeltthebruntofpoorperformanceinthepast."inTran,Mark.(2003,June27).OnlyConnex.

guardian.co.uk15 Shah,Nirvi.(2011,June24).USDAtoProbeCompaniesRunningSchoolCafeterias.MCTRegionalNews.

Bethesda,Maryland.16 Karlin,Rick.(2010,July21).Cuomo:Sodexhoswallowsfine.CapitolConfidential.

http://blog.timesunion.com/capitol/archives/29802/cuomo-sodexo-swallows-fine/andStamford,Janie.(2010,

July22).SodexoagreestopayNewYorkState$20m.CatererSearch.com.

http://www.caterersearch.com/Articles/2010/07/22/334368/sodexo-agrees-to-pay-new-york-state-20m.htm


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CUPEResearch

*In2001,FrancesCompetitionCouncilfinedSodexoforformingananti-competitivealliancewith

twoothercompanies18

Compass:

*AllofthecontractswithEurestSupportServicesweresuspended(parentcompanyCompass

Group)whenaUnitedNations(UN)officerpleadedguiltytocorruptionandwirefraudcharges.TheUNofficersenttheexecutivesattheCompassaffiliatedocumentsillegally.Eurest(or

Compass)wasprovidingfoodforUNtroopsinAfricainacontractworthatleast$237million.

Compassisinvolvedinacongressionalinquiry,U.S.federalcriminalinvestigationandaprobeby

theUNasaconsequence19

Veolia:

*Thereisaclass-actionlawsuitonbehalfof250,000customersinIndianapolisthatallegesthat

Veoliaoverchargedcustomersbyoverestimatingtheirwaterusage20

*Veoliawasmadetopay$746,600Americandollarswhenitwasfoundguiltyofcolludingwitha

formerRockland,Mainesewersuperintendentinordertowinacontract21

ProperStaffingLevels:HowCanHealthCareStaffWorkingforCorporationsBeExpectedto

ProduceQuality?

Althoughpublichealthcareprovidershavecutandarecurrentlycuttingstaffinglevels,health

carestaffworkingforcorporationshaveseenlowstaffinglevelsandpoormanagementforalong

time.Notenoughworkerswhoarerushed,poorlytrainedandwithinadequatesupplies-often

workingwithlittleteamwork,poorsupervisionandhighstaffturnoveraffectsquality.

*In2010,aQubecthinktank22releasedastudythatdescribedCanadianpatientsnoteatingandlosingweightashospitalfoodwasawfulwhenitwascontractedouttocorporations23

17 Sodexho:CorporateCrimes.Powerbasewebsite.August14,2007

http://www.powerbase.info/index.php/Sodexho:_Corporate_Crimes18 Sodexho:CorporateCrimes.Powerbasewebsite.August14,2007

http://www.powerbase.info/index.php/Sodexho:_Corporate_Crimes19 Russell,GeorgeandClaudiaRosett.(2006,February10).U.N.ProcurementScandal:HowFarDidtheInside

InformationTravel?FoxNews.com.http://www.foxnews.com/printer_friendly_story/0,3566,184495,00.html20Welch,MaryAgnes.(2010,May21).Veoliadefendsrecordascriticslineup.WinnipegFreePress .

21 Lightman,A,Rockland.(2008,July1).Sewercorruptioncasebeganin1998;Firmpaysup,endingscandal.ThePatriot

Ledger.Inhttp://www.powerbase.info/index.php/VeoliaRetrievedAugust26,2011.22Institutderechercheetd'informationssocio-conomiques(IRIS)atwww.iris-recherche.qc.ca

23 Derfel,Aaron.(2010,February2).Superhospitalfoodunderstudy;Thinktankforeseesproblems;Outsourcingmeal

servicewillhikecosts,lowerquality,newreportcontends.MontrealGazette andHbert,Guillaume(2010,February).New

CHUM/MUHC:Byoutsourcingfoodservice?IRIS.http://www.iris-

recherche.qc.ca/publications/nouveaux_chumcusm_vers_la_sous-traitance_des_services.pdf


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CUPEResearch

*In2008,thegovernmentofScotlandorderedanendtothecorporatedeliveryofcleaning,

cateringandclinicallyrelatedsoftfacilitiesmanagementservicesduetoqualityconcerns.

C.difficileandothersuperbugswereincreasingaftercleaningworkwascontracted-out24

*In2005,aCentreforPolicyAlternativesstudyfoundthelowwage/highstaffturnoverconditions

ofprivatizedcleaningledtodecliningBritishColumbiahospitalhygiene.25

LowstaffinglevelsandalackofteamworkwerealsofoundtodeterioratehospitalcleaninginBC26

Sodexo:

*InNewMexicoinMay2011,dangerousfoodwasreportedatanelementaryschool.Atapress

conference,workersatColinasdelNorteElementaryschoolsaidthattheyweretoldbySodexoto

servegreenburgers,moldybreadandsmellylunchmeat.Non-unionizedworkerstookpicturesto

protectthemselvesfrombeingfired27

*ItwasreportedinMay2011,thattheSodexojailinScotlandhadreceivedmorethandoublethe

numberofcomplaintsthananyotherScottishjailsinceitopenedinDecember2008.28

ThePrisonServiceUnionarguesthatthestafflevelsaretoolowcausinghighlevelsofviolence29

24 http://cupe.ca/updir/LetterreScottishcontractingout.pdf.(HealthFinanceDirectorate.JohnMatheson.Re.

OutsourcingofSoftFacilitiesManagementServicesinNHSScotland.October20,2008.)Superbugsareatermfor

bacterialinfectionsthatcurrentlydonothaveananti-bioticcure.25 Pollak,Nancy.Cohen,Marcy.Stinson,Jane.(2005,April27).ThePainsofHealthCarePrivatization.Canadian

CentreforPolicyAlternatives.

http://www.policyalternatives.ca/index.cfm?act=news&do=Article&call=1088&pA=A2286B2A&type=5 26

Contractingoutledtoabreakdowninteamwork,whichisanessentialdeterminantofhighqualitycareinhealthcarefacilities.Whencleanersarepartofthehealthcareteam,theyareabletorespondtonursingand

patientrequestsforextrahelp.WhencleanerswerecontractedoutatSt.PaulshospitalinBritishColumbia,they

werenotallowedtotalkwithpatientsortoasknursingstaffforhelp.(Pollack,N.(October2004).Falling

Standards,RisingRisks:IssuesinHospitalCleanlinesswithContracting-out.Vancouver,BC.Availableonlineat

http://www.heu.org/~DOCUMENTS/research_reports/falling_standards_rising_risks.pdf)inJansen,Irene.(2009).

HealthcareAssociatedInfections:ABackgrounder.CUPEResearch.http://cupe.ca/health-care/health-care-

associated-infections.Insomefacilities,nurseswereprohibitedfromspeakingdirectlywithcleaners,havingto

callanexternalnumbertoregisterspills,forexample.Jansen,Irene.(2009).HealthcareAssociatedInfections:A

Backgrounder.CUPEResearch.http://cupe.ca/health-care/health-care-associated-infections27 Briseno,ElaineD.(2011,May18).FoodFight:BrisenoMoldyBunsatSchool?MCTRegionalNews.

AlbuquerqueJournal,NewMexicao.Workers,Roybal-Mack(aworkerattheschool)said,wereinstructedto

scrapeoffthemoldfromsomehamburgerbunsandservethem.Roybal-Macksaidworkersalsocomplainedthat

onadifferentoccasiontherewaslunchmeatthathadabadodorandwasdiscoloredRoybal-MacksaidtheworkerscontactedtheStateBarofNewMexicobecausetheywereafraidthechildrenattheschoolwouldgetsick

andtheywantedparentstoknowwhatwashappeningShesaidtheworkerswerereprimandedwhentheythrew

awayfoodandfearedretaliationforspeakingout.Theytookpictures,shesaid,toprotectthemselvesfrombeing

fired.28 McEwen,Alan.(2011,May30).80complaintsaweekmadebyinmatesatprivateprison.EveningNews.

Edinburgh,Scotland.29 Reynolds,Rory.(2011,March10).Inspectorslamsprivatejailoverhighlevelsofviolence.EveningNews.

Edinburgh,Scotland.


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CUPEResearch

*InHamiltonattheChedokehospitalandMcMasterUniversityMedicalCentrebefore2002,

publicemployeeshadtocomeintocleanareastheprivatecontractorcleanersdidnthavetime

toclean.SometimesbloodandurinewerestillleftonthewallsattheHamiltonhospitals30

*In2005,aWCBinspectionreportforahospitalcleanedbySodexoinSurrey,BCstatedthat

Sodexodidnothaveanadequateoccupationalhealthandsafetyprogram,insufficienttrainingandpoorcleanersupervision.Inthatsamehospital,newmotherssufferedseriouspost-Cesarean

birthinfections31

*In2001,inCapeCod,Massachusettsathumbsandwichwasservedupwhenanautomatic

slicerwasnotcleanedafteraSodexoworkercutherthumbatBarnstableHighSchool32

Compass:

*In2011,theUniversityofWinnipegdumpedtheCompassfoodcontractduetopoorfood

qualityandnowoffersmorenutritiouslocalfood.33UniversitypresidentLloydAxworthysaysthat

theuniversitymadeamilliondollarsmorethisyearsinceendingthecontractwithCompass34

*In2010,afingernailwasfoundintheCompasssoupatthePeterboroughhospital35

*In2010,aBritishColumbiaCentreforDiseaseControlreportwasreleasedthatshowedCompass

didnottrainitshospitalcleaningstaffproperly,didnothireenoughcleaningstaffandover-

dilutedcleanertoproducedangerouslyuncleanconditionsinBChealthcarefacilities36

*InBritishColumbiain2008and2009,WorkSafeBCreportedalackofpropertrainingof

Compasshealthcarecleaningstaff.Impropercleaningwasoneofthemainreasonsforadeadly

30 MikeWalters,CUPE4800inTomWalker(2002,May1).WhoisSodexho?HEUandCUPEBCat

www.labournet.net/world/0209/sodprofile.pdfviewed30/08/03in

http://www.crocodyl.org/wiki/sodexho_alliance2007.

31 OH&SCanada.(2005,January1).Poorcleaningpracticesahealthconcern.

32 CapeCodTimes.(2001,March2).SlicernotcleanedafterworkercutherthumbinSodexho:Corporate

Crimes.Powerbasewebsite.August14,2007from

http://www.powerbase.info/index.php/Sodexho:_Corporate_Crimes33Freshfoodstartslosingitsvitaminsassoonasitispicked.Formoreinformation,clickon

http://homecooking.about.com/od/cookingfaqs/f/faqcannedfood.htm34Allan,Doug.(2011,May27).Universitydumpscorporatefoodandgetsfreshinstead.Leftwords.

35 TheBellevilleIntelligencer.(2011,January6).Hospitalfoodcanbebad,but....

36 HarbourCityStar.(2010,July23).CommissionerslamsVIHAoversecrecy;Noreasonforinformationdelay

overC.difficile.AndMatas,Robert.(2011,May5).C.difficiledeathsathospitalsshouldn'tbereducedtoa

numbersgame.TheGlobeandMail.AndBCCentreforDiseaseControl.(2010).InvestigationofaClostridium

difficileassociateddiseaseoutbreakatNanaimoGeneralRegionalHospitalAugust2008.

http://www.viha.ca/NR/rdonlyres/DD089EA3-E33F-4ED3-AE34-

C08975093FEC/0/bccdc_cdad_investigation_report.pdf


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CUPEResearch

2008c.difficile37outbreaksaidinfection-controlexpertswiththeVancouverIslandHealth

Authority38

*In2011,Chartwells(aCompassGroupcompany)received18food-safetyviolationsin21

London,Englandhighschools39

*In2005,environmentalhealthinspectorsgaveMorrison(Compassaffiliate)ahigh-hazard

ratingforRoyalJubileeHospitalsfood-preparationareasinVictoria,BritishColumbia.Findingsof

theinspectorsreportincluded:kitchenworkersnotwearingpropergear,foodnotbeing

protectedfromcontamination,inadequatecoolingandrefrigeratedstorageoffood40

Aramark:

*PoormanagementfromAramarkmaybelinkedto16hospitaldeathsduetoC.difficileinthe

Niagaraareaduringtheearlypartof2011becauseofinsufficientcleaning41

*InJune2011adeadmousewasfoundinprisonsoupinoneKentuckyprisonwhereAramarkishiredtoprovidethefood.Aramarkhasa$12millioncontractwiththestatetoprovideprison

food42

*In2010,inAlberta,highschoolcafeteriasrunbyAramarkhadthemosthealthviolations

accordingtoAlbertaHealthServicesrestauranthealthinspectionreports.Violationsincludeda

lackofcertifiedfoodsafetytrainingforworkersaswellasalackofsneezeguards43

*HEUfinallyobtainedthe2003AramarkbusinesscasebytheVancouverCoastalHealthAuthority

in2008aftera3year-longfreedomofinformationrequest.Thedocumentshowedthat

37Clostridiumdifficile(c.difficile)isahealthcareacquiredinfection(HAI)-alsoknownasasuperbugsinceit

cannotbecuredwithcurrentantibiotics.38 Spalding,Derek.(2010,May21).HousekeepinglinkedtoC.diff;Documentsshowexpertsblamedcleaners

forillness.HarbourCityStar.

39OBrien,Jennifer.(2011,March9).Badeats;Of21LondonhighschoolsinspectedbytheMiddlesex-LondonHealthUnit,eight

arewrittenupwithatotalof18violations.TheLondonFreePress .

40CUPE.(2005,July21).InnovationExposed:AnongoinginventoryofmajorprivatizationinitiativesinCanadashealthcaresystem.fromhttp://cupe.ca/HealthCarePrivatization/InnovationExposed:2005articlesfrompages23

and24.41 Gillis,Wendy.(2011,July7).Niagarahealthsystemattacked;Politiciansjoinprotestorsinvoicing

frustrationsasC.difficileoutbreakblamedfor16deaths.TorontoStar.42 HoneycuttSpears,Valarie.(2011,June3).Kentuckyinmatefounddeadmouseinsoup.LexingtonHerald-

Leader.43 Gerson,Jen.(2010,September1).Cleanlinessatschoolcafeteriascomesunderfire;Cafeteriasfacehealth

violations.CalgaryHerald.


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CUPEResearch

Aramarkhadcutthenumberofcleaninghoursby15%intheircontractwiththeHealthAuthority

areductionof153,500cleaninghoursannually44

*In2005,inBC,aninvestigationbyHEUandtheBCNursesUnionfounddeterioratedcleaning

standardsatVancouversSt.Paulshospitalsixmonthsaftercleaningserviceswerecontracted

outtoAramark45

Veolia:

*NotlongafterVeoliabeganrunningAdelaideAustraliaswaterandsewage,therewasa

powerfulsmellknownasthebigpong.Thegovernmentinvestigatedandreportedthatitwas

duetoinadequatemonitoringandequipmentfailuresbyVeolia46

TheCorporateEnvironmentalRecord:AreTheseCompaniesClean?

Environmentalstewardshipisanimportantpartofpreventinghealthcareproblems.Any

corporationemployedbytheprovinceshouldhaveacleanenvironmentalrecordcorrect?With

somedigging,oftencorporationscancomeupdirty.

*SodexowasinvolvedintheclearingofvirginmangroveforestsinNigeriabefore2003,putting

theindigenousIjawcommunityunderseverethreat47

*SodexohashadcontractswithnumerousnaturalresourceexploitingcompaniessuchasBP

Amoco,Chevron,ExxonMobil,OccidentalPetroleum,Shell,Texaco,Bechtel,Daewoo,Hyundai,

CaspianDrilling,RioTintoandHalliburton48

*Compasswasfined$225,000in2009forfailingtoreportthatinadequatelytreatedwastewaterdumpedintotheAthabascaRivernearFortMcMurray,Alberta49

*Veolia(formerlyknownasVivendi)subsidiariesreceivedlargefinesintheUnitedKingdomfor

pollutingthewiderenvironment50

44CUPE.Privatizationdealslasheshospitalcleaning.(2008,February25).

http://cupe.ca/privwatchfeb08/Privatization_deal_s 45Privatizedcleaningahealthhazard.(2005,January28).

http://cupe.ca/P3_Alert__January_2005/Privatized_cleaning_a_hea46

Welch,MaryAgnes.(2010,May21).Veoliadefendsrecordascriticslineup.WinnipegFreePress.47 www.earthisland.org/map/ltfrn_112.htm#africaviewed08/07/03.Alsosee

www.corporatewatch.org.uk/news/female_protest_nigeria.htminSodexho:CorporateCrimes.Powerbaseweb

site.August14,2007inhttp://www.powerbase.info/index.php/Sodexho:_Corporate_Crimes48 Sodexho:CorporateCrimes.Powerbasewebsite.August14,2007From

http://www.powerbase.info/index.php/Sodexho:_Corporate_Crimes49 Healing,Dan.(2010,December23).SpillnetsSuncor$200,000fine.EdmontonJournal.

50 AReportby PublicCitizen:VeoliaEnvironment, aCorporateProfile,(p5-10)Accessed15October2008in

Powerbasewebsite.http://www.powerbase.info/index.php/VeoliaRetrievedAugust26,2011.


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CUPEResearch

TheStruggletoStopCorporateTakeoversand,ShouldWeWorktoReturnAllHealthcareWork

tothePublicSector?

Forallthereasonsabove(andmore),OCHUisdedicatedtopreventinganycorporatetakeoverof

healthcareworkinOntario.Corporationscanbemuchmoredifficultemployersanditcanbemuchmoredifficulttoproducequalityworkwhenworkingforcorporations.

ForthoseOCHUmemberswhocurrentlyworkforhealthcarecorporationssuchasSodexo,

AramarkorCompass,changingyouremployerandworkingdirectlyforahospitalorlongterm

careorganization,doesnotmeanlosingyourjob.Infact,yourcurrentworkingconditionscould

beinjeopardyifyouremployerchangestoanothercorporationor,ifthecontractflips.


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CUPEResearch

*AttheElisabethBruyereCentrehospitalinOttawa,CUPE4266-04representedAramarkworkers

doinghousekeepingdutiesuntil2006.51In2006,arbitratorRussellGoodfellowawardedthesame

wagesassimilaremployeesworkingforapublichospital.Afterthis,thehousekeepingcontract

wasnotrenewedwithAramarkandtheworkwasbroughtin-house.Noonelosttheirjob,asall

workersweretransferredtothehospitalandthewageincreaseremained52

*InCalifornia,Local3299oftheAmericanFederationofState,CountyandMunicipalEmployees

(AFSCME)wonafour-yearfighttoendafoodservicecontractwithSodexoin2008.Nearly200

workers,thenemployedbySodexo,weretakenin-house53

*AtJosephBranthospitalinBurlington,Ontario,in2011,however,thefoodservicescontract

flippedfromAramarktoCompass.AlthoughjobswilltransfertoCompass,therehasbeenno

guaranteethatwages,benefitsandthetermsofthecontractwilltransfer,includingthe

memberspensionplan54

*Therewasnoguaranteethatthesameworkerswouldbehiredwhenthehealthcarecleaning

contractflippedfromCompassGrouptoMarquiseinVancouverIslandinearly2011

55

*CUPEhasbeenfightingtoupholdthearbitratedcontractforCUPE4429healthcareworkersat

theMontfortLongTermCareCentreinOttawa.TheworkwascontractedouttoCompassbefore

2006andasofFebruary11,2007Compassendedthecontractandthehealthcarecentre

flippedtheworktoanothercontractor-NovaServicesGroup.Keepingtheworkcontractedout

hasmeantacontinualstruggletoupholdamajorNovember2006arbitratedawardwherewages

wereraisedfrom$8.25-$10perhourto$16.63perhour56

*OCHUisinvolvedinacampaigntopreventthecorporatetakeoverofhospitalfoodinKingston,

Ontario.57AuniversitystudyaboutthepossibleprivatizationofKingstonhospitalfoodisdueout

sometimeOctober2011.58InNovember2010,Kingstoncitycouncilorspassedamotionthe

stronglyencouragedtheKingstonhospitalboardtokeepfoodservicesin-house.59

51CUPE4540.MemoireDEntenteentreLeServicedesantSCOetLeSyndicatCanadiendelaFonctionPublique,

Local4540.Objet:TransfertdesemployssyndiqusduServicedentretientmnagerdAramarkCanadaLtd.Au

ServicedesantSCO.52LancastersCollectiveBargainingeNewsletter.(2006,November30).IssueNo.1

http://www.lancasterhouse.com/services/cb/cb-e-bulletin.asp53Christensen,Kevin.(2008,April25)AFSCMEWinsFoodServiceOutsourcingFightatUniversityofCalifornia-

Davis.AFL-CIOCenterforStrategicResearch.http://blog.aflcio.org/?s=sodexho&cat=-11&submit.x=0&submit.y=054OCHUMediaAdvisory.(2011,June26).

http://www.newswire.ca/en/releases/archive/June2011/26/c9244.html?view=print55Stueck,Wendy.(2011,April11).Hospitalstoughenstandoncleanliness;Islandhealthauthoritysnew

housekeepingcontractgivesworkersUVlightstomakedetailedsanitarychecksofpatientsrooms.TheGlobe

andMail.AndHEU.(2011,August12).UpdateforHEUmembersemployedbyCompassatVIHAsites.56CUPE.(2007,February6).MontfortLong-termCareCentresshame:atwo-tierwagesystem.Montfortskirting

arbitrationawardbycontractingoutsupportservicestonewcompany.AndCUPE(2006,December4).Victory

forCompass-employedworkersatMontfortlong-termcarefacility.57Clickhereformoreinformationhttp://www.ochu.on.ca/kingston_general_hospital.htmland

www.kingstonfoodfight.ca58UniversitytostudyfoodsituationatKingstonhospitals.(2011,May2).TheKingstonWhig-Standard.

59Hutchins,Bill.(2010,November25).CityjoinsoutsourcingfoodfightatKGH.KingstonEMC.


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InterestingFactsandFiguresonCompass,Sodexo,AramarkandDalkia/Veolia(SteriPro)

CompassGroup:

Acontractfoodserviceandsupportservicecompany60

8,857officesworld-wide,including290CompassheadquartersmainofficeChertsey,Surrey,England

Canadianofficesineveryprovince,Tulita,NorthWestTerritoriesandWhitehorse,Yukon61

AffiliatedtoMorrison,Chartwells,boughtBeaverFoodsinCanada62andMarquise63

$22,866.67millioninsales(gross)asofSeptember201064

CEORichardCousinsreceivesabasesalaryof910,400Englishpounds65

Sodexo(formerlySodexhoAlliance):

Contractfoodserviceandfacilitiesmanagementcompany66involvedwithmilitary

operations,oilandnaturalresourceextraction,prisons(includingimmigrantdetention

centresinEngland)andlobbyingforpublic-private-partnerships(P3s)67

1,013officesworld-wide,including25SodexhoheadquartersmainofficeIssy-les-

Moulineaux,France

CanadianofficesinQubec,NovaScotia,OntarioandBritishColumbia68

BoughtMarriottinCanada69

$19,375.12sales(gross)asofAugust201070

CEOMichelLandelssalary,bonusandoptionswas$4.1millionin200971

60http://www.compass-group.com/Who-we-are-group.htm(retrievedAugust25,2011)

61Hoovers,accessedAugust16,2011.www.hoovers.com

62SCFPQuebec.(2003,December16).CUPEinBrief.

63HEU.UpdateforCompassVIHAmembers.(2011,August12).http://www.heu.org/publications/update-

compass-viha-members.64Hoovers,accessedAugust16,2011.www.hoovers.com

65Moore,James.(2011,February2).PirctargetsexcessivepayatCompassandParagon.TheIndependent.

66"ContactUs."SodexoRetrievedAugust24,2011.67SodexhoProfilewww.knowmore.org.RetrievedAugust24,2011.


69SCFPQuebec.(2003,December16).CUPEinBrief.


71Saltmarsh,Matthew.(2010,January25).U.S.UnionPlanstoServiceUpaProtestatSodexosAnnualMeeting

TheNewYorkTimes.


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Aramark:

AnAmericanfoodservice,facilities,andclothingprovidersupplyingbusinesses,

educationalinstitutions,sportsfacilities,andhealthcareinstitutions72

1,716officesworld-wide,including46AramarkheadquartersmainofficePhiladelphia,

Pennsylvania,U.S.

CanadianofficesineveryprovinceexceptPrinceEdwardIsland

$12,297.90millioninsales(gross)asofSeptember201073

CEOJosephNeubauersalaryin2010of$1millionU.S.dollarswith$1.35millionin

bonuses74

Dalkia(SteriProandSterience):

SteriPro(affiliatedwithDalkia)providesoutsourcedsurgicalinstrumentsreprocessingandsterilizationservices.ServicesareoftendeliveredundertheSteriencebrandname75

Hoovers(acorporatedatabasewebsite)lists450companiesworldwideunderDalkia

Oneofthelocations-DalkiaEnergiainBudapest,Hungarylisted$231.9millioninsales

(gross)

DalkiaCanadaisasubsidiaryofVeoliaEnvironnementandElectricitdeFrance76

DalkiaCanadaisbasedinToronto

DalkiaCanadaprovidesutilitiesmanagementandinfrastructuremanagementwithakeyfocusonenergyefficiencyandenvironmentalmanagement77

VeoliaEnvironnementworksinmunicipalandindustrialsectorsinparticularwater,

environmentalservices,energyservicesandpassengertransportation78

ElectricitdeFranceisinvolvedwithenergyandelectricityincludingnuclearpower79

VeoliaEnvironnement(VE)CEOAntoineFrrotcollected1.2millioneurosin201080

72"ContactARAMARK."Aramark.RetrievedAugust25,2011.

73Hoovers,accessedAugust16,2011.www.hoovers.com74Hoovers,accessedSeptember13,2011www.hoovers.com

75http://www.dalkia.ca/en/services/surgical-sterilization/ .RetrievedAugust26,2011.


77http://www.dalkia.ca/en/about-us/RetrievedAugust26,2011.

78http://www.veolia.com/en/group/RetrievedAugust26,2011.

79http://about-us.edf.com/about-us-43666.htmlRetrievedAugust26,2011.

80Totalcompensation.www.people.forbes.com


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revised

September13,2011

CUPEResearch

:ssj/cope491

HCRA/OCHU/CorporateResearch/CorporationsOutofHealthCare.doc