Instead of Investing in Community or Workers, Catholic Health System Enriches its Executives

A study released Wednesday conducted by Columbia University Clinical Professor Dr. Fred Hyde, revealed that Catholic Health System is one of the most profitable health systems in the region, earning tens of millions of dollars a year. But instead of investing that money in its workers, or in programs that benefit the community, the region’s second-largest hospital system has enriched its executives.

Dr. Hyde’s study revealed that Catholic Health System's Chief Executive Joseph McDonald received an average raise of 15 percent per year between 2008 and 2013, earning more than $7 million, while workers averaged increases of less than 3 percent per year

"It's not only the fact that these increases have been consistent and very generous, it's that they appear to be linked to making sure that other people don't have any increases," Hyde said.

CWA represents more than 3,500 workers at Mercy Hospital, Kenmore Mercy Hospital and Sisters of Charity Hospital’s St. Joseph campus. During the last round of bargaining, Catholic Health won concessions from workers after citing the need for belt-tightening.

"To think that we head into bargaining and they're saying you deserve less for the work that you do as opposed to fair wages and benefits increases is disturbing," said CWA Area Director Debbie Hayes.

"This is devastating news as far as I'm concerned because I myself am a nurse, and I've represented healthcare workers for my entire career and I know the conditions that our folks in Catholic Health are working in every day. It's not easy work," said Hayes.

Read more about Dr. Hyde’s analysis at: www.chsprofitsandpeople.org

Check out more coverage:

Columbia Professor Releases Study on Catholic Health System.
http://www.twcnews.com/nys/buffalo/news/2015/06/3/columbia-professor-releases-study-on-catholic-health-system.html

Report claims Catholic Health "hoards cash.”
http://news.wbfo.org/post/report-claims-catholic-health-hoards-cash-3

Union backs study of Catholic Health finances.
http://www.buffalonews.com/business/union-backs-study-of-catholic-health-finances-20150602

Union-funded report critical of Catholic Health Finances.
http://www.bizjournals.com/buffalo/news/2015/06/02/union-funded-report-critical-of-catholic-health.html