The operator of a Newington nursing home and four others in Fairfield County said it has received the go-ahead from a bankruptcy judge to reject expired collective bargaining agreements with its union workforce.
Connecticut HealthBridge filed for Chapter 11 bankruptcy reorganization in its home state of New Jersey nearly a year ago after the U.S. Supreme Court declined to take up its appeal of a prior court ruling to reinstate approximately 600 employees following a strike.
The union went on strike because it alleged that HealthBridge had forced a new contract on its workers without the necessary approvals. Changes included the replacement of its pension fund with a 401k plan, changes to the employee health plan and elimination of personal days.
The SEIU opposed the bankruptcy fearing it could void bargaining agreements. The union alleged that HealthBridge had downplayed its financial projections to convince the court of its need for bankruptcy protection.
In a statement Monday, HealthBridge said the union’s demands regarding pensions and benefits were “totally out of touch with today’s economic facts” and hurt the company’s flexibility and competitiveness.
Deborah Chernoff, spokeswoman for SEIU District 1199, said Tuesday morning that the ruling doesn’t change much for the nursing home workers because they have been working under the new terms since last year.
The bankruptcy ruling this week comes after a U.S. District Court judge ruled in December that HealthBridge was in contempt of his prior order to reinstate the workers at their previously negotiated benefit levels.
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