Policy experts question whether the policy, if enacted, would be workable.
The California Hospital Association, which lobbies for the hospital industry, says the proposal would drive out talent and is meant to exert pressure on hospitals, referencing previous proposals the union has made over the past 10 years.
Glenn Melnick, a healthcare economist at the University of Southern California, said he understands SEIU-UHW’s motive but questioned whether other policies could better improve healthcare delivery and lower costs. Yet the measure has holes. The motion targets only private healthcare facilities, excluding highly paid public hospital executives, such as Ronald Reagan UCLA Medical Center’s CEO, Johnese Spisso, who made $1.9 million in 2020, according to Lown Institute.
“I don’t think it’s silly to try to address the huge discrepancies between higher-paid and lower-paid people,” Seto said. “But I think that the approach that they’re taking here is really silly.” aimed at executive pay if the hospital association didn’t make it easier for 20,000 workers to organize. Months later, several media outlets reported that SEIU-UHW withdrew its ballot initiative on executive compensation after reaching a deal with the industry.
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