About the Coalition
“As social benefit membership organizations, founded on the principle of making life better for those we serve, it is our common goal to make Kaiser Permanente the pre-eminent deliverer of health care in the United States. It is further our goal to demonstrate by any measure that labor-management collaboration produces superior health care outcomes, market leading competitive performance, and a superior workplace for Kaiser Permanente employees.”
– 1997 Labor Management Partnership Agreement
A Rough Start
In the early 1990s, labor relations between Kaiser Permanente (KP) and its workforce hit rock bottom. Faced with mounting competition from for-profit HMOs, KP responded by placing the burden squarely on the shoulders of its workers by cutting jobs, wages, and benefits. Strikes erupted throughout California and Oregon, threatening to derail KP as an organization and disrupt the livelihood of union members.
The situation was dire, and something had to change. This prompted a turning point, as workers realized they needed a new strategy to protect their future — not more sacrifices.
A Revolutionary Idea
In 1996, 57,000 KP employees in 26 local unions united and formally organized as the Coalition of Kaiser Permanente Unions, an affiliate of the AFL-CIO. This new bargaining coalition was prepared to launch a full-scale corporate campaign against Kaiser Permanente to reclaim workers’ rights.
But instead, something incredible happened. Coalition leaders envisioned a different path — not based on conflict but on partnership. In 1997, they proposed a groundbreaking Labor Management Partnership (LMP) to KP. The idea was simple but transformative: instead of battling over decisions after they were made, labor and management would work together, making joint decisions from the top levels of leadership to the front lines of patient care.
A New Era: The Labor Management Partnership
On October 1, 1997, the Labor Management Partnership was born, ushering in a new era of collaboration. The LMP was created to be different from traditional union-employer “cooperation” arrangements. Management would not come to labor for help after decisions were made. Instead, this partnership integrated labor into the decision-making processes at all levels, from the board room to the examination room. Now, the people who deliver care — the workers on the ground — had a voice in shaping how it was done. The result? A revolution in health care delivery, setting a national standard for labor-management relations.
A National Model
The Labor Management Partnership served as a national model and inspiration for decades. It set the standard for labor-management collaboration. As the longest-lasting partnership of its kind, it has proven that when labor and management collaborate, better patient care outcomes and a better place to work are the results.
Despite ups and downs, unions and management continually return to the table to renew their commitment to the Partnership. The path is not always easy, but the results are worth it.
A Record of Accomplishment
The Coalition’s six National Agreements with Kaiser Permanente are a testament to the power of our Coalition and partnership. These agreements have resulted in innovation and continuous improvement in patient care and work environments. In addition to industry-leading wages and benefits, the Coalition has secured:
- Employment and Income Security: Priority redeployment within KP ensures workers stay employed even in times of change.
- Unit-based Teams. More than 3,500 natural work groups collaborate to solve problems and improve patient care in hospitals, clinics, and business offices.
- Education and Career Development. Union members receive counseling, tuition reimbursements, and more to advance their careers through our education trusts and Workforce of the Future program.
- Joint Staffing. A collaborative approach to developing staffing plans that meet patient care needs and support a healthy work environment at the lowest level.
A Historic Strike
In 2023, Coalition members made history by leading the largest healthcare worker strike the U.S. has ever seen and the first in the history of the Labor Management Partnership. Years of deteriorating staffing levels pushed workers and patient care to a breaking point. The COVID-19 pandemic, rising inflation, and low wages left Kaiser Permanente struggling to recruit and retain enough staff to provide the quality care that patients deserved. After exhausting every other option, tens of thousands of healthcare workers nationwide struck for three days, demanding real change.
With the intervention of Acting Secretary of Labor Julie Su, the strike resulted in a landmark settlement. This agreement secured the highest wage increases in the Coalition’s history and laid the groundwork for long-term solutions to the staffing crisis. The agreement included upskilling current workers and recruiting new healthcare professionals from local communities. Most importantly, it gave frontline workers a direct say in shaping staffing models, setting a new standard for healthcare staffing moving forward. The impacts of this victory will be felt for generations to come.
A Vision for the Future
Through this revolutionary partnership, the Coalition and Kaiser Permanente transformed a system on the brink into an industry leader in delivering high-quality, affordable health care.
As the largest group of unionized healthcare workers at Kaiser Permanente, Coalition union members act as the conscience of the organization, holding KP accountable to its mission and values. Through our collective strength and determination, we are safeguarding the soul of healthcare, ensuring that it remains focused on people — both patients and workers — rather than profits.
