Fountain Valley Regional Hospital And Medical Center

National Labor Relations Board - Board Decisions

Jan 26, 1990

297 N.L.R.B. 549 (N.L.R.B. 1990)

FOUNTAIN VALLEY REGIONAL HOSPITAL 549
Fountain Valley Regional Hospital and Medical
Center and United Nurses Association of Cali-
fornia. Cases 21-CA-26200, 21-CA-26571, and
21-CA-26572
. January 26, 1990
DECISION AND ORDER
BY CHAIRMAN STEPHENS AND MEMBERS
CRACRAFT AND DEVANEY
Upon charges filed by the Union on June 3 and
December 30, 1988, the General Counsel of the
National Labor Relations Board by the Regional
Director for Region 21 issued a consolidated com-
plaint and notice of hearing dated February 1,
1989 The complaint alleges that the Respondent
has violated Section 8(a)(5) and (1) of the National
Labor Relations Act by refusing the Union's re-
quest to bargain following the Union's certification
in Case 21-RC-17879,' and by implementing cer-
tain changes in the terms and conditions of employ-
ment of unit employees without pnor notification
to and bargaining with the Union
On May 5, 1989, the General Counsel, the Re-
spondent, and the Union filed with the Board a
joint motion to transfer this proceeding to the
Board and for approval of the parties' stipulation of
facts The parties agreed that the charges, the con-
solidated complaint and notice of hearing, the Re-
spondent's answer, and the stipulation of facts with
attached exhibits constitute the entire record in this
case and that no oral testimony was necessary or
desired by the parties The parties further stipulat-
ed that they waived a hearing and the making of
findings of fact, conclusions of law, and the issu-
ance of a decision and recommended Order by an
administrative law judge, and submitted the case
directly to the Board for findings of fact, conclu-
sions of law, and a Decision and Order
On June 29, 1989, the Board issued an order
granting the joint motion, approving the stipulation
of facts, and transfernng the proceeding to the
Board All parties subsequently filed briefs
The National Labor Relations Board has delegat-
ed its authority in this proceeding to a three-
member panel
On the entire record, the Board makes the fol-
lowing
' Official nonce is taken of the "record' in the representation proceed-
ing as defined in the Board's Rules and Regulations, Secs 102 68 and
102 69(g), Frontier Hotel, 265 NLRB 343 (1982)
FINDINGS OF FACT
I JURISDICTION
The Respondent is a California corporation en-
gaged in the operation of an acute care hospital in
Fountain Valley, California Dunng the 12-month
period preceding the execution of the parties' stipu-
lation of facts, the Respondent denved gross reve-
nues in excess of $250,000, and during the same
period of time purchased and received goods and
products valued in excess of $50,000 directly from
suppliers located outside the State of California
We find that the Respondent is an employer en-
gaged in commerce within the meaning of Section
2(6) and (7) and a health care institution within the
meaning of Section 2(14) of the Act
We further find that the Union, United Nurses
Association of California, is a labor organization
within the meaning of Section 2(5) of the Act
II THE ALLEGED UNFAIR LABOR PRACTICES
A Facts
Following an election held April 30 and May 1,
1987, and litigation of the Respondent's objections
and challenges concerning the election, the Union
was certified on October 17, 1988, 2 as the collec-
tive-bargaining representative of the employees in
the following appropriate unit
All full-time and regular part-time professional
employees employed in the following classifi-
cations medical librarian, accountant, senior
accountant, cost accountant, computer pro-
grammer, internal auditor, patient representa-
tive, utilization review coordinator, peer
review coordinator, radiologic education coor-
dinator, registered nurses, admitting nurse, pre
admit R N, nurse epidemiologist, patient coor-
dinator, cath lab R N, charge nurses, interim
permittees, cardiac rehab R N, Medical tech-
nologist supervisors, medical technologists,
clinical instructors, pennatal instructors, regis-
tered pharmacists including pediatric pharma-
cist and satellite pharmacist, registered dieti-
cians, social workers including clinical social
workers, maternal-child social workers and
medical social workers, speech pathologists,
registered physical therapists, and registered
occupational therapists employed by the Em-
ployer at its facility located at 17100 Euclid
Avenue, Fountain Valley, California, exclud-
ing nonprofessional employees, physicians,
residents, interns, head nurses, assistant head
nurses, assistant director of nursing P M, as-
2 All subsequent dates are in 1988 unless otherwise noted
297 NLRB No 82
550 DECISIONS OF THE NATIONAL LABOR RELATIONS BOARD
sistant director of nursing nights, associate di-
rector of nursing, operating room supervisor,
director of nursing services, manager of nurs-
ing education, director of fiscal services, con-
troller, business office manager, data process-
ing manager, data processing supervisors, man-
ager of internal review, utilization review su-
pervisor, quality review supervisor, director of
nutrition, assistant director of food services, as-
sistant director of nutrition, cafeteria special
events coordinator, director of human re-
sources, employment manager, director of
pharmacy, assistant chief pharmacist, director
of respiratory therapy, supervisor of respirato-
ry therapy, director of radiology, radiology su-
pervisors, director of physical therapy, direc-
tor of cardiology, laboratory director, chief
technologist, assistant chief technologist, su-
pervisor of cardiology, cardiac rehab coordi-
nator, system review coordinator, staffing co-
ordinator, dialysis coordinator, director of
medical records, assistant director of medical
records, mailroom supervisor, director of ad-
ministrative services, administrator, respiratory
care practitioner I, respiratory care practition-
er II, respiratory care practitioner applicant,
radiologic technologist I, radiologic technolo-
gist II, senior radiologic technologist I, senior
radiologic technologist II, C T technologist,
C T scan coordinator, special procedure tech-
nologist, ultrasound technologist I, ultrasound
technologist II, nuclear medicine tech I, spe-
cial procedure technologist in cardiac cath lab,
cardiovascular technologist, LVN I, LVN II,
engineering and maintenance employees, office
clerical employees, environmental service em-
ployees, marketing and public relations em-
ployees, business office employees, purchasing
and central supply employees, pharmacy
clerks, pharmacy technicians and messengers,
nurse assistants, ward secretaries, nursing ad-
ministrative secretaries, monitor technicians,
operating room technicians, computer opera-
tors I and II, data entry clerks, tumor regis-
trar, coding coordinator, watchmen, guards
and supervisors as defined in the Act
The Union continues to be the exclusive represent-
ative under Section 9(a) of the Act Since about
October 20 the Union has requested the Respond-
ent to bargain, and since about October 31 the Re-
spondent has refused the Union's request
At some point during the previous May, the Re-
spondent implemented a change in the rate and
mode of compens.ition for certain ICU nurses in
the bargaining unit About November 1 the Re-
spondent converted its merit pay program for bar-
gaining unit employees from a step system of merit
compensation to a criteria-based performance man-
agement system (also identified in the record as a
"pay-for-performance" system) Also about No-
vember 1, the Respondent implemented a two-tier
wage payment system for regular part-time regis-
tered nurses in the bargaining unit -All three of
these changes in unit employees' compensation
were implemented by the Respondent without
prior notification to or bargaining with the Union
Prior to June the Union saw a copy of a notice to
employees, distributed and posted by the Respond-
ent and dated May 5, concerning a new compensa-
tion package, and a copy of a memorandum with a
four-page attachment, dated May 12, which the
Respondent had distributed to certain nurses, con-
cerning a new salary structure and pay range pro-
gram being implemented The May 5 memorandum
and the May 12 memorandum and attachment are
annexed as appendices A and B, respectively
B Contentions of the Parties
With respect to the Respondent's refusal to rec-
ognize the Union as the certified representative of
the unit employees, the General Counsel and the
Union contend that the Respondent was afforded a
full opportunity to litigate representation issues in
Case 21-RC-17879, and that the Respondent does
not now present any new matters or special cir-
cumstances assertedly affecting the Union's certifi-
cation Regarding the three alleged unilateral
changes, the General Counsel and the Union con-
tend that it is undisputed that all of them involved
terms and conditions of employment of unit em-
ployees and that they were made without notifying
and bargaining with the Union They further argue
that all the changes were implemented at a time
when the Respondent had a legal duty to bargain
with the Union, and finally, that Section 10(b) does
not constitute a bar to any of the unfair labor prac-
tice allegations
The Respondent contends that the Board's certi-
fication of the Union was improper because of the
Regional Director's misinterpretation of the parties'
stipulation concerning employees' voting eligibility
in the election, and that accordingly it has not un-
lawfully refused to recognize the Union With re-
spect to the alleged unilateral changes, the Re-
spondent contends that it had no duty to bargain in
light of the Union's invalid certification Further,
the Respondent contends that, notwithstanding its
failure to give notification, the Union received
actual notice of the changes before they were im-
plemented The Respondent asserts that the
Union's having seen prior to June the Respondent's
May 5 and 12 documents establishes the Union's
FOUNTAIN VALLEY REGIONAL HOSPITAL 551
knowledge of the changes intended for implemen-
tation, and that because the Union failed to request
bargaining concerning the changes, it acquiesced in
their implementation Finally, the Respondent
argues that litigation of the November 1 change in
its ment pay program is barred by Section 10(b)
because, in light of the Union's awareness prior to
June of the May 5 and 12 documents, it had knowl-
edge of the Respondent's intention to implement
the change for more than 6 months before the De-
cember 30 unfair labor practice charge alleging the
change as unlawful
C Discussion
Concerning the Respondent's attack on the valid-
ity of the Union's certification, the issue involving
the parties' employee-eligibility stipulation is a rep-
resentation matter that was fully litigated and de-
cided in Case 21-RC-17879 3 The Respondent
does not proffer any newly discovered and previ-
ously unavailable evidence, nor does it allege any
special circumstances that would require the Board
to reexamine this or any other determination made
in the representation proceeding We therefore find
that the Respondent has not raised a representation
issue that is properly litigable in this unfair labor
practice proceeding See Pittsburgh Plate Glass Co
v NLRB, 313 U S 146, 162 (1941) Accordingly,
the Respondent's refusal since October 31 to recog-
nize and bargain with the Union as the certified
representative of the unit employees is in violation
of Section 8(a)(5) and (1)
With respect to the Respondent's May change in
ICU nurses' rate and mode of compensation, the
November 1 change in the Respondent's merit pay
program, and the November 1 change in the wage-
payment system for regular part-time registered
nurses, it is undisputed on this record that each
change involved unit employees' wages and com-
pensation These matters are thus mandatory sub-
jects of bargaining See, e g, NLRB v Katz, 369
U S 736 (1962) For the reasons set forth below,
we find that the Respondent's unilateral action in
implementing each of the changes was unlawful
As noted above, the Respondent raises certain
defenses in asserting that the changes were not un-
lawful Its first one, that the Board's certification of
the Union was improper, has been disposed of
above The Respondent also contends that the
Union acquiesced in the implementation of the
changes because it did not request bargaining after
receiving actual notice of the Respondent's inten-
tion to make the changes The Respondent's posi-
3 As a matter of record, on September 29, the Board denied the Re-
spondent's request for review of the Regional Director's decision con-
cerning the specific representation Issue the Respondent presently raises
non is centered on the Union's awareness prior to
June of two documents—the May 5 notice to em-
ployees and the May 12 memorandum and attach-
ment It contends that these documents provided
the Union with notice, prior to implementation, of
the three changes the Respondent contemplated 4
It is true that "actual notice" of a contemplated
change in employment conditions supplied from a
source other than the employer may be sufficient
to trigger the union's obligation to request bargain-
ing See, e g, Kansas Education Assn, 275 NLRB
638, 639 (1985) But, such notice must be clear and
must be received sufficiently in advance of imple-
mentation to allow a reasonable opportunity to bar-
gain concerning the change See, e g, American
Distributing Co v NLRB, 715 F 2d 446, 450 (9th
Cir 1983), cert denied 466 US 958 (1984), enfg
264 NLRB 1413 (1982) What constitutes sufficient
notice of a change depends on all the circum-
stances of a case Emhart Industries, 297 NLRB 215
(1989)
With regard to the changes in ICU nurses' rate
and mode of compensation, the record shows that
this change was implemented "in or about May
1988," and that the Union became aware of the
May 5 and 12 documents "prior to June 1988"
The stipulation does not indicate, however, when,
"prior to June 1988," such awareness occurred
Thus, the Respondent has not established that the
Union received the documents prior to implemen-
tation of the change so as to allow it a reasonable
opportunity to bargain Accordingly, we find no
merit in the Respondent's defense concerning the
May unilateral change This change, unilaterally
implemented during the pendency before the Board
of objections and challenges to the election and
prior to the Union's certification, violated Section
8(a)(5) and (1) Mike O'Connor Chevrolet, 209
NLRB 701 (1974), enf denied on other grounds
512 F 2d 684 (8th Cir 1975)
Turning to the two changes made on November
1, we cannot conclude, under all the circumstances,
that the Respondent has shown the Union had
clear notice that the Respondent intended to make
the particular changes ultimately made on Novem-
ber 1 such that the Union has waived its right to
bargain
Regarding the Respondent's November 1 change
from a step system of merit compensation to "cnte-
4 In claiming that the Union had prior knowledge of these changes, we
note that the Respondent relies solely on the Union s awareness of the
May 5 and 12 wntten communications to employees The Respondent
does not claim, and the stipulation does not indicate, that the Union had
knowledge of any other communications to employees regarding their
terms and conditions of employment some of which have also been in-
cluded as exhibits to the parties stipulation of facts
552 DECISIONS OF THE NATIONAL LABOR RELATIONS BOARD
na-based performance management," we note that
the only arguable reference to merit pay was the
one-line statement in the four-page attachment to
the May 12 document, "Pay for Performance addi-
tional pay, based upon specific performance re-
quirements" We do not find that this statement
constitutes sufficient notice to trigger an obligation
to request bargaining First, nothing on the face of
the notice indicated that a "pay for performance"
benefit constituted a change in the employees'
terms and conditions of employment In particular,
it is noted that the stated purpose for the May 12
memorandum was to explain and clarify the special
per diem no-benefit program announced in the
May 5 memorandum The May 5 memorandum
said nothing about a merit compensation plan In
the "pre-June" period when the Union became
aware of the memoranda, it had not been certified
and there is no evidence that it knew the status quo
of the employees' terms and conditions of employ-
ment Accordingly, notwithstanding that the par-
ties have now stipulated that "pay for perform-
ance" did constitute a change when it was eventu-
ally implemented, there was no basis at the time of
the notice for the Union to know a change was in-
tended and that a request to bargain would be ap-
propriate See, e g, Southwest Forest Industries, 278
NLRB 228, 233 (1986) Finally, we note that over
5 months passed between the May 12 memorandum
and the implementation of the change According-
ly, even if we were to find that the memoranda
gave clear notice that a change was intended, we
find that it could have been reasonably concluded
that the Respondent had abandoned any intention
to implement changes in the merit pay program
Regarding the November 1 implementation of a
two-tier wage payment system, we note the follow-
ing facts about the purported notice to the Union
The May 5 notice made no reference to pay tiers
The cover sheet of the May 12 memorandum also
did not refer to tiers, but stated that the implemen-
tation of the new program of "per diem/no benefit
but scheduled" was unclear and that the attach-
ment was provided to aid in understanding its eligi-
bility requirements The only use of the word
"tier" in the May 12 memorandum was in the
second page of the attachment where "Tier 1" and
"Tier 2" headed two columns of different pay
rates Also on the second page were examples of
part-time employees' weekly pay with the explana-
tion that tier 1 pay rates applied for the first 24
hours and tier 2 rates applied for the additional
hours of the workweek examples
We find that the May 5 and 12 memoranda did
not provide sufficent notice to obligate the Union
to request bargaining over a two-tier wage pay-
ment system First, the memoranda did not indicate
that the use of pay tiers involved a change in ,the
employees' terms of employment As noted with
regard to the November 1 change in merit pay, on
this record it has not been established that the
Union knew or had reason to know that the memo-
randum described changes in the unit employees'
terms of employment Second, even if the Union
could have determined that the two-tier wage
system was a change in terms of employment, as
time went by and the plan was not implemented,
the Union could have reasonably believed that the
Respondent had decided not to go forward with
the plan
In any event, even if this record did establish
that the Union had effective notice of the Respond-
ent's intention to institute the November 1 changes
alleged in the complaint, we would find that a re-
quest by the Union to bargain about these matters
would have been futile in light of the Respondent's
refusal to recognize the Union as the collective-
bargaining representative of the unit employees, as
evidenced by its October 31 rejection of the
Union's bargaining request See, e g, Intersystems
Design Corp, 278 NLRB 759, 760 (1986)
The Respondent also contends that Section 10(b)
bars the complaint allegation concerning its change
in the ment pay program because the Union had
knowledge of the Respondent's intention to imple-
ment this change for more than 6 months prior to
the filing of the unfair labor practice charge sup-
porting the allegation The Respondent relies on
the same two documents discussed above to estab-
lish the Union's knowledge For the reasons set
forth above, these documents are insufficient to es-
tablish that the Union had effective notice that the
Respondent intended to make the change in its
merit pay program
Accordingly, in view of the discussion above, we
conclude that the Respondent's November 1
change in its merit pay program and its November
1 implementation of a two-tier wage payment plan
for regular part-time registered nurses, both insti-
tuted without notice to and bargaining with the
Union, represented unlawful unilateral conduct and
constituted refusals to bargain in violation of Sec-
tion 8(a)(5) and (1)
CONCLUSIONS OF LAW
1 By refusing on and after October 31, 1988, to
recognize and bargain with the Union as the exclu-
sive collective-bargaining representative of employ-
ees in the appropriate unit, the Respondent has en-
gaged in unfair labor practices affecting commerce
within the meaning of Section 8(a)(5) and (1) and
Section 2(6) and (7) of the Act
FOUNTAIN VALLEY REGIONAL HOSPITAL 553
2 By implementing a change in the rate and
mode of compensation for certain unit employees
in May 1988, by instituting changes in its merit pay
program for unit employees on November 1, 1988,
and by implementing a two-tier wage payment
system for certain unit employees on November 1,
1988, all without prior notification to and bargain-
ing with the Union, the Respondent has violated
Section 8(a)(5) and (1) of the Act
REMEDY
Having found that the Respondent has violated
Section 8(a)(5) and (1) of the Act, we shall order it
to cease and desist, to bargain on request with the
Union, and, if an understanding is reached, to
embody the understanding in a signed agreement
We shall also order the Respondent to rescind, at
the Union's request, the unlawful unilateral changes
it has implemented, and to bargain with the Union
specifically concerning the matters that were un-
lawfully changed .. We shall further order that the
Respondent make whole all employees for any
losses they may have suffered as a result of the Re-
spondent's unlawful changes, with interest to be
computed in the manner prescnbed in New Hori-
zons for the Retarded, 283 NLRB 1173 (1987)
To ensure that the employees are accorded the
services of their selected bargaining agent for the
period provided by law, we shall construe the ini-
tial period of the certification as beginning the date
the Respondent begins to bargain in good faith
with the Union Mal--Jac Poultry Co, 136 NLRB
785 (1962), Lamar Hotel, 140 NLRB 226, 229
(1962), enfd 328 F 2d 600 (5th Cir 1964), cert
denied 379 U S 817 (1964), Burnett Construction
Go, 149 NLRB 1419, 1421 (1964), enfd 350 F 2d
57 (10th Cir 1965)
ORDER
The National Labor Relations Board orders that
the Respondent, Fountain Valley Regional Hospital
and Medical Center, Fountain Valley, California,
its officers, agents, successors, and assigns, shall
1 Cease and desist from
(a) Refusing to recognize and bargain with
United Nurses Association of California as the ex-
clusive bargaining representative of the employees
in the bargaining unit
(b) Instituting changes in the rate and mode of
compensation for certain ICU nurses, in the em-
ployees' merit pay program, and in the wage pay-
ment system for regular part-time registered nurses
without prior notification to and bargaining with
the Union
(c) In any like or related manner interfering
with, restraining, or coercing employees in the ex-
ercise of the rights guaranteed them by Section 7
of the Act
2 Take the following affirmative action neces-
sary to effectuate the policies of the Act
-(a) On request, bargain with the Union as the ex-
clusive representative of the employees in the fol-
lowing appropriate unit on terms and conditions of
employment and, if an understanding is reached,
embody the understanding in a signed agreement
All full-time and regular part-time professional
employees employed in the following classifi-
cations medical librarian,. accountant, senior
accountant, cost accountant, computer pro-
grammer, internal auditor, patient representa-
tive, utilization review coordinator, peer
review coordinator, radiologic education coor-
dinator, registered nurses, admitting nurse, pre
admit R N, nurse epidemiologist, patient coor-
dinator, cath lab R N, charge nurses, interim
permittees, cardiac rehab R N, medical tech-
nologist supervisors, medical technologists,
clinical instructors, permatal instructors, regis-
tered pharmacists including pediatric pharma-
cist and satellite pharmacist, registered dieti-
cians, social workers including clinical social
workers, maternal-child social workers and
medical social workers, speech pathologists,
registered physical therapists, and registered
occupational therapists employed by the Em-
ployer at its facility located at 17100 Euclid
Avenue, Fountain Valley, California, exclud-
ing nonprofessional employees, physicians,
residents, interns, head nurses, assistant head
nurses, assistant director of nursing P M, as-
sistant director of nursing nights, associate di-
rector of nursing, operating room supervisor,
director of nursing services, manager of nurs-
ing education, director of fiscal services, con-
troller, business office manager, data process-
ing manager, data processing supervisors, man-
ager of internal review, utilization review su-
pervisor, quality review supervisor, director of
nutrition, assistant director of food services, as-
sistant director of nutrition, cafeteria special
events coordinator, director of human re-
sources, employment manager, director of
pharmacy, assistant chief pharmacist, director
of respiratory therapy, supervisor of respirato-
ry therapy, director of radiology, radiology su-
pervisors, director of physical therapy, direc-
tor of cardiology, laboratory director, chief
technologist, assistant chief technologist, su-
pervisor of cardiology, cardiac rehab coordi-
nator, system review coordinator, staffing co-
ordinator, dialysis coordinator, director of
554 DECISIONS OF THE NATIONAL LABOR RELATIONS BOARD
medical records, assistant director of medical
records, mailroom supervisor, director of ad-
ministrative services, administrator, respiratory
care practitioner I, respiratory care practition-
er II, respiratory care practitioner applicant,
radiologic technologist I, radiologic technolo-
gist II, senior radiologic technologist I, senior
radiologic technologist II, C T technologist,
C T scan coordinator, special procedure tech-
nologist, ultrasound technologist I, ultrasound
technologist II, nuclear medicine tech I, spe-
cial procedure technologist in cardiac cath lab,
cardiovascular technologist, LVN I, LVN II,
engineering and maintenance employees, office
clerical employees, environmental service em-
ployees, marketing and public relations em-
ployees, business office employees, purchasing
and central supply employees, pharmacy
clerks, pharmacy technicians and messengers,
nurse assistants, ward secretaries, nursing ad-
ministrative secretaries, monitor technicians,
operating room technicians, computer opera-
tors I and II, data entry clerks, tumor regis-
trar, coding coordinator, watchmen, guards
and supervisors as defined in the Act
(b) On the Union's request, rescind the unlawful
unilateral changes that were implemented in the
rate and mode of compensation for certain ICU
nurses, in the employees' merit pay program,
and/or in the wage payment system for regular
part-time registered nurses, and bargain with the
Union concerning these matters
(c) Make whole all employees, with interest, for
any losses they may have suffered as a result of the
unlawful unilateral changes above
(d) Post at its facility in Fountain Valley, Cali-
fornia, copies of the attached notice marked "Ap-
pendix C " 5 Copies of the notice, on forms provid-
ed by the Regional Director for Region 21, after
being signed by the Respondent's authonzed repre-
sentative, shall be posted by the Respondent imme-
diately upon receipt and maintained for 60 consec-
utive days in conspicuous places including all
places where notices to employees are customarily
posted Reasonable steps shall be taken by the Re-
spondent to ensure that the notices are not altered,
defaced, or covered by any other matenal
(e) Notify the Regional Director in writing
within 20 days from the date of this Order what
steps the Respondent has taken to comply
5 If this Order is enforced by a judgment of a United States court of
appeals, the words in the notice reading Posted by Order of the Nation-
al Labor Relations Board shall read Posted Pursuant to a Judgment of
the United States Court of Appeals Enforcing an Order of the National
Labor Relations Board
FOUNTAIN VALLEY REGIONAL HOSPITAL 555
APPENDIX A
CCPIPENSAT1M PACKAGE 1988
May 5, 1988
As a major departure from past years of granting housewide compensation increases
we have concluded that it will be more equitable to all to approach each job
classification on a separate and competitive basis rather than attempt to apply one
percentage for all jobs within FVRNMG We believe that this individualized
approach will result in maintaining far more competitive wages and salaries than in
the past We are pleased to share with you the following
On April 10, 1988, we adjusted the salary structure in Respiratory Therapy and
established pay ranges at a dollar level that is competitive with other
comparable hospitals in our recruitment areal
The second area reviewed was the Registered Nurse Classification and the new
salary structure will be effective with the pay period beginning May 8, 1988
JOB CLASSIFICATION FRCM TO
INTERIM PERMITTEE $11 85 512 90
CLINICAL I RN $12 46 - 15 14 512 90 - 18 06
CLINICAL II R N 513 09 - 15 91 $1393 - 19 50
PER DIEM/NO BENEFITS DAYS $16 96 $19 00
(UNSCHEDULED) EVES.= $18 02 $20 00
NIGHTS = $20 14 $22 GO
NEW PROGRAM PER DIEM/NO BENEFIT (Within the Nursing Department)
(SCHEDULED):
DAYS =$26 00 EVES = $28 00 NIGHTS 530 00
Department Heads and Supervisors will be meetily with Registered Nurses regarding
the adjustments, individUal rate of pay and details of the new scheduled per diem
program
We will be going through several phases of competitive wage review over the next 6
to 8 weeks at the Hospital and Development Company We will provide you with the
information as soon as possible and appreciate your support'
TUITION REIMBURSEMENT
Special feature - Increase from $400 00 to S1,000 00 per year for full time and frcm
$200 00 to $500 00 per year for part time I employees
EMPLOYEE REFERRAL PROGRAM
Special feature

S500.00 after 90 days, $500 00 after twelve (12) months of full
time service.
INFORMATICW PHONE NUMBER
Ext 3091, in Hunan Resource to answer coestions.
"." ..-,,.."" 1 ' - C ( • e',' . - . ..t ,t.
Peter Szekrenyi, Dr P PI Robert C Ackerman
Chief Executive Officer Administrator
STIP DCH. W-1
556 DECISIONS OF THE NATIONAL LABOR RELATIONS BOARD
May 12, 1988
APPENDIX B
COMPENSATION PACKAGE - 1988
On May 5, 1988 we had announced a salary structure and pay
range program campus wide.
The implementation of the new "Special" program of per
diem/no benefit but scheduled categories for Registered
Nurses appeared to be unclear.
We have developed this "Special" program specifically to
reduce registry utilization. In order to be eligible for
this "Special" program, you must have worked at least 24
hours per week at your regular rate of pay and have
committed to at least one extra full shift per week.
To aid in understanding the special eligibility
requirements, we are pleased to present the attached program
information for your review. This "Special" program may be
modified from time to time as a response to market
conditions. For further information please contact your
Clinical Manager.
In the next several weeks we will be reviewing with our
full-time employees how we can better recognize their
efforts and contributions to the Hospital.
Peter Szekrenyi, Dr. P.H. Robert C. ckerman
Chief Emecutive Officer Administrator
PAS:ja
FOUNTAIN VALLEY REGIONAL HOSPITAL

557
APPENDIX B (continued)
LNTAIN VALLEY REGIONAL N:SPITAL NO NE
REGISTERED NURSE,
FULL TIN(
pENEFITS ELIGIBLE
BENEFIT INDEMNITY PLAN (SELF-FUNDED)
TER
HMO PREPAID PLAN
ADMINISTERED IT PACIFIC MUTUAL MAXICARE PREFERRED PLAN
MEDICAL/DENTAL EPPLOYEECCNTRIBUTIONS HOSPITAL PATS FOR EMPLOYEE COVERAGE
4 LIFE INSURANCE. PER PAY PERICO FOR 1 DEPENDENT-S 45 00 PER PAT PERICO
MEDICAL A DENTAL 2. CR OZRE -S 65 00 PER PAT PERIM
IF YOU CCNVERTED TO THESE
PLANS AND PAID FULL COST
HOSPITAL PAYS FOR EMPLOYEE COVERAGE
1 DEPEMDENT-S 60 00 PER PAY PER=
2. OR MORE - 5100 00 PER PAY PERIM
COBRA SINGLE COVERAGE $ 177 46 MONTH S 104 23 MCNIN
RA1E1 2 PARTY COVERAGE S 369 70 MORIN S 217 65 MONTN
3. PARTY COVERAGE S 526.45 MONTI( S 297 01 MAIN
PR SCRIPTICAS IF PURCNASED FIMN FV ICU. CENTER 52 00 CO-PATHENT FOR MAXICARE
PHARNACT • $2 00 PER PRESCIIPTICN PRESCRIBED DRUGS LT MAILICARE
OTHER PNARMACIES-REGULAR PLAN
BENEFITS APPLY.
HOSPITAL DISCOUNTS F V.R.N. INPATIENT AMD CUTPATIENT NO DEDUCTIBLE REQUIRED. 100% DISCOUNT FOR EMPLOTEE AND
DEPENDENTS COVERED BY FVRN PLAN.
RETIREMENT YOU MAT CONTRIBUTE UP TO 6% OF PI1EVICUS 'FEAR'S EARNINGS THROUGN PAYROLL DEDUCTIONS. EACH TEAR THE
THE HOSPITAL WILL HATCN TCUR CONTRIBUTICN AT 50%
PAID TIME OFF • COSINES VACATION. HOLIDAYS. RICE LEAVE. BIRTHDAY. PERSCNAL OAT
1 TO 4 TURA , TO 9 TEARS 10 TEARS •
DAYS • NONIS DAYS - ROMS OATS - NCURS
31 248 37 296 42 336 TOTAL PER YEAR
12% 14% 16Z ADDITICNAL CASH VALUE
11 mremmemmews.m.w.....m...:.====wommeammell
anvam rs==mmaouipw mmermmammammemwommww.m..11
EASE PAT
II EMPLEEOYS MAY RE CEIVE 100% CASH PAYOFF FOR PTO AFTER 1 YEAR
II_
II
11,4KATICRAL ASSISTANCE 1111P1,000.00 PEI YEAR.
.MVEr.Liki.M1
DAYS • HOURS
27 216
10%
ADOITICNAL PAY. RASED UPON SPECIFIC PERFORMANCE REQUIREMENTS
CAREER ADVANCEMENT - CLINICAL 1 • 12.90 - 18.06
CLINICAL II • 13.93 - 1930
• CLINICAL III • 15 05 - 21 07
• CLINICAL IV • 17 91 - 25 07
• to be developed
PAY FOR PERFORM/MEI
CLINICAL LADOER:
FOR FURTHER INFORNATAN CONTACT TOUR CLINICAL MAXAGER
558 DECISIONS OF THE NATIONAL LABOR RELATIONS BOARD
APPENDIX B (continued)
700WEILI _ALLEY EINGICNAL HOSPITAL MC )0____AAL CHEM
PaILLTSMISMOSENSCE-EaUS
agrinOULI BEIZIMILIZ
BMW= ELIGIBIZ BENEFIT INELNIDLa
EVENING 20.00
NIGHTS 22.00
DRY 19.00
TIER 1 \TIM 2
26.00 (full shift)
28.00 (full shift)
30.00 (full shift)
v
=EWA
PART TINE_I WM( BENEFTTO
CLINICML I FM= /CR THE navirr 24 !MRS AIM T332t 2 EXITS Pit Acorrusaa,
Boas WOMED IN A ICIONEISIC.
8 NPR SHIFT: 17.00 X 24 = $408 + 26.00 I 16 = $416 = $824/WK
12 INWR SHIFT: 17.00 X 24 = $408 + 26.00 1 12 = $312 = $ 720/WK
ISELTINILMALMOSEIMV
TIEL1 HAMM! Tall FIRST 24 HOURS AND TIER 2 RAMS 7C6tAr1ITTIZNAL HOURS
=HIM IN VOMPOISL
8 ma MUM MOO X 24 = $436 + 26.00 1 16 = $416 = $872/NX
128SUR MITT: 19.00 I 24 = $ 456 + 26.00 X 12 = $312 = $768/WE
Haft ALL HOLIDAYS SCREED WILL ER COMPENSATED AT TIER 1 OR CLINICAL LADDER RAME.
PORNIMEEER INFORMATION PLEASE COM= YOUR CLINIC= =oast.
CLINICAL I 12.90-18.06
CLINICAL II 13.93-19.50
*CLINICAL III 15.05-21.07
*CLINICAL IV 17.91-25.07
* to be developed
PLO HOURS ACCRUE ONLY ON HOURS WM:ED IN maturr ELIGIBLE STATUS
=NIKON THRESZEILD WORKED HOURS PER WEEK:
(3) 8 HOUR SHIFTS (2) 12 HOUR SEIM
PART TINE I 24 24
PART TINE II 24 24
ELL HOURS NEM IN ANNUMEEK UP TO ISIS THRESH= ARE PAID AT:
KART TIME I - REGULAR STAFF R. N. RATE (cmancAL MUM.
SART TINE II - TIER 1 PER DIEM NATE.
5/11
FOUNTAIN VALLEY REGIONAL HOSPITAL 559
APPENDIX B (continued)
SALARY & FRINGE BENE r-- STUDY
APRIL 1988
13-May-88
PREPARED BY. I M W
FILE NAME .SALSTY5
- - - CLINICAL I RN - - -
NURSING R N 'S STEP 1 STEP 2 STEP 3 STEP 4 STEP 5
BASE RATE 13.951 14 653 15 385 16.155 16 962
INS COST * 1.450 1.450 1.450 1.450 1 450
- P T 0 " 0.000 0.000 0 000 0.000 0.000
lENSION 0 452 0 4'5 0.498 0 523 0 550
SUBTOTAL 15.857 16.578 , 17.334 18 128 18 962
ANNUAL EF rICTIVE SALARY 32.983 Z4.482 36.055 37.707 39,441
- - - CLINICAL II RN - - -
NURSING R N 'S STEP 1 STEP 2 STEP 3 STEP 4 STEP 5
SASE RATE 14.665 15.398 16.168 16.976 17.825
INS. COST * 1.450 1.450 1.450 1.450 1.450
P T 0 ** 0.000 0.000 0.000 0.000 0.000
PENSION 0.475 0.499 0.524 0.550 0.578
SUBTOTAL 16.590 17.347 18.142 18.976 19.852
ANNUAL EFFECTIVE SALARY 34,508 36,081

37,736 39,470 41,293
- - - PER DIEM RATE -
PER DIEM RATE (1) 19/26 19/26 19/26 19/26 19/26
YEARLY SALARY 45,344 45,344 45,344 45,344 45,344
LESS: P T 0 4,534 5,441 5,441 5,441 6.802
INSURANCE * 4,436 4.436 4,436 4,436 4.436
SUBTOTAL 36,373 35,466 35,466 35,466 34.106
TWO PARTY COVERAGE
EMPLOYEES MAY RECEIVE CASH PAYOFF FOR P 1 0
= DOLLAR FOR DOLLAR
PER DIEM RATE $19 USED FOR 1ST 24 HRS. AND
PER DIEM RATE $26 USED FOR NEXT 16 HRS.
- r LIN -
II RN
STE° 3
(FULL IImE)
cA3E RATE
(N rO'Ll
-
orN-3,nm
UB-CTAL 20092
560 DECISIONS OF THE NATIONAL LABOR RELATIONS BOARD
APPENDIX B (continued)
ANNUAL EFF FCT T VE 3ALARY
- - - ,LINICAL II RN - - -
& PER OIEM - - - -
CLIN 3 TOTALPER
STE° , OIEN SAL

(FART TINE 11 'PART TINE 21 SAL
26 0016 168

I 45

O 00

1 164

O 00

0 ,14

O 00
19 096 26 000
41 77 1 23 332 21 632 45 464 t1

( 2)

CiFFERENTIAL BETWEEN FULL AND PART TIME BENEFITS
FULL-T T KE EMPLOYEES WITH THREE YEARS SERVICE
ACCURAL RATE EQUALS 12%

3 1 FUIL-iIME EMPLOYEES THAT CONVERT ARE NOW
CONSIDERED PART-TIME EMPLOYEES WITH VARIABLE
EXTRA HOURS
FULL-TIME EMPLOYEES WILL BE RECRUITED TO FILL
THE RECENTLY VACATED POSITIONS
FOUNTAIN VALLEY REGIONAL HOSPITAL 561
APPENDIX C
NOTICE To EMPLOYEES
POSTED BY ORDER OF THE
NATIONAL LABOR RELATIONS BOARD
An Agency of the United States Government
The National Labor Relations Board has found
that we violated the National Labor Relations Act
and has ordered us to post and abide by this notice
WE WILL NOT refuse to recognize and bargain
with United Nurses Association of California as the
exclusive representative of the employees in the
bargaining unit
WE WILL NOT institute changes ,in matters in-
volving compensation and other terms and condi-
tions of employment of unit employees without
prior notification to and bargaining with the Union
WE WILL NOT in any like or related manner
interfere with, restrain, or coerce employees in the
exercise of the rights guaranteed them by Section 7
of the Act
WE WILL, on request, bargain with the Union
and put in writing and sign any agreement reached
on terms and conditions of employment for our
employees in the bargaining unit
All full-time and regular part-time professional
employees employed in the following classifi-
cations medical librarian, accountant, senior
accountant, cost accountant, computer pro-
grammer, internal auditor, patient representa-
tive, utilization review coordinator, peer
review coordinator, radiologic education coor-
dinator, registered nurses, admitting nurse, pre
admit R N, nurse epidemiologist, patient coor-
dinator, cath lab R N, charge nurses, interim
permittees, cardiac rehab R N, medical tech-
nologist supervisors, medical technologists,
clinical instructors, pennatal instructors, regis-
tered pharmacists including pediatric pharma-
cist and satellite pharmacist, registered dieti-
cians, social workers including clinical social
workers, maternal-child social workers and
medical social workers, speech pathologists,
registered physical therapists, and registered
occupational therapists employed by the Em-
ployer at its facility located at 17100 Euclid
Avenue, Fountain Valley, California, exclud-
ing nonprofessional employees, physicians,
residents, interns, head nurses, assistant head
nurses, assistant director of nursing P M, as-
sistant director of nursing nights, associate di-
rector of nursing, operating room supervisor,
director of nursing services, manager of nurs-
ing education, director of fiscal 'services, con-
troller, business office manager, data process-
ing manager, data processing supervisors, man-
ager of internal review, utilization review su-
pervisor, quality review supervisor, director of
nutrition, assistant director of food services, as-
sistant director of nutrition, cafeteria special
events coordinator, director of human re-
sources, employment manager, director of
pharmacy, assistant chief pharmacist, director
of respiratory therapy, supervisor of respirato-
ry therapy, director of radiology, radiology su-
pervisors, director of physical therapy, direc-
tor of cardiology, laboratory director, chief
technologist, assistant chief technologist, su-
pervisor of cardiology, cardiac rehab coordi-
nator, system review coordinator, staffing co-
ordinator, dialysis coordinator, director of
medical records, assistant director of medical
records, mailroom supervisor, director of ad-
ministrative services, administrator, respiratory
care practitioner I, respiratory care practition-
er II, respiratory care practitioner applicant,
radiologic technologist I, radiologic technolo-
gist II, senior radiologic technologist I, senior
radiologic technologist II, C T technologist,
C T scan coordinator, special procedure tech-
nologist, ultrasound technologist I, ultrasound
technologist II, nuclear medicine tech I, spe-
cial procedure technologist in cardiac cath lab,
cardiovascular technologist, LVN I, LVN II,
engineering and maintenance employees, office
clerical employees, environmental service em-
ployees, marketing and public relations em-
ployees, business office employees, purchasing
and central supply employees, pharmacy
clerks, pharmacy technicians and messengers,
nurse assistants, ward secretaries, nursing ad-
ministrative secretaries, monitor technicians,
operating room technicians, computer opera-
tors I and II, data entry clerks, tumor regis-
trar, coding coordinator, watchmen, guards
and supervisors as defined in the Act
WE WILL, on the Union's request, rescind the
unlawful unilateral changes that we implemented in
the rate and mode of compensation for certain ICU
nurses, in the unit employees' merit pay program,
and/or in the wage payment system for regular
part-time registered nurses, and bargain with the
Union concerning these matters
WE WILL make whole all employees, with inter-
est, for any losses they may have suffered as a
result of the unlawful unilateral changes above
FOUNTAIN VALLEY REGIONAL Hos-
PITAL AND MEDICAL CENTER