SEIU Releases New Data Linking Quality Problems and Private Equity Ownership; Hearings Also Announced at State Level
WASHINGTON, Nov. 15 /PRNewswire-USNewswire/ -- The nation's largest healthcare workers' union released new data today before committees on Capitol Hill that show a link between private equity ownership and problems with nursing home care. SEIU's new research shows significant increases in deficiencies at two nursing home chains after leveraged buyouts.
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SEIU released its new report in connection with two Capitol Hill hearings. Chairman Pete Stark's (D-CA-13) Ways & Means Subcommittee looked at the effects of nursing home ownership on the quality of care. Also, Chairman Herb Kohl's (D-WI) Senate Special Committee on Aging separately examined problems with transparency and accountability in nursing homes and explored policy solutions in a hearing today. The hearings are the latest move by Congressional leaders this month to look more deeply at problems that are affecting our nation's elderly who rely on nursing homes for day-to-day care.
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SEIU's new research shows significant increases in deficiencies at both Mariner Health Care and Beverly Enterprises nursing homes after buyouts. Deficiencies that caused actual harm in Mariner homes increased by 66.7%, while non-Mariner homes in the same states saw only a 1.5% increase in actual harm deficiencies.
In addition, 43.8% of all Mariner homes were cited by state inspectors for ten or more violations during their most recent inspection. Only 25.9% of non-Mariner homes had this many violations.
"The pattern of poor care emerging from private equity owned nursing homes is disturbing," said Arvid Muller, SEIU Assistant Director of Research, before the House Ways and Means Subcommittee on Health. "We need to make sure that if Carlyle takes over Manor Care, it doesn't follow the pattern of worse care for the fragile residents in its nursing homes."
Echoing the concerns of Capitol Hill, lawmakers in at least four states have announced hearings related to buyouts and nursing homes. Advocates, regulators, and lawmakers alike have sounded the alarm about the effect that the purely profit-driven private equity industry could have on fragile nursing home residents.
More info at http://www.carlylefixmanorcarenow.org.
SOURCE SEIU
