Swedish Negotiation News

Providence Swedish Communications

[14 MIN READ]

Swedish reaches agreement with SEIU 1199NW to raise wages for 7,200 caregivers

Swedish Health Services is pleased to announce new memorandums of agreement with SEIU 1199NW that will significantly increase wages for the 7,200 nurses and professional, tech and service workers who are employed by Swedish Medical Center and Swedish Edmonds and covered by collective bargaining agreements.

The agreements cover five Swedish bargaining units and include total base wage increases of 21.5% or greater over the next two years as well as other wage increases, bonuses, and wage grid adjustments that will result in higher pay for certain classifications. Altogether, the agreements provide an additional $125 million in compensation.

“I am proud that we are significantly improving wages to support our caregivers and aid our retention and recruitment in a highly competitive market,” said Dr. R. Guy Hudson, CEO of Swedish Health Services. “I am especially pleased that we were able to provide a package that will benefit caregivers, reward longer-term team members for their years of service, and boost our efforts to recruit and retain nurses.”

Agreements for all five bargaining units include appreciation bonuses and longevity bonuses. The agreements covering Swedish Medical Center service and tech workers and Swedish Edmonds professional and tech workers also make the wage scales more equitable for caregivers at the lower end of the scale, reflecting a shared interest with SEIU 1199NW in viewing compensation through an equity lens. The agreements covering Swedish Medical Center and Swedish Edmonds RNs include additional wage increases for nurses upon hire through the first 12 steps of the wage grid.

The ratified agreements are the successful outcome of expedited economic bargaining aimed at raising wages months before the current labor agreements were up for renegotiation in July 2023. In coming to the table early, both sides recognized there have been significant changes in the cost of living and market rates for healthcare compensation and were seeking an agreement that would quickly start raising caregivers’ wages.

“Swedish was committed to a constructive dialogue with SEIU 1199NW throughout these negotiations,” said Dr. Hudson. “We greatly appreciate the union’s partnership in expedited bargaining so that we could reach an agreement that would benefit our caregivers as soon as possible.”

Swedish Labor Negotiation Update: Sept. 7, 2022

Swedish further enhances $100M+ compensation package by adding standby premium increases and a temporary shift incentive program

The Swedish Medical Center and Swedish Edmonds bargaining team resumed negotiations with SEIU Healthcare 1199NW on Sept. 6, 2022 intent on reaching an agreement that would substantially increase wages for nurses, tech and service workers covered by collective bargaining agreements.

Following the union’s rejection of two previous package proposals, we presented new counterproposals that would increase standby premium pay by 50 cents per hour for all represented caregivers and would implement a temporary shift incentive program for nurses, while also retaining all the elements of the Sept. 1 package.

We proposed the standby premium increase in the morning and the temporary shift incentive program as the last counterproposal of the evening. These additional components represent a significant additional investment that Swedish is making in the interest of reaching an agreement that will benefit our caregivers as soon as possible. We are scheduled to meet again with the union on Sept. 8.

NEW enhancements added Sept. 6 to our total compensation package:

Standby premium increases. The hourly rate for standby premium pay will increase to the following:

SMC Service standby premium: $5.75/hour
SMC Tech standby premium: $6.75/hour
SMC RN standby premium: $6.75/hour
Swedish Edmonds Pro Tech standby premium: $6.50/hour
Swedish Edmonds RN standby premium: $6.75/hour

Temporary shift support and dependability program. Beginning Oct. 1, 2022, and ending Dec. 31, 2022, the parties agree to implement the following incentives only for nurses:

Prescheduled Incentive. Two weeks before the shift or standby, where deemed necessary by the department/unit manager, extra shifts shall be designated as incentive eligible and paid at the following rates:
- Caregivers whose FTE is below 0.9 will receive time and one half for each extra shift worked, and
- Caregivers whose FTE is at or above 0.9 will receive double time for each extra shift worked.
Extra shifts/hours outlined above are shifts/hours worked above and beyond a caregiver’s FTE status for the pay period. To remain eligible for this program, caregivers must work their regular FTE in place at the time of ratification, in addition to the extra shifts/hours. Pre-scheduled vacation, non-mandatory education, and/or other approved or unapproved time off shall not be considered hours worked toward the caregiver’s regular FTE. Per diem employees must provide their 36 hours of availability for a six-week schedule to be eligible.

All elements in the Sept. 1 package are retained in the Sept. 6 package:

Total base wage increases of 21.5% or higher over the next 24 months (on top of the 2% raise implemented July 1, 2022), including the following:

4% or $1.25/hour, whichever is greater, the first full pay period after ratification
9.5% or $3.00/hour, whichever is greater, the first full pay period after April 1, 2023
4% or $1.25/hour, whichever is greater, the first full pay period after Oct. 1, 2023
4% or $1.00/hour, whichever is greater, the first full pay period after Oct. 1, 2024

Appreciation bonus: For all caregivers covered by these CBAs who are employed by SMC and Swedish Edmonds at the time of ratification, prorated for caregivers below 0.9 FTE:

$1,000 lump sum bonus effective the first full pay period following April 1, 2023
$1,500 lump sum effective the first full pay period following April 1, 2024

Longevity bonuses for continuous employment at Swedish Medical Center and/or Swedish Edmonds, effective at ratification:

$7,000 lump sum bonus upon 20^th anniversary of continuous employment with Swedish and upon every anniversary date for each additional five years of continuous service.

Wage grid adjustments

Removal of Ghost Steps below Step 20 for SMC Service, SMC Tech and Edmonds Pro Tech.
For SMC Tech, a new classification/grade level for Social Workers who have LICSW credential that is substantially higher than the cert pay currently provided to those who hold the LICSW.
For Swedish Edmonds Pro Tech, modification of the Endo Technician Wage Scale to align more closely with the SMC Endo Tech wage grid.

Increases in premium pay and differentials, starting first full pay period after Oct. 1, 2022:

SMC Service
- Shift Differential Night premium: $2.75/hour
- Lead premium: $2.25/hour
- Preceptor premium: $1.75/hour

SMC Tech
- Shift Differential Night premium: $3.00
- Lead premium: $2.50
- Preceptor premium: $1.75

SMC RN
- Shift Differential Night premium: $4.50
- Charge premium: $3.00
- Preceptor premium: $2.00

Swedish Edmonds Pro Tech
- Shift Differential Night premium: $3.00/hour for grades 1-13 and $3.50/hour for grades 14-30
- Lead premium: $2.25
- Preceptor premium: $1.75

Swedish Edmonds RN
- Shift Differential Night premium: $4.50
- Charge premium: $3.00
- Preceptor premium: $2.00

Full credit for previous relevant experience for SMC Service and Edmonds Pro Tech caregivers

Between ratification and July 1, 2025, Swedish will review prior continuous relevant experience of caregivers and place them at the appropriate step reflecting 1:1 credit for prior continuous relevant experience.
Within 60 days of ratification of this agreement management will provide to the Union a list of the standard criteria for defining continuous relevant experience.

Swedish Labor Negotiation Update: Sept. 2, 2022

Swedish enhances compensation package, raises base wage increase to at least 21.5% in next 2 years
and adds appreciation bonus

The Swedish Medical Center and Swedish Edmonds bargaining team met with SEIU Healthcare 1199NW again Sept. 1 to discuss increases in compensation for the more than 7,000 nurses, tech and service workers covered by collective bargaining agreements. We continued our constructive dialogue and moved closer to an agreement that would significantly raise the wages of represented caregivers across all classifications.

We presented our initial compensation package earlier in the week, on Aug. 30. (A summary of highlights is in Aug. 30 post below.) After receiving the union’s counterproposal at the end of the day on Aug. 30, we provided SEIU with a counterproposal Sept. 1 that further enhances wages over the next two years to support our caregivers and improve retention and recruitment in a competitive market. We did not reach agreement with SEIU and received a second counterproposal from the union late evening on Sept. 1, which we are reviewing and will discuss with the union on Tuesday, Sept. 6. We are committed to continuing the respectful dialogue and partnership with the union to reach an agreement that will benefit our caregivers as soon as possible.

IMPROVEMENTS in our revised compensation package are highlighted below:

HIGHER total base wage increases of 21.5% (increased from 19% in initial proposal) or higher over the next 24 months (on top of the 2% raise implemented July 1, 2022), including the following:

4% or $1.25/hour, whichever is greater, the first full pay period after ratification
9.5% (up from 7% in the initial package) or $3.00/hour (up from $2.75/hour), whichever is greater, the first full pay period after April 1, 2023
4% or $1.25/hour, whichever is greater, the first full pay period after Oct. 1, 2023
4% or $1.00/hour, whichever is greater, the first full pay period after Oct. 1, 2024

NEW Appreciation bonus: For all caregivers covered by these CBAs who are employed by SMC and Swedish Edmonds at the time of ratification, prorated for caregivers below 0.9 FTE:

$1,000 lump sum bonus effective the first full pay period following April 1, 2023
$1,500 lump sum effective the first full pay period following April 1, 2024

EXTENDED longevity bonuses for continuous employment at Swedish Medical Center and/or Swedish Edmonds, effective at ratification:

$7,000 lump sum bonus upon 20^th anniversary of employment with Swedish
ADDED: And thereafter for each additional five years of continuous service after 20^th anniversary, caregivers shall receive an additional $7,000 lump sum bonus upon their anniversary date.

EXPANDED wage grid adjustment: Removal of Ghost Steps below Step 20 (instead of Step 15 as initially proposed) for SMC Service, SMC Tech and Edmonds Pro Tech.

For SMC Tech, a new classification/grade level for Social Workers who have LICSW credential that is substantially higher than, and will replace, the cert pay currently provided to those who hold the LICSW.
For Swedish Edmonds Pro Tech, modification of the Endo Technician Wage Scale to align more closely with the SMC Endo Tech wage grid.

HIGHER increases in premium pay and differentials, starting first full pay period after Oct. 1, 2022:

SMC Service
- Shift Differential Night premium: $2.75/hour
- Lead premium: $2.25/hour
- Preceptor premium: $1.75/hour (up from $1.25/hour)
SMC Tech
- Shift Differential Night premium: $3.00
- Lead premium: $2.50
- Preceptor premium: $1.75 (up from $1.25)
SMC RN
- Shift Differential Night premium: $4.50
- Charge premium: $3.00 (up from $2.75)
- Preceptor premium: $2.00 (up from $1.50)
Swedish Edmonds Pro Tech
- Shift Differential Night premium: $3.00/hour for grades 1-13 and $3.50/hour for grades 14-30
- Lead premium: $2.25
- Preceptor premium: $1.75 (up from $1.25)
Swedish Edmonds RN
- Shift Differential Night premium: $4.50
- Charge premium: $3.00 (up from $2.75)
- Preceptor premium: $2.00 (up from $1.50)

Full credit for previous relevant experience for SMC Service and Edmonds Pro Tech caregivers

Between ratification and July 1, 2025, Swedish will review prior continuous relevant experience of caregivers and place them at the appropriate step reflecting 1:1 credit for prior continuous relevant experience.
ADDED: Defining relevant experience: Within 60 days of ratification of this agreement management will provide to the Union a list of the standard criteria for defining continuous relevant experience.

Swedish Labor Negotiation Update: Aug. 30, 2022

Swedish compensation proposal includes at least a 19% base wage increase in next 2 years
$100M+ package significantly benefits caregivers in all classifications

The Swedish Medical Center and Swedish Edmonds bargaining team has been meeting with SEIU Healthcare 1199NW to discuss increases in compensation for more than 7,000 caregivers. The collective bargaining agreements cover the hospitals’ nurses, tech and service workers. Both sides recognize there have been significant changes in the cost of living and market rates for healthcare compensation and are seeking an agreement that would quickly start raising caregivers’ wages months before the current contracts are up for renegotiation when the current contracts expire June 30, 2023.

We are proud of the strong compensation package we presented to the union on Tuesday, Aug. 30. Our comprehensive proposal significantly improves wages over the next two years to support our caregivers and aid retention and recruitment in a competitive market. The package also reflects a shared interest in viewing compensation through a racial justice lens and makes the wage scales more equitable for caregivers at the lower end of the scale, while also rewarding longer term caregivers for their years of service.

The bargaining team received a counterproposal from the union at the end of the day, which we are reviewing and will discuss with the union on Thursday, Sept. 1. We are committed to continuing the constructive dialogue and partnership with the union to reach an agreement that will benefit our caregivers as soon as possible.

Highlights of our comprehensive compensation package include:

Total base wage increases of 19% or higher over the next 24 months (on top of the 2% raise implemented July 1, 2022), including the following:

4% or $1.25/hour, whichever is greater, the first full pay period after ratification
7% or $2.75/hour, whichever is greater, the first full pay period after April 1, 2023
4% or $1.25/hour, whichever is greater, the first full pay period after Oct. 1, 2023
4% or $1.00/hour, whichever is greater, the first full pay period after Oct. 1, 2024

Below are examples illustrating how the proposed wage increases would affect caregivers in various roles. The grids show how caregivers would benefit from the wage increases themselves as well as from advancement in steps on the wage scale and the effect of compounding when there is a series of wage increases and step advancements over time.

What does this look like for a caregiver in the Swedish Medical Center Service group?

Janelle began working in Nutrition Services Sanitation in December 2021. Janelle had no prior experience and currently sits at Step 1, earning $18.27/hour.

Ratification	$19.52	6.8% increase
First Pay Period post 4/1/2023	$22.62 (now on step 2)	14.1% increase
First Pay Period post 10/1/2023	$23.87	5.6% increase
First Pay Period post 10/1/2024	$25.59 (now on step 3)	7.2% increase

Janelle will see an overall increase of $7.32 (a 40% increase) during the life of the contract.

What does this look like for a Swedish Medical Center RN?

Rahel is an experienced RN who joined Swedish in February 2020. Rahel currently sits at Step 10, earning $50.05/hour.

Because all across-the-board increases within this range are above the dollar minimum, the standard increases will apply.

Ratification	$52.05	4% increase
First Pay Period post 4/1/2023	$55.69	7% increase
First Pay Period post 10/1/2023	$59.82 (now step 11)	4% increase
First Pay Period post 10/1/2024	$63.15 (now step 12)	4% increase

Rahel will see an overall increase of $13.10 (a 26.2% increase) during the life of the contract.

What does this look like for a caregiver in the Edmonds Pro Tech group?

Michelle began working as an Emergency Department Tech at Edmonds in September 2019. Michelle currently sits at Step 7, earning $27.30 per hour.

Ratification	$28.55	4.6% increase
First Pay Period post 4/1/2023	$31.30	9.6% increase
First Pay Period post 10/1/2023	$32.55	4% increase
First Pay Period post 10/1/2024	$35.72	4% increase

Michelle will see an overall increase of $8.42 (a 30.8% increase) during the life of the contract.

Longevity bonuses for continuous employment at Swedish Medical Center and/or Swedish Edmonds

$7,000 lump sum bonus on 20^th anniversary of employment with Swedish
$7,000 lump sum bonus on 25^th anniversary
$7,000 lump bum bonus on 30^th anniversary

Wage grid adjustments:

Removal of Ghost Steps below Step 15 for SMC Service, SMC Tech and Edmonds Pro Tech.
For SMC Tech, a new classification/grade level for Social Workers who have LCSW credentials that is higher than, and will replace, the cert pay provided to those who hold the LCSW.
For Swedish Edmonds Pro Tech, modification of the Endo Technician Wage Scale to align more closely with the SMC Endo Tech wage grid.

Premium pay and differentials will increase to the following, starting first full pay period after Oct. 1, 2022:

SMC Service
- Shift Differential Night premium: $2.75/hour
- Lead premium: $2.25/hour
- Preceptor premium: $1.25/hour
SMC Tech
- Shift Differential Night premium: $3.00
- Lead premium: $2.50
- Preceptor premium: $1.25
SMC RN
- Shift Differential Night premium: $4.50
- Charge premium: $2.75
- Preceptor premium: $1.50
Swedish Edmonds Pro Tech
- Shift Differential Night premium: $3.00/hour for grades 1-13 and $3.50/hour for grades 14-30
- Lead premium: $2.25
- Preceptor premium: $1.25
Swedish Edmonds RN
- Shift Differential Night premium: $4.50
- Charge premium: $2.75
- Preceptor premium: $1.50

Full credit for previous relevant experience for SMC Service and Edmonds Pro Tech caregivers

Between ratification and July 1, 2025, Swedish will review prior continuous relevant experience of caregivers and place them at the appropriate step reflecting 1:1 credit for prior continuous relevant experience.

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