Plans to be Leaner and Meaner during the Current International
Financial Down Turn
The Kaiser solution was to cut back on
services that were long term, cost inhibiting (by their
by the overpromotion of their actual capabilities to government
agencies and with inaccurate/manipulative
promised a great deal but did not always honor their
They also allowed or knowingly participated in unethical
for their self interest of physician
financial reward and retirement
programs. The public
must get rid of the notion that Kaiser in business for anything other
than making money for the physicians. This
is not a caring family doctor type of outfit.
the years 1991 - 2003 there was another financial crisis in this
country. During 1997 - 2002, things really got bad in the
Health System. That is when major cost cutting in health care
under the Federal Balanced
Budget Act took place. Medicare recipients suffered
the most because it was their services that were cut back.
Previously unimaginable shady deals were developed due to the
repercussions of this act. The patients suffered
Kaiser and other HMO's felt that in order to keep their personal
of Luxury" they had no other choice.|
just doing their job as promised to the public, and our government,
seem to have
never crossed their minds. Secretively
patient care and covering up wrong doing was the
they cared about was keeping their government contracts and keeping
many people still remember how Kaiser knowingly allowed patients to be
harmed. They still remember how there was zero
arrogant corporate and government protectionism of the actual offenders
and how employees outright bragged about such conduct for their
gain. They still know that nothing has ever changed and that
to sweep such conduct under the rug continues to this day.
of all, many people never forgot the false government promises to
conduct investigations and bring about prosecutions for corporate and
employee civil and criminal conduct.
that Kaiser and government regulatory agencies ever really needed to do
was root out the offenders and stop blocking prosecutions.
Instead, continued cover-ups is their method of doing business.
The problems will never go away with that mode of operation nor will
they ever bring public trust for any except those innocents that are
very unfamiliar with these types of systems.
To add anguish to the memory of
what Kaiser did to numerous trusting patients and their families, often
the Kaiser public contact persons were openly hostile, insulting,
demeaning or at the other extreme sounded as if they had taken one too
many mood altering drugs and held the attitude that they were speaking
to over sheltered preschoolers. In short, by one method or
another the staff openly attempted to demean and ridicule the public in
an attempt to make them just go away.
employees have stated over the years: "Once Kaiser determines
that a patient just costs too much for them, one way or another they
will make them leave." The truth is that for the truly
patient, the one that believes that corporations will honor contracts
and that regulatory agencies will do their promised jobs, those are the
people that needlessly suffer and often die from lack of medical care.
era, once again of computer problems that crop up until patients expire
or leave the system, where sudden shortage of staff prevents patient
care, where unavailability of physicians occurs so patients have no
true medical treatment or where not so accidental medical errors take
place is currently descending fully and openly once again.
Nothing ever got better except the employee's and director's
paychecks. So, here they go again:
Friday, February 20, 2009
Kaiser Permanente puts costs under the knife
Pay freeze, layoffs planned
Reform of a $2.5 Trillion Health Care
Former US Senator David Durenberger (R-Minn.), in his weekly e-mail
newsletter, quotes George Halvorson, CEO of Kaiser-Permanente, the
largest health maintenance (health and healthcare delivery and
financing) company in the world.
"Expecting our massive, very well-financed, high revenue,
high margin, high growth, healthcare infrastructure to voluntarily
reduce costs and prices and expecting them to voluntarily and
spontaneously improve either outcomes or care quality is
unfortunately naive. It is almost entirely funded by a steady and
massive stream of fees and cash payments that have no linkage
either care quality, efficiency or results. It is magical
to believe that health care delivery can, or even could,
itself in any significant way.
There is no economic reward for improving
So if what Halvorson says is
important to the Permanente then why do they claim that "95%
of physician compensation is straight annual salary" and that
"Kaiser plans have virtually no pay incentive for higher
production or a larger patient panel. A few of the regional medical
groups have very small individual bonuses for higher production. Kaiser
doctors also earn overtime for working more than the required hours."
"Kaiser plans rely on medical management, performance evaluation, and
peer pressure--rather than pay incentives--to meet production
requirements. Mustille notes that Kaiser staff physicians are subject
to a "thick book of policies and procedures," key provisions of which
set out work hours and patient accessibility requirements." http://findarticles.com/p/articles/mi_m0FBW/is_8_4/ai_106493382/pg_2?tag=content;col1
Documents Show How Physicians Monitored on Costs
"This is a disgraceful performance by a corporate giant that spent $60
million a year in advertising just in 1995 proclaiming a supposed
‘Commitment to Quality’ and that Kaiser is somehow ‘Different from the
Ground Up’ compared to the other giant corporate medical chains in the
health care industry," DeMoro added.
"Yet Kaiser made over $2 billion in profits in the three most
recent years for which data is available, gave its chief officer David
Lawrence a 12% pay hike in 1995, and spent an additional $96 million in
1995 on consulting fees."