2012 National Agreement
An Overview of Key Provisions
October 2012
Spirit of the National Agreement
“[T]his Agreement continues to set forth
new ways to work and new ways to
provide care. It enables each person to
engage her/his full range of skills,
experiences, and abilities to continually
improve service, patient care and
performance.…Engagement in
Partnership is not optional, but the way
that Kaiser Permanente does business.”
- 2010 National Agreement
How the Agreement Supports KP Strategy
Strategy
2012 National Agreement Summary Provisions
Transforming
Care Delivery
• Continued support for UBT development and assessment — commitment for 85 percent of teams
to achieve high performance by 2016
• Formula to limit future liability for post-retiree health care costs
Solving for
Affordability
• Education on cost and appropriate use of employee health benefits
• Total Health education and incentives to enhance employee wellness and reduce costs of care
• UBTs increasingly taking on projects that remove costs from the system
Growing
Membership
• Increased union collaboration in targeting and engaging key union-affiliated accounts
• Internal communication on employees’ role in enhancing member experience and retention
• Joint workforce planning and development strategies
• Implementation of hard-to-fill positions plan of 2011
Enabling
Performance
though People
Total Health
• Funding for educational trusts and joint prioritization of training needs and criteria
• Across-the-board wage increases reflect the difference in performance between California
regions and those outside of California (3 percent annually in CA; 2 percent annually in Regions
Outside California)
• Increase employee participation in Total Health efforts, with a commitment to attain industryleading reductions in smoking rates, cholesterol and blood pressure levels, and BMI averages;
increase understanding of how to reduce incidence and severity of chronic disease
For more information, see www.lmpartnership.org/tools/2012-national-agreement-overview
Benefits and Economics: Highlights
• No change in current benefits for life of the agreement
• Retiree health liability solution
• California wages/ATB: 3% per year
• Regions Outside California wages/ATB: 2% per year
• PSP – up to 3% of payroll for meeting regional goals
• Dental max improved from $1,000- $1,200
• 401K auto-enrollment and optimization (also applies to 403(b))
• Employee education for effective use of benefits
• Standardization and simplification of benefits
Total Health: Highlights
Commitment to help KP employees become the healthiest in
the industry
• Rewards employees for the collective achievement of lowered
chronic disease risk factors, including body mass index (BMI),
smoking, cholesterol levels, blood pressure and workplace injury
rates
• Total Health Program Incentive to promote participation in
updated risk screenings, completion of the Total Health
Assessment, and maintenance or improvement on key health
risks, if there are savings
• Tracking and reporting of results
Improving the Partnership: Highlights
• Continued learning, development and assessment of UBTs
• Increased sponsor accountability, with more support for sponsors
and greater accountability for co-leads
• Regional LMP Councils to develop plans to reduce variation in
resources for partnership
• KP contributions to LMP Trust as follows:
o California: $6 million in 2012; $4 million in 2013; $2 million in 2014
o National: $10 million in 2012; $11 million in 2013; $12 million in 2014
• Aggressive targets for growth of high-performing UBTs:
Year
2012
2013
2014
2015
2016
Levels 4 & 5
40%
60%
75%
80%
85%
Workforce of the Future: Highlights
Joint workforce planning and development:
• Continued and enhanced development of career tracks
• More integrated workforce planning, with labor engagement
• Establish priorities and reduce barriers to training
Education trusts/funding:
• Continue annual contributions of $19 million to two educational
trusts (Ben Hudnall Memorial Trust and SEIU Education Fund)
• Outside grant funding to be identified and publicized
Hard-to-fill positions: Regional implementation plans in June 2013
Scope of practice: Joint committees in each region with six months
of ratification
Growth of KP and the Unions: Highlights
Recommendations for growth of KP include:
• Replicate the Senior Workgroup on Growth at the regional level
• Promote total health for membership growth
• Improve the member experience for retention/growth
• Inform people throughout KP of activities, trends and results that
support growth
Recommendations for union growth include:
• Provide training for KP Labor Relations and HR representatives,
and consistent application of union campaign processes
• Reaffirm the National Agreement language on new positions
and minimizing use of temporary workers and subcontractors
• Form committee to identify additional growth opportunities for
unions inside KP
Tracking and Monitoring NA Deliverables