June 17, 2000

Contact: Melodie Jackson (650) 723-6661 pager # 15226

STATEMENT FROM STANFORD HOSPITAL AND CLINICS AND LUCILE SALTER PACKARD CHILDREN'S HOSPITAL

Stanford and Packard hospitals are dismayed that while the nurses' union was still at the bargaining table Friday, union spokespeople were informing the media that talks had collapsed. In addition to putting forth this misinformation, union leadership indicated to the media that they had come down from their initial salary demands. In fact, at the negotiating table, union leadership has made no formal proposal to the hospital. Instead, they stated only that they were working on a package that would lower their initial demands if a series of other conditions were met.

In no uncertain terms -- these irresponsible statements have misled the media and the public.

As we enter the 11th day of this nurses' strike, the hospitals continue to look for a rapid and fair resolution that will keep our nurses' salaries among the highest in the Bay Area while ensuring that nursing salaries do not impact our ability to focus resources on our patients. It would be reckless for the hospitals to meet CRONA's exorbitant salary demands. It would damage the long-term viability of the hospitals and inhibit our ability to operate many of the advanced programs and specialty services that this community has come to depend on.

We value our nurses. They're doing a great job. That's why we offer generous salary and benefits. Our goal is to conclude negotiations successfully and get our nurses back to doing what they do best: providing great care for our patients.

The union leadership's unrealistic salary demands remain the key stumbling block in these negotiations. Stanford and Packard have proposed to increase the average full-time nurse's salary to $75,300 per year and to $84,200 per year for our most experienced nurses-- above and beyond that our nurses receive generous benefits and the potential for overtime and higher pay rates for evening and weekend shifts.

Union leadership is demanding an unrealistic increase to an average full-time base salary of $85,000 per year and to $97,200 per year for the most experienced nurses.

While our proposal would cost approximately $8.5 million, the union's proposal would cost close to $30 million. CRONA's outrageous salary demands and its 1998 call for its membership to begin financial preparations for a strike in 2000 lead us to believe they planned to pressure the hospitals with a strike well before they sat down at the bargaining table.

Despite the strike of the last 11 days, Stanford and Packard hospitals have continued to provide the highest quality of care:

* Stanford Hospital is at 100 percent of pre-strike occupancy

* Lucile Packard Children's Hospital is at 80 percent of pre-strike occupancy and delivered 17 new babies last night alone

* The emergency room is open and fully functioning

* Adults and children are being admitted for treatment

* The operating rooms are fully staffed and functioning

* All clinics are open

Unfortunately, as this strike wears on, the nurses union is threatening to "turn up the heat." We urge the union leadership to keep a cool head and remember that --dispute or no dispute -- we're here to deliver care to our patients.

Our physicians, qualified nurses, staff and volunteers are working side by side to provide the very best care to our patients and our community. We will continue to honor this commitment regardless of what CRONA's leadership decides to do.

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