June 19, 2019

Understanding Kaiser Permanente’s proposal

Market-leading package will help us deliver on our mission.

In our current negotiations with the Coalition of Kaiser Permanente Unions, Kaiser Permanente is proposing a few changes to our total rewards package. Most of these changes would only impact the benefits offered to future employees — and the changes proposed for future employees reflect the new realities of the highly competitive health care marketplace.

The proposal includes 3 main components:

  • We’re offering pay increases: We want to attract and retain the best people in health care.
  • For current employees, we’re proposing to change the copayment schedule for medical benefits to include a $20 copay for office visits (copays for other services may vary).
  • For future employees, we’re proposing an updated package of benefits that better aligns with the market; the package is designed to ensure we continue to offer market-leading pay and benefits.

To help explain our proposal, we have created a Building a Sustainable Future Together fact sheet that walks through the proposed changes, showing what will be different for current employees and detailing the benefit package changes for future employees. It notes that the proposed retirement savings plan for future employees is a Defined Contribution plan. Our proposal includes a generous KP contribution to the employee’s retirement account.

Kaiser Permanente’s proposal is designed to balance 2 imperatives: (1) we are offering a market-leading package of pay and benefits, while (2) ensuring we can deliver high-quality, affordable health care to our members and patients.