Howard-Brown Health has agreed to pay $1.3 million to employees who the National Labor Relations Board alleged were illegally laid off, the agency said Friday.
The settlement agreement, reached this month, resolves a complaint filed by labor council officials in March, alleging the health center illegally laid off more than 50 workers without negotiating with their union. Officials also alleged that Howard-Browne violated labor law by illegally threatening workers, monitoring their union activity and bargaining without the intention of reaching an agreement, according to Labor Council spokeswoman Kayla Blado.
The $1.3 million for laid-off employees includes back pay, 401(k) compensation and compensation for other financial damages they may suffer after being laid off.
Howard Brown is a federally qualified health center that receives federal funding to care for low-income patients in a network of eight clinics throughout Chicago. The health center specializes in caring for LGBTQ+ patients and people living with HIV.
Non-nursing employees at Howard Brown, including therapists, physician assistants, administrative staff and employees at the company's Brown Elephant thrift stores, which united with the Illinois Nurses Association in 2022.
Staff went on strike twice in 2023, in January and November, following layoffs at the health center. Howard-Browne said last year that he was facing a budget shortfall of $12 million.
As part of the settlement agreement, Howard Brown must offer to bring back the employees who were laid off from their jobs. Representatives of the health center and the union said that the company did this last year. About half of the laid-off employees have accepted the offer to return to their jobs, INA spokesman Ronnie Peterson said.
The union said in a statement that the completion of the settlement agreement ensures that the laid-off workers “will be safe in the end.”
In a statement, Howard-Brown President and Interim CEO Robin Jay called the settlement a “win-win solution” that “addresses the concerns of our colleagues while ensuring the long-term financial stability of Howard-Brown Health.”
“Our primary focus remains providing exceptional care, and this settlement allows us to do that in partnership with our dedicated employees,” Jay said.
The non-nursing staff reached a contract with Howard Brown this spring after a year and a half of negotiations. The agreement includes 7% raises, a minimum wage of just over $19 an hour, and health insurance for part-time employees, according to the union.
