The Change
The potential for an open-ended strike by healthcare professionals represented by a union at Kaiser Permanente facilities in Hawaiʻi and California has been signaled. While Kaiser Permanente has publicly stated it has offered what it calls its "strongest compensation package" in its bargaining history, the union has issued a strike notice. The precise timing of any potential strike is not yet fixed, but the issuance of a notice signifies an imminent threat to service continuity.
Who's Affected
Healthcare Providers: While directly involved in negotiations, the broader healthcare ecosystem in Hawaiʻi will feel the effects. Private practices and other clinics could see an influx of patients seeking care previously provided by Kaiser Permanente. This could strain existing resources and potentially lead to longer wait times for non-Kaiser patients. Telehealth providers may experience increased demand, but also the challenge of absorbing patients accustomed to a specific integrated system.
Small Business Operators: For small businesses across Hawaiʻi, particularly those that offer Kaiser Permanente as part of their employee health benefits, a strike introduces immediate risk. Employees may face disruptions in accessing routine care, specialist appointments, and emergency services, impacting their well-being and productivity. Businesses that operate with lean staffing models could be particularly vulnerable if key employees are unable to receive timely medical attention.
Second-Order Effects
A prolonged strike at a major healthcare provider like Kaiser Permanente can trigger a cascade of issues within Hawaiʻi's isolated economy. Immediate disruption to healthcare access for thousands of employees (and their families) will likely lead to reduced workforce productivity and increased absenteeism. This could, in turn, place greater strain on businesses that are already struggling with labor shortages. Furthermore, any increased demand on non-Kaiser healthcare providers could lead to higher costs for services, potentially impacting insurance premiums for businesses and exacerbating the cost of living for all residents.
What to Do
Healthcare Providers: Monitor official communications from both the union and Kaiser Permanente regarding negotiation progress and strike timelines. Assess current patient loads and staffing levels to determine capacity to absorb potential overflow patients from Kaiser facilities. Review referral networks and consider how to manage increased demand from patients seeking alternatives.
Small Business Operators:
Action: Watch union and Kaiser Permanente announcements closely for strike authorization votes and definitive strike dates. Immediately review employee health insurance plans to understand coverage limitations or alternative providers available should Kaiser Permanente services be unavailable. Engage with employees to communicate potential disruptions and explore interim solutions if feasible.
