Bon Appetit apologizes over benefits 'miscommunication'
By Richard Nieva
Bon Appetit management sent out a letter of apology and explanation to its employees on Monday after complaints about changes in their health benefits plan.
"We had a hitch, as we often do. And as far as we're concerned, they made good on their commitment and have resolved the problem," said Service Workers United union representative David Werlin.
The new health benefits policy went into effect on Jan. 1, 2007. Under the new plan, Bon Appetit workers received debit cards worth $150 as an addition to their existing benefits. This money was to be used for any medical expenses the workers may accrue and would be valid for one year.
Many workers were confused by the purpose of the card and showed concern that the card program would replace their old health insurance plan.
"With any kind of change in benefits, you're going to have misunderstandings and a need to go back and forth multiple times. And that occurred here," said Lori Flashner, general manager of Bon Appetit. "It could have been handled better."
Flashner stressed that this was not replacing the old benefits plan, but adding to it, calling it an "enhancement program."
Every expense exceeding $150, workers were told, would come from out-of-pocket expenses, according to a document titled "Benefit Card Frequently Asked Questions," which was distributed at a Bon Appetit team meeting when the card system was instituted.
Flashner said there is really no change because the company reimbursed these out-of-pocket expenses through payroll in the old system anyway.
She said the cards would streamline the process, allowing workers to pay first with the card instead of immediately having to dip into out-of-pocket funds and wait for reimbursements.
"I'm hoping that after today, and the letter that went out, people understand that there's no intention to change their contract, to change the meaning of their contract," said Flashner. "It's just the vehicle with which they will receive their benefit."
The Bon Appetit letter apologized for any miscommunication and stated that workers would be reimbursed for any medical expenses exceeding $150 if they brought in their receipts.
The health plan changes caught the attention of the Santa Clara Community Action Program's Labor Action Committee, who wrote letters to administrators, created a workers advocacy Facebook group and inserted a flier in last week's issue of The Santa Clara without permission.
Senior Matt Lee of the Labor Action Committee said he thought the change was not just miscommunication, but deliberate.
"Apparently, they still think that it was a case of miscommunication when that was clearly a violation of contract. And if not, why would the workers and union act to enforce the contract?" said Lee.
Flashner said the benefit card was not a contract violation, adding that it was agreed upon and negotiated between Service Workers United and Compass Group, Bon Appetit's parent company.
Bon Appetit employees met Monday with Werlin at a closed-door meeting in the California Mission Room.
Some students, including members of the LAC, were also allowed to attend.
Senior Fred Sanchez, an LAC member, said most workers who have exceeded their card's spending limit and brought in their receipts have not been reimbursed.
Flashner said the latest reimbursements, turned in a couple of weeks ago, had not been repaid, but all previous reimbursements had been made. She said this was routine for reimbursements to be processed.
The LAC met with Flashner late Wednesday to discuss the situation.
Sanchez wrote a flier about subcontracted workers' rights, which was distributed in a self-proclaimed "unorthodox" manner, including physically inserting it into issues of The Santa Clara.
The LAC said they also looked to the university for support.
"The university contracts with Bon Appetit. Bon Appetit has a contract with their employees, and those employees are represented by the union. And for us to intercede in their worker-management arrangement would not be appropriate," said Jane Barrantes, director of auxiliary services.
However, the LAC drafted a letter that was sent to members of the administration. Both Lee and Sanchez said they credited administration for stepping in.
"(Workers are) not being taken for granted. The university does care. And the university is being accountable for the actions that the management is taking," Sanchez said.
Regardless of everything else, Lee said it all boils down to the workers.
"I think that as long as the workers are happy with this, which it seemed like from the meeting, it went well because workers are finally getting their medical benefits that are guaranteed through their contract," he said.
The workers' contracts are up in June 2008. And though both Flashner and Werlin say it is still very early, Werlin said that renegotiations seem promising. Werlin said he has no reason to believe things will go badly.
Werlin also said that there are always ups and downs in any situation. He said that within the service workers industry, Bon Appetit ensures its employees a very good overall benefits plan.
"Things that go well and things that go badly are expectations of the future, and it's also going to be that we work together to resolve them," said Werlin.
Contact Richard Nieva at (408) 554-4546 or rnieva@scu.edu.