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Geisinger, Evangelical Agree to $28.5 Million Over Alleged No-Poach Deal

Geisinger, Evangelical Agree to $28.5 Million Over Alleged No-Poach Deal

Summary

Geisinger and Evangelical Community Hospital in Pennsylvania agreed to pay $28.5 million to settle claims about a no-poach deal. The deal is about an alleged agreement that prevented the hospitals from hiring each other's staff. A judge needs to approve this settlement, and if approved, funds will be distributed to about 12,000 workers.

Key Facts

  • Geisinger and Evangelical Hospital settled a lawsuit for $28.5 million over a no-poach agreement.
  • Geisinger will pay $19 million, and Evangelical will pay $9.5 million.
  • The settlement needs approval from a judge in Pennsylvania.
  • Approximately 12,000 healthcare workers will get a share, with each getting at least $250.
  • The alleged agreement aimed to reduce staff hiring competition and keep wages low.
  • The lawsuit began with claims by three nurses in February 2021.
  • Both health systems have large numbers of employees in Central Pennsylvania.
  • The Department of Justice investigated the deal, indicating it harmed competition for jobs and healthcare services.

Source Information