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Sunday, June 23, 2013

A Letter To The Editor By Steven Rumney 6-19-13

PRMC executives receiving million dollar salaries, huge raises and profit incentives at “Not-for-Profit” hospital!
Alan Newberry


Peggy Naleppa

Alan Newberry

Compensation of $1.57 million for fiscal year 07/01/10 to 06/30/11; PRMC tax return for that period does not indicate ANY hours worked. He received $3.6 million in total compensation over the three years (07/01/08-06/30/11) with status in all but six months as “Retired CEO”

Peggy Naleppa

Compensation of $797,212 for fiscal year 07/01/10-06/30/11, about $383/hour. Her salary increased 52.9% in the two years from 07/01/09-06/30/11.

Non-profit hospitals are established with the purpose of providing service to the community and to allow donors to make tax-deductible donations. All Maryland acute care hospitals have “not-for-profit” status under IRS 501(c)(3) code which makes them totally exempt from paying income, property and sales tax. This tax-free status is afforded to hospitals in return for “Community Benefit”. All earnings from the non-profit hospital must be reinvested to improve quality and care of the hospital and is used to fund “Community Benefit” programs including Health profession education, Charity Care (more about this later), mission driven health services, and community health services. 

All spending from the non-profit must be consistent with its charitable goals and that is why disclosure of the compensation packages for executives at these Non-profit hospitals often results in shock and outrage from members of the community and potential donors. Executive pay at these Non-profits must meet the IRS criteria of being “reasonable”. But what is “reasonable”? I think it would be informative to examine the specifics of the compensation structure for executives at Peninsula Regional Medical Center (PRMC). All data has been obtained from publicly available Form 990 corporate tax returns.

PRMC has established the mission statement “To improve the health of the communities we serve” and this is a fine goal indeed but let’s put this in context. Allen Newberry the former hospital CEO earned $1.568 million for the Year Ending (Y/E) 06/30/11 as recorded in the applicable PRMC tax return; and he was not listed as having worked ANY hours! (Found on Form 990, Part VII Section A).


Over the three year period of July 1, 2008 to June 30, 2011 Newberry received compensation of almost $3.6 million with all but six months of this period as a “former CEO”. I have a hard time connecting this incredible compensation for a retired CEO with the hospital’s stated goal to “Improve the health of the communities we serve”. What citizen(s) of our community benefited from this money other than Mr. Newberry himself? Whose health was “improved”?

Peggy Naleppa, the current PRMC CEO also had a very good year in fiscal year 2011. In addition to clearing the table by winning almost every local business, civic, leadership and humanitarian award possible she was compensated quite well by the hospital. 


Naleppa’s compensation as reported on the PRMC 990 return was $797,212 for the Y/E 06/30/11; an increase of almost 53% over the two years ending 06/30/11! In fact ALL top PRMC executives received huge increases in their compensation. A review of the publically available PRMC tax return for the tax Y/E 06/30/11revealed that the combined compensation of five top PRMC executives: Newberry, Naleppa, Cindy Lunsford (COO), Thomas Lawrence (former VP Medical Affairs), and Bruce Ritchie (CFO) increased by 33.2% over the previous year!

The large increase in compensation for PRMC executives contrasts quite sharply with the compensation increases seen by the typical PRMC employee. A calculation of the average hospital salary (using the hospital’s reported “Salaries and other compensation”, line 15 of Form 990 Part I, divided by the reported number of employees, line 5) yields an average employee salary of $53,381 for Y/E 06/30/11 and $52,510 for Y/E 06/30/10 when the top eight most highly compensated executives are removed from the calculation for each year. This means that while the executive team was receiving quite attractive increases during the same period the increase in average compensation for the three thousand remaining hospital employees was a very modest 1.7%. This suggests nothing more than a cost-of-living increase.

In addition the compensation package for some PRMC executives includes membership dues to Health and social clubs (Part IV, Question 12) completely financed with your charitable contributions, tax dollars and insurance premiums. These are not expensive perks but they may present an image problem. It would indicate that the hard economic times experienced by most of the nation have not found their way into the PRMC corporate boardroom! Also it should be recognized that last year while the executive pay at PRMC was soaring the hospital was busy filing lawsuits against more than 2,200 citizens who were unable to pay their medical bills; about six each and every day!

To be sure PRMC executives are not alone in being well compensated. A review of the publicly available set of tax returns (Y/E 06/30/10) for more than 40 Maryland general hospitals revealed that the average hospital CEO salary was about $758,413. And there are a lot of hospital executives who are millionaires. In the same period Maryland hospitals listed 25 executives with annual compensation of over $1 million!

Most Not-for-Profit institutions typically rely heavily on tax deductible contributions from supporters to fund their operations (and also validate their tax-free status) but contributions are a very small component of the PRMC revenue stream. The PRMC tax return for

Y/E 06/30/11 reported that revenue derived from contributions, gifts and grants (Form 990 Part VIII, line 1h) totaled only $173,096 a mere 0.04% of income! Sadly the compensation paid Newberry is more than nine times the revenue from all contributions! Other hospitals do rely more on contributions. The tax return for Atlantic General Hospital for the same period (Y/E 05/30/11) indicates revenue from contributions was more than $1.2 million (about 7 times more than PRMC) which constituted 1.4% of total revenue and more than three times their CEO compensation.

Another disturbing fact found on the PRMC tax return is that the hospital has an executive compensation and incentive program based on the profits of the institution! Part III Schedule J of Form 990 states the following: 


“Officers and key employees of Peninsula Regional Medical Center are paid compensation based on the net earnings activity of the Medical Center and Peninsula Regional Health System.” 

Additionally on Schedule J Part I, Question 6a there is the following question:
 
“Did the organization pay or accrue any compensation contingent on the net earnings of the organization?” 

The response in the tax return is “yes”. 

Something just doesn’t seem right. Why should PRMC, a “Not for profit” institution have an executive bonus incentive program based on profits? Maybe I am confused but I thought their institutional goal was to improve health not improve profits! Remember that Non-profits must spend surplus funds on services and programs. I have only found one other hospital in MD that also has a similar incentive plan. 

This brings up another tough question. What is the measure of performance and compensation for the CEO of a non-profit hospital? In one of the most comprehensive studies on the subject the New Hampshire Center for Policy Studies recently concluded that “there is virtually no correlation between hospital CEO pay and either quality or cost”. Instead the study found that the CEO pay more closely correlates with the size of the institution. Locally what performance metric is used to determine the compensation for a CEO like Naleppa? Is it how well she does in leading the hospital in providing community benefits or is it how successful she is in adding new wings to the hospital, expanding the span and reach of the Peninsula Regional Health System or eliminating all competition? 

It suggests to me that PRMC has an aggressive plan to strangle any competition and achieve complete monopoly position on all health care services either by buying out independent practices and bringing them under the umbrella of the Peninsula Regional Health System or simply putting them out of business. It has been suggested that PRMC has restricted referrals to independent (competing) health care providers; a very strong arm and anti-competitive tactic, potentially infringing on anti-trust law. This might suggest that the executives at PRMC think it is more important to further strengthen their provider monopoly than to provide an opportunity for sick and ill patients to find alternative treatment options. If this is true it is deplorable!

The Peninsula Regional Health System (PRHS) now contains 75 providers in 12 different specialties and is still growing. I don’t see how the market domination by one extremely large provider and a lack of choice in alternative providers will “improve the health” of our community and I can’t understand why the state allows such obvious anti-competitive practices. What I do know is that when these formerly for-profit health care providers become part of the PRHS they become immune from property and income tax, putting more pressure on other local businesses to pick up the shortfall. Also as the revenue of the PRHS increases we may expect to see further increases in executive compensation.

Other than requiring specific reporting guidelines there are no quantitative thresholds required by the IRS on community benefits such as charity care. The state of Maryland doesn’t seem interested in challenging the tax-free status of any hospital. What makes high executive pay all the more disturbing is the fact that in Maryland the “Charity care” component of “Community Benefit” provided by not-for-profit hospitals is really not charity at all. Maryland is the only state where prices for medical procedures at hospitals are determined by a rate-setting committee. The Maryland State Health Services Cost Review Commission (HSCRC) has established the rates that MD hospitals can charge for procedures for all payers including Medicare, Medicaid and the private insured for over thirty years. Uncompensated care, discounted care and even bad debt are all taken into account when the state sets the rate the hospital can charge for procedures. The hospital rate is allowed to increase to cover these previous losses. So where is the “Community Benefit” here? I am sure there are many private businesses that would like to have the state clear up their bad debt!

The question over hospital executive compensation is not only a national issue but we have the same concerns right here in our community. Only state legislators and an outcry from the public may affect any change. Jay Hancock (Kaiser Health Care News, formerly of the Baltimore Sun) recently stated: 


“Hospitals aren't Goldman Sachs. They're not Stanley Black & Decker or Microsoft, either. They're nonprofits, getting charitable donations and huge government subsidies beyond all the loot they rake in from Medicare and Medicaid. If the newly required disclosures on the IRS "Form 990" put pressure on hospital boards and CEOs to tone it down, it's about time.” 

I believe the public deserves to be informed of the facts and somehow PRMC needs to be held accountable for how our local hospital chooses to spend its abundant and growing supply of tax-free money. If you agree with me and find this information disturbing and frustrating as I do, I urge and encourage you to appeal to our legislators on both the state and federal level or contact the hospital board directly expressing your disappointment. 

Someone has to be accountable and answer why this situation is the way it is.

268 comments:

«Oldest   ‹Older   201 – 268 of 268
Anonymous said...

Monday should be interesting. I am sure that Naleppa are Lunsford are scheming this weekend on how to crack down on employees and their feelings and comments. I'll be they are putting together some type of "document" that directors and managers will be forced to serve up or else be escorted out the door.

If you don't believe me... ask Tom Lawrence how they did him. Humiliation, pure and simple. VP of HR got caught by his wife banging another employee and he can leave quietly... Tom Lawrence got screwed. Difference? One defied Queen Peggy. Guess who...

Anonymous said...

I no longer work at PRMC thank goodness. But I wish I could be a fly on the wall Monday morning. It's a shame it has all come to this because that place has so much potential. And WBOC, WMDT, and The Daily Times should all be very ashamed of themselves for not picking up this major story that obviously is a huge part of this community. It just goes to show that the very institutions that claim to "serve the community" do so as long as it doesn't interfere with a business/financial relationship.

Anonymous said...

Dr. Lawerence was about the only that really cared! He was such a kind & genuine man. One day he was making rounds with Leonard and stopped by my office. He saw that I was swamped with work and really didn't have time to talk to them...2 days later Dr. Lawerence stopped me in the hallway to ask how I was doing. If he wasn't really sincere, it still made me feel like someone cared.
Thanks to Joe for allowing us to post and to Steve for writing the article.

Anonymous said...

Tom Claybaugh of the Daily Disgrace and Peggy Naleppa are drinking buddies tied at the hip. Their mutual admiration society is well know. The screwspaper rakes in thousands of dollars from the hospital and won't risk that cash. Meanwhile, rich guys like Claybaugh are sure to go to Hopkins for their medical treatment while the rest of us poor folks are stuck going to PRMC.

Anonymous said...

Now that this is all out in the open what are we as employees going to do ?

Anonymous said...

Whatever we do make it known cause something has to happen

Anonymous said...

I absolutely agree with this !

Anonymous said...

Dear 8:40:
There are people in Managament position that "Do not have or working towards" a degree that their job title/job descriptions says they should have! So let's not talk about education! Signed kindly by a person born & raised here with an very nice education! Sounds to me you are a little jealous of those rednecks as you called them that can let loose and have fun and not walk around with a stick up their backside!!!

Anonymous said...

And how about the employees that take call for $3.00 and hour? Once paged, you have 30 minutes to arrive. Granted, once you clock in, you are paid time and a half. However, some employees are now on call for 10 days out of the month because of staffing shortages. Seems to me the $3.00 an hour needs to increase!

Also, some vital departments are sending staff members home during the week due to low census. How would you like to have a family member, or yourself, need a heart cath, or worse yet, bypass surgery, only to have to wait for a team to come back because they were sent home? Eventually we run out of vacation time because of this and have to leave without pay.

Anonymous said...

My friend was in the hospital 2 days. They never washed her floor OR took out her trash can that was full of Kleenex and other things. This was last year. When she told me I could hardly believe it, NOW I DO!

Anonymous said...

The comments concerning Larry are wrong and rude. He has been a great asset to our dept. I've never heard him use profanity. He is polite and friendly.

Anonymous said...

To 1:32 AM Posting

I guess you would have done to Joe Albero what was done to FOX news reporter, James Rosen. Well guess what - you already have set up a fire storm of criticism because if it wasn't for SBYnews - all of this would have been swept under the rug.

You - my friend are way out of line and I am repulsed by your inept opinion.

Anonymous said...

To 1:32 AM,

Peggy Naleppa is hardly an "authority figure" in Salisbury. In fact, since she maneuvered her way over Newberry ahead of schedule, she has systematically squandered a fair amount of the relationships the hospital had with community leaders-- like the law enforcement agencies, the local political leaders, the local community leaders.

Under her leadership, hospital employees have even been discouraged from participating in volunteer organizations not "approved" by the hospital executive team.

Has anyone asked yet why the hospital's foundation seems so moribund lately? Go to any function, and you are bound to see more employees than community members there... and that only because participation is "required".

That comes from being arrogant about your place in the community.

To those whom much is given, much is expected. Expectations are not being met.

Anonymous said...

We have got to keep this conversation going until the news picks it up and does something with it, until some one with some kind of influence can step on and help the employees.
If We speak out we get canned.
I hope Peggy realizes monday that just about everyone she walks by whether they be an employee or visitor or patient knows what she she is doing to our hospital. She should be ashamed of herself.

Anonymous said...

Dr. Nalepa should quit PRMC and go work for the other crooks right down the road.....SAlisbury University. They too that take money from the public and get big donations to get their names on buildings. She even looks like she could be twin sister Esbaugh, president of SU.

Anonymous said...

It truly is time to think about a union. I wonder how to go about it, though. Suggestions anyone?

Anonymous said...

There are alot of comments on this and almost all are not to the hospital benefit! Wake up Board and do something...the staff in all departments are crying out for you to intercede. Everyone is unhappy!!!!! To the employees......don't put up with this do something besides complain. They cannot run the hospital without you...remember that!!!!

Anonymous said...

Does anyone else remember being threatened with termination if caught with a cell phone while in uniform- even if they were not on the clock? It was about a year ago, I believe. I see administrators and directors with theirs quite a bit. I guess it's do as I say, not as I do. Starting to resemble the US Congress, especially with them having better insurance than the rest of us!

Anonymous said...

I would like to thank Mr Rumney as well as Joe for putting this out there for all to see. There have been an awful lot of comments and only 1 or 2 good ones (which were I am fairly sure were made by administrative folks) The Board needs to know now how unhappy the employees in all departments are and should act accordingly. Our hospital does not need to be ruled by an iron fist. It use to be a family there but now it is run by power! The employees are aware of their frustrations and have aired them in this forum....however you have to now DO SOMETHING!! You all have the power. They cannot run that hospital without you. Be agressive and get them for abusing you for so long!!!

Anonymous said...

The insurance stinks. Use to be not so bad with the co pays now it is awful with this card they give you and a couple or three visits to the Dr eats that up. If they can't pay any better maybe they should make it up with great insurance and better treatment

Anonymous said...

I remember having a problem with an ER nurse and emailed Alan Newberry. He was to good to suggest a solution to the issue sent a nasty response. He got paid to much money and it went to his head. He only cared about him and him alone. Peggy isn't much better. Get rid of them snobs.

Anonymous said...

Middle management is no better. For many years I worked under a clinical manager with much less practical knowledge--this person could never have performed half of the daily functions of a floor nurse and yet she was in charge. She would come in yawning with her starbucks coffee a good 2 hours after our day had started, then retreat to her office halfway across the hospital for most of the day. One or two token appearances during to day and then out the door. The middle management level nursing mangers protect each other just like the upper administration.

Anonymous said...

I'm sensing some anger here.

Anonymous said...

Karen Poisker is a waste of space. They have an entire list of jobs that they almost never hire for. I have known numerous people who I have tried to help in getting jobs. Qualified people with experience. If you are not related or kissing someone's a$$ you can forget it. Try to give poisker a call and see if you get a return. I'd like to know her salary also. But after seeing what our fat cats are getting paid its obvious Karen Poisker is hired to not let qualified people, who are american and can speak English with experience in the doors. Because they won't work for their pittance of a pay and crappy benefits.

Anonymous said...

Funny how the employees lost their yearly bonus, 2 vacation days and their sick days. And the big wheels got more!

Anonymous said...

To June 20th @ 10:48 am, also during that survey I know several people who were given survey sheets from their manager, and the manager wrote the employees name across the top. Nothing like intimidation to probably the lowest paid in the building.

As far as discouraging using persons/doctors not in the PRMC family. I can tell you they are encouraged strongly to use Peninsula Home Care, American Home Patient, Salisbury Genesis and their own TCU. And you better have a good explanation why you are not referring and urging follow up with facilities that they have financial interest in. Companies that are VERY MUCH FOR PROFIT.

Anonymous said...

PRMC is truly disgusting. I am thankful that someone has stood up to these assholes. I can speak from experiences on how they sandbag people and fire people because you do speak up, or if you but patient first. PRMC could give to shits less about their employees, fire them how cares, because the State of MD is an at will state, and try to get unemployment good luck with that too. Also God forbid you get hurt on the job, and need therapy, because then you have handed yourself your own pink slip. Now about Patient Care, there are some nurses there that truly love their job and caring for patients, however working for these assholes makes you not even want to work, always changing stuff around. Maybe they need to get their fat ass's out from there desk and actually come out on the floor. Also I haven't seen one manager, PCS, Director, or anyone in a high level of care, aint nothing but a bunch of ass kisses, and it is true, employees can't say anything, because they are afraid to lose their jobs, so then unfortunately the patients suffer, sometimes die and then God forbid something happens to the patient, due to the doctors and etc, because then they find away to blame a nurse. So may remember the poor nurse who workeId in L&D, God Rest her Soul!!! I hope that all these people finally get what they deserve, Karma is Bitch!!!
FYI How good is Bev Stoakley, when she stole from JcPenny, then placed these items in an auction, also how good is she for embezzling money and getting fired from the county. But Hey I guess she is helpful to the CEO's!! I truly feel sorry for all the employees that work at PRMC who have to deal with this bullshit.
But Every Dog Has there Day!! So Peggy RUFF RUFF!!!!!!

Anonymous said...

The one an only way to get Miss Piggy's attention is to lower the census by a drastic amount.

The public will have to stop using all inpatient and outpatient services of PRMC for a period of time.

The only way to accomplish this is to use the services of doctors outside of Salisbury. Go to Easton, Baltimore anywhere but here. It won't take long to get her attention.

If we do this, the doctors here will throw a fit because they are losing their patients to out of town doctors. They will blame Miss Piggy aka Pegga Nellapa as the root cause of the problem.

Yes, it is a bold move, but it can definitely show her that we will not stand for such gluttony in OUR local non-profit hospital.

Anonymous said...

I was on your side, even with your incredibly poor grammar and spelling errors, until you had to go and say something about Bev Stoakley. Leave Bev alone. She's done a great job with Lifeline no matter what her past history entails and she's done nothing to hurt the employees at PRMC. Uneducated individuals such as yourself are of no help to the poor employees at PRMC. You only reinforce the executive's argument to the board that the only people complaining about the problems at PRMC are unrefined rednecks that they would not want working there anyway.

Anonymous said...

What about AGH or Nanticoke or ate they all the same? Miss Piggy is right! Even if you can look past her botched face job, she is as rude as she is ugly. I knew someone that spoke up to her because of mistreatment fom a manager that went nowhere. She came to a meeting and was talking out both sides of her face. On one side she was saying she took the concerns seriously and would try to intercede, then out of the other side of her mouth more or less told everyone to be thankful they had jobs and to consider what was of more importance. That employee was gone the next week. It's possible when they tightened her face they squeezed her brain to tight and maybe she truly can't think straight anymore. It's despicable some of the relationships she has ran over because she didn't think the people were important enough. As far as the redneck with the education. I don't even think the medical doctors make her salary, and they are not all bad. But common sense should outweigh an education any day of the week. And if the board doesn't get involved then demand the removal of the board.

And if you are a hard worker there only making $9.50 hr and you have worked there 7 years don't worry if you can't pay your bill. They will sue you and garnish your wages instead of helping the people that work for them that can't afford there insurance.

And everyone stop blaming Obama, he's making less money then Miss Piggy. Pretty bad when the CEO of an eastern Shore hospital makes more then someone running the entire United States. If we gave Obama all the money that is being squandered thru PRMC, then maybe he could fix the health care system for all.

Anonymous said...

PRMC sounds like it has gone downhill since I worked there a few years ago. And I'll share this only because Peggy once did something nice that I'll always remember. About a year after I started working at PRMC I was given the opportunity to become the Service Ambassador for my unit. I wanted to do something really special that would get not only my unit but also other areas of the hospital involved and enthusiastic about providing outstanding service to our patients. I wrote a little poem/jingle that was fun and that anyone could enjoy. About a week or so later I got an email from Peggy saying how great she thought it was to incorporate other forms of creativity into patient satisfaction and thanking me for taking such an interest. I was no one special, just a nurse and a relatively new one at that, but getting an email from her made me feel special, noticed, and appreciated. I still have a copy of that email and I take it out and read it every now and then. I'm sure she doesn't remember but I'll never forget it. I'm not defending what has happened or is happening PRMC, just saying that I experienced a very different side of Peggy. I hope things at PRMC improve, for everyone.

Anonymous said...

I think they need to be audited. Something doesn't make sense here.

Anonymous said...

I think they need to be audited. Something doesn't make sense here.

Anonymous said...

Please bump this to the top of the first page Joe. It is too important.

Anonymous said...

Wait... where did this "Miss Piggy" crap come from. I thought the guys in Materials Management were calling her "Boss Hogg". Did I miss something?

Anonymous said...

Wow...I'm very fortunate to work at AGH.

Anonymous said...

Haha. No you're not. Most of Healthway Drive is joke. Starting from the Eye Center on down. You'd be better off to pull in the parking lot of the nursing home to receive care for an emergency instead of AGH's ED. I'm surprised Piggy hasn't plucked that half-assed, wanna be hospital into the Atlantic.

Anonymous said...

It seems as if things are quieting down. I talked to a few people today who said they could no longer find this article. Hopefully something good will come from this.

Anonymous said...

Please Mr. Albero...put this back at the top of the page!! We need all the help we can get!! Thank you.

Anonymous said...

There are two classes of employee at PRMC: Upper class and lower class. Upper class employees are Naleppa, senior management, those who suck up to Naleppa or senior management, doctors who bring in huge dollars to the institution and of course their girlfriends. Lower class employees include everyone else. Upper class employees get huge salaries and huge bonuses; lower class employees get 1.5% annual raises and have personal time taken away. Rules don't apply to upper class employees. For example didn't Dr. Wehberg get caught messing around with hospital employees twice (by two different wives) with no discipline from the hospital? Lower class employees work every day with a threat of termination over their head if they dare open their mouths! They are constantly reminded that they can be replaced at any time and that there are limited job opportunities around here, particularly since PRMC owns just about every office in town. All of this turmoil and strife is hurting the patients. For this reason alone Naleppa should resign!

Anonymous said...

656 I agree! It is the same thing with Craig and his "girlfriend". Take away from the ones who make a lot and leave us alone. We come to work everyday and we work (unlike others). We deserve to keep our vacation days and we certainly deserve a better increase per year. When was the last time we received a bonus???

Anonymous said...

"Local gadfly Steve Rumney continues to be a butthurt curmudgeon"

There's your headline.

Anonymous said...

Attitudes reflect leadership. If we want improved attitudes at the predominant care provider on the shore, then we need to see vastly improved leadership.

That means that Naleppa, Leonard and Lunsford need to stop the retribution, the recrimination, the humiliation and the passive aggressive communication.

It means Naleppa needs to stop the doctored employee satisfaction process and end the workplace bullying by the executive staff (including requiring managers to attend "jewelry parties" for her other daughter).

It means Lunsford can't be allowed to send anyone who she sees as a threat packing.

And it means owning up to the drug diversions, the problems in L&D, and the disastrous shortcomings of the care models they are "experimenting" with.

Attitudes reflect leadership. You want better attitudes, be better leaders!

Anonymous said...

Speaking of bullying, how about the one on one meetings that a certain department has with Craig Koppenhaver every few months? Every time he meets with this group, someone gets fired soon afterwards. The people that are terminated never get replaced. So that means more call for the handful of employees that are left. This group of people is getting very tired and fed up. Not good for morale or patient care.

Anonymous said...

Peggy should be upset, Allen didn't have to work one day and he made more then her. Still goes to show men get paid more then women. ( Sarcasm intended)

Anonymous said...

It is a very screwed up place to work even the safety coordinator gets sexual favors in the parking garage and has been caught but still works there still going on as of 2 weeks ago funny if it was a regular employee they would have been fired. His boss even was told a bunch of misfits in charge.

Anonymous said...

Thanks to Mr. Rumney for writing this letter. However, the personal attacks, name calling and vulgarities are taking away from the real situation, which is fiscal mismanagement at PRMC. Health care, due to both Obamacare and rate setting by the HSCRC, is in dire straits. The United States, which spends the most money in the world on healthcare, has some of the poorest outcomes in the world. Healthcare is changing rapidly and all institutions needs to adapt, including PRMC.
It is realistic to expect sacrifices to be made, but they need to be made on ALL levels, including those at the top. There are many good people at PRMC who work hard every day, care about their patients, and try to make PRMC a better place. However, change has to be facilitated and supported by leadership and this is often not the case. As an employee, it is easy to become complacent and "throw in the towel" when every grass roots effort to better the institution is dismissed. Because of this, there are many discouraged employees at PRMC.
While leadership does have a huge responsibility, their compensation should be proportional to all staff as well as the demographics of the geographic location here on the Eastern Shore. None of us at PRMC could do our job without anyone else who works there-including leadership. This fact often gets overlooked.
Staff reach a point in their career at PRMC where, not matter how exceptional of an employee, their salary gets capped. Employee raises are not performance based, sick time cannot be easily utilized and now vacation time has been cut. While staff has made the choice to work in a facility that operates 24/7, there should be consideration made for the fact staff work off shifts, weekends and holidays to serve this community. Consistently taking away valued benefits demoralizes everyone.
"To better the health of the communities we serve". That is the mission statement of PRMC. The community needs to demand this promise is kept.

Anonymous said...

If local tv stations/ newspapers won't run with this, email this blog to CNN, FOX News or another national news station. This is too big to just brush under the rug. Sounds as if many employees are unhappy but unable to do or say anything because their job is held over their head, retaliation is NOT suppose to be used. Absolutely insane for a non worker and the current CEO to make well over 2 million dollars and the staff is being cut back with a piddly 1.5% increase and told there is no money!! BULL!! Cut their salaries back some. Someone needs to do something about this situation ASAP. Even the community is not happy with the care, that's sad, it doesn't matter how many awards are in your pocket, if the people you serve are not happy and your employees are not happy then dammit... something MUST be done!!

Anonymous said...

I still can't believe the local news stations and paper are not covering this story. They always say they have an obligation to report local news...well this is big news for our community. Wait, they are too busy hob-nobbing with the higher management at things like "the gala"..wake up Salisbury media and start doing your job!

Anonymous said...

Another way to cut cost for prmc, Eliminate the Length of Stay team. That "team" is a joke and they have PLENTY of time on their hands!! What they do in there spare time, Socialize. They work for about 2-3 hours a day (if that) and the rest of the shift is spent socializing!! Come on guys, open your eyes and see where the waste is going. Cut that and many other "teams"that have been formed and save our 2 days of PPT!!

Anonymous said...

I am so frustrated with all the upper management waste. Its funny you never see a director making rounds unless census is low or your area is fully staffed. If that is not the case, you don't see anyone and are left to struggle through your shift. The best way to get respect is to give respect. That is not the case with higher management. Think about it...

Anonymous said...

Please please please Joe do not let this story get brushed under the rug! Something needs to be done. We are asking for help!! Things are not better... It has not been brought up much anymore and they think they have won!! Peggy's salary is outrageous!!! Half of the time she isn't even here with us. She is off doing whatever she pleases!! How do we go about getting this published elsewhere? Craig and his girlfriend, they are not sneaky. I was working on a unit the other day and they were talking about him and his "significant" other. 5 minutes later she popped up on our floor making "rounds". It was an awkward moment to say the least! May be phone records should be pulled between the 2 of them to see exactly how much time is spent on the phone!! We are not allowed personal phone calls, why can they??

Anonymous said...

As an employee of PRMC for many decades, I can tell you that wages there have always been less than market value. It is management's opinion that they "have a captive audience". Why give raises when people will stay anyway?
The lobby sparkles, but patient rooms are dirty. Priorities are misplaced in this institution.
Things need to change, I hope someone with influence will step forward and start the process of true improvement, no just rhetoric.

Anonymous said...

If you think the rooms are dirty you should see the operating room. Wow!!!

Anonymous said...

Ok Joe, your most commented post, and it's buried. Why?

Anonymous said...

Let's unite, I just lost 2 days of vacation that Naleppa blamed on the "sequester," and she makes almost 800,000 a year!!!! And my manager told me the same thing as she told me I was losing my PTO, that other hospitals are laying off. PRMC employees are treated like slaves.

Anonymous said...

Then, when you leave PRMC, all of your accrued sick time is forfeited. They get it ALL back.

Anonymous said...

I sit here and read through all the comments and just shake my head. It makes me sick at the thought of the executives making all this money with quarterly bonuses and the employees have not had any in years. The employees use to get a 2% yearly increase and they took 1% of that. They are now taking 2 vacation days. The budgets have been cut this year for everything (5%) with more to come. They have the employees looking to see how the hospital can avoid wasting materials and supplies because the hospital is not making a profit. Well no wonder - if you are paying the retired CEO/President that much money for doing nothing and the current CEO/President and the other executives receiving what they receive. No wonder the hospital is doing poorly. BUT lets not forget the big announcement to the employees last week - the hospital will be giving certain employees a Market increase. Not all employees are receiving this increase. Only the ones that are giving bedside care. And they HOPE to be able to provide the other employees a increase in the future. What a joke. And I agree with the other posts - if there are people having affairs at the hospital posts their names and put it out there. To much covering up will never fix anything. Hopefully with many employees being so vocal maybe something will happen. And just because some people have a higher education then others doesn't make them smarter. They can be book smart but common sense stupid. And a lot of times you need common sense to be able to do any job. So just because someone doesn't have a degree or a bunch of letters behind their name doesn't make them any less of a employee then the one that does.

Anonymous said...

A very select few get raises after we loose 2 vacation days...... Well looks like those of us who didn't get the raise are paying for the ones that got a raise..... Well done Prmc

I understand Obama care is hurting hospitals everywhere but let's face it Prmc is taking advantage of the excuse and making the employees life's hard why because they still know jobs are hard to get and those that quit because they are being taken advantage of will be replaced by someone willing to do the job at a much lower hourly rate..... Again leaving more profit for the hospital.... Well played Prmc

Why are the employees looking at the board for help who do you think approves Peggy's raises.... The board will not help when the hospital is still functioning and saving money. Its when the hospital starts to loose money the board will step in.

Anonymous said...

Worst example of leadership I have ever seen. We are dragged into a meeting to tell us we are losing 2 days vacation to help improve profitabilty but in reality it is to cover the huge increase given to the nurses. Well goodness knows the nurses are more important than the rest of us. So once again Peggy and Cindy feed us BS while they continue to draw their massive salaries. I guess we just need to remember that the Dr's, Nurses, and VP's are all better than the rest of us and it's ok that they lie to us because they are better than us. What a joke. When does someone from the board get involved????

Anonymous said...

Here's what I don't understand. I see in the news so many times when companies fall on hard times, the first thing that happens...FIRST thing..is the CEO and exec staff takes a significant pay cut. I have not heard a single thing about Peggy, Cindy, etc. making any type of cut to there compensation. Why? BECAUSE THEY ARE TERRIBLE LEADERS! Greed is all they drives them. If the Board doesn't correct this injustice then the community should file a class action suit against the board. This is our hospital!!!

Anonymous said...

We were told the 2 vacation days were taken from us in order to avoid layoffs. I heard today that layoffs are coming. Thanks Peggy and Cindy...glad to know we can take you at your word. Liars. Frauds. Scum!

Anonymous said...

I have had two experiences with family members at PRMC in the past few years; both were nightmares. Nurses were nasty, totally uncaring toward patient and family (maybe they ARE unhappy with the way they are treated, but taking it out of patients and family is NOT O.K.), cardio doctors provided ZERO communication even when we requested just a one line note each day, surgeon flat out lied to us, ICU nurses mistakenly gave morphine in stomach tube for 3 days (documented), doc wrote Rx for oral med (patient was intubated and comatose) and no one bothered to contact him or anyone else to change Rx - just didn't give med to patient for 3 days, D'Amico worthless, ICU nurses couldn't care less about anyone and made HUGE mistakes with no accountability, neurologist was a total nut case with absolutely NO censure or compassion, billed for tylenol tablets for comatose/intubated patient (what else was erroneously billed in the $40,000+ bill?), gave morphine to another family member causing hallucinations - asked to have it stopped and a substitute given - continued morphine...I could go on and on an on. Did any of this cause death? No. So, why bother with a lawsuit - in this town, PRMC would win regardless of culpability (that's a whole other subject!). Bottom line? At PRMC NOBODY CARES, NO ONE IS ACCOUNTABLE, IT'S ALL ABOUT $$$$$. Did I mention that Naleppa was "Johnny on the spot" within moments of the patient's passing and had the colossal nerve to ask, "How was the care?" SERIOUSLY??? PRMC is DANGEROUS in every way.

Anonymous said...

Why doesn't someone "leak" this mess to a competent journalist....out of this area? What we need is some press!

Anonymous said...

PRMC SUCKS! Family member has a lawsuit pending as we speak. They almost KILLED her! I wouldn't take my dog there! I have told close family if anything happens to me take me to Baltimore...PRMC will kill you!

Anonymous said...

I got it on good authority that layoffs in imaging )X-ray, CT, MRI,Nuc Med, and Ultrasound start at or near Labor Day. To add insult to injury, the Radiology Mr.Lou was joking that PRMC will save money since they don't have to pay out those extra vacation days. If you work in Radiology, QUIT WORKING....the list of who is being fired is already been determined, and let's just say the people with 10 yrs or more of service are going to be hitting the unemployment line VERY SOON. So if Mr. Lou has stopped talking to you recently, put your resume in elsewhere. Oh, and don't complain to the Radiologist, they helped make up the list, that's your reward for covering up their multiple affairs from their spouses.

Anonymous said...

I have a Doctorate and was born and raised here. My father is a farmer. I am a highly educated redneck and I think that the education and time spent in school does deserve a higher pay. BUT, under no circumstances does anyone deserve >700k a year for a hospital losing trauma and neonatal status, having major budget problems, and having to cut EARNED time off and staffing levels. Could the hospital be more efficient? yes. Will cutting staffing levels and instilling fear into all employees that they can lose their jobs for voicing their opinions help? NO. Every hospital has horror stories, every department has problems, but cut the fat. You are not productive, you should lose your job... and that should start at the top.

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