Howard Brown Health has agreed to pay $1.3 million to staffers that the National Labor Relations Board alleged it laid off illegally, the agency said Friday.
The settlement agreement, reached this month, resolves a March complaint by labor board officials that alleged the health center had illegally laid off more than 50 workers without bargaining with their union. Officials also alleged Howard Brown violated labor law by illegally threatening workers, surveilling their union activity and bargaining with no intention of reaching an agreement, according to labor board spokesperson Kayla Blado.
The $1.3 million payout for laid-off staffers includes back pay, 401(k) reimbursements and compensation for other financial harms they may have experienced after being laid off.
Howard Brown is a federally qualified health center that receives federal funding to care for low-income patients at a network of eight clinics throughout Chicago. The health center specializes in caring for LGBTQ+ patients and people living with HIV.
Non-nursing staff at Howard Brown, including therapists, physicians assistants, administrative staff and employees of the company’s Brown Elephant thrift stores unionized with the Illinois Nurses Association in 2022.
The staff struck twice in 2023, in January and in November, following layoffs at the health center. Howard Brown said last year that it was facing a $12 million budget shortfall.
As part of the settlement agreement, Howard Brown is required to offer the employees it laid off their jobs back. Representatives for the health center and the union said the company did so last year. About half of the laid-off staffers had accepted the offer to return to their jobs, said Ronnie Peterson, a spokesperson for the INA.
The finalization of the settlement agreement ensures the laid-off workers “will finally be made whole,” the union said in a statement.
In a statement, Howard Brown interim President and CEO Robin Gay called the settlement a “mutually beneficial resolution” that “addresses the concerns of our colleagues while ensuring the long-term financial stability of Howard Brown Health.”
“Our primary focus remains on delivering exceptional care, and this settlement allows us to do so in partnership with our dedicated staff,” Gay 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 wage floor of just above $19 an hour and health insurance for part-time employees, according to the union.