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Issued January 22, 2009

Former Secretary of Labor Ray Marshall finds that Leaders of the UHW Did Engage in Financial Malpractice and Undermined Democratic Procedures

In his Report and Recommendation issued last night to the International President on the trusteeship matter involving United Healthcare Workers - West (UHW" or "UHW-W"), former Secretary of Labor Ray Marshall, the hearing officer in the trusteeship matter, made the following findings:

  • Secretary Marshall finds that "Leaders of the UHW did engage in financial malpractice and undermined democratic procedures when they transferred UHW funds to a nonprofit organization to be used in contests with the International Union."
  • Secretary Marshall finds that "UHW's leaders wrongfully converted the International Union Convention delegate database, and hid from the International the movement of $500,000 to an attorney's trust account to fund contests with the International Union."
  • Secretary Marshall finds that "this [trusteeship] hearing and the [International Executive Board's] jurisdiction decisions were not initiated to retaliate against the UHW for its aggressive criticisms of International leaders' policies and strategies."
  • Secretary Marshall finds that "the International President had reason to believe that a trusteeship hearing was necessary to protect the SEIU and UHW membership."

  • Secretary Marshall finds that "no democratic labor organization can permit local unions to nullify International decisions reached through the democratic processes specified in their Constitution and Bylaws."
Secretary Marshall made a series of recommendations on how to resolve the violations and the International Executive Board will be debating those recommendations. The full report will be made available with the International Executive Board's decision on this matter. "

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Updated Jul 15, 2015