For immediate release
June 27, 2014
Brooks Bitterman
646-423-5811
bbitterman@unitehere.org
Amid student and worker protests, Sodexo backs down from healthcare cutbacks, pledging to restore benefits to thousands
Statement by UNITE HERE in response to the recent announcement by Sodexo that it will restore benefits to workers who lost healthcare and other benefits earlier this year.
Because Sodexo workers across the country stood together with UNITE HERE and spoke out against Sodexo’s mean-spirited cutbacks, we were able to fight back and win.
But the fight isn’t over. Sodexo needs to restore the benefits now, not in 6 months, so that workers have access to the benefits—including health insurance and sick days—that they need. And we continue to believe that the Sodexo loophole should be closed by the IRS to prevent other companies from abusing the ACA and so that bad actors like Sodexo cannot deprive workers of benefits they need as a way to pad their bottom lines.
Let’s remember that Sodexo misled people when they blamed the ACA for taking away these benefits. We will continue to push for fixes for the remaining problems with the ACA so that its promise becomes a reality for working people. This reversal by Sodexo is a useful reminder that when workers, students, and faculty speak out publicly, they can make a real difference in people’s lives.
Background:
- AP reporting on Sodexo’s announcement
- June 12, 2014, UNITE HERE Press Release: “Sodexo Workers Demand Closure of Obamacare Loophole”
- Sodexo leaflet on the proposed changes to benefits