The United Services Union launched a petition to urge Australian Health
Management fund (ahm) CEO, Mick McLeod, not to go ahead with the
takeover by Medibank The USU fears the merger would lead to loss of jobs, increased health fund rates, less competition in the health fund industry and the end of a foundation employer of Wollongong.
"Ahm is an icon of Wollongong, without it, we will face local job losses both now and for our children," USU Organiser, Rudi Oppitz said.
"The union launched this petition to rally local support so we can block this merger - we have had overwhelming support from the community."
According to USU General Secretary Ben Kruse the employees who face job losses are people with families and mortgages.
"We thank those who have signed the petition and we urge everyone in the region to sign this petition so the CEO of ahm can hear the voice of the people."
Despite a survey of members two years ago which found 65% were against
demutualisation of any kind, the directors of ahm have decided to push
for a takeover by Medibank Private.
ahm and Medibank Private began a process which would see Medibank acquire ahm for $367 million and form Australia's largest insurer. However this process needs to be approved by ahm members. The USU will continue our campaign to stop this takeover by urging members to vote NO to the takeover.
While Medibank Private Managing Director George Savvides has committed to honouring staff awards and conditions and increasing jobs the USU is not convinced that the proposal will not lead to long term local job loss.
ahm members are concerned that the health fund, that began in Wollongong in 1971, and its personalised service would be no more.
