America’s animal care industry was once dominated by independent veterinarians and support staff. Now the vet industry is being transformed by powerful corporations and Wall Street investors — posing new challenges for both workers and pet owners.
Making history
On April 4th and 5th, a group of 95 workers at VCA-San Francisco Veterinary Specialists (SFVS) made history by becoming the first large group of private-sector veterinary workers in America to form their own union and affiliate with the ILWU.
Big margin for historic vote
Workers won their National Labor Relations Board election by an overwhelming margin of nearly 3-1, despite an aggressive antiunion campaign featuring expert consultants, mandatory “captive audience” meetings, last-minute personal visits from executives, staff shakeups and other pressure tactics – all of which failed to flip most of the 84 workers who originally signed union cards.
Staying positive, working together
Throughout the weeks leading up to the vote, workers stayed true to their original purpose and message. They emphasized the need to “work together” and make “positive changes” to improve working conditions and raise the quality of care standards for both animals and pet-owners.
“We decided that the best way to make positive change was by working together and forming a union,” said Laura Territo, a Registered Veterinary Technician at the SFVS facility who was among the large group of veterinary workers that led the union effort.
Propaganda and pressure failed
Management tried but failed to flip workers by using traditional anti-union tactics and propaganda messages designed to foster fear and doubt:
“We’re a family; don’t let the union get between you and us making things better. The union just wants your dues money and will say or do anything to get it. Unions always make promises they can’t keep or have no intention of keeping. The union will force you to go on strikes that will hurt you and your family. Even if you vote for the union, the company has no legal obligation to sign a contract.”
While the overwhelming majority of workersworkers supported their union, hearing these false and misleading arguments was unpleasant for everyone. It’s important to note that these same tactics are illegal in most democratic industrialized nations, but are the norm in America whenever workers try to exercise their right to come together and form a union.
Consolidation and corporate power
Changes in the animal care industry are following a similar path that eventually drove most solo-practitioner physicians into large corporate groups. Most of those groups then had to affiliate with mega-health care providers in order to survive alongside powerful insurance companies and Wall Street-financed hospital chains.
One company that’s been leading the consolidation effort in animal care is Veterinary Centers of America, better known by their acronym, “VCA.” Beginning in 1986 with one animal hospital, VCA has now acquired 780 facilities that operate in 43 states and 5 Canadian provinces.
VCA’s strategy of acquisitions and market consolidation has been operating alongside another recent trend – a growing number of pet owners with financial means who are willing to spend significant sums for food, entertainment and health care services for their pets.
Impressive revenues and profits
VCA’s focus on acquisition and consolidation in the pet care industry has proven profitable. In 2016, the company generated over $2 billion in revenue and reported profits exceeding $500 million.
Mars - an appetite for pet care
VCA isn’t the only big player in the pet-care industry. Mars, Incorporated, a company made famous by their candy bars – has grown and diversified, in part by making large investments in the pet care industry. The company sells pet food products in Europe and delivers animal care services in America.
In September of 2017, Mars agreed to buy VCA for a staggering $9.1 billion dollars – with the goal of combining the veterinary operations of both corporate owners into one giant network.
Organizing for positive change: Veterinary workers at VCA-SFVS voted overwhelmingly for the union despite strong employer opposition. ILWU International Vice President Ray Familathe coordinated the organizing effort. “These workers built their own union from the bottom-up, which makes for a good partnership with the ILWU,” said Familathe.
Monopoly in U.S. animal care?
When federal anti-trust regulators reviewed the proposed sale, they worried that one big company would control animal care services in many U.S. markets. The Federal Trade Commission (FTC) concluded that the sale would trigger higher costs for consumers and lower the quality of care. As a result, Mars was ordered by the FTC to sell-off facilities in Seattle, Portland, Chicago, New York, Phoenix, Kansas City, Corpus Christi and San Antonio in order to proceed with the VCA acquisition. While government regulators took action to protect consumers in individual markets, they allowed Mars to control a growing share of the domestic medical market for pet procedures.
New support
Veterinary employees from many areas recently formed the National Veterinary Professionals Union that is partnering with the ILWU to provide support and resources for workers who want to organize for positive change.
Veterinarian support
Veterinarians who once ran their own businesses and now find themselves more likely to be employed by companies like Mars/VCA, are also becoming interested in unions. Their loss of freedom and control over working conditions has led a growing number of vets to consider forming unions in order to negotiate from a position of greater strength and unity when dealing with a powerful corporate employer. Veterinarians seeking help have approached one union, the Union of American Physicians & Dentists, which is affiliated with the large AFSCME labor union.
Winning a contract
The group of workers in San Francisco who already formed their union and affiliated with the ILWU are now preparing for the next phase – a campaign to secure their first contract. VCA-SFVS employees are also being educated about one tactic commonly used by dishonest employers to try and stop workers from reaching a contract. These employers use “surface bargaining” tactics that involve stalling and delay gimmicks to avoid serious negotiations. Employers who go this route typically hire anti-union law firms that specialize in frustrating workers during 12 months of fruitless negotiations – then encourage a “decertification” vote one year later to remove the union, weaken workers and allow management to regain total control over the workplace.
One sign that VCA/Mars intends to follow the “surface bargain and decertify” route may be their decision to retain the notorious anti-union law firm of Littler-Mendelson. But there’s no reason to wait and see what happens. Planning and preparing ahead is always the best way to win a good contract.
The ILWU has teams of experienced organizers and lawyers who have helped win many victories against law firms like Littler. But the key to success in every one of those victories has involved the same three elements:
1. Remaining active in the workplace.
2. Promoting unity and encouraging everyone to participate.
3. Enlisting support community and political allies to support us.
Fortunately, San Francisco is a union-friendly town, with many residents who care deeply about animals, worker justice and unions. Involving residents, community leaders and political officials – while maintaining unity in the workplace – is how other unions have won their contracts in San Francisco, and VCASFVS workers intend to follow that same path to victory.