Wellpath is the 3rd correctional healthcare provider to file for bankruptcy or liquidate in the last 2 years. It'll survive, but we need to be unpack this story. For-profit prison healthcare providers have been pocketing billions while, quite literally, killing people. THREAD
We're still reading through the filings, which are quickly stacking up. But the multitude of reasons they are in this situation are becoming clear. Almost all of them are related to their inability, or unwillingness, to provide quality care, from staff retention to lawsuits.
Wellpath is blaming minimum wage hikes for their increased labor costs. This is interesting because there are likely very few healthcare positions that should be paid minimum wage in a prison, but it explains a lot about their staffing crisis and the resulting increase in costs.
There is something huge happening in the prison industry and no one appears to be paying attention: the correctional healthcare sector is collapsing. THREAD
WellPath is the next in a line of prison healthcare corporations facing financial troubles. Despite billions in revenue, they can’t seem to stay afloat. Preliminary reporting claims that it’s because of increased labor costs, but that’s not the real story. So what is it?
Prison healthcare providers are failing for 2 reasons: (1) medical malpractice is actually really expensive and is creating financial obligations bigger and faster than expected and (2) private equity owners are saddling them with unaffordable debt that require more cost cutting.
THREAD 🧵 This game-changing legislation just introduced in NYC has been a long time in the works and has the potential to revolutionize correctional telecom by reversing its invasive reach into our privacy and uprooting the underlying justification for its egregious prices.
This effort dates back to 2018, when we passed another first-of-its-kind bill in NYC that made all jail calls free and spurred a nationwide movement for free correctional communication. During the hearing, councilmembers began asking about the surveillance of jail calls.
A key concern emerged around the universal monitoring of jail calls: Was it fair that only people detained pretrial, many of whom simply couldn’t afford bail, were being surveilled, thus hindering their ability to participate in their own defense, and not those who were released?
A mother is no less a mother because she’s incarcerated or her child is. Here’s the story of one mother eager to know her child is safe. 🧵
“This Mother’s Day, do right by us so that we can do right by our children, no matter where they are.” - Susan (NJ) nj.com/opinion/2024/0…
“My son Evan often came home from school in tears. From the age of 5, he was bullied by classmates. Like every mother, my impulse was to hold him close… Now I look back on those days with longing. They were almost easy compared to my day-to-day life today. Evan is in prison.”
“It’s been a few years, and I still wake up every morning wondering if he is alive. He struggles with depression and anxiety as well as addiction after years of self-medicating. I am on edge every day because too many times, I have had to step in to beg for him to receive care.”
First it was, if you make prison calls free, the vendors will pull all their phones out of the walls. Now it's, if you make calls free, we need millions more for increased monitoring costs. These are industry lobbying points to block efforts to make prison calls free. 🧵
Predatory prison telecoms charge high rates for calls and use the concept of security to justify them. Yet, their rates vary dramatically from one jurisdiction to another. Why? Not because their services wildly differ, but because some states are better at negotiating.
For example, in NY, Securus charges 3.6 cents per minute for calls. In IL, Securus charges 0.9 cents per minute for calls. IL is NOT accepting an inferior level of security services to pay 4x less. It just better negotiated rates for people in its custody.
THREAD. Predatory prison telecom Securus has just defaulted on over $1 BILLION in debt. After years of preying on incarcerated people and their families, driving many into debt, Securus can't pay its own. Here's the story about how advocacy made this happen.
Securus, owned by Platinum Equity, and its competitor ViaPath (fka GTL) hold 80% of the prison telecom market. Their duopoly allows them to charge egregious rates: $8.25 for a 15-min phone call, $15 for a 25-min video call, and $0.50 for an "email."
Given prison wages, it’s often families who pay for communication. They make impossible choices between paying for a call from a loved one inside and their bills. 1 in 3 falls into debt to stay connected, and some are forced to cut contact entirely. ellabakercenter.org/who-pays-the-t…