UnitedHealth Group Subsidiary Indicted Over Alleged No-Poach Accord With Rivals--Update
January 07 2021 - 10:34AM
Dow Jones News
By Brent Kendall
A subsidiary of UnitedHealth Group Inc. has been indicted on
antitrust charges that it maintained yearslong agreements with
rival health-care firms not to recruit each other's senior-level
employees.
Surgical Care Affiliates was indicted on two counts in a federal
district court in Texas. The Justice Department has not yet
announced the case, but the indictment returned by a grand jury was
posted on the court's docket late Wednesday.
SCA is a leading provider of surgical centers around the U.S.,
with more than 200 facilities. UnitedHealth's Optum health-services
arm acquired the company in 2017.
UnitedHealth didn't immediately respond to requests for
comment.
The Justice Department in previous years has brought civil cases
challenging no-poach agreements, especially in the tech sector,
against companies including Apple Inc., Google Inc. and Intel Corp.
When businesses agree not to recruit or hire each other's workers,
it robs employees of opportunities, information and the ability to
use competing offers to negotiate better terms, the department has
argued.
Write to Brent Kendall at brent.kendall@wsj.com
(END) Dow Jones Newswires
January 07, 2021 11:19 ET (16:19 GMT)
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