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CHAPTER 5 Gender Discrimination: Rolling Meadows Community Hospital CASE STUDY Rolling Meadows Community Hospital was a ZDGbed acute care facility located in an afuent suburb of a major metropolitan area in the Midwest. The hospital was highly regarded in the community, especially for its obstetrics program and innovative birthing center, its ambulatory care program, and its geliatlics center. The hospital was supported by a large group practice of young, welltrained piimary care physicians who occupied an adjacent medical ofce building owned by the hospital. Despite turmoil in healthcare delivery during the past decade, Rolling Meadows had remained nancially strong. Indeed, it had prospered in an environment that had reoemly beoorne dominated by managed care. Rolling Meadows was well positioned for such changes. Its nancial stability, its strong primary care base, and its modem facilities predicted success. In addition, its location among the rolling meadows for which it was named and its proximity to an exclusive golf course made the hospital a desirable place of employment for professional and nonprofessional sta alike. John Waverly had been the CEO of Rolling Meadows for ve years. After conducting a national search, the hospital's governing board had aggressively recruited John, who at 42 years old had been an upandooming HMO executive on the West Coast. The board still congratulated itsetl on its foresight and wisdom. John was just what Rolling Mudows needed to make the hospital a major player in the thenemerging managed care market. The hospital thnved under John's leadership and compensated him well for his efforts. In addition, John continued to enjoy the favor of a goveming board that, although conservative, remained supportive of his innovative management style. John was the envy of his peers in other, more beluguered healthcare institutions and, at age 47, he felt good about his professional achievements and status. In retrospect, his decision to take the CEO position at Rolling Meadows had been a good one. At the time of his recruitment, John had had major reservations about relocating to the Midwest, especially to the conservative community surrounding Rolling Meadows. He hadn't been sure his wife and children would easily adjust- Indeed, they had never fully embraced this community, a fact that continued to be a source of tension in John's life. In the beginning, John had also been uneasy about his credentials and unsure about how well his educational background would translate to the delivery side of healthcare. John knew he would have to work especially hard to compensate for his lack of hospital experience. Six months ago, John hired a bright, ambitious postgraduate fellow from a prestigious university program in hospital administration. At the time, John was about to enter into discussions with two powerful healthcare nancing and delivery systems nearby, both of which wanted Rolling Meadows to become a part of their multihospital structure. John knew that these discussions and evaluations of any proposals they submitted would be timeconsuming and would require a great deal of research and preparation. Having a capable postgraduate fellow on board to perform staff work appeared to be a winwin situation. The arrangement would provide both valuable experience for the fellow and a welcome resource for the organization- John especially liked the idea of working with someone who was well schooled in the latest academic bends in healthcare administration. Over the past six months, the partnership proved to be as fruitful as expected. The CEO and his young protege worked closely together for long hours and weekends, and Rolling Meadows beneted greatly pm their hard won-L John and his protegee found themselves celebrating success after success. It was a most enjoyable partnership- She admired and respected John; he was attered by her admiration. He found himsetf seeking out opportunities to spend more and more time with her. She began accompanying him to all of his meetings, even those unrelated to her assigned projects- He looked for educational conferences in attractive locations where the two of them enjoyed ne dining and upscale accommodations. Now her fellowship was nearing its close, and she approached John about her future career plans. Her performance evaluations had been outstanding, as indeed had been her accomplishments. Rolling Meadows had proted greatly from her effodgs, and she Jlly expected to be awarded a permanent position. After all, many of her peers had already received job offers pm their fellowship organizations even though they had no signicant accomplishments to report from their fellowship expen'ences- John had been an outstanding mentor, and her admiration and respect for him bordered on hero worship. John was not unprepared for this discussion. Atter much thought, he had decided it would not be prudent for him to offer her a position at Rolling Meadows. He candidly explained the situation to her. Her performance had been outstanding, many had noted her professionalism, and she was a bn'lliant strategist. But, he said, he was personally attracted to her and he felt this attraction was recipmcated. He believed that if they continued to spend time together, this attraction would esealate to a physieal relationship. He offered to help her in her job search by providing impeccable references and contacting his colleagues in progressive, innovative organizations where her talents would be showcased. She was astonished and humiliated. In view of her accomplishments and her close working relationship with John, she assumed a position was a given. She felt used and betrayed. Angry, she said this treatment constituted nothing other than sexual harassment. John believed this remark was an idle threat and that reason would overcome her emotional outburst. The following day, John received a phone cell from a member of the governing board informing him that an executive session of the board had been scheduled to discuss \"this appalling situation\" and the action that should be taken to avert a lawsuit. He told John to be prepared to respond to the allegations at this meeting, and if they were accurate, he should consider resigning to spare the hospital any adverse publicity. John was surprised by the call and by the tone of the conversation, but he felt condent that he had done nothing wrong. In fact, he believed he had honestlyr appraised the potential dangers of his relationship with the fellow and had avoided any misconduct. He believed his actions had been in the best interests of the organization and that the governing board would agree. EI'HICS ISSUES Legal implications: Do John's actions in this situation constitute sexual harassment? If so, are John and the hospital both liable for his actions? Could this situation be viewed as a case of gender discrimination? Does it matter? Adherence to the organization's mission statement, ethical standards, and values statement: Are John's actions in this situation consistent with the hospital's ethical standards and values? Adherence to professional codes of ethical conduct: ls John's conduct in this situation consistent with the professional codes of ethics as promulgated by the professional organizations representing healthcare executives and hospitals? Organizational implications: Have organizational resources been used prudently? Has this situation, including John's actions specically, had any effect on other employees in the organization? Have the image and reputation of the organization been affected by this situation? How signicant an impact might this situation have on the operations and success of the organization? Ale there nancial implications to John's actions? Leadership responsibilities: Was John's conduct in this situation consistent with the role and responsibility inherent in the position of CEO of a health-re organization? Expectations of a mentorship program: What are the role and responsibilities of a mentor? Of a protege? On completion of a postgraduate fellowship, what can each of the participants expect to have achieved? In this case, has the postgraduate fellowship met or failed its expectations? Justice and fairness: Has the postgraduate fellow in this use been treated fairly? Is John being treated fairly by the governing board, considering his candor and honesty regarding the situation? Community values: Has John taken sufcient consideration of community standards and values into account? What about the board, when identifying their expectations of the CEO and the needs of his family? When new staff members are recruited to a community, how important are the standards and expectations that the community may have for its professionals? ROLLING MEADOWS COMMUNITY HOSPITAL John Waverly never fully:r recovered from the incident at Rolling Meadows Community Hospital. He was bitter because he felt the board had treated him unfairly. He insisted he had done nothing wrong, but he believed the board was more interested in appearances than fact. They did not ask for his resignation, but John knew that he had lost credibility with them- His wife felt humiliated by his behavior and asked for a separation until things blew over. His children were openly disdainful of him. The general consensus among his colleagues, even those who liked him, was that he had been unbelievably careless. The postgraduate fellow sought legal counsel and was told that she probably had grounds for litigation because the position was not offered to her on the basis of her gender. However, she decided not to pursue litigation. She had no difculty nding another responsible position. Unfortunately, her experience at Rolling Meadows loomed like a shadow over her. The word was that she had threatened sexual harassment charges. Male colleagues behaved professionally toward her but kept their distance. The senior executives limited the amount of time they spent with her. She knew she had done nothing wrong, but she also believed that her experience at Rolling Meadows had hurt her career. Some of the hospital staff congratulated themselves for knowing something was going on and imagined the most sordid of affairs. John's defenders were quick to label the postgraduate fellow as a seduclress, noting that no one can lrust anyone that young, attractive, and ambitious- The incident was never made public, but word got around. The gossip was about marital indelity. Two board members who had been among John's early supporters suggested that John might want to start looking for another position. They were apologetic but noted that the small, familycn'ented community of Rolling Meadows was not very tolerant. They mentioned that another board member had even suggested that John's judgment was impaired and that he could not be trusted to make appropriate decisions in the future. John was bafed by the board's lack of compassion and support