CICPO and Medavie Blue Cross Reach New Agreement

NEWS RELEASE

CICPO and Medavie Blue Cross

New Contract seeks to Maximize Health Outcomes while Controlling Costs

2012-07-06 St. John’s NL – For Immediate Release 

The Council of Independent Community Pharmacy Owners NL and Medavie Blue Cross are pleased to advise they have reached a new 3 (three) year agreement.  This is the second successful negotiation of a contract between the two parties and includes financial terms that address the recent generic drug pricing reforms.

This agreement comes at a time when independent pharmacy revenues are being eroded by changes to generic drug pricing at the governmental level. “We are pleased to see Medavie Blue Cross participate in a process of real negotiation and meaningful recognition of independent pharmacy in Newfoundland and Labrador,” says Director of Third Party Relations CICPO, Phil O’Keefe.

“Medavie Blue Cross recognizes the impact of rising drug costs on the industry and our clients”, said Laurier Fecteau, Senior Vice President, Medavie Blue Cross. “We have worked with CICPO’s independent pharmacies to develop unique agreements to ensure all our members have access to the best value at their local pharmacy.”

O’Keefe adds, “Our Council represents local pharmacy service and product delivery in all regions of our province and Medavie Blue Cross recognizes the importance of our role in front-line health care – whether located in rural communities or inner-city neighbourhoods. This continued progressive relationship will achieve best health outcomes at the least possible cost.”

Fecteau continued, “We recognize the important role of Pharmacy in servicing our clients and plan members.  We understand the unique circumstances of independent pharmacies and are pleased we were once again able to negotiate a contract that recognizes the importance of rural and neighbourhood pharmacies in the communities where they do business.”

Both parties continue to develop best practices in their respective responsibilities of health benefits provision and pharmacy collaborative care, and are working jointly on initiatives in the areas of medication and disease management, and collaborative care between pharmacist, physician and patient.

 “Medavie Blue Cross demonstrates an understanding of our unique geography, demographics and pharmacy model – which results in knowledgeable discussions about improving front-line health care delivery. As a result, the people we both serve benefit from a cost perspective and by maximizing best-health outcomes”, concludes O’Keefe.

Both parties also look forward to continued development of pilot projects in the areas of medication and disease management, and the promotion of collaborative care between pharmacist, physician, and patient. 

Medavie Blue Cross, based in Moncton, New Brunswick, offers health, life, and travel products to individuals and employers in Atlantic Canada, Quebec and Ontario.  The Council of Independent Community Pharmacy Owners is a trade body for local pharmacies in Newfoundland and Labrador.

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About the Council of Independent Community Pharmacy Owners

A progressive trade organization representing the majority of independent pharmacies in Newfoundland and Labrador, the Council offers its members business support, third party negotiations, research and development of pilot projects and advanced policy positions. Additionally the Council works with industry partners to ensure the continuity of equitable front-line health care services in all regions of our province.

At a time when Atlantic Canada is experiencing an aging population with escalating occurrences of chronic disease, the Council is dedicated to maximize best health outcomes at the least cost through medication and disease management programs.

About Medavie Blue Cross

With roots dating back to 1943, Medavie Blue Cross provides health, travel, life and income

replacement products to group and individual customers, administers various provincial and federal government-sponsored health programs and, through subsidiary companies, manages ambulance services in New Brunswick, Nova Scotia, Prince Edward Island and the Muskoka and Chatham-Kent

regions of Ontario.

A member of the Canadian Association of Blue Cross Plans, Medavie Blue Cross operates from offices in Moncton, Dartmouth, Montreal and Toronto as well as Quebec City, Halifax, Fredericton, Saint John, Bathurst, Charlottetown and St. John’s.

Government’s Small Business Week Message - Meaningless to Independent Pharmacy

News Release CICPO

18/10/11

Government’s Small Business Week Message - Meaningless

The Council of Independent Community Pharmacy Owners is shocked at the rhetorical statements made by Minister of Business Derrick Dalley and Minister of Innovation Trade and Rural Development Susan Sullivan – in celebration of Small Business Week. 

Power Up Your Business. Invest. Innovate. Grow – is the theme for this year’s recognition.

Robert Doyle Vice President of CICPO says, “It is ironic that over sixty local businesses located in all regions of our province – that want to do exactly what the theme suggests – are met with disinterest, disrespect, and threats by the Government of Newfoundland and Labrador".

Minister Sullivan said, “While they may be termed small, their contributions and the role they play in society is anything but small. They are creating jobs and opportunities, strengthening and building communities and fortifying the provincial economy. Small Business Week recognizes the vision, passion and ingenuity of those who answer the entrepreneurial call.”

“This government does not recognize our passion, and certainly not our vision and ingenuity as they continue to look outside the province for pharmacy policy”, adds Doyle. He says, “As we head to court in early December to simply exercise our rights as small business owners and further to make government live up to written contracts – all we feel is weary and distrustful.”

The Council’s members represent over 100 million dollars of investment in our province – particularly in rural communities and quite often are the core business and health service providers.

“Government treats our private sector businesses as an extension of the public system and our owners as employees of the Department of Health. This means they have no idea as to the importance of our investments and the risks we take”, comments Doyle.

Minister Dalley suggested “Through the continued focus on the elimination of red tape along with the marketing of the province as an ideal place to live, work and invest, the Department of Business continues to help small businesses thrive.”

Independent pharmacy and the connected health clinics in rural communities offer essential services for families who live in regions and people who are looking to move into them.

The Vice President of the Council concludes, “The refusal of the Dunderdale government to meet with our members does not demonstrate the words that the Ministers utter. We look forward to a time when we as business owners can communicate with government. While we celebrate other small business owners and the contributions they make – we do not accept the meaningless words of the Dunderdale administration whose actions are entirely contrary.”

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What is happening to Pharmacy and where is the Board? Ask Minister Kennedy!

The Newfoundland and Labrador Pharmacy Board is the self-regulating body for pharmacy in our province. As you have probably heard in the news - they are the body that monitors both the profession and the operations of pharmacies and may hold disciplinary hearings and issue professional sanctions and/or remove a license of either a pharmacist or pharmacy.

By the same token they should also be there to protect their profession - in the interest of public safety and health - in the same manner the College of Physicians and Surgeons do for Physicians. But the NLPB is no match - and it is going to cost everybody in the end.

The Pharmacy Board as is the problem with the PANL is inundated with big corporate agendas - something which the College does not have to deal with. This is because you do not have to be a pharmacist to own a pharmacy. The Board is an elected body and as such staff pharmacists who work for the big conglomerates like Wal-Mart and Shopper's Drug Mart can get elected and form part of a decision making process. This is the beginning of the problem. Let's say it's in the best interests of the large companies to increase the scope of practice of a pharmacy technician - in order that they may reduce the number of pharmacists needed - and thereby reduce their costs - what will there staff have to represent in a committee meeting? That's the name of the game for publicly traded companies - lower costs - increase shareholder value. Is this however the model that best serves the public? The answer is no.

There are a number of changes going on in Canada and every one of them are causing the destruction of the profession of pharmacy including the value of these highly qualified health care experts. You see as I write today the multinational retail giants - Shoppers, Lawtons, Wal-Mart and Costco are designing, lobbying, and controlling the development of policy surrounding the profession - in order that they maximize profits. Pharmacists are being replaced by ATM's, Licensed Practical Nurses, and pharmacy technicians. In Ontario - where the generic drug pricing changes were introduced - these regressive policies are in full swing. Now where a rural pharmacy used to stand - an ATM will move in; or if a rural community no longer has access to an independent pharmacy (due to revenue loss) an LPN can now dispense, sell, and compound prescription drugs. Further where the ratio of pharmacists to pharmacy technicians was 1:2 is now becoming 1:6 if there are any limits at all. Better yet the pharmacy technicians primarily needed in large numbers by the heavy volume drugstores are now being encouraged by these chains to take control by supporting their efforts to organize and advocate. This all comes at as cost to pharmacists.

The reports are fairly common in Ontario now, pharmacy students are having a difficult time getting a placement in drugstores in order that they may graduate - and when they do the salaries now being offered are 1/3 to 1/2 what they used to be. The public relations spin by the big drugstore chains is that now pharmacists are going to be able to do more of what they are trained to do - by having techs take care of the less significant tasks. The spin goes on to say pharmacists will be paid for med-checks,  injections, and counselling. The pharmacist is paid by their employer - they do not receive direct payment for their increased scope of practice - in fact they are now being paid less for doing more. Meanwhile the corporation that employs them bring in more cash with a cheaper payroll.

Any reasonably minded person would ask - if an LPN or an ATM or a pharmacy technician can do the job - what is a pharmacist for? A large corporate drugstore or retail chain will examine the human resources necessary to pump out prescription drugs and adjust their staff needs accordingly. So if a pharmacist is restricted to counselling and medication checks and if the government only pays the corporation a set fee to do those tasks - the pharmacists salaries will actually go down. The money making volume can now be completed by techs and machines.

Is this good for the public? No it is not. The pharmacist should as with all experts in health care being enjoying more stability in the workforce and expect professional salaries for the investment they made in their education. For pharmacists - sadly - the opposite is true. The large corporations in Ontario are now reportedly reducing hours, salaries, and benefits for pharmacists. Schools of Pharmacy in universities are now experiencing a difficulty in achieving placements for their students. At the rate things are going these Schools will have to downsize to adjust to the new market reality. Ironically this is happening at a time when Memorial's School of Pharmacy is looking to expand with new facilities and more seats. If one looks at the changes now occurring in Ontario and the fact the Minister Jerome Kennedy is determined to follow that model - our School of Pharmacy could actually be downsized if not eliminated altogether.

So back to the Newfoundland and Labrador Pharmacy Board - The Executive Committee is comprised of 2 pharmacists from the School of Pharmacy and 2 pharmacists from Shopper's Drug Mart. Of nine Board members only 1 is an independent pharmacy owner.

The Chair of all the Professional Practice Committee and sub-committees is Sandra Carey. Ms Carey is a pharmacist and an employee of the Health Initiative Inc. in Toronto which is an agency of McCann Healthcare Worldwide which is a subsidiary of Interpublic Inc. This conglomerate is a global provider of advertising and marketing services. At the most basic level - it's the attempted control of market share. When it comes to health care and pharmacy - who would want such control of market share? With 41,000 employess how much independent influence does Ms. Carey have?

This big corporate agenda is going after all policies related to pharmaceuticals. The bigwigs of retail pharmacy - the giant chains - are lobbying governments to achieve what's best for their shareholders - not what's best for you and I.

Are they succeeding? Well Minister Kennedy could be the poster boy for this initiative - Shopper's Drug Mart is definitely controlling the development of pharmacy policy. So far they have managed to have their own private line of prescription drugs listed on the provincial formulary, they have managed to have the Department of Health turn a blind eye to Seniors rights in personal care homes, and they have managed to keep independent pharmacy out of the Minister's office. They have lobbied directly, and indirectly at $500 a plate political dinners.

As for the Pharmacy Board - it is becoming obvious that they too are turning a blind eye when the public interest is being affected. You can bet your last dollar that the College of Physicians and Surgeons would long since have a like problem dealt with.