Tobey hospital workers are now calling for arbitration in their contract negotiations with hospital owner Southcoast Health Systems, saying the group has more than enough money to avoid a wage freeze and benefit reductions. But the hospital’s financial numbers tell a different story.

In its quarterly financial report for June 2015, the hospital did report “a solid profit” of $2.8 million for its third quarter – but, as a whole, it is still operating in the red, due to expenses outpacing revenues by $2 million. The same report also states the hospital’s financial outlook for the end of fiscal year 2015 will see it breaking even.

In contrast, an 1199 Service Employees International Union United Healthcare Workers East union press release said the company posted an "operating profit" of more than $55 million in the first three quarters of fiscal year 2015.

Peter Cohenno, Public Information Officer for Southcoast Health Systems at Tobey Hospital, issued a statement on behalf of the group, calling the press release "disingenuous in its tone and rhetoric," and the figures "intentionally misleading."

"It has been our position throughout this process that labor negotiations are most productive for patients and staff when done in good faith," the statement read. "We just hope that the public – but most importantly SEIU members at Tobey Hospital – always take the time to independently investigate all the 'facts' misrepresented by SEIU leadership in their communications."

Since 2013, the company has been in the red in total operating profits. In 2013, the company posted a $7.5 million loss; in 2014, that number plummeted to a $30 million loss.

Even though the group is currently less in the red than it was at this point in time last year, its expenses have grown from 5 percent to 8 percent. The report explains this is due to “new physician practices”; a higher inpatient volume; new management systems; snow days; and higher-than-expected health plan costs.

Earlier in 2015, international financial rating agency Moody’s downgraded Southcoast’s bonds, due in part to “weak financial performance over the last two years.”

This loss translates, in part, into hospital employees feeling the strain through their wages. Tobey hospital lab secretary Rebecca Willis said hospital workers have been in contract negotiations for 10 months, and that most of her fellow workers barely make enough money to get by.

“I live with my parents, so we share everything, but I do hear about several people who work here who struggle with paying bills,” Willis said. “I hear some people say they only go grocery shopping once a month. I know a lot of other people live in low-income housing.”

The lowest-paid workers at Tobey hospital make $10.50 per hour, just $1.50 more than Massachusetts' minimum wage of $9. However, competitor Cape Cod Healthcare recently gave its lowest-paid workers a pathway to wages of $15 per hour, with at least a 2 percent raise per year, for the three years of the contract, according to a union press release.

“Right now, Tobey is failing to be competitive with other large hospital networks, in terms of wages and benefits,” union spokesperson Jeff Hall said.

Cape Cod Healthcare could not be reached for comment.