FORT LEE, NJ-Two locally based companies that own five nursing homes in Connecticut have filed for Chapter 11 bankruptcy protection due to “unsustainable” labor agreements.
THC Co., which own four nursing homes in the Nutmeg State, and THCI Holding, which owns another in Connecticut, filed for bankruptcy protection in U.S, District Court in Newark. The Fort Lee-based companies, who are battling the Connecticut local of the Service Employees International Union, state in the bankruptcy filing that the five nursing homes have combined assets of more than $14 million and liabilities of more than $50 million, according to The Record.
“The centers will not survive unless we have relief from the crushing burden of unsustainable labor costs,” says Lisa Crutchfield, a vice president at HealthBridge Management, which runs the nursing home properties. See story in The Record.
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