McKinsey and Providence colluded to force poor patients into destitution

“How would you like to pay that today?”

Cory Doctorow

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A collage. On the left is an image of a cigar-chomping plutocrat in a top hat. He stands at a control box whose lever is fashioned into a dollar-sign. The control box bears the logo of McKinsey and Company. In one gloved hand, he holds aloft a sad, cloth-capped young man on crutches. On the right is an ogrish thug wielding a club and holding out his free hand in a ‘gimme’ gesture. He wears a doctor’s reflector around his head. Behind them is a hospital ward. On the wall of the hospital ward is t

Providence is a health giant whose anchor is a network of Catholic hospitals. They colluded with McKinsey to steal from their poorest patients, by deceiving them about their eligibility for free care, saddling poor, sick people with crushing debts:

https://www.nytimes.com/2022/09/24/business/nonprofit-hospitals-poor-patients.html

Though Providence is nominally a nonprofit, but it sits atop a $10 billion private equity fund that it invests in unrelated sectors. Its nonprofit status lets it evade $1.2 billion per year in federal and state taxes. The company stole $500,000,000 in US covid relief intended for hospitals in danger of closure. Its CEO makes $10,000,000 per year.

As a nonprofit, Providence is required to provide free care to low-income patients. In 2018, the company retained the services of McKinsey and Co, a scandal-haunted global consulting firm with a long track record of designing criminal strategies for its clients. There are many ghastly examples of this conduct — for example, helping the Saudi government hunt down, torture and murder dissidents:

https://www.nytimes.com/2018/10/22/business/dealbook/mckinsey-saudi-dissidents.html

Closer to home, McKinsey crafted ICE’s immigration sweeps and helped design the notorious kids-in-cages detention centers, counselling the Trump administration to control costs by denying detainees adequate food and health care:

https://www.propublica.org/article/how-mckinsey-helped-the-trump-administration-implement-its-immigration-policies

(McKinsey then lied about this)

https://www.propublica.org/article/mckinsey-called-our-story-about-its-ice-contract-false-its-not

All these failures and scandals are even more infuriating when you learn about McKinsey’s internal mythologizing. The company tells new recruits that they are a global force for good, comparing their consulting work to the Catholic Church and the US Marine Corps.

https://www.propublica.org/article/how-mckinsey-makes-its-own-rules

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