Business

Carolinas HealthCare System ends food services contract with Morrison

Morrison Healthcare will lay off 80 workers as the company ends its food service operations at Carolinas Healthcare System Pineville in February, according to a notice sent to state officials.
Morrison Healthcare will lay off 80 workers as the company ends its food service operations at Carolinas Healthcare System Pineville in February, according to a notice sent to state officials. jsimmons@charlotteobserver.com

Carolinas Healthcare System is transitioning its food services from Morrison Healthcare to a company called Sodexo, in a move that will affect some employees.

The hospital system said Friday it intends to transition all Morrison employees to Sodexo as long as they meet Sodexo employment criteria.

CHS says it routinely bids out major contracts and this year, solicited bids for its food and nutrition services. After it conducted an evaluation, CHS selected Sodexo. The new agreement applies to all of its 23 CHS-owned locations as well as Cone Health and New Hanover Regional Medical Center, the hospital chain said.

As a result of the change, Morrison, a division of Charlotte-based food services company Compass Group USA, will end services at CHS Pineville on Feb. 18, according to a Worker Adjustment and Retraining Notification Act (WARN) notice Morrison filed with the state this week.

Under federal law, companies must file WARN notices when they make mass layoffs, close plants and change ownership. Morrison’s particular WARN notice applied to 80 employees at CHS Pineville.

The bulk of the workers transitioning their jobs are catering associates, food service workers, cashiers and cooks, according to the notice.

“In terms of the status of those Morrison food and nutrition services employees who have been serving Carolinas HealthCare System facilities, the intent is for employees to transition to Sodexo as long as they meet Sodexo employment criteria,” a CHS spokeswoman said Friday.

The hospital chain did not provide information on changes at its other locations.

Katherine Peralta: 704-358-5079, @katieperalta

This story was originally published December 18, 2015 at 11:20 AM with the headline "Carolinas HealthCare System ends food services contract with Morrison."

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