This is a first effect of the storm triggered by the book-investigation on the Orpea system: the board of directors of the group of French retirement homes, one of the world giants in the sector, resigned from office on Sunday 30 January, its managing director for a decade, Yves Le Masne. He will be replaced by Philippe Charrier, who has chaired the board of directors on a non-executive basis since 2017.
Orpea, which has nearly 1,200 establishments and a capacity of 11,600 beds in 23 countries, has been in turmoil since the publication, Wednesday, January 26, of the book by journalist Victor Castanet, The Gravediggers (Fayard, 400 pages, 22.90 euros). In this work, the good leaves of which have been published in The world, Wednesday, the journalist meticulously documents the system put in place within Orpea to maximize profitability at all costs, to the detriment of both residents and employees.
Rationing of medical supplies and food in establishments with very high prices; non-replacement of nursing staff, who are already hired bit by bit; financial objectives imposed on departments closely controlled by headquarters; royalties and retrocessions of margins required from subcontractors and external service providers… According to the survey, it is a whole complex strategy, intended to reduce costs and to capture a maximum of public funding, which has been in place for decades within Orpea, with the objective of maximizing the group’s profits and the dividends of its shareholders. A policy carried out to the detriment of the well-being of the residents, considered above all as sources of profit.
Addiction is “not a business like any other”
The revelations of Mr. Castanet’s book, resulting from three years of investigation and precisely documented, are overwhelming for Orpea. They triggered a real shock wave. The title of the group lost nearly 50% of its value on the stock market in a few days. The French authorities have launched an investigation by the regional health agency in the accommodation establishment for dependent elderly people (Ehpad) in Neuilly-sur-Seine (Hauts-de-Seine), where some of the abuses described took place. in the book, and convened the direction of the group, Tuesday 1is February, to shed light on its management. Also in Belgium, inspections have been launched in Orpea establishments.
“The revelations made in this book are absolutely shocking (…). If these facts are proven, they will obviously have to be sanctioned with the greatest severity., warned Gabriel Attal, government spokesman, on Wednesday. The president of the French Hospital Federation, Frédéric Valletoux, calls for “seriously supervise” private groups in the sector, recalling that dependency is not “not a business like the others”. The Socialist deputies have announced that they want to launch a commission of inquiry. The LR presidential candidate, Valérie Pécresse, calls for “radically change the model of nursing homes”.
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