France to investigate nursing home network accused of putting profits ahead of quality

The new CEO of the Orpea network of elder care homes accused of negligence says he welcomes French government investigations, after a meeting with the minister in charge of elderly policy. The government will investigate the company's finances. It will also review all the nursing homes it runs around the country in the coming weeks.

The entrance of an a Orpea Group nursing in Neuilly-sur-Seine, outside Paris. © Thibault Camus/AP

Philippe Charrier and the director of the French arm of the company, Jean-Christophe Romersi, met Tuesday morning with Brigitte Bourguignon, the junior minister in charge of elderly policy, who had expressed her indignation about allegations of mistreatment in an investigative book published last week by journalist Victor Castanet.

Orpea, a multinational company that runs nursing homes in over 20 countries, is accused of neglecting residents and rationing food and other items - allegations that the company denies.

Speaking to the press after the meeting with Bourguignon, Charrier promised to “shine all the light” on the accusations.

• France demands answers over 'gross negligence' in nursing homes

Systemic problems 

"An elderly person is not a product for sale, they are people who have the right to respect and dignity,” Bourguignon said on France Inter radio, before meeting with the company's managers.

She announced two investigations into Orpea, including an audit by the Inspectorate General of Finances (IGF) and inspections of all the company’s over 1,100 care homes across the country.

Care homes “must not be profitable to the detriment of good treatment” she said of Orpea, and elderly care homes in general - called Ehpads – some of which are run by for-profit companies.

Some 600,000 elderly people live in 7,500 nursing homes around France. Half are public facilities, 30 per cent are run by non-profit companies, and 20 per cent are run by for-profit companies like Orpea.

Orpea’s largest shareholder is a Canadian pension fund, and shares lost half of their value last week after extracts of the book were published.

Recognising a broader problem with care homes in France, linked to decaying buildings, a lack of personnel and infrequent inspections, Bourguignon promised new announcements on oversight and transparency of Ehpads in the coming weeks.

Orpea’s response

"We are very happy to have these inspections,” Charrier said after meeting with the minister, promising to get to the bottom of the accusations.

“We completely understand the feelings of residents, families and employees,” he said, but Castanet's investigation “does not at all correspond to the reality of life in our establishments.”

Charrier replaces Yves Le Masnes, who was dismissed as Orpea's director general on Sunday, after extracts of the book were published in the media.

Insisting that the company should not be accused in this way, without formal proof, Charrier said the group will have two independent consultant companies investigate the allegations.

(with wires)