CMS Administrator reveals how union dues from home care workers allegedly fund Democrat campaigns, with reports of intimidation, ignored resignations, and forged signatures
WASHINGTON, D.C. — In a striking new revelation, Centers for Medicare & Medicaid Services (CMS) Administrator Dr. Mehmet Oz has detailed what he calls systemic coercion of Medicaid-funded caregivers in California under Governor Gavin Newsom. According to Oz, caregivers providing in-home support services are being pressured into joining unions, with substantial portions of their paychecks automatically deducted as dues that ultimately support Democratic political campaigns.
The claims, highlighted in a July 18, 2026, social media post by political commentator Eric Daugherty, come amid the Trump administration’s broader crackdown on waste, fraud, and abuse in state Medicaid programs.14
Oz’s Stunning Allegations
Dr. Oz described the situation as more than isolated fraud — calling it a built-in “feature” of the system in certain states:
“We have more disturbing evidence that Medicaid corruption isn’t always a flaw in this system. In some states, it appears to function as a feature, one that strengthens public sector unions while fueling the political machine with millions in dues and campaign support.”
He cited direct accounts from caregivers, including:
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- Roxanna Castro, who reported that union dues took such a large bite out of her paycheck that she could no longer afford gas to travel to work.
- Caregivers attending mandatory orientations who were told they could not leave until everyone signed up for the union.
- Multiple attempts to resign via certified letters that were allegedly ignored.
- Legal complaints alleging intimidation, unauthorized dues deductions, and even forged signatures used to keep workers paying into the unions.
Oz concluded the post with a direct call: “SHUT IT DOWN! Keep exposing it, Dr. Oz!”
Context: California’s In-Home Supportive Services (IHSS) Program
California’s In-Home Supportive Services (IHSS) program pays caregivers — often family members or independent providers — to help low-income elderly and disabled residents with daily tasks like bathing, cooking, cleaning, and transportation. The program has grown dramatically, with spending rising sharply in recent years.7
Home care workers in the program have been unionized in California for decades, with major unions such as SEIU Local 2015 representing hundreds of thousands of providers. Dues are often deducted directly from Medicaid/Medi-Cal payments.
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Critics, including the Trump administration, argue that automatic or coercive deductions violate workers’ rights — especially following the 2018 Supreme Court Janus v. AFSCME decision, which ended mandatory agency fees for public-sector workers. CMS under Oz has pushed states to obtain explicit consent before deducting union dues from Medicaid-funded caregivers.14
Political and Financial Implications
The allegations suggest a direct pipeline: union dues collected from low-wage Medicaid caregivers flow into union treasuries, which then contribute millions to Democratic candidates and causes. This creates what Oz and supporters describe as a self-reinforcing political machine funded by federal and state taxpayer dollars intended for vulnerable patients.
Dr. Oz, a key figure in the Trump administration’s healthcare fraud-fighting efforts, has already taken aggressive action against California’s Medicaid program. This includes deferring over $1 billion in federal funds, suspending payments to hundreds of suspicious hospice and home health providers, and demanding detailed program integrity plans from the Newsom administration.2
Broader Trump Administration Crackdown
Oz’s latest comments fit into a larger pattern of scrutiny on Medicaid spending in Democratic-led states. The administration has targeted rapid growth in in-home services, hospice fraud, and questionable billing practices, arguing that weak oversight in states like California has allowed organized fraud schemes to flourish while also enabling political funding mechanisms.
California officials have pushed back, defending their program integrity efforts and accusing the federal government of political targeting. Newsom’s administration has previously clashed publicly with Oz over fraud investigations.1
What Happens Next?
Dr. Oz’s revelation is likely to intensify calls for:
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- Federal audits of union dues deductions in Medicaid programs
- Stronger consent requirements for caregivers
- Investigations into alleged intimidation and forged signatures
- Reforms to prevent taxpayer-funded programs from subsidizing political activity
Caregivers and patients in California’s IHSS program could see significant changes if the Trump administration moves forward with stricter enforcement.
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This developing story highlights ongoing tensions between the Trump administration’s fraud-fighting agenda and California’s long-standing unionized home care model. More details are expected as legal complaints and federal reviews progress.
