CHARLOTTESVILLE, Va. (10/5/15)--The credit union movement has experienced healthy levels of loan and membership growth in recent months, and it appears they’re aligning their workforces accordingly.
Aggregate full-time employees at U.S. credit unions reached a 10-year high of 251,501 employees as of June 30, according to data compiled by the Charlottesville, N.C.-based SNL Financial.
That total marks a 26% increase over staffing levels seen in 2005.
SNL also reported that payroll expansion has coincided with the movement’s trends in loan growth, which has climbed 10.58% on a year-over-year basis to $754.07 billion.
“The SNL data on payroll growth at credit unions is an indicator that the credit union industry as a whole is growing at a healthy but manageable clip,” Mike Schenk, CUNA vice president of economics and statistics, told News Now.
Schenk also pointed out that call report data shows credit union employee expense per full-time employee has climbed at an average rate of 3.3% over the past 10 years, and that recent data show that this is typical for the contemporary economy.
Referring to a Towers Watson survey recently reported by CNNMoney, Schenk said that base pay will likely advance at an average of 3% this year, and that a 3% raise--whether it be for executives, managers or front-line employees--is now widely common.
“It’s interesting to note that while aggregate compensation and benefit expenses are rising among U.S. credit unions, the outlays relative to average assets declined in the downturn and have largely held steady since that time,” Schenk said. “The annualized compensation/benefit expense-to-asset ratio among U.S. credit unions stands at 1.57% of average assets at mid-year 2015--up only marginally from the 1.56% reading in 2014 but nearly 15 basis points lower than the 1.70% national average at year-end 2017.”