With the unemployment rate hitting a 50-year low of 3.6%, credit unions across the nation are competing like never before in a highly fluid job market. A 2018 Gallup pollfound that 51% of U.S. workers were looking for or applying for a new job, and with several top-tier banks raising their minimum wages to $15 per hour, wage pressures are growing.
Average turnover rates for banks and credit unions peaked at 19.7% in 2018, according to BalancedComp’s annual salary and incentive survey. Average pay increase projections for 2019 reflect “the fastest market rate movement we have seen in eight years and definite proof that the typical 3% labor budget is not going to be adequate to stay competitive.”
The community-focused mission of credit unions does a lot to increase loyalty among employees, but these days, employee retention, training and development, and succession planning are front-burner issues for many HR executives.
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