NAFCU supportive of NCUA’s hiring reform; requests additional details

NAFCU offered its support for the NCUA’s proposed guidance that would allow credit unions to more easily hire job candidates with minor criminal records as it “ensures the safety and soundness of credit unions while extending opportunities to qualified candidates.”

“NAFCU appreciates the NCUA updating its rules to reduce the number of minor criminal offenses that preclude individuals who pose a low risk to credit unions from working for, or otherwise participating in the affairs of, a credit union unless they obtain the NCUA’s written consent,” wrote Mahlet Makonnen, NAFCU’s regulatory affairs counsel, in response to the proposal. “… This proposed Second Chance IRPS improves consistency with other prudential regulators, allows credit unions to better serve their communities, and decreases the burden of the waiver application process.”

The NCUA’s proposed Interpretive Ruling and Policy Statement (IRPS), or “second chance IRPS” focuses on a section of the Federal Credit Union Act that prohibits credit unions from hiring candidates that have been convicted of certain criminal offenses without NCUA Board consent.


continue reading »