Wednesday, May 25, 2016

Large State Chartered CU CEOs Earn 13.5 Times More Than Their Average Employee Earns

The total CEO compensation at large federally insured state chartered credit union in 2014 was on average 13.5 times higher than the average compensation of employees at these institutions.

The median ratio of CEO compensation to average employee compensation was 10.6.

Large state chartered credit unions are defined as having at least $1 billion in assets.

Total CEO compensation is pulled from Schedule J of a credit union's Form 990.

To calculate average credit union employee compensation, the analysis divided the Call Report line item Employee Compensation & Benefits by Full Time Equivalent Employees. Full Time Equivalent Employees = The Number of Full Time Employees + (0.5 times the Number of Part Time Employees).

The analysis shows that there is a positive relationship between CEO Compensation and the ratio of CEO compensation and average employee compensation.

Fourteen credit unions reported a ratio of CEO compensation to average employee compensation in excess of 20.

The following table shows the 10 credit unions with the largest multiple between CEO compensation and average employee compensation. Eastman Credit Union reported the largest multiple between CEO compensation and average employee compensation of 127.03.


  1. How can I get a one year contract for Eastman Credit Union? Heck, even 6 months would be fine with me.

  2. G-d Bless the Federal Tax exemption status for Federal Credit Unions. This allows them to provide reasonable compensation for the CEO. This is how it is suppose to be. Call it Congressional intent.

  3. Alan Kaufman, CEO of Melrose Medallion Credit Union is a millionaire.
    Guess he can use his millions to cover the losses of the $1B in coming medallion defaults.
    Speaking of congressional intent, when does congress step in because obviously NCUA isn't.



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