WASHINGTON–Although it indicated it will lay off as much as a third of its workforce, America’s Credit Unions, the trade group formed by the merger of NAFCU and CUNA, said it has not made any decisions on who will be let go. A labor union representing some of America's Credit Unions' employees said it is also seeking answers.
As CUToday.info reported here, America’s Credit Unions has filed a Worker Adjustment and Retraining Notification (WARN) notice in Wisconsin with the Dislocated Workers Unit of the state’s Department of Workforce Development in which it states that “as a result of a recent merger and forecasts of business needs going forward, it will implement a layoff that will affect employees in the states of VA, DC, WI and various remote locations reporting to those states.”
“We expect the layoffs to begin in March, 2024, continuing through July, and they may affect 25%-30% of our 320-employee workforce across all offices,” the letter reads.
Trade Group Responds
In response to questions from CUToday.info over who will be cut and whether severance packages will be provided, a spokesperson for America’s Credit Unions said, “As we transform to America's Credit Unions and plan to be fully operational in early 2025, Wisconsin law requires notice when a reduction in a state-based business’ workforce may take place. Aside from our Executive Leadership Team, there have been no personnel decisions made at this time. The association is committed to treating all employees fairly and with respect, while remaining good stewards of our membership dues, throughout this transformation process.”
CUToday.info reported on the trade group’s new executive management team here.
Union Informed of Plans
As also reported, America’s Credit Unions has also informed Office and Professional Employees International Union 39 in Wisconsin, which represents some of those employees.
“Those employees who are in the collective bargaining unit have bumping rights under the collective bargaining agreement with the company,” the letter states. “The layoff may affect all job titles and decisioning on individuals affected has not been finalized. The company will supplement this notice as additional information becomes available.”
The letter was signed by Susan Parisi, chief corporate counsel.
Kathryn Bartlett-Mulvihill, president of OPEIU Local 39, told CUToday.info the notice is the source of "much anxiety among our members and represented staff. OPEIU 39 is working diligently to get information from management about this announcement, and we are fighting to protect our members as best as we are able. Layoffs are a mandatory subject of bargaining between unions and employers.
"OPEIU 39 requested information regarding the positions America’s Credit Unions intended to include in this layoff," Bartlett-Mulvihill continued. "As of this morning (Jan. 20), management responded that they will not have that information until later this spring. We are in the process of educating the membership about their rights under the contract and deliberating with the unit regarding actions to be taken."
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