JACKSON, Mich.–The CEO of American 1 Credit Union here has received national media coverage after it was learned she had opted not to take a pay increase so that employees could have larger raises.
Martha Fuerstenau, CEO of American 1, has been profiled in television, print and online reports after the credit union confirmed it was able to give its 187 employees a total of $950,000 in raises in part because Fuerstenau declined any additional money.
“That was her choice. It wasn’t about her, at all,” VP Laura Pryor told MLive.com. “It was about the whole organization. She said, ‘We’re not including me in this conversation.'”
American 1 said the increased pay — averaging around $5,000 per worker — will help recruit and retain workers, she noted, reported CBS MoneyWatch.
As CUToday.info earlier reported, the new compensation strategy includes an increase in the credit union’s minimum wage to $13 per hour. The minimum wage is the hourly rate of pay for new employees who have no previous experience in financial services, and is an 18% jump in pay for new hires, American 1 said. The rise in wages for hourly staff represents 74% of the total increase.