MADISON, Wis.–One year after introducing a $15-an-hour “foundation wage” for its employees, UW Credit Union is reporting it has led to a “measurable impact on employee recruitment and retention.”
The wage is double the $7.25 minimum wage required in Wisconsin.
“The implementation of a living wage at UW Credit Union has had a measurable impact on employee recruitment and retention,” the credit union said in a statement. “When the initiative was launched, approximately 25% of UW Credit Union staff received a wage increase. Over the past year, this resulted in a decrease in employee turnover, while applications for employment increased. In the first half of 2018, the rate of employment applications at UW Credit Union was greater than all of 2017.”
UWCU said its number of available positions continues to increase in the Madison and Milwaukee areas to accommodate the needs of a growing membership, now more than 250,000 members.
“Our financial strength enables us to attract and retain talent,” says Executive Vice President and Chief Human Resources Officer Lee Wiersma. “Not only does a competitive wage foster employee engagement, it attracts highly-qualified employees. This makes our community stronger.”
Positive Impact on Life
UWCU added in a statement that a living wage positively impacts quality of life for employees by positioning them to better navigate economic hurdles, plan for the future and experience better work-life balance. In turn, wage practices that support families return innumerable benefits to the community, including increased spending in the local economy.
“The foundation wage increase has made a huge change in my life,” says Kayla Yunto, a teller at the New Berlin branch. “Before the raise, I was contemplating getting a second job to make ends meet, because I couldn’t save enough to get ahead on my student loans. Now, not only do I earn enough to pay ahead on my loan, but my fiancé and I were able to purchase our first home together and make improvements right away. I feel like my work is valued here and that makes UW Credit Union an attractive choice.”
The $2.7-billion UWCU was chartered to serve the University of Wisconsin and has more than 600 employees.