On May 15, CBC Go Public released a radio and online story about sales practices at Canadian credit unions, including Servus. You can see the coverage at:
Following is Servus's response, which was provided to the CBC.
Servus Credit Union rejects any allegation that the organization puts profits before the financial needs of Servus members. Servus employees are expected to always put member interests first.
Servus Credit Union is owned by members and operated on behalf of members, represented by a member elected Board of Directors who are themselves members. We are diligent in our efforts to ensure the interests of the credit union and the members are always aligned. Servus does not operate under the pressure to pay quarterly profits to distant shareholders.
All Servus employees take part in an incentive program based on achievement of corporate goals and individual performance goals that include both financial and non-financial outcomes such as member satisfaction, member loyalty, employee engagement, leadership climate, operating income and operating efficiency. Servus employees do not have individual profitability targets.
Financial targets are calculated to achieve enough income to enable Servus to invest in enhanced member services and meet regulatory capital requirements. The rest is paid directly back to members in profit sharing. Since 2009 Servus has paid $369 million directly to members, including $48.1 million in 2016.
Servus employees work with members to identify and understand their financial needs and find solutions to support them in their journey to better financial health. Targets always come second to member needs.
Canadians have ranked credit unions first overall in customer service excellence twelve years in a row through the Ipsos® Best Banking Awards.
Servus Credit Union's purpose is to serve members by shaping their financial fitness. Servus puts members' interest first in everything we do.
If you have any questions contact Michael Dickinson, Director of Corporate Communications, at Michael.Dickinson@servus.ca.