here&now

Merger gets underway

Hello and welcome to my first blog post. I can’t say that I’ve ever used a blog before, so this is a new experience for me.

I’m delighted to be Chief Executive of the new, merged credit union and I’m looking forward to the challenge of bringing together each of the two credit unions with over $3.5 billion each in assets under management and advice. It won’t be an easy job, but we have some fantastic staff working on the project and I’m sure the transition will take place with very little disruption to members.

I’d also like to take this opportunity to thank and farewell Greg Connor, the CEO of Savings & Loans, who started this blog and was a regular contributor.

Prior to my current position with our new organisation, I was Managing Director/Chief Executive at Australian Central for 9 years, and had been with the credit union for 22 years in total. I’m passionate about the principles of mutual banking and the benefits credit unions can bring to our members.

It’s been a big two weeks for everyone at Savings & Loans and Australian Central since our members approved the merger at our respective Annual General Meetings on 27 November (the merger legally took effect on 1 December). We’ve now started working on the huge project of integrating our two credit unions.

As we work through the integration, I know that we’ll learn a lot about the way each credit worked independently before the merger and focus on what worked most effectively. This means that we’ll be able to take the best of each credit union and provide members with improved products and services.

A good example is Savings & Loans’ eStatement service. Almost 15,000 members have signed up to eStatements and I’m sure this number will increase once all members of the new credit union have access to it. This is something I’ve been interested in implementing for some time, and I expect that we’ll be able to offer this to Australian Central’s members soon after the integration of our systems. There are many similar examples across both organisations, where we will be able to combine our knowledge for the best outcome for members.

We’re already expanding some of our community development programs to cater to the increased size of our new credit union. The Australian Central Community Lottery has more tickets available for community groups associated with Savings & Loans to sell this year, helping them share in over $1m to be raised through next year’s lottery.

As well as the merger project and our day-to-day operations, our staff and members have also been getting right into the festive spirit by helping those most in need at this time of year. This demonstrates the quality staff we have working for us. Despite the merger, they are still thinking about giving back to the community and doing their bit to help out during the festive season. Savings & Loans’ staff and members have been volunteering their time and donating presents to the Smith Family and Salvation Army, while Australian Central’s staff have been collecting presents and food to be distributed by United Way.

It’s fantastic to see our credit union community supporting others and it fills me with an enormous sense of pride. That’s exactly what credit unions are about and something our new credit union will continue well into the future.

It has been a big year for everyone involved with both Savings & Loans and Australian Central, with an even bigger year to follow. This time next year, I hope that we will have a new credit union under a new name, containing the best of both proud organisations.

I wish you and your families all the best over the festive break, and hope you have a prosperous new year.

Peter Evers
Chief Executive

2009 Annual Report available

Savings & Loans’ Annual Report for the 2008/09 year is now available on our website at savingsloans.com.au/annualreport

This is the first time that the full report has been primarily published online. A small number of members requested a hard copy of the report, and they received a shortened version.

We’ve also combined our Corporate Social Responsibility Report with the Annual Report this year, which shows the prominence that the community and environment have within Savings & Loans.

It was certainly a tough year for everyone in the finance industry, and it was no different for Savings & Loans. We’ve come through the difficult times and set a strong platform for us to build from in the future, thanks to the amazing work of our staff and the support of members. The Chairperson’s Report and CEO’s Report within the Annual Report give more detail regarding our performance, and I encourage you to read it.

If you have any questions about the information contained in the report, please post them here.

Greg

Cycling might be just the thing we've been looking for

One thing I'll always commend the Savings & Loans staff on is the way that they embrace new ideas and the passion they have for getting behind worthwhile initiatives. The hundreds of hours they spend volunteering every year is obviously a great example of this, as is the enthusiasm everyone at Savings & Loans has shown to becoming more environmentally-conscious in the workplace: anyone caught leaving a light on in their office is very quickly brought back into line!

Sometimes the deep interest of our staff is unintended, but still very much welcome. When we started sponsoring the Savings & Loans Cycling Team we had no idea of the direction the team would take. In the past few years they’ve moved from a group of amateur riders taking on mainly state-based competition to a professional outfit that has just returned from racing in Japan.

On top of this, many of our staff have taken a keen interest in cycling – both in the recreational and commuting sense. We’ve had groups of staff members take on the Savings & Loans Coast to Coast, events with the Tour Down Under and the epic Around the Bay in a Day. There’s also a growing number of staff riding their bikes into work, which has more benefits than you might realise at first.

One of the cyclists at work sent me a link to a news story a month or so ago about a report that states cycling saves taxpayers more than $290 million a year in terms of health and traffic costs. Now these are obviously some big numbers and I haven’t had time to read the full report but even if the savings are half those listed, getting on the bike could become more important and common as things happen.

You only have to look at the popularity of the Tour de France to see how big cycling is in some parts of the world. And with names like Robbie McEwen and Cadel Evans making headlines here and overseas, it looks like things can only get bigger.

Australians seem to be catching on to the cycling bug, with events like the Tour Down Under and Herald Sun Tour bringing some of the best teams in the world to our shores. I know there’s been discussion lately about tensions in the ProTour, of which the TDU is a part, but I don’t think that will have a big impact on people taking up the sport recreationally.

Infrastructure is obviously an important factor in encouraging people to get use their bikes more. There just aren’t enough bike lanes and cyclists need to be on their toes (figuratively speaking) when riding through city streets. Also, I’ve often wondered what road designers think cyclists are meant to do when bike lanes come to an end – are they expected to turn around and go back to where they came from?

Workplaces need to make accommodation for cyclists, too. Obvious facilities such as bike racks and emergency tool kits need to be available, but if cycling becomes more popular in a workplace then extra changing room and locker facilities are also required. Maybe employers need to become more flexible with start and finish times so their staff can get to work a little later in the morning, or earlier so they’re not riding home in the dark?

Of course, as well as the health benefits of getting more exercise – something many of us could take on board – riding a bike for transport rather than recreation could help relieve some of the pressure of rising fuel prices. It’s probably not practical for doing the weekly shopping (unless you attach a small trailer!) but for short trips it could be perfect. I’m sure we’ve all seen cyclists overtaking us as we’re waiting at traffic lights on the way to work!

Cycling to work obviously isn’t a possibility for everyone (or even in all seasons). I know that a 50km round trip in the wind and rain isn’t really appealing for most people, and your options are severely limited if you live in the outer suburbs. If you ride to work, what are some tips you can offer others?

If you don’t jump on a bike to commute, what do you think could make you change your mind?

Not all mergers are created equal

Well it’s good to be back at work after a nice holiday. And there’s certainly been a lot happening since I left.

Before I forget, I must thank Tony Innes and Tony Hampton for keeping my chair warm while I was away. It’s been a busy time for Savings & Loans and they’ve done a fantastic job.

The biggest announcement we’ve made is our proposed merger with Austral Credit Union. This project has been underway for many months now, and announcing it to our members and the general public is just one step on the journey.

It looks like we’re not the only ones who have been talking about mergers. I’m sure anyone from Australia would be aware of the proposed merger between Westpac and St George.

I’ll let others speculate and comment on that, but Savings & Loans’ proposed merger with Austral is something I’m very excited about. Bringing the two credit unions together will really cement our position as Australia’s second-largest credit union and have some great benefits for current members of both Austral and Savings & Loans.

As well as increasing the number of branches and ATMs members have access to, being a larger organisation has a lot of benefits in terms of infrastructure and administrative costs. For example, rather than maintaining two different computer systems, everything will be brought under one banner.

While the merged credit union will still be known as Savings & Loans, it’s very much a merger rather than a takeover, and it is anticipated that Austral members will have the opportunity to vote on the proposal in the next few months. This is what being a mutual organisation is all about – members having a direct say in how their credit union is run.

We’re also making sure that both credit unions’ staff are looked after. Savings & Loans is passionate about giving our staff the best opportunities possible, and we’ve made a formal commitment to not have any forced redundancies as a result of the merger. The current Austral head office in Melbourne will now become our Victorian office.

There is a lot of merger ‘talk’ amongst Australian credit unions at the moment. The changing nature of our industry means that being a bigger organisation often makes you much stronger. At the same time, it’s important to ensure that any organisations that merge have common values and aspirations, something that is very much the case with Savings & Loans and Austral. In fact, the Savings & Loans of today is the result of a number of mergers, including our most recent merger in 2005 with the NRMA Employees’ Credit Union.

If you have any questions about our merger with Austral that can’t be answered by the FAQs on our site then please let me know.

Greg

Another equal opportunity gong

We’ve received some great news at Savings & Loans this week. We’ve been named an Employer of Choice for Women for the sixth consecutive time. The citations are awarded by the Equal Opportunity for Women in the Workplace Agency (EOWA), a government body.

Everyone at Savings & Loans is extremely proud to receive this award again and it recognises the way we’re continuously working to make sure we have some of Australia’s best workplace policies. Importantly, EOWA looks at the actions we’re taking to create and equal and fair working environment for all our employees, rather than just making sure we have the appropriate policies.

Basically, it shows we’re walking the talk.

It’s important that we attract and retain the best staff, especially given the tight labour market we’re currently facing. This means that sometimes we need to be able to tailor conditions to suit an individual’s circumstances.

Here are a few of the polices and practices we’re most proud of:

• Ten weeks of paid parental leave for a primary caregiver, which can be taken over a 20 week period
• Three weeks of paid bonding leave available to fathers or staff entering adoption
• A variety of job share, part-time and work from home opportunities
• Formal programs to engage staff on extended leave
• The ability to move from full time to part time should an employee’s circumstances change
• Annual staff survey to gauge the effectiveness of policies

In the past 12 months we’ve also put a lot of work into creating opportunities for mature workers, Indigenous Australians and people with disabilities. Increasing the diversity of our workforce is very important to us and a core part of our future growth.

It’s no surprise that we’re proud of what we’ve done, but that doesn’t mean we’re sitting still. We’re starting to negotiate our new Enterprise Agreement, and I’m looking forward to staying ahead of the pack when it comes to family-friendly workplace policies.

We’re always looking for the right staff to join Savings & Loans, so if you think Savings & Loans could be the right employer for you, visit savingsloans.com.au/careers