One Member, One "Whatever"...

Credit Unions:
Soaring on principle!

The favorite mantra of all true credit union believers is "One member, one vote!"  That, after all, is what co-operatives are all about - right? 

Democratic, egalitarian control is the key, fundamental idea, the core principle, the distinguishing hallmark of the credit union movement.  One for all and all for one - right?

The Imbalance of Power

As a result of the March 10, 2014 post ("Diversity"), several readers asked for a bit more data on how membership voting rights in CUNA were determined.  Here's the info: 

At September 30, 2013*

(* NCUA always is LATE with their quarterly data!)

By Number of Credit Unions

           

                                                   # of CUs    % of CUs    % of Votes

Class A (25,000 members):        5,961             88%             25%

Class B (>25,000<94,000 ):          613                9%             25%

Class C (>94,000 members):         179                3%              25%

Class D (League CEOs):                      0                 0%              25%

By Assets

                                                    $$$              % of Assets   %Votes

Class A (25k memb):              $231 mill            22%            25%

Class B  (>25k<94K memb):  $325 mill            31%             25%

Class C  (>94k memb):           $502 mill            47%             25%

Class D  ( League CEOs):        $    0                     0%             25%

And lastly, the "all important" member category…

By Members

                                                 # of Memb    % of Memb   %Votes

Class A  (25k memb):                   27 mill          28%             25%     

Class B  (>25k<94k memb):        29 mill           30%             25%

Class C  (<94K memb):                41 mill           42%             25%

Class  D  (League CEOs):               40 (!)             0%             25%

Co-opted?

Notice any clear "winners" and  clear "losers" in all this?

Say for example that 88% of the credit unions control only 25% of the votes… that 78% of the assets control only 50% of the votes…and that 100% of the members control only 75% of the votes?

ONE MEMBER, ONE VOTE - RIGHT?