financial service sector (credit unions)
TRANSCRIPT
1
Financial Service Sector
(Credit Unions)
A Quantitative Research on
Labour Market Demands in the
Financial Services Sector (Credit Unions) in
Trinidad and Tobago
February, 2015
2
TABLE OF CONTENTS 1.0 ACKNOWLEDGEMENT ............................................................................................................................ 6
2.0 EXECUTIVE SUMMARY ........................................................................................................................... 7
3.0 INTRODUCTION ...................................................................................................................................... 9
3.1 Preface ................................................................................................................................................ 9
4.0 METHODOLOGY .................................................................................................................................... 12
4.1 Research Method .............................................................................................................................. 12
4.2 Information Gathering ...................................................................................................................... 12
4.2.1 Primary Research ....................................................................................................................... 12
4.2.2 Secondary Research ................................................................................................................... 12
4.3 Pilot Testing ....................................................................................................................................... 13
4.4 Sample Frame ................................................................................................................................... 13
4.5 Sampling Method .............................................................................................................................. 13
4.6 Sample Size ....................................................................................................................................... 13
4.7 Data Analysis ..................................................................................................................................... 13
5.0 INTERNATIONAL PERSPECTIVE ............................................................................................................ 14
6.0 GOVERNMENT’S COMMITMENT ......................................................................................................... 15
7.0 FINDINGS .............................................................................................................................................. 18
7.1 GEOGRAPHIC DISTRIBUTION............................................................................................................. 18
7.2 ORGANIZATIONAL CHARACTERISTICS ............................................................................................... 18
7.2.1 Operational Type ....................................................................................................................... 18
7.2.2 Years in Operation ..................................................................................................................... 19
7.3 EMPLOYMENT PROFILE ..................................................................................................................... 19
7.3.1 Number of Employees ............................................................................................................... 19
7.3.2 Sex Distribution .......................................................................................................................... 20
7.3.3 Job Titles and Occupational Areas ............................................................................................. 20
7.3.4 Levels of Employment ................................................................................................................ 20
7.3.5 Work Permits ............................................................................................................................. 21
7.4 OUTSOURCING .................................................................................................................................. 22
7.4.1 Credit Unions which Outsourced Job Functions ........................................................................ 22
7.4.2 Type of Outsourcing ................................................................................................................... 22
7.4.3 Commonly Outsourced Job Functions ....................................................................................... 23
3
7.4.4 Reasons for Outsourcing ............................................................................................................ 24
7.4.5 Outsourcing of Other job functions ........................................................................................... 25
7.5 CURRENT VACANCIES ........................................................................................................................ 25
7.5.1 Current Vacancies per Qualification Level ................................................................................. 26
7.5.2 Identification of Current Vacancies ........................................................................................... 27
7.6 JOB OPPORTUNITIES AND DISLOCATIONS EXPECTED ....................................................................... 28
7.6.1 Job Opportunities Envisaged...................................................................................................... 29
7.6.2 Job Dislocations .......................................................................................................................... 30
7.6.3 Ease of Sourcing Workers .......................................................................................................... 30
7.6.4 Labour Challenges ...................................................................................................................... 31
7.6.5 Years of Work Experience required for various Employment Levels ......................................... 32
7.7 ORGANISATIONAL CHANGES ............................................................................................................ 32
7.7.1 Expected Organisational Changes .............................................................................................. 32
7.8 STAFF TRAINING ................................................................................................................................ 33
7.8.1 Organisations Offering Staff Training ........................................................................................ 33
7.8.2 Frequency of Staff Training ........................................................................................................ 33
7.8.3 Apprenticeship, Internship and Mentorship Programmes ........................................................ 34
7.8.4 Formality of Apprenticeship, Internship and Mentorship Programmes .................................... 34
7.8.5 Efficacy of Training Providers ..................................................................................................... 34
7.8.6 Customer Service Qualification .................................................................................................. 35
7.9 EMPLOYEE TRAITS ............................................................................................................................. 35
7.9.1 Most required traits identified for Credit Union staff members ............................................... 35
7.9.2 Traits most lacking amongst typical employees ........................................................................ 35
8.0 ANALYSIS .............................................................................................................................................. 37
9.0 CONCLUSION ........................................................................................................................................ 42
10.0 REFERENCES ........................................................................................................................................ 44
11.0 APPENDICES ........................................................................................................................................ 48
Appendix 1: Estimated Number of Active Credit Unions ........................................................................ 48
Appendix 2: National Qualification Framework ...................................................................................... 49
Appendix 3: Important Dates in the Credit Union Movement ............................................................... 50
Appendix 4: Training Providers Offering Credit Union training programmes ........................................ 51
Appendix 5: Job Titles and Occupational Areas in the Credit Union Industry ........................................ 52
4
LIST OF TABLES
Table 1: Global Credit Union Statistics from 2004 - 2012 ........................................................................... 14
Table 2: Skill Levels in the Credit Union Industry ........................................................................................ 20
Table 3: New and Emerging Job Functions and their Attributed Reasons ................................................. 21
Table 4: List of Current Vacancies in the Credit Union industry ................................................................. 27
Table 5: Job Opportunities expected within the next 12 months .............................................................. 29
Table 6: Job Dislocations expected within the next 12 months ................................................................. 30
Table 7: Reasons for Difficulties in Sourcing Labour ................................................................................... 31
Table 8: Customer Service Qualifications ................................................................................................... 35
LIST OF FIGURES
Figure 1: Number of Credit Unions per Operational Type .......................................................................... 18
Figure 2: Years in Operation ....................................................................................................................... 19
Figure 3: Numbers of Employees ................................................................................................................ 19
Figure 4: Type of Outsourcing ..................................................................................................................... 23
Figure 5: Commonly Outsourced Job Functions ......................................................................................... 24
Figure 6: Reasons for Outsourcing .............................................................................................................. 25
Figure 7: Vacancies amongst Credit Unions................................................................................................ 26
Figure 8: Current Vacancies per Qualification Level ................................................................................... 26
Figure 9: Job opportunities per qualification level ..................................................................................... 28
Figure 10: Ease of Sourcing Workers .......................................................................................................... 30
Figure 11: Types of Organisational Changes Expected ............................................................................... 33
Figure 12: Apprenticeship, Internship and Mentorship Programmes ........................................................ 34
Figure 13: Comparative Analysis of Most Required and Most Lacking Employee Traits ............................ 36
5
GLOSSARY OF ACRONYMS
A’Level – Advanced Level (certification) ACCA – Association of Chartered Certified Accountants BSc. – Bachelor of Science (degree) CB – Central Bank CCCU – Caribbean Confederation of Credit Unions CCMF - Caribbean Centre for Money and Finance CCULTT – Cooperative Credit Union League of Trinidad and Tobago CDD – Cooperative Development Division, MOLSMED CSA – Cooperative Societies Act CSEC – Caribbean Secondary Education Certificate CSOTT – Central Statistical Office of Trinidad and Tobago CU – Credit Union CUMIS Plus – Credit Union Management Information Systems (software) CVQ – Caribbean Vocational Qualification CXC – Caribbean Examinations Council DIC – Deposit Insurance Company Emortelle - Credit union management (software) FIU – Financial Intelligence Unit GCE – General Certificate of Education (UK) IT – Information Technology LCCI – London Chamber of Commerce and Industry MBA – Master of Business Administration (degree) MOLSMED – Ministry of Labour and Small and Micro Enterprise Development MS – Microsoft (certification) MSc. – Master of Science (degree) NOS – National Occupational Standards NTA – National Training Agency O’Level – Ordinary Level (certification) OJT – On-the-Job Training Programme T&T – Trinidad and Tobago TP – Training Provider TTCUDIF – Trinidad and Tobago Credit Union Deposit Insurance Fund TTNVQ – Trinidad and Tobago National Vocational Qualification TVET – Technical and Vocational Education and Training WOCCU – World Council of Credit Unions
6
1.0 ACKNOWLEDGEMENT
The Research, Planning and Development Department of the National Training Agency would like
to express sincere gratitude to all participating organisations for their contribution to this
quantitative research into the Financial Services Sector (Credit Unions) in Trinidad and Tobago.
Through their cooperation and candor, a better understanding of the composition of the
workforce in the Financial Services Sector (Credit Unions) was established. Ultimately, this
cooperation from industry stakeholders provided a basis through which targeted and strategic
policy improvements in the sector could be formulated and administered with a more reliable
level of efficacy.
7
2.0 EXECUTIVE SUMMARY
This study was commissioned to ascertain demand side labour market information regarding
vacancies, job opportunities/job dislocations and training needs within the Financial Services
Sector (Credit Unions). Additional information pertaining to employment profiles, employee
compensation, efficacy of training providers, apprenticeship-type programmes, organisational
changes, and employee traits required for this subsector were also captured.
Surveyed credit unions were selected via a systematic random sampling method. From a
population of approximately 129 credit unions, 30 credit unions were identified. A standardized
questionnaire was developed and administered through face-to-face interviews. Quantitative
data were collected over a two month period (May – June 2014). The data collected were then
entered, analyzed, and presented.
Data for over 621 credit union employees were captured. The findings revealed that at least
twenty-nine (29) vacancies existed within surveyed credit unions. Additionally, ten (10) job
opportunities and two (2) job dislocations were expected within the next 12 months. The
majority of credit union employees (40% or 250) appeared to belong to Level 3
(Technical/Supervisory Workers).1 Fifty percent (50%) of organisations surveyed engaged in some
degree of outsourcing, however, none of these organisations had applied for work permits within
the last 12 months.
Moreover, there appeared to be new and emerging job functions mainly in the area of
compliance reporting, due to increased regulatory requirements. Other budding job functions
included areas such as internal auditing, internet and mobile banking, web designing, and debt
recoveries.
1 See Appendix 2: National Qualification Framework
8
Respondents indicated that organisational changes were primarily expected in
‘Training/Retraining of existing staff’ over the next 12 months. The vast majority (98%) of workers
in the credit unions surveyed were employed on a full time basis and the ratio of female-to-male
workers was highly disproportionate at approximately 3:1. Additionally, respondents revealed
that the most desired trait amongst credit union staff members was ‘Honesty’, whilst the most
lacking traits were ‘Communications skills,’ ‘Problem-solving skills’ and ‘Self-motivation.’
Ninety-two percent (92%) of credit unions provided training to their employees, either formally
or informally. Sixty-two percent (62%) of credit unions admitted to having either an
apprenticeship, internship, or mentorship programme.
The primary reasons for the difficulties experienced in sourcing appropriate labour revolved
around the lack of soft skills amongst the available pool of workers, uncompetitive wages in the
subsector and the inexperience of applicants. These, as well as other areas are discussed in this
report
9
3.0 INTRODUCTION
3.1 Preface
The National Training Agency (NTA), in keeping with its core objective “to coordinate and regulate
the Technical and Vocational Education and Training (TVET) system through market driven
research”2 conducts several surveys into various economic sectors, paying particular attention to
their labour market trends. In 2013, as part of its National Diversification Strategy the
Government of the Republic of Trinidad and Tobago (GoRTT), through the Ministry of Planning
and Sustainable Development, identified seven (7) key business clusters, which have been
prioritized for development in an effort to diversify the economy. One of the business cluster
identified was Finance.3
Consequently, the NTA utilized this strategic intent, to guide its selection of the Financial Services
Sector for this labour market study. Financial services contribute approximately 15.5% of the
Gross Domestic Product (GDP) of T&T, and is the highest contributor to GDP after the petroleum
sector.4 According to the Central Statistical Office’s (CSO’s) Industry Classifications, the Financial
Services Sector comprises 19 subsectors, including Commercial and Merchant Banks, Insurance,
Real Estate and Credit Unions. Moreover, financial services are estimated to employ over 50,000
persons, accounting for 8% of the total working population in Trinidad and Tobago.5
Within recent times the credit union subsector has been of topical importance to the T&T
economy, largely due to the significant impact that the insolvency of a major credit union, has
2 NTA Strategic Plan 2010 – 2015, p.4
3 Ministry of Planning and Sustainable Development (2013) “Guiding T&T’s Diversification Thrust”
http://www.planning.gov.tt/mediacentre/news-articles/guiding-tt%E2%80%99s-diversification-thrust
4http://www.finance.gov.tt/content/sp131106085428.pdf
5http://www.finance.gov.tt/content/sp131106085428.pdf
10
had on the economy. This saw approximately 150,0006 members and 9007 workers directly
affected. Credit unions collectively, manage approximately TTD $10 billion in assets, which
represents almost 4% of the total assets in the financial system.8 Additionally, credit union
membership currently numbers around 500,000 persons –more than one-third of T&T’s
population.9
Credit unions are classified under an organizational type called Cooperatives, more specifically,
Financial Cooperatives.10 According to the World Council of Credit Unions (WOCCU), credit
unions are defined as “member-owned, not-for-profit financial cooperatives that provide
savings, credit and other financial services to their members.”11 Members are considered owners,
giving them the right to both vote and run for Board positions. Moreover, credit unions believe
in “one member, one vote” regardless of financial assets.12 In T&T, the Office of the
Commissioner for Cooperative Development, established by the Cooperative Societies Act 1971,
is the government body responsible for registering and supervising credit unions. The
Cooperative Credit Union League of T&T (CCULTT) has identified two (2) main types of credit
unions:13
i. Community based/Regional Credit Unions; and
ii. Industry-based/Occupational Credit Unions.
6 “HCUDSG discord results in resignations” (2008), http://newsday.co.tt/commentary/print,0,85798.html
7 Ernst & Young Report, 2012, http://afraraymond.files.wordpress.com/2014/01/eysl-hcu-presentation-10-april-
2012.pdf
8http://www.trinidadexpress.com/news/Howai-Strong-credit-unions-key-253295601.html
9http://www.trinidadexpress.com/business-magazine/NEW_REGULATORY_REGIME_FOR_CREDIT_UNIONS-
200158151.html
10http://journal-archieves31.webs.com/1013-1081.pdf
11http://www.woccu.org/about/creditunion
12http://www.debt.org/credit/unions/
13http://ccultt.org/site/our-league
11
A community based/regional CU generally refers to a CU which comprises members of a
particular geographic area. Similarly, industry-based/occupational CUs refer to CUs that serve
members of a particular occupation, trade or business.14 Members of CUs have a common bond
which distinguishes “members” from being called “customers.” Both types of credit unions were
integrated into this report.
There are approximately 129 credit unions which operate in Trinidad and Tobago (T&T).15
However, limited data is available regarding the employment figures, vacancies, job titles and
other labour-related aspects within this subsector. Therefore, this study attempts to highlight
these and other related aspects of their operations.
OBJECTIVES:
The broad objective of this study was to assess the current state of the labour market demands
in the Financial Services Sector (Credit Unions). The specific objectives of this assessment were
as follows:
To provide the NTA with the required quantitative data on the demand side of the Credit
Union subsector to enable labour market signalling, by providing figures on vacancies,
job opportunities, job dislocations, etc.;
To develop a baseline understanding of the labour market conditions within the Credit
Union subsector;
To provide labour market data to stakeholders within the Credit Union subsector;
This document represents the outcome of this labour market study on the credit union subsector.
14 http://www.igrad.com/articles/four-types-of-credit-unions
15 World Council of Credit Unions Statistical Report 2012
12
4.0 METHODOLOGY
4.1 Research Method
The primary method used to obtain information for this report was the administration of a
standardized questionnaire. This survey instrument was chosen, primarily because a large
amount of verifiable data could be collected in a relatively short period of time and at minimal
cost.
4.2 Information Gathering
Human Resource Managers, General Managers, and other senior officials from various credit
unions were targeted to complete each questionnaire. Additionally, both primary and secondary
methods of research were utilized to obtain information for this report.
4.2.1 Primary Research
A questionnaire consisting of 27 questions was administered. Some of these questions were
subdivided into various related parts, so that respondents could provide further details where
necessary. Both open-ended and closed-ended questions were included.
4.2.2 Secondary Research
For this study, data from credible local and international sources were examined to obtain
reliable statistical and other related data relevant to the scope of this report. These sources
included, but were not limited to, the following:
Central Statistical Office of Trinidad and Tobago (CSOTT)
Cooperative Development Division, MOLSMED
Central Bank of Trinidad and Tobago (CBTT)
The World Council of Credit Unions (WOCCU)
Caribbean Confederation of Credit Unions (CCCU)
Cooperative Credit Union League of Trinidad and Tobago (CCULTT)
Annual Reports of Credit Unions
13
4.3 Pilot Testing
A pilot testing exercise was conducted, whereby a credit union was asked to review, complete
and give feedback on the final draft of the questionnaire. Subsequently, adjustments were made
where necessary and the approved questionnaire was disseminated to the various credit unions
identified.
4.4 Sample Frame
The CSO’s most recent database of Registered Businesses (2011) was primarily used as the
sampling frame, to determine the population of credit unions in T&T. For thoroughness, this
database was cross-referenced with online databases, as well as the telephone directory listings
of credit unions, and supplemented where necessary.
4.5 Sampling Method
Systematic random sampling was used to identify the credit unions to be targeted for this survey.
This method was chosen, as it allowed for the population to be evenly sampled, and the
mitigation of the potential for human biases in the selection phase. It also offered simplicity and
structure to the sampling process.
4.6 Sample Size
The sample consisted of the Head Offices of 30 credit union cooperatives.
4.7 Data Analysis
Microsoft Access and Excel software were utilized to analyse survey data, as they allowed for
speedy data entry, input of formulae, calculations, as well as the generation of graphs and charts
necessary to pictorially illustrate the findings.
14
5.0 INTERNATIONAL PERSPECTIVE
Globally, it is estimated that just over 200 million persons are members of 55,952 credit unions
in 101 countries, with combined assets of over USD $1.6 trillion.16 These statistics infer that credit
unions contribute significantly to the creation and sustainability of jobs, as they are service-based
organisations that depend highly on customized person-to-person interface for the provision of
their services. In the United States (US) alone, it is estimated that over 249,000 persons are
employed directly by credit unions,17 and with membership projected to increase in the coming
years,18employment figures are expected to continue on an upward trend. A useful illustration
of global credit union statistics is presented in Table 1.
Table 1: Global Credit Union Statistics from 2004 - 2012
Year Countries Number of Credit Unions Membership
2012 101 55,952 200,243,841
2011 100 51,013 196,498,738
2010 100 52,945 187,986,967
2009 97 49,330 183,916,050
2008 97 53,689 185,800,237
2007 96 49,134 177,383,728
2006 96 46,367 172,007,510
2005 92 42,705 157,103,072
2004 82 41,042 128,338,297
Source: World Council of Credit Unions (WOCCU)
The growth of credit unions means that it is essential to attract managerial workers with the right
talent and skill set in order to strategically steer the subsector into the modern era of business
transacting. A study in 2012 conducted by the Filene Research Institute, recognized that
examining the traits of credit union managers is critical for determining what is needed to achieve
16http://www.woccu.org/about/intlcusystem
17http://www.statista.com/statistics/188938/us-credit-union-number-of-establishments-and-number-of-
employees/
18http://money.cnn.com/2012/02/29/pf/credit_unions_members/
15
and sustain competitive advantage. Four (4) traits in which the highest performing middle
managers differed from average employees were identified as follows:19
1. Learning abilities – highly effective middle managers learnt quickly and exemplified
problem solving abilities.
2. Energy – high performing managers had the tendency to ‘display endurance and
capacity for a fast paced environment.’
3. Verbal skill – approximately 69% of good middle managers, were above average in
verbal skills, translating to an adept ability to communicate effectively with
members, subordinates, peers, and executives.
4. Decisiveness – the ability to use available information to make decisions quickly
was critical.
According to this study, the proper alignment of human resources is what makes a credit
union successful. Feline’s study showed that a middle manager with the right skill set has
a favourable impact on the performance of a team and also serves as an important conduit
for good ideas.
6.0 GOVERNMENT’S COMMITMENT
The GoRTT has demonstrated its commitment to the cooperative credit union subsector primarily
by its formulation of policy and legislation to better govern its operations. In 2005, the Ministry
of Labour and Small and Micro Enterprise Development (MOLSMED) developed a National Co-
operative Policy which re-emphasized the major role of Co-operatives in the socio-economic
development20 of ordinary working men and women who are underserved by traditional financial
19Neill, Michael (2012). “Attributes and Skills of Highly Effective Credit Union Managers.” Filene Research Institute.
20http://www.molsmed.gov.tt/Services/CooperativeDevelopmentDivision/tabid/441/Default.aspx
16
institutions.21 In July of this same year, prudential supervision of credit unions were placed under
the purview of the Central Bank for greater oversight.
Recently, the GoRTT has agreed to an intergovernmental arrangement with the United States
Inland Revenue Service (IRS)22 in relation to the Foreign Account Tax Compliance Act (FATCA)23,
to help combat offshore tax evasion by persons in the United States of America who have
financial accounts in excess of US$50,000 outside of its territory.24 This arrangement would
require legally trained and qualified employees to monitor local credit unions to ensure they
comply. Employees would now have to be specially trained in how to adhere to these new laws,
so as to avoid unnecessary penalties for credit unions.
Legislation has been tabled to strengthen the regulatory framework for credit union operations
in the form of the Credit Union Bill, 2011. This Bill proposes to help ensure inter alia, the financial
viability of credit unions via the utilization of benchmarked systems and procedures such as
solvency tests, operating certificates, deposit-type insurance, term limits for Board members,
and minimum prudential criteria.25 This Bill also makes it mandatory for credit unions to belong
to an insurance protection fund, which would help safeguard members’ financial interests.26
In light of their commitment to helping to ensure the security of deposits and shares of credit
union members, in 2013, the MOLSMED, through the Cooperative Development Division,
decided to cancel the registrations of approximately 200 credit unions that were deemed to be
21http://www.trinidadexpress.com/business-magazine/NEW_REGULATORY_REGIME_FOR_CREDIT_UNIONS-
200158151.html?m=y&smobile=y
22http://www.guardian.co.tt/news/2013-10-28/tt-sign-pact-irs
23 http://www.convey.com/1099-news-tax-blog/international-tax-compliance/new-countries-sign-on-with-fatca/
24http://www.newsday.co.tt/businessday/0,193822.html
25http://www.trinidadexpress.com/news/Howai-Strong-credit-unions-key-253295601.html
26 http://www.central-
bank.org.tt/sites/default/files/Credit%20Union%20Act%20Policy%20Proposal%20Document_0.pdf
17
financially inactive.27 This type of oversight safeguards members of the public from investing their
monies in financially unstable credit unions.
The GoRTT has also demonstrated its commitment to the members of credit unions, by passing
legislation in 2014 which offers remedial assistance to eligible shareholders of an insolvent credit
union by way of “The Purchase of Certain Rights (HCU)” Bill. This governmental assurance has the
effect of renewing confidence in the Financial Services Sector (Credit Unions) for shareholders
and employees.
27 http://www.news.gov.tt/archive//E-Gazette/Gazette%202013/Gazette/Gazette%20No.%205%20of%202013.pdf
18
7.0 FINDINGS
A total of 26 out of the 30 questionnaires administered to the sampled credit unions were
completed and returned, resulting in an 87% response rate. Findings from the collected data are
illustrated and explained in the following sections.
7.1 GEOGRAPHIC DISTRIBUTION
It was found that the 26 randomly selected credit unions captured in this survey, were dispersed
across a wide geographical area. Credit Unions in San Fernando and Port of Spain registered the
highest number of respondents, at 7 and 8 respectively. Other credit unions were located in the
following areas: Couva (3), St. Augustine and environs (5), San Juan (1), Champ Fleurs (1), and
Tacarigua (1).
7.2 ORGANIZATIONAL CHARACTERISTICS
7.2.1 Operational Type
Respondents were asked to select the operational type which best identified their credit union’s
operations. There was an almost equal proportion of operational types surveyed, with 14
respondents (54%), selecting ‘Community-based/Regional Credit Union,’ and 12 (46%) selecting
‘Industry-based/Occupational Credit Union.’ Figure 1 illustrates these findings.
Figure 1: Number of Credit Unions per Operational Type
54%46%
Community-based/Regional CreditUnion
Industry-based/OccupationalCredit Union
19
7.2.2 Years in Operation
All of the 26 credit unions surveyed were in operation for over two decades (between 23 and 66
years). More than half of the all those surveyed were in operation for over 49 years. Figure 2
illustrates these findings.
Figure 2: Years in Operation
7.3 EMPLOYMENT PROFILE
7.3.1 Number of Employees
The 26 credit unions surveyed had a total of 621 employees. An itemization of the number of
employees for credit unions is detailed in Figure 3.
Figure 3: Numbers of Employees
5
4
3
7
7
0 1 2 3 4 5 6 7 8
20-29
30-39
40-49
50-59
60-69
Number of Credit Unions
Year
s in
Op
erat
ion
15
4 3 2 1 1
0
5
10
15
20
1-10 11-20 21-30 31-40 51-60 > 300
Nu
mb
er
of
Cre
dit
U
nio
ns
Number of Employees
20
7.3.2 Sex Distribution
Results reveal that there appears to be a significantly disproportionate number of males and
females employed in the local credit union industry. The minority of the staff members of credit
unions surveyed were male (151 or 24%), while 470 or 76% were female, resulting in a female-
to-male ratio of approximately 3:1.
7.3.3 Job Titles and Occupational Areas
A cursory examination of occupational areas in the credit union industry in T&T reveals that the
workforce is engaged in a wide variety of job functions. Over 130 job titles and occupational areas
were identified by interviewed credit union representatives (see Appendix 4).
7.3.4 Levels of Employment
With regard to current employment levels, the survey results revealed that the vast majority
(40%) of persons employed in the credit union industry appeared to be employed at Level 3 (Semi
Skilled Workers). A significant number of workers were employed at Level 1 Semi-Skilled
Workers, (26%) and Level 2 Skilled Workers, (22%). Also, 66 or 11% of workers occupied jobs at
Level 5 (Managerial Workers), while 1% belonged to Level 4 (Graduate/Professional Workers).
These findings are shown in Table 2.
Table 2: Skill Levels in the Credit Union Industry
LEVELS OF EMPLOYMENT FREQUENCY PERCENTAGE
Level 1: Semi Skilled Workers 162 26%
Level 2: Skilled Workers 137 22%
Level 3: Technical/Supervisory Workers 250 40%
Level 4: Graduate/Professional Workers 6 1%
Level 5: Managerial Workers 66 11%
TOTAL 621 100%
21
7.3.5 Work Permits
Twenty-four (24) or 92% of credit unions that participated in this survey indicated that work
permits had not been applied for within the twelve (12) months prior to the survey. However, 2
credit unions (8%) did apply for work permits within this period. The job titles of employees for
which work permits were applied for included Business Support Officer and Finance and Accounts
Officer.
7.3.6 Work-from-home job opportunities
Respondents were asked whether their credit union provided work-from-home job opportunities
to employees. The vast majority (24 or 92%) did not offer work-from-home job opportunities,
while 2 organisations did. These work-from-home arrangements were available in the job
functions of accounting, financial report writing, and marketing.
7.3.7 Emerging job functions
Participants were asked whether there were any new and/or emerging job functions28 at their
credit unions. New and/or emerging job functions here, refer to job functions that did not
previously exist in a particular credit union. Just under half of the respondents (12 or 46%)
reported that there were budding job functions at their credit union, while 14 or 54% did not
report having emerging job functions. Table 3, lists these new and emerging job functions as well
as their attributed reasons.
Table 3: New and Emerging Job Functions and their Attributed Reasons
Job Function Reasons given
Compliance reporting Compliance Officers are required to help the credit union
adhere to increased regulatory requirements from the Central
Bank and the Financial Intelligence Unit (FIU).
28New and/or emerging job functions here, refer to job functions that did not previously exist.
22
Internal Auditing To assist in ensuring regulatory compliance in line with
increased Central Bank and FIU regulations.
Internet and Mobile banking
Technicians
Online and electronic banking specialists are required to
operate and maintain recent introductions of internet and
mobile banking services.
IT Web Designing There is an increasing need to have an online/internet
presence, for example, by means of a website, to help
modernize credit union operations.
Network Administration A Network Administrator is required to help manage and
maintain new ICT networks, as well as render support for the
credit union management software (Emortelle, CUMIS Plus,
etc.)
Project Management Project management personnel are needed to oversee new
project oriented activities.
Recoveries Personnel Recoveries Officers are needed specifically, to help recover
and manage monies from overdue loan accounts.
7.4 OUTSOURCING
7.4.1 Credit Unions which Outsourced Job Functions
When participants were asked whether job functions were outsourced at their respective credit
unions, responses were evenly split. Thirteen (13) respondents (50%), answered affirmatively,
while the other 13 responded negatively.
7.4.2 Type of Outsourcing
Respondents were asked whether outsourcing of job functions in credit unions was done by
‘Individuals Only’, ‘Companies Only’ or ‘Both Individuals and Companies’. Of the 13 credit unions
which indicated they outsourced job functions, the majority (7 or 54%) outsourced to ‘Companies
23
Only’, while 4 or 31% outsourced to ‘Both Individuals and Companies,’ and 2 or 15% to
‘Individuals Only’. Figure 4 illustrates the distribution.
Figure 4: Type of Outsourcing
7.4.3 Commonly Outsourced Job Functions
Participants were asked to identify commonly outsourced job functions in their respective credit
unions. Of the 13 credit unions, 33 job functions were outsourced. The most frequently selected
job function outsourced was ‘Maintenance/Janitorial Services’ (9). IT/Information Services and
Office/Branch Security were the second and third most frequently outsourced job functions,
having been selected 6 and 5 times respectively. Other outsourced job functions identified by
survey respondents, are illustrated in ascending order in Figure 5.
Individuals Only 15%
Companies Only 31%
Both Individuals & Companies
54%
Who do you outsource to?
24
Figure 5: Commonly Outsourced Job Functions
7.4.4 Reasons for Outsourcing
When asked what the primary reasons for outsourcing were, the majority of respondents (8 or
53%) indicated that companies and individuals were outsourced because of their specialized
skills, while 4 or 27% indicated that outsourcing was done mainly because of the convenience it
offered. Three (3) respondents (20%) indicated that outsourcing was done because it was cost
effective.
Another reason for outsourcing was the existence of physical space limitations for hiring new
staff members. One respondent indicated that outsourcing to small businesses was done, mainly
to support micro enterprise development. The primary reasons for outsourcing are depicted in
Figure 6.
1
1
1
1
3
3
3
5
6
9
0 1 2 3 4 5 6 7 8 9 10
Bailiff/Debt Collections
Financial Accounting
Industrial Relations Services
Marketing (Printing)
Credit Investigation
HR/Recruitment
Legal Services
Office/Branch Security
IT/Information Services
Maintenance/Janitorial Services
Number of Responses
Job
Fu
nct
ion
s
25
Figure 6: Reasons for Outsourcing
7.4.5 Outsourcing of Other job functions
Respondents were further asked whether there were other job functions that may be outsourced
in the near future, that were not currently outsourced. The majority of participants (22 or 85%)
indicated that there were no other job functions likely to be outsourced. However, 4 or 15% of
respondents had plans to outsource advertising and marketing (including telemarketing
operations), data entry, and ICT (including mobile technologies) job functions in the foreseeable
future.
7.5 CURRENT VACANCIES
Respondents were asked whether vacancies existed at their respective credit unions. A significant
number of participants (12 or 46%) reported having active vacant positions, while 14 or 54% did
not identify any current vacancies. These findings are depicted in Figure 7.
Specialized Skills; 53%
Convenience; 27%
Cost Effective;
20%
Specialized Skills Convenience Cost Effective
26
Figure 7: Vacancies amongst Credit Unions
7.5.1 Current Vacancies per Qualification Level
A total of 29 vacancies were identified amongst the 12 credit unions with vacant positions. The
majority of these vacancies (13) existed at Level 3 (Technical/Supervisory Workers), while 11
vacancies were registered at Level 2 (Skilled Workers). Level 1 (Semi Skilled Workers) registered
4 vacancies while Level 5 (Managerial Workers) registered 1. Figure 8 illustrates these findings.
Figure 8: Current Vacancies per Qualification Level
46%54% Credit Unions with Vacancies
Credit Unions withoutVacancies
4
11
13
1
0
2
4
6
8
10
12
14
Level 1 Level 2 Level 3 Level 5
Nu
mb
er
of
Vac
anci
es
Qualification Levels
27
7.5.2 Identification of Current Vacancies
An itemization of the job titles, the qualifications required, salary ranges, and vacancy numbers
are identified in Table 4.
Table 4: List of Current Vacancies in the Credit Union industry
QUALIFICATION LEVEL JOB TITLE NUMBER OF POSITIONS
Level 1: Semi-Skilled Worker Security Officer 1
Level 1: Semi-Skilled Worker Receptionist 1
Level 1: Semi-Skilled Worker Security Officer 1
Level 1: Semi-Skilled Worker Office Assistant 1
Level 2: Skilled Worker Vice Secretary 1 (Part Time job)
Level 2: Skilled Worker Customer Service Representative 2
Level 2: Skilled Worker Teller 3
Level 2: Skilled Worker Administrative Clerk 1
Level 2: Skilled Worker Accounting Assistant 1
Level 2: Skilled Worker Member Services Representative 1
Level 2: Skilled Worker Member Service Representative 2
Level 3: Technical/Supervisory Worker Loans Officer 2
Level 3: Technical/Supervisory Worker Marketing Officer/Operations Assistant 1
Level 3: Technical/Supervisory Worker Supervisors 2
Level 3: Technical/Supervisory Worker IT Assistant 1
Level 3: Technical/Supervisory Worker Loans Officer 1
Level 3: Technical/Supervisory Worker Senior Accounts Clerk 1
Level 3: Technical/Supervisory Worker Marketing Officer 1
Level 3: Technical/Supervisory Worker Business Development Officer 1
Level 3: Technical/Supervisory Worker Event Planner 1
Level 3: Technical/Supervisory Worker Finance & Accounts Officer 1
Level 3: Technical/Supervisory Worker Internal Auditor/Compliance Officer 1
Level 5: Managerial Worker General Executive Manager - Human Resources
1
TOTAL 29
28
7.6 JOB OPPORTUNITIES AND DISLOCATIONS EXPECTED
Respondents were questioned whether there were any job opportunities or job dislocations29
expected at their organizations within the next 12 months. A total of 8 of the 26 credit unions
surveyed, reported expecting either job opportunities or job dislocations within the next year.
Seven (7) credit unions anticipated that there would be 10 job opportunities within this time
period, while only 1 expected 2 job dislocations to occur.
Moreover, 10 job opportunities were anticipated to occur over the next year, 5 of these were
positioned at Level 2 (Skilled Worker) and 3 were identified at Level 3 (Technical/Supervisory
Worker). Additionally, 2 jobs were expected to be available at Level 5 (Managerial Workers). Job
opportunities per qualification level are depicted in Figure 9.
Figure 9: Job opportunities per qualification level
29 Job dislocation here, refers to jobs which would be removed.
5
3
2
0
1
2
3
4
5
6
Level 2 Level 3 Level 5
Nu
mb
er
of
Job
Op
po
rtu
nit
ies
Qualification Levels
29
7.6.1 Job Opportunities Envisaged
The 10 job opportunities anticipated within the next 12 months by the 7 credit unions are listed
in Table 5.
Table 5: Job Opportunities expected within the next 12 months
QUALIFICATION LEVEL*
JOB TITLE QUALIFICATIONS REQUIRED NUMBER OF POSITIONS
Level 2: Skilled Worker
Customer Service Representative
5 CSEC/GCE passes, computer literacy 2
Level 2: Skilled Worker
Customer Service Representative
5 CSEC/GCE passes, computer literacy, 1 year experience
2
Level 2: Skilled Worker
Customer Service Representative
5 CSEC/GCE passes, computer literacy 1
Level 3: Technical/Supervisory Worker
Webmaster Diploma in IT, 1-2 years’ experience 1
Level 3: Technical/Supervisory Worker
Senior Administrative Assistant
Computer Literacy, Accounting experience, Management skills, Accounting degree
1
Level 3: Technical/Supervisory Worker
Customer Service Representative Supervisor
Diploma in Cooperative Studies, 2-4 years’ experience, computer literacy, Diploma in Business Management e.g. ABE
1
Level 5: Managerial Worker
Field Manager Over 5 years' experience managing a business, vehicle ownership, valid drivers' permit, managerial skills, computer literacy, A’Level passes, degree an asset, people skills, ability to be assertive
1
Level 5: Managerial Worker
Finance Manager ACCA certification (completed), 4 years’ relevant experience, computer literacy
1
TOTAL 10
*These competency classifications are reflective of the level of autonomy in the workplace.
30
7.6.2 Job Dislocations
The 2 job dislocations expected within the next 12 months by 1 credit union, are listed in Table
6.
Table 6: Job Dislocations expected within the next 12 months
QUALIFICATION LEVEL*
JOB TITLE QUALIFICATIONS REQUIRED NUMBER OF POSITIONS
Level 2: Skilled Worker
Customer Service Representative/Teller
CSEC/GCE (including Math and English), computer literacy
1
Level 3: Technical/Supervisory Worker
Supervisory Administrative Officer
CSEC/GCE passes, Pursuing degree, relevant work experience
1
TOTAL 2
*These competency classifications are reflective of the level of autonomy in the workplace.
Note: The job dislocations identified in Table 8 are expected due to the pending closure of a credit
union’s branch office if its performance did not improve soon. This credit union office is currently
staffed by 2 persons.
7.6.3 Ease of Sourcing Workers
Respondents were asked to identify how easy it was to recruit and hire suitable workers on a timely basis.
The majority of respondents (16 or 62%) indicated that it was easy to source workers, with 15 selecting
‘Somewhat Easy,’ and 1 selecting ‘Extremely Easy.’ Conversely, 10 respondents expressed having some
level of difficulty in sourcing appropriate workers, with 6 selecting ‘Somewhat Difficult’ and 4 selecting
‘Extremely Difficult.’
31
Figure 10: Ease of Sourcing Workers
7.6.4 Labour Challenges
The reasons for the difficulties experienced by credit unions in sourcing appropriate workers
were identified and listed in Table 7.
Table 7: Reasons for Difficulties in Sourcing Labour
Respondent’s Reasons for Difficulties in Sourcing Labour
No financial remuneration is offered by this credit union, as jobs are on a voluntary basis. Members are unwilling to volunteer their time to this industry-based employee credit union.
Finding the ‘right’ candidate with the ‘right’ combination of qualifications and experience is challenging (referring to the General Executive Manager – Human Resources vacancy).
The salary proposed is not attractive or competitive enough to attract the best workers.
It is difficult to find good quality workers with sufficient knowledge of the rules & regulations of the financial sector set by government agencies such as the Central Bank and FIU.
A lot of people are just trained in banking, but credit unions are different. The primary motive for banks is to generate profits, but credit unions exist for the benefits of their members. Workers must understand this and be able to relate to members on this basis. Workers must share a common bond with the credit union membership to help members feel a sense of belonging.
There appears to be a stigma attached to the credit union industry, where members of the public believe that credit unions are for ‘senior/old-aged people,’ they do not have qualified staff, and they do not pay competitive wages.
Sourcing loyal, honest, confidential, and trustworthy workers with proper work ethics and the ‘right’ attitude and personality fit, is challenging.
Workers are referred to fill vacancies by senior staff members and this can be lengthy process.
This credit union is only opened 3 days a week and it is challenging to find someone willing to work only these days (on a part time basis).
4
6
15
1
0 2 4 6 8 10 12 14 16
Extremely Difficult
Somewhat Difficult
Somewhat Easy
Extremely Easy
Number of Responses
Ran
ge o
f Ea
se/D
iffi
cult
y
32
Inexperience of the applicants.
7.6.5 Years of Work Experience required for various Employment Levels
Respondents were asked to identify the number of years of work experience which are typically
looked for when hiring workers at various employment levels. The majority (19) indicated that
they preferred Entry level recruits to have between 0-2 years of work experience, while
Supervisory level workers were mostly preferred to have between 2-4 years of experience, as
selected by 13 respondents. Additionally, Management level workers were mostly required to
have at least 4-6 years of work experience before entering their managerial roles.
7.7 ORGANISATIONAL CHANGES
Respondents were asked whether organizational changes were expected within the next 12
months. The majority of respondents (20 or 77%) answered in the affirmative, while 6 or 6% did
not expect such changes.
7.7.1 Expected Organisational Changes
Of the 20 respondents (77%) who envisaged organizational change within the next 12 months,
the majority (12) selected the ‘Training/Retraining of existing staff’ category as the most
anticipated area for change. This was followed by ‘Technology and Innovation’ (10), ‘Capital or
Physical Infrastructure’ (10), ‘New Product Development’ (7), ‘Recruitment’ (4) and ‘Employee
Displacement’ (1).
33
Figure 11: Types of Organisational Changes Expected
7.8 STAFF TRAINING
7.8.1 Organisations Offering Staff Training
The vast majority of respondents (24 or 92%) indicated that training was afforded to staff
members, while 8% did not facilitate training.
7.8.2 Frequency of Staff Training
Respondents were asked about the frequency of the training offered to staff members. Of the 24
credit unions which offered training opportunities to their employees, the majority (18 or 75%)
indicated that training was effected on an ‘ongoing’ basis, while 3 credit unions reported that
training was conducted annually. Two (2) credit unions offered training on an ‘as needed basis’
and only 1 conducted staff training ‘every 6 months.’
1
4
7
10
10
12
0 2 4 6 8 10 12 14
Employee Displacement
Recruitment
New Product Development
Capital or Physical Infrastructure
Technology and Innovation
Training/Retraining existing staff
Number of Responses
Org
anis
atio
nal
Ch
ange
34
7.8.3 Apprenticeship, Internship and Mentorship Programmes
When questioned whether an apprenticeship, internship, or a mentorship system was available,
the majority of participants (16 or 62%) responded affirmatively, while 10 or 38% indicated they
did not have such a programme available. Figure 12 depicts these findings.
Figure 12: Apprenticeship, Internship and Mentorship Programmes
7.8.4 Formality of Apprenticeship, Internship and Mentorship Programmes
Of the 16 credit unions that reported having either an apprenticeship, internship, or mentorship
programme, the majority (9 or 56%) indicated that an ‘informal’ apprenticeship-type system was
in place, while 7 respondents reported that such a system was formally instituted at their credit
unions.
7.8.5 Efficacy of Training Providers
Respondents were questioned whether current training providers (TPs) were meeting their
training needs. The vast majority of respondents (25 or 96%) indicated that TPs were providing
adequate training to staff in the credit union subsector. One respondent (4%) however,
expressed that TPs were not meeting their needs.
Yes; 62%
No; 38%
Does this credit union have an apprenticeship, internship or mentorship programme?
35
7.8.6 Customer Service Qualification
Respondents were asked whether customer service qualifications were mandatory for credit
union staff members. The majority of respondents (21 or 81%) indicated that it was necessary,
while 5 or 19% did not mandate this qualification, as shown in Table 8.
Table 8: Customer Service Qualifications
Response Frequency Percentage
Yes 21 81%
No 5 19%
TOTAL 26 100%
7.9 EMPLOYEE TRAITS
7.9.1 Most required traits identified for Credit Union staff members
Participants were asked to identify the traits required most in typical employees. Based on the
data, the top 5 traits required in ascending order were ‘Honesty (20),’ ‘Confidentiality (19),’
‘Punctuality (18),’ ‘Communication Skills (17),’ and ‘Teamwork (12).’ Other required traits were
also identified.
7.9.2 Traits most lacking amongst typical employees
Additionally, participants were asked to indicate the traits most lacking in current employees.
The top 5 most deficient traits identified, in ascending order, were ‘Problem-solving Skills (12),’
‘Self-motivation (12),’ ‘Communication Skills (12),’ ‘Flexibility (9),’ and ‘Teamwork (8).’ Other
deficient traits were also identified. Figure 13 illustrates these findings.
36
Figure 13: Comparative Analysis of Most Required and Most Lacking Employee Traits
4
6
6
7
7
10
12
17
18
19
20
12
9
12
5
4
4
8
12
7
3
2
0 5 10 15 20 25
Problem-solving skills
Flexibility
Self-motivation
Hardworking
Respectfulness
Willingness to Learn
Teamwork
Communication Skills
Punctuality
Confidentiality
Honesty
Number of Responses
Trai
t
Traits Most Lacking Traits Most Required
37
8.0 ANALYSIS
Based on the survey results, there were new and emerging job functions in the areas of
compliance reporting, internal auditing, internet and mobile banking technicians, operations
management, and web designing within credit unions. Of significance, a considerable number of
credit unions reported having the new job title of Compliance Officer. This job title has been
attributed to the increased regulatory requirements by the Central Bank, and the proposed Credit
Union Bill - a classic example of how legislation can directly impact on the employment profile of
an industry.
Furthermore, it appeared that an increasing number of jobs in the credit union subsector
required specialized ICT skills, as members demand greater efficiency and convenience in their
financial transactions. ICT facilitates these amenities, by allowing for online and mobile banking
services which helps credit unions to become cutting edge in their operations.
This study determined that, 88% of credit union workers were employed in semi-skilled, skilled
and supervisory/technical positions. Also, 62% of respondents admitted to an ease in recruiting
and hiring workers.
Moreover, certain local credit unions have forged mutually beneficial international partnerships
to foster employee development. For example, a Memorandum of Understanding has been
signed between some local credit unions and their foreign-based counterparts,30 to provide
employee exchange internships in specialized functional areas. This has led to a cross-fertilization
of skills, whereby employees are exposed to foreign processes and procedures to help obtain
global proficiencies in credit union management. These partnerships also serve to facilitate
30http://www.newsday.co.tt/businessday/0,193822.html
38
training in marketing, finance, credit and loan management, risk management and credit union
human resource development, as well as succession planning programmes.31
The longevity and survival rate of credit unions is high. This is evident in the fact that each of the
randomly selected credit unions surveyed existed for over 20 years. This augers well for the credit
union subsector as being a sustainable partner in the financial sector. However, this also means
that continuous education and training is required to help mitigate stagnation of employees’ skill
sets.
All of the credit unions surveyed were locally owned, which demonstrates that this type of
business structure generates local employment, commerce and investment, as well as indigenous
growth in the financial sector. With this in mind, there is greater need to increase the number of
credit unions to deepen their local penetration. This would involve initial training in the
fundamentals of credit union management.
It is noteworthy that work permits were infrequently applied for. Only 2 credit unions stated they
had applied for one work permit each within the last year. This implies that credit unions
generally have little expatriate work.
It should be noted that many credit unions started off as industry-based, with membership
comprising primarily employees of that particular industry. However, as some industries reduced
or closed their operations, it was deemed necessary for those credit unions to expand their
membership. This was done by converting to a more community based operation, in order to
survive and remain relevant. This introduced competition to existing community based credit
unions, leading to new and enhanced skill sets required for employees such as customer service,
marketing, and advertising.
31http://www.guardian.co.tt/business/2011/03/27/credit-union-partnership-yields-results
39
With the increasing use of technology by credit unions, there is a need for TPs to offer
modernized training for credit union staff members. Some credit unions have grown significantly
in membership over the years and have embarked upon new projects such as online and mobile
banking facilities. However, respondents noted that TPs do not offer enough practical and
modern training, for example, regarding transacting in an e-commerce environment. To
overcome these shortcomings, many credit unions offer in-house training to staff members.
Some credit unions also send staff abroad for training. Therefore, opportunities exist for local TPs
to capitalize on these deficiencies by providing modernized training programmes to meet the
present needs of this subsector.
The specialized software packages used by several credit unions were Emortelle and CUMIS Plus.
However, besides the training offered by the software supplier them self, there was no indication
that training in these software programmes was readily available or accessible from typical TPs.
Credit unions generally indicated that internal training is provided to staff to make them
competent in these specialized software. Nevertheless, an opportunity exists for TPs to offer
courses that specifically teach the use of these software packages, so that recruits would already
be oriented with tools of the trade. The implication of this initiative would yield more market
ready employees.
Eighty-one percent (81%) of respondents indicated that customer service qualifications were
mandatory for CU staff members. This finding is further substantiated in the American Customer
Satisfaction Index for consumer satisfaction amongst credit unions, which ranked staff courtesy
as a critical element of benchmarking customer experience at credit unions.32
32 American Customer Satisfaction Index 2013. “Credit Unions” http://www.theacsi.org/industries/finance-and-
insurance/credit-union
40
Many of the reasons identified for difficulties in sourcing appropriate labour, related to the lack
of soft skills amongst the pool of available workers. These deficient skills and attributes included
mainly communication, self-motivation, and problem-solving skills.
Many credit union respondents were of the view that the government should restart the tax
incentive scheme which existed prior to 2005, as they believed this would significantly improve
the viability and stability of their existence. This incentive functioned whereby credit union
members would be eligible to claim for annual tax deductions of up to TTD $2,500. In particular,
reintroducing this tax incentive could help revive smaller credit unions thereby leading to their
growth and sustainability which will facilitate the capacity for more jobs in the subsector. This
would also serve to attract greater youth membership.
Almost all of the job functions outsourced by the 50% of credit unions that engaged in
outsourcing, were non-core activities. These activities included security, maintenance/janitorial
services and information technology services. This indicates that a significant number of credit
unions prefer to narrow their span of control into their core operations.
In addition to Mathematics and English, competencies in computer literacy were emerging as a
fundamental requirement for employment in the credit union subsector. Many respondents
stated these as basic requirements for jobs from Level 2 through Level 5. This implies that local
credit unions have moved away from primarily paper-based operations, towards incorporating
electronic data management technologies.
Of importance in the credit union subsector, is the proposed deposit insurance system by the
Central Bank, to help safeguard members’ investments.33 This implies that specialized
competencies in deposit insurance would be required, leading to new jobs in this area. Deposit
33 “Credit union needs more robust regulation - Central Bank Governor”
<http://www.news.gov.tt/archive/index.php?news=12575>
41
guarantee mechanisms help safeguard members, should a credit union fall into financial
challenges. Deposit guarantees are used for credit unions in developed countries such as Canada
for example, which helps reinforce confidence in their financial system.
Many small credit unions expressed the view that the proclamation of the Credit Union Bill in its
current form, could cause their demise. They indicated that this Bill may pressure them to
succumb to acquisition by larger credit unions or go out of business. This is because they may not
be able to meet the costs associated with increased regulatory compliance etc. This has
implications for the labour market, as jobs may become displaced. In general, larger credit unions
tended to agree with the passing of the CU Bill, while smaller CUs desired it to first be revised.
Smaller CUs requested more consultation on the Bill before its ascension.
Only 2 credit unions surveyed facilitated work-from-home job opportunities for employees.
Work-from-home jobs were available in the areas of accounting, financial report writing, and
marketing. This implies that the structural dynamics of credit union jobs were still entrenched in
traditional arrangements.
42
9.0 CONCLUSION
From this report, it could be seen that credit unions provide financial services to groups in society
that share a common bond. Their primary goal is to serve their membership, rather than to make
profits. Within recent times, their traditional roles have been expanded – from that of providing
savings and loan facilities to that of investments in real estate, travel, and other quasi-banking
services.
An assessment of the current state of the labour market in the Financial Services Sector (Credit
Unions) has been presented and discussed in this report. Many credit union employers indicated
a preference for hiring persons who did not just exhibit academic and technical competencies,
but who possessed the right attitudinal and other soft skills for the job. A total of 29 vacancies
and 10 job opportunities were identified and presented, and a number of new and emerging job
functions were highlighted.
The sex ratio of female-to-male credit union personnel was found to be disproportional at
approximately 3:1. Also, a plethora of job titles generated amongst credit unions were identified.
Certifications required for these credit union jobs varied slightly. A significant percentage of
credit unions outsourced jobs, however, most of these jobs were in non-core activities.
Additionally, the majority of credit unions surveyed possessed an internship, apprenticeship, or
mentorship programme, as a mechanism to encourage succession planning.
Economic growth outside the core gas and oil sector is fundamental to the development of T&T.34
The Financial Services Sector (Credit Unions) is a notable contributor to the human capital of the
country, by providing employment, training, as well as savings and loan facilities for those
traditionally underserved by other financial institutions. Moreover, these low interest loans serve
to stimulate entrepreneurial development, which further contributes to the gross domestic
34InvesTT “The Road to ICT Readiness”
43
product. Therefore this is a key sector which warrants further support, to help ensure the
sustainable development of the sector.
44
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45
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46
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Senator the Honourable Larry Howai, Minister of Finance and the Economy. “Financial
Services Sector – Creating the Future You Want.” Web. 4 Aug. 2014.
<http://finance.gov.tt/wp-content/uploads/2013/11//sp131106085428.pdf>
The American Customer Satisfaction Index. "Credit Union Customer Experience
Benchmarks." Web. 28 July 2014. <http://www.theacsi.org/industries/finance-and-
insurance/credit-union>.
The Co-operative Credit Union League of Trinidad and Tobago. Web. 10 July 2014.
<http://ccultt.org/site/our-league>.
The Statistics Portal. "Number of Establishments and Employees of Credit Unions in the
U.S. from 2006 to 2011 (in Thousands)." Statistica.com. Web. 12 Aug. 2014.
<http://www.statista.com/statistics/188938/us-credit-union-number-of-
establishments-and-number-of-employees/>.
Trinidad and Tobago Newsday. "The Co-operative Credit Union League Speaks One
Movement Speaking with One Voice!" 24 Apr. 2014. Web. 10 July 2014.
<http://www.newsday.co.tt/businessday/0%2C193822.html>.
47
Trinidad Express Newspaper. "Howai: Strong Credit Unions Key." 31 Mar. 2014. Web. 09
Aug. 2014. <http://www.trinidadexpress.com/news/Howai-Strong-credit-unions-key-
253295601.html>.
Trinidad Express Newspaper. "New Regulatory Regime for Credit Unions." 26 Mar. 2013.
Web. 14 July 2014. <http://www.trinidadexpress.com/business-
magazine/NEW_REGULATORY_REGIME_FOR_CREDIT_UNIONS-200158151.html>.
World Council of Credit Unions. "What Is a Credit Union?" Web. 24 Aug. 2014.
<http://www.woccu.org/about/creditunion>.
48
11.0 APPENDICES
Appendix 1: Estimated Number of Active Credit Unions
Source: The Caribbean Centre for Money and Finance, UWI (1985-2000)35 and WOCCU (2001-2012).
Note: The variation in the number of credit unions reporting indicates a lack of compliance with the CSA which
mandates that all credit unions report annually (Khan, 2001, pages 116-117).
35 Khan, Glen “An Analysis of the Legislative Reform Proposals for Credit Unions of Trinidad and Tobago” CCMF
UWI. http://www.ccmf-uwi.org/files/publications/conference/774.pdf
73
10
8
10
8
14
0
13
4
12
8
12
7
12
9
12
9
92
92
10
1
58
96
96
76 79
79
79 80
10
1
76 8
0
80
12
9
13
0
13
0
12
9
0
20
40
60
80
100
120
140
160
19
85
19
86
19
87
19
88
19
89
19
90
19
91
19
92
19
93
19
94
19
95
19
96
19
97
19
98
19
99
20
00
20
01
20
02
20
03
20
04
20
05
20
06
20
07
20
08
20
09
20
10
20
11
20
12
NU
MB
ER O
F C
RED
IT U
NIO
NS
YEAR
ESTIMATED NUMBER OF ACTIVE CREDIT UNIONS PER YEAR FROM 1985-2012
49
Appendix 2: National Qualification Framework
LEVEL MEANING
V Senior Managerial Workers
IV Graduate/Professional Workers
III Technical/Supervisory Workers
II Craft/Skilled Workers
I Semi-Skilled Workers
50
Appendix 3: Important Dates in the Credit Union Movement36
1945 Credit Union Co-operative Societies Ordinance No. 48 passed in Legislative Council
1946 Registration of Credit Unions began
1947 Registration of The Co-operative Credit Union League of Trinidad and Tobago
1949 The Co-operative Department was established as part of a governmental structure to oversee, guide and develop Credit Union activities
1956 Establishment of the Co-operative Credit Union Bank of Trinidad and Tobago
1957 The Bank was registered
1965 The establishment of a CUNA Mutual Insurance Society Branch in Port of Spain to provide life insurance and loan protection for Credit Union members
1972 Regional acceptance of the Movement saw the formation of the Caribbean Confederation of Credit Unions (CCCU) with headquarters in Port of Spain
1979 CCCU Headquarters transferred to Barbados
1989 CUNA Mutual was localized and is now called CUNA Caribbean Insurance Society Ltd.
1996 World Council of Credit Unions' Convention and Annual General
Meeting hosted by the League at the Hilton Trinidad
1998 The Caribbean Confederation of Credit Unions' 41st Annual
International Convention and 21st Annual General Meeting
hosted by the League at the Trinidad Hilton
1999 Commencement of the Institutional Strengthening Project- an
Interamerican Development Bank funded project seeking to
improve the supervisory structure of the Movement.
36The Cooperative Credit Union League of Trinidad and Tobago “Important Dates in the Credit Union Movement.”
http://www.ccultt.org/CreditUnionMovement.html. Web. 30June 2014
51
Appendix 4: Training Providers Offering Credit Union training programmes
TRAINING PROVIDERS
Agency/Programme Location Contact Information Course(s)
Cipriani College of Labour and Cooperative Studies
Head Office:
Churchill
Roosevelt
Highway, Valsayn
Tel: 663-0975/0978, 662-5014 Email: [email protected] Website: www.cclcs.edu.tt
Undergraduate level: BA Cooperative
Studies Labour
Studies
Associate Degree: Associate of Arts in
Cooperative Studies
Certificate Level:
Credit Union Management
ROYTEC (UWI School of Business and Applied Studies Limited)
Head Office: 136-138 Henry Street, Port-of-Spain Regional Office: Naparima
College, Paradise
Pasture, San
Fernando
Tel: (868)225-1299 Ext. 2109, 2110, 2111 (North), 2181 (South) Email: [email protected] Website: http://www.roytec.edu
Diploma in Credit Union Management
52
Appendix 5: Job Titles and Occupational Areas in the Credit Union Industry
Job Titles and Occupational Areas in the Credit Union Industry
Accountant Credit Analyst Junior Clerk Purchasing Officer
Accounting Assistant Credit Recoveries Supervisor
Loan Officer Receptionist
Accounting Technician
Credit Recovery Officer
Loan Recovery Officer
Recoveries Supervisor
Accounts Clerk Credit Securities Officer
Loan Supervisor Research Officer
Accounts Manager Credit Supervisor Loans Assistant Sales Officer
Accounts Supervisor Credit Union Officer Loans Coordinator Secretary and Administrative Assistant
Administrative Assistant
Custodian Loans Officer Secretary
Administrative Clerk Customer Service Representative
Management Trainee Securities Supervisor
Administrative Manager
Debt Recoveries Officer
Marketing Assistant Security Control Supervisor
Administrative Officer
Delinquency Control Clerk
Marketing Manager Security Officer
Administrative Services Officer
Deputy Chief Executive Officer
Marketing Officer Senior Accountant
Administrator Deputy General Manager
Medical Administrator
Senior Accounting Assistant
Advertising and Public Relations Officer
Director Member Care Coordinator
Senior Accounts Clerk
Assistant Accountant Driver Member Relations Clerk
Senior Administrative Assistant
Assistant Manager Electronic Banking Officers
Member Service Representative
Senior Administrative Clerk
Assistant Manager – Credit
Electronic Banking Supervisor
Member Services Supervisor
Senior Administrative Officer
Branch Manager Executive Assistant Messenger Senior Audit Assistants
Branch Marketing Manager
Field Manager Network Administrator
Senior Clerk
Branch Supervisor Filing Clerk Network Technician Senior Credit Officer
Business Development Officer
Finance & Accounts Officer
Office Assistant Senior Human Resources Generalist
53
Call Centre Supervisor
Finance Manager Office Clerk Senior Loans Officer
Cashier Financial and Administrative Manager
Office Manager Senior Marketing Officer
Chief Executive Officer
Financial Controller Operations and Marketing Manager
Senior Member Relations Officers
Chief Operating Officer
General Manager Operations Assistant Senior Secretary
Cleaner General Services Assistant
Operations Coordinator
Senior Security Supervisor
Clerk 1/Clerk 2/Clerk 3
Housekeeper/Cleaner Operations General Manager
Systems Administration Officer
Clerk Typist Human Resource Manager
Operations Manager Systems Administrator
Collection Officer Human Resource Officer
Operations Officer Telephone Call Centre Service Representative
Collections and Family Indemnity Clerk
Human Resource Supervisor
Operations Supervisor
Teller
Compliance Officer Information Technology Manager
Payment and Procurement Officer
Treasurer
Computer/Senior Computer Operator
Inventory Clerk Payroll Clerk Verification Officers
Control Room Operator
Investment/Treasury Analyst
Payroll Supervisor Vice President
Corporate Communications Supervisor
Information Technology Administrator
President Vice Secretary
Courier Information Technology Officer
Project Coordinator
54
Trinidad:
140-142 Mulchan Seuchan Road, Chaguanas,Trinidad, W.I
Telephone: 868-672-7107/8; 868-672-9942
Fax: 868-672-71209
Tobago:
Tobago Technology Centre,
79 Milford Road, Canaan, Tobago, W.I
Telephone: 868-635-1721; 868-639-3530
Fax: 868-635-0820