COVINA, Calif.—The average salary for credit union CEOs reached $233,415, and the group's average pay increase was 5.14% according to a new compensation study.
The study, conducted by Executive Compensation Solutions, analyzed total cash compensation in 2012.
The survey also found that CU CEO compensation figures continue to lag behind banks, whose chief executives average $335,344 in total cash compensation. Disparities in total compensation between credit unions and banks decrease as asset size of the institution increases, the study revealed.
More than 2,000 CU executives were polled and asked for their salary data as of June 1, 2013. ECS sent questionnaires to CEOs, CFOs, HR professionals and board members; 259 responses were received by September.
The average total number of years CEOs responding to the survey have worked in the credit union community was 24.7.
Most CUs (76% of respondents) utilized a variable pay program in addition to base salary. The use of performance metrics for variable pay is on the rise, according to ECS, with loan growth the most prevalent performance criterion, reported by 62% of respondents that use a formal performance metric system.
The highest reported average base salary for members of the executive team (excluding CEOs) was the executive vice president, who made $139,944.
But only 24% of all respondents indicated that an EVP position exists at their credit union. The next highest average salary for a senior executive was reported for chief financial officers at $128,922.
