OGDEN, Utah-Communications will play an important role in keeping staff focused in the event of a merger, shared Kent Streuling, VP of human resources for the $4.5-billion America First Credit Union, and chairman of CUNA's HR/TD Council.
Being prepared about how to handle communication and what to say should be on every credit union's to-do list, insisted Streuling. "If it's not on your radar, it should be. Don't be surprised if you are the acquired or the acquirer. Try to gain as much knowledge through conversations with peers who have gone through a merger or gain more education on the matter, so if a merger happens you don't make communications decisions based on emotion, which are the worst decisions to make."
The biggest mistake credit unions often make during a merger, Streuling insisted, is waiting too late in the process to bring in HR. "It's the No. 1 mistake in my opinion.
Often the process will be two to three weeks out before the merger is final and someone will ask, 'What about employees' 401(k) and health insurance?' HR should be one of the first people brought in. They need to be the person that is the face to employees during the merger process. They are the ones who need to talk to staff on a one-one basis, so employees have someone they feel comfortable with to ask questions. If you don't do this, when the (rumor mill) gets started it's hard to stop."
Due to the economy Streuling predicts many incentive pay programs will "dry up," and credit unions should be prepared to explain to employees why the programs have gone away and seek alternative programs to keep morale high.
